
Grainwood Hotel. Photo: Kathy Dawson
The Grainwood Hotel opened May 15, 1879, on the shore of Prior Lake with a grand ball for distinguished guests from all over the state. At first, it was a resort for well-to-do Southerners (especially from
St. Louis), who came by way of the Hastings Dakota Railroad. The Grainwood had its own railroad station and water tower. In 1894, the Grainwood House burned down but was immediately built bigger and better than the first one. It offered hotel accommodations for 100 guests with 24 cottage facilities, as well. For 40 years, it was one of the finest resorts in Minnesota. Grainwood Hotel declined in status after 1920 when northern resorts offered better prospects to summer travelers. It never regained its importance, and on April 8, 1930, it burned to the ground. It was the only hotel ever built on Prior Lake.
Kathy Dawson is Prior Lake’s unofficial historian.