How about this for your next vacation? Leading-edge architecture, hotel rooms that start at $1,800 a night, a marine museum and a tour of a century-old fishing enterprise. And you don’t even have to cross an international border.

It’s all to be had on Fogo Island, a rocky, treeless speck on Newfoundland and Labrador’s northeast coast. Whereas the island once was headed for the dire fate of many other local outports stranded by the collapse of the cod fishery, Fogo attracted a record number of tourists this past summer, together with nearby Twillingate.

Many similarly isolated islands had been vacated by the early 1990s, and hundreds more communities still face extinction as their young people depart in droves for sunnier economic climes.

But the villages that comprise Fogo Island are refusing to die, and this year the local economy is showing signs that the island is worthy of its name, which is derived from the Portuguese term for “Isle of Fire.” Thanks to community co-operation, entrepreneurial innovation and assistance by governments, Fogo Island is setting a unique course for success.

Many tourists come to Fogo to experience the rich ecology, culture and history of the area, with attractions such as the Fogo Island Marine Interpretation Centre and the Dwyer Premises in Tilting, the latter of which is an award-winning restoration of a century-old fishing enterprise. But historical buildings are not the only draw for visitors, and it is the melding of business and the arts that is largely responsible for creating new interest in Fogo Island.

In 2010, when retired high-tech entrepreneur and Fogo native Zita Cobb started an ambitious arts program on Fogo, many people were skeptical about its prospects. But only a few years after the first, wildly forward-looking building went up, it is attracting international attention. When fully operational, Cobb’s group, the Shorefast Foundation, will provide artist studios, heritage houses for visiting artists, a gallery and project spaces. According to Shorefast, more than 60 filmmakers, writers, artists and curators will participate in residencies each year, and Shorefast expects to attract 5,000 people to its public programs.

But Cobb has even bigger plans for Fogo as construction winds down on the building of an exclusive, luxury inn in her hometown of Joe Batt’s Arm. Using $10 million of Cobb’s money and $5 million from both the federal and provincial governments, the inn will feature 29 rooms: rates will probably range from $1,800 to $5,000 a night.

There also are attractions for those of more modest means, as Fogo offers several scenic walking trails that lead to resettled villages with names such as Lion’s Den and Eastern Tickle. Other hiking trails feature profusions of wildflowers and caribou.

In recent years, even the fishery has improved on Fogo. The fish-processing plant, run by the Fogo Island Co-operative, has adapted and thrived despite losing cod as its mainstay. Today, the co-op sells shrimp, crab, sea cucumber and other species to buyers in North America and Asia.

The spirit of co-operation is responsible for keeping Fogo alive through the hard times. Now, as the community invites visitors from around the world, this philosophy of sharing is beginning to pay dividends to those who live there.

© 2012 Investment Executive. All rights reserved.