In the 17th and 18th centuries prolonged warfare and a series of natural disasters severely damaged the town. It was severely depopulated and in 1872 the government of the newly formed German state abolished the city rights granted to Hel six centuries previously. After that the village of Hela (as it is called in German) lost much of its significance.
The period of decline was halted in 1893 when a fishing harbour was built in the village. It provided a shelter for fishing vessels, but also became a popular destination for weekend trips of the inhabitants of Danzig and Zoppot. In 1896 the village was granted the status of a sea-side resort.
As a result of World War I and the Treaty of Versailles Poland was re-established as an independent nation, Hel became part of Poland. In 1921 a new railway was built along the peninsula connecting the town to the mainland. The authorities of the Pomeranian Voivodeship also
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