The grant will help construction get underway next week.
Radium Mayor Clara Reinhardt says the funding is great news for everyone in the village, as it will help to keep costs down and reduce the burden on taxpayers.
Residents voted back in January to borrow up to $3.2 million for the project, but council has since received $500,000 from an anonymous source and another half-million from Columbia Basin Trust.
The parcel tax for the community hall is expected to fall from the initially expected $105 per parcel per year to $25.
"We were kind of hoping that we would get some money from CBT, but we didn't know for sure and we didn't know how much, so there should be an impact. At the end of the day, there will be a cost to taxpayers, but it will be reduced and that just makes it all the more manageable."
CBT's President and CEO Johnny Strilaeff says the new hall will add to the community by ensuring residents have a comfortable gathering place that will also help to attract visitors.
Reinhardt agrees with that assessment, and wanted to pay homage to the people of Radium with the hall's design.
"The new building is reflective of the community in that we are putting wood first and we hope to source that locally. It's in the same lot that it was in before and it's really taking advantage of the views of the mountains, the valley. Also, it's a huge park, so really, bringing the park into the building."
Construction is set to begin in the first week of April 2017 with an estimated completion of April 2018.
- David Opinko
Audio: Clara Reinhardt, Mayor, Village of Radium Hot Springs