The plan conceived by General Simcoe for peopling and improving Upper Canada seems, as far as he has communicated it to us, extremely wise and well arranged.
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A chief town or capital must not be seated on the frontiers, and much less under the guns of the enemy's fort. He has since thought of York, situated on the northern bank of Lake Ontario, nearly opposite to Niagara; it is in this place he has quartered his regiment, and he intends to remove thither himself when he shall withdraw from the frontiers.
York, from its extent, security, and situation, offers an excellent road. The communication between Lake Ontario and Lake Huron is facilitated by several rivers and small lakes. The surrounding territory possesses a good soil, and affords all possible means to improve the trade on the lake. Even in a military point of view its situation is very advantageous. The banks of Lake Ontario are likely to be first peopled by the Americans, and to become most populous; and Lower Canada will always prove to them an object of jealousy and evny rather than Upper Canada. On this ground it is extremely important, to choose a situation, which renders it more easy to succour such points as are most exposed to an attack. Yet Governor Simcoe seems to have relinquished the idea of establishing his residence, and the seat of government, at York.

Governor Simcoe intends to make York the centre of the naval force on Lake Ontario.

During our residence in Naryhall, Messrs. Dupetitthouars and Guillemard took the opportunity of the return of a gun-boat, and made an excursion to York. Indolence, politness to the Governor, and the conviction that I should meet with nothing remarkable in that place, united to dissuade me from this journey. My friends informed me on their return, that this town, which the Governor had fixed upon as the capital of Upper Canada, before he thought of building a capital on the Thames, has a fine extensive road, detached from the lake by a neck of land of unequal breadth, being in some places a mile, in others only six score yards broad; that the entrance of this road is about a mile in width; that in the middle of it is a shoal or sand-bank, the narrows on each side of which may be easily defended by works erected on the two points of land at the entrance, where two block-houses have already been constructed; that this is two miles and a half long, and a mile wide; and that the elevation of the shore greatly facilitates its defence by fortifications to be thrown up on the most convenient points.
Governor Simcoe intends to make York the centre of the naval force on Lake Ontario. Only four gun-boats are, at present, on this lake; two of which are constantly employed in transporting merchandize; the other two, which alone are fit to carry troops and guns, and have oars and sails, are lying under shelter until an occasion occurs to convert them to their intended purpose. It is the Governor's intention to build ten similar gun-boats on Lake Ontario, and ten on Lake Erie. The ship-carpenters, who construct them, reside in the United States, and return home every winter.
There have not been more than twelve houses hitherto built in York. They stand on the bay near the River Dun. The inhabitants do not possess the fairest character. One of them is the noted BATY, the leader of the German families, who, according to the assertion of Captain Williamson, were decoyed away by the English, to injure and obstruct the prosperity of his settlement.
Notwithstanding the navigation of this river, there is a portage of thirty miles between York and Lake Simcoe, by which the merchandize, that comes from Lake Huron, might reach that place in a straighter line. The barracks, which are occupied by the Governor's regiment, stand on the road, two miles from the town, and near the lake; desertion, I am told, is very frequent among the soldiers.
In a circumference of one hundred and fifty miles the Indians are the only neighbours of York. They belong to the tribe of the Missassogas.

The friends of Kingston further allege... that York is an unhealthy place, and will long remain so, from the nature of the ground, which separates the bay from the lake.
Dupetitthouars, who is a zealous partizan of York, as far as he considers it in the light of an establishment for the navy, cannot help allowing, that it has the air of being an unhealthy place. General Simcoe apparently possesses the love and confidence of all the inhabitants and soldiers. But his projects are deemed too extensive; and, above all, too costly, in proportion to the advantages, which England is likely to reap from their being carried into effect.