The future of the former Bay Club restaurant on Clearwater Lake is uncertain, as two potential buyers with entirely different intentions are angling to acquire the property.
On one hand, Mark Lease of Litchfield, who has owned a cabin on Clearwater Lake for 20 years along with his brother Mike, is hoping to restart the restaurant as a private businesses – continuing a restaurant tradition at that location that may have begun in 1960 when the Turtle Bay Club opened.
On the other hand, the Minnesota Department of Natural Resources sees in the vacant property a natural opportunity to expand what it says is insufficient parking for trucks and boat trailers at the Bob’s Bay landing.
"Currently at the Bob’s Bay access we’re limited with space," said Tim Edgeton of the DNR. "That currently serves 18 truck-trailer parking spots. With 3,700 acres of lake, it’s just not meeting the demand that is there."
Mark Lease said the property is worth more as a job-creating, business tax-paying operation, and continuing the Clearwater Lake dining spot tradition alone holds value.
"You just don’t see these little hole-in-the-wall, unique destination restaurants much anymore," he said. "To lose that to a parking lot is a crying shame, in our opinion."
Support and opposition
Both sides have at one time or another had arrangements in place to purchase the property.
Lease said he had an offer on the table and was set to close on the property Aug. 1.
A few days before that date, however, he said he was contacted by Stearns County and informed that because the restaurant had been closed for over a year and a half, it had lost the conditional use permit that had allowed it to operate as a business in a lakeshore residential area.
To address that issue, property owner Danen Shiek applied to the county to have the 1.16-acre property rezoned as a commercial site.
The Stearns County Planning Commission held a public hearing on that request on Thursday, Sept. 18, but decided to continue the hearing next month rather than rendering a decision after considering the testimony received.
Lease said there were 24 or more letters of recommendation sent to the county in support of the rezoning to allow the restaurant, that a number of neighbors and other interested parties attended the meeting, and that a petition with over 200 signatures from neighbors and others was presented.
One individual, Steve Abbey of Clearwater, requested that the planning commission deny the rezoning request and presented a letter from a St. Cloud-based attorney to that effect. The argument against the rezoning included in the letter said that "spot zoning" was bad public policy, and that the primary objection was environmental.
The letter pointed out that structure setback requirements of at least 100 feet are in place at recreational lakes, but the Bay Club building is less than 15 feet from the bay in some areas. It also argued that it was unclear whether the septic treatment system conforms to setback requirements.
Finally, the letter contended that, according to county ordinance, a property with a conditional use permit that goes unused for more than a year must be removed or modified to comply.
"For the sake of protecting the environment, and maintaining consistency in the enforcement of its ordinances, the county must now refuse this re-zoning request and order the demolition of this non-conforming structure," wrote attorney Andrew Hultgren.
"This is an old restaurant that was built too close to the lakeshore at a time when regulations to protect our shorelands and waterways did not exist. Now that this restaurant has ceased operating for more than a year, it would be a grave mistake to allow it to re-open again. The Planning Commission should seize this opportunity to enforce its zoning ordinances."
DNR purchase agreement
With the Lease’s ability to operate the property as a restaurant in flux, the DNR has arranged a purchase agreement for the property with a 60-day period.
Mike Schmitt, the realtor aiding the Leases, explained that the Leases’ offer was cancelled to make way for the DNR sale with the understanding that if rezoning occurs and a sale can close before the DNR buys the land, the seller would work with the Leases.
"It has been a bit of a race to see whether the DNR can get their act together and close on this or if we can get this zoned commercial and hopefully closed," said Lease.
Because of those time constraints, Lease was disappointed that the planning commission did not make a formal recommendation to the county board after last week’s meeting.
Angie Berg, land use division supervisor for Stearns County, said additional information was needed.
"The planning commission felt, in light of the letter that was submitted, that there were some things that the department should talk to the county attorney’s office about," she said in explaining the extension.
"It’s not atypical for items to be continued … Sometimes we do need to take more time to make sure we’re making a proper decision."
Public opinion valued
Because the planning commission’s hearing has been continued, public testimony on the matter can still be made to Stearns County until Thursday, Oct. 16.
In addition, Edgeton said the DNR will be posting information on a public comment period regarding its plans for the site soon. He added that most of the 60-day period remains before closing is possible.
"It just started. We’re very, very early in the process," he said.