School principals lead a variety of changes on a daily basis. This descriptive study focuses on a complex, unique, and challenging change for principals: leading through a school closure process. The qualitative study utilizes the grounded theory methodology (Glaser & Strauss, 2008; Strauss & Corbin, 1990), specifically the constructivist approach to grounded theory (Charmaz, 2006) to explore the question: What insights into leadership do principals gain from leading a school community through a closure process? The data were derived from analysis of interviews conducted with 12 principals who had led through school closures in the past five years in two urban school districts in Alberta. A theory was developed using grounded theory analysis guidelines—coding, concept grouping, and characteristic development. A school closure creates rapid, dramatic change for a community and presents a unique challenge for principals. The theory from this study identifies leadership characteristics that enhance principals’ ability to lead through the unique context of a school closure process. These characteristics include the principal as clarifier of role and responsibilities; emotional barometer; intentional communicator; and navigator through the tensions and paradoxes of leading change. In short, the theory from this study suggests that the context of a school closure creates a unique form of change for principals to lead through. Thus, principals should apply certain leadership characteristics that may enhance their ability to lead effectively through a school closure. This study aims to deepen the knowledge and understanding of principals who are about to lead a school community through a process of school closure. Areas for future research include studying the experiences of rural principals, using a different research methodology, and studying the integration of students from closed schools.