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Puerto Montt is a port city and commune in southern Chile, located at the northern end of the Reloncav Sound in the Llanquihue Province, Los Lagos Region, 1,055km to the south of the capital, Santiago. The commune spans an area of 1,673km2 and had a population of 175,938 in 2002. It is bounded by the communes of Puerto Varas to the north, Cocham to the east and southeast, Calbuco to the southwest and Maulln and Los Muermos to the west. Founded as late as 1853 during the German colonization of southern Chile, Puerto Montt soon outgrew older neighboring cities due to its strategic position at the southern end of the Chilean Central Valley being a gateway city into Chiloe Archipelago, Llanquihue and Nahuel Huapi lakes and Western Patagonia.