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Alvøen is one of the oldest industrial places in Norway. As early as the 1620s a gunpowder mill was built here. The place itself was well situated for industrial activity, lying only 100 m from the waterfall, which provided power for the mill, and a good harbour wherefrom the products were shipped. The success of the gun-powder mill varied in the 1600s and 1700s, but what made Alvøen best known was its paper production.
Close to the tunnel opening at Amalie Skrams vei in Ssandviken, there is a cultural monument of European dimensions; a rope making works that produced rope and fishing tackle for West and North Norway.
Today the name “Verftet” is linked to both a district and conglomeration of buildings lying protected by Fredriksberg castle. The original shipyard was founded in the 1780s by Georg Brunchorst and Georg Vedeler. It was called Gerogenes Verft (the shipyards of the Georgs), and here ships were both built and repaired in the years after 1786.