In 1907, the Sayward Lumber company (Victoria based, with many timber holdings up the coast) built a railway from Powell Lake (prior to the Powell Lake dam; probably Block Bay) to tideline, near what would later be the PRCo Kelly Spruce sawmill. The first log dump was where the Powell River Company wanted to construct their mill or townsite. 

By 1910 Sayward had sold the railway by then to the Michigan-Puget Sound Logging Company, which operated the railway. Their #1 Loco was Shay sn-1982

In 1910, the BC government directed that the railroad and booming ground be moved a PR Co expense , with direction that M-PS complete logging their holdings by 1920.  

The railroad was extended to the present day Willingdon Beach site, formerly known as Michigan’s landing, where a new log dump and booming ground were developed in 1910. 

When logging ended in 1918, the rails remained for eight years and were used to haul rock and clay as late as 1924.  In 1926 the Powell River Company decided to lift the rails, and the Willingdon Beach Trail was born. 

Michigan Landing (Willingdon Beach) as it would appear from 1910 to the mid 1920s.

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 The line went right through town, perhaps this is the main line seen below