Napier developed into an active village. Robert Johnston built a store and gristmill in 1838, importing two millstones from Scotland. Johnston also had a sawmill built to harvest the many black walnut trees in the area. He then proceeded to build a large woollen mill. The village was known at first as Johnston's Mills. Later it was known as Puffing Town because of the noise made by the steam engine at Johnston's mills. This mill stood on the river behind the general store standing in the village today. People would walk to the mill from as far as Sarnia with bags of wheat on their backs to do their milling. After the township of Metcalfe was created in 1840, the village became known as Metcalfe. When a post office opened on November 6, 1851, the village was named Napier, probably after
Sir Charles James Napier (1782–1853), a British General, or perhaps after his brother,
Sir William Francis Patrick Napier (1785–1860), also a general and historian of the
Peninsular War. In 1857, J. G. Sutherland moved into the area, bought the mills from Johnston and built a new woollen mill. The village population at this time was about 150. Sutherland's businesses dominated the community for many years. It was he who built the store known as Napier House in 1872; the post office moved into this building later. Napier was important enough to become the township "capital." In 1880, the township council started holding regular meetings in the new Napier Town Hall. ==Decline of the village==