Located in the Parry Sound township of Armour, Ely began around 1878 as a small rural settlement containing about 20 farms. Three years later a school would be built (Armour Twp S.S. #4) to provide education for the farmers children.

As Ely was a small township, it never did see a church built. Parishoners attended mass in the school house which also served double duty as the community centre. A home served as the local post office as there was no need to construct one.

Nearby Jack Lake saw small saw mills spring up however the largest mill would be that of the Slight Lumber Mill on Pickerel Lake which was built in 1915.

As with many small farming settlements the population left for larger areas or due to infertile land. The post office closed in 1942 while the school was reopened again in 1958 to take in students from the overcrowded Berridale School.

The population of Ely didn't grow much beyond the 200 mark and in time, Ely became nothing more than a distant memory.