((Left) Photo courtesy of Elk Lake Resort (Right) Photo courtesy of Deschutes County Historical Society)
After nearly five years on the market, the much-loved local hot spot for summer and winter festivities, Elk Lake Resort, has been sold to a group of local families.
With a property as unique as Elk Lake Resort, the process of finding the correct buyer was an understandably lengthy one. Jay Lyons, Compass Commercial partner and principal broker, represented the buyers, while Brian Fratzke, principal broker and founder of Fratzke Commercial Real Estate, represented the sellers.
The previous owners were a duo named Pat and Wendy, who first acquired the resort in 2013. Brian reports that by 2019, the couple’s kids were out of college, and they felt like it was time to move on, spurring them to come to Brian that same year. By August of 2020, the resort was officially on the market.
Brian spoke about two main challenges in finding the right buyer; making sure the new owners understood the notion that owning the resort also meant operating/managing the resort, as well as finding a buyer who could work with the fact that the sale was not fee simple; in other words, the sale was of the property, but not the land itself, which is owned and managed by the U.S. Forest Service. The resort operates through a special use permit that makes it possible to run a resort on land managed by U.S. Forest Service. In the modern day, it would be next to impossible to create a new resort like Elk Lake Resort because of this.
Brian said that, over the years the resort was on the market, a lot of potential buyers lost interest when they realized that owning the resort also meant operating the resort. In addition, he learned that he had to take the resort off the market for certain colder months because many potential buyers did not understand that the resort was nigh-inaccessible during those months; and very few potential buyers were willing to choose between skis and snowmobiles to tour the property.
A typical commercial or residential sale is fee simple, meaning that the buyer owns the land itself. Elk Lake Resort does not operate that way, which means that a bank would not be able to encumber the property, making banks less willing to give out loans for this property.
Still, the right buyers were found, and the sale has gone through. The local families have history in the community and passion for Elk Lake Resort, where they themselves have made many memories.
Ken Natoli, a new owner and the assistant general manager at the resort, spoke about the history of the land, and his own history with the resort. “People started visiting Elk Lake in the early 1900’s primarily for hunting and fishing, when the first structures were tent platforms for the fishermen. Personally, I’ve been working up at the lake for close to thirty years. The first time there was summer of ‘96. For me this is a chance to ensure the quality of the water and land for generations to come.”
Any local will know that the winters up in the Cascade Lakes can be harsh. For structures as dated as the current ones standing at Elk Lake, this meant constant repairs and maintenance to get ready for the packed summer season. This year, the process will include many upgrades to modernize the resort, while keeping things nostalgic for guests. “Almost every aspect of the resort must be refurbished,” said Natoli. “We plan to upgrade the lodge, restore the original cabins, install new appliances and fixtures, upgrade the bedding and furniture, provide more comprehensive Wi-Fi coverage and so much more. It’s so much more than just upgrading, replacing, and restoring, but also maintaining the resort at really high standards. I love looking at some of the original photos of the lodge and I am most excited about restoring the original lodge, modernizing it, and making it the pillar of the resort.”
The new renovations are intended to revive the spirit and historical charm of Elk Lake; new guests will fall in love with the resort, and long-time visitors will still be elated to see the features they fell in love with years ago brought to a new light. “It’s a continuation for me,” said Natoli. “I’ve spent so much time up there building and restoring old cabins and everyone is really excited to see what we do to this place. It’s a huge honor for me to do this for the community.”
General Manager and one of the new owners, Michael Weeks, spoke about his passion for the resort, and his motivation to stay true to the community. “My best friend and mentor, Eddy Miller, passed in 2009. It was Eddy who first introduced me to Elk Lake in 1997 when I was helping him work on a cabin at the lake. Eddy was an avid outdoorsman and expert fisherman. He taught me so many lessons that only a true steward of this land could have taught. I owe it all to Eddy to pass on that wisdom and share his genuine love of nature. Eddy lives on in Bend at the standing wave, and I know he’ll be paddleboarding with us on the lake.”
It goes without saying that Elk Lake Resort holds a special place in the heart of our community. Bendites can rest easy knowing that their beloved spot is in the hands of locals who love Elk Lake and will treat it with the respect it deserves.
