The Resort Association has received many inquiries regarding the future of Bay View Lodge. To help answer the questions, we are reprinting the following article which appeared in one of our local newspapers, “The Timberjay”, this week:
“The likelihood of Bay View Lodge reopening as a resort/restaurant is not very good. Jim Ertz, from Dennis Frandsen and Company (the same group that owns Queen City Federal) spoke at the Greenwood Town Board meeting, Tuesday, to discuss various options for the sale of the property, which is now owned by the bank. The property has been appraised at between $1.8 and $1.9 million, but Ertz said the bank is looking to get about $1.2 million in a sale.
‘It just doesn’t seem like it is financially feasible to operate the property as a resort,’ he told the board. He noted the resort had not been kept up over the past few years, and that the kitchen does not meet county code, and would require significant upgrades to reopen.
The property consists of about 14 acres on 650 feet of shoreline. Ertz said they have been showing the property, and will continue trying to sell it as-is for a couple of months. But at some point, he said, they might consider removing all the buildings from the site and dividing the land into lots.
Ertz said there is grant money available from Iron Range Resources to help pay half the costs of demolition, but such a grant would have to be applied for through the township. Ertz said another possibility would be having the fire department burn the structures as a training exercise.
Greenwood Planning Director John Ziegler noted that the property is currently zoned as a resort, and this would allow for renovation and even expansion of the current cabins. But if the buildings are torn down, he said, any new construction would have to meet the requirements of the Lake Vermilion Plan zoning. Zeigler estimated that the property could be divided into three lots under current zoning, and perhaps four or five if a cluster mound system was constructed. Ziegler also noted that if the dock portion of the shoreline was maintained as a joint access, the backlots could be sold with guaranteed lake access, thus adding to their value.
Frandsen Financial also owns land at Moccasin Point and on Oak Narrows.
‘We know this market will come back and stabilize,’ Ertz said, ‘We just don’t know when.’ “