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Lakeshore Properties

As you drive north of Brainerd on Highway 371 and take a right on County Road 107, you may want to keep going straight ahead on Wilderness Road. If you do, you will quickly feel like you’ve stepped back a few years into a more relaxed time. You’ll start driving much slower as you look to your right and left at the towering old -growth forest. Then you’ll notice that the road continues to get darker, and as you look skyward you’ll find out that it is because the trees are creating a canopy over the road (no wide ditches here!). The tension and stress that you may have experienced during your work week begins to melt away and it seems as if you have entered an enchanted forest. As you work your way around the north side of Lower and Middle Cullen Lakes, the road eventually ends at a collection of quaint, humble cabins sitting right at the water’s edge along with beautiful, yet rustic log Villas surrounded by towering white pines that appear to touch the heavens. The tranquil, blue waters of Middle Cullen seem to call out, “Come on in, cool down, relax.”  It feels like you are in a dream. It also feels like you’ve found home.

This is The Wilderness, the newest project spearheaded by Tom Steffens and his company, Lakeshore Properties. Steffens has been building the Up-North dream for more than a decade. A Twin-Cities attorney for twenty-five years, Steffens began getting his feet wet in real estate development while he was still practicing law. After taking part in the development of some suburban communities, Steffens realized that what he really loved most about his home state of Minnesota was the woods and water up north. He still says today that he likes the laid-back environment of the Northwoods. Wanting a way to be in that atmosphere and to share it with others, Steffens began by pouring his energies into creating a small, eleven unit resort project on Gull Lake. The next project was a fourteen unit villa community on Reno Lake between Alexandria and Glenwood, now known as Lake Reno Villas.  Another project on Gull Lake followed. Currently Steffens and his company are working on two major developments. One is a single family, year round residential community near Alexandria on Lake Mary.The other is the Wilderness Resort.

Lakeshore Properties specializes in purchasing resort waterfront properties and converting them into beautiful town home communities.  Thus far, they have focused on producing detached town homes, because a single-dwelling building is still representative of most folks’ idea of  being “at the lake.”  Some of the projects have been residential communities, while others offer more of a resort flavor. One unique characteristic all of the properties share is that they are built to show off that classic Minnesota log-cabin look. Every residential unit boasts a log, or log-and-stone exterior. Sometimes Lakeshore Properties is involved in renovating an old resort. In such cases, some of the remodeled units retain that log-cabin feel on the inside too, although they are updated with current amenities. The new units generally offer a more modern feel interior with drywall, however the cabin atmosphere is preserved in the trim and extras.

Steffens and his company have been working exclusively with builder Ted Justice, and Justice Construction Company. Their long-term relationship and mutual understanding have made it possible for the quality of both renovation and new construction to be kept at an unbelievably high level.  Recent sales have proven that units developed by Steffens and built by Justice are among the most highly desirable in the entire Central lakes area. Even in a lean economy, they have not lost their value.

If we take a closer look at these properties, we’ll begin to understand why they are so valued. The Wilderness resort is one of the projects Steffens is most excited about right now. For years to come, it looks to be the flagship resort in Lakeshore Properties’ impressive array of Up-North projects. “When it’s complete, I think it will be one of the finest resort properties in the Brainerd area,” says Steffens.  “It won’t be huge, but it will be deluxe quality, very nice, environmentally friendly, a great addition to the Brainerd lakes area.”

The heart of the Wilderness is the 2400 feet of prime lakeshore, thirty five acres of stunning land, and the log cabin homes of the owners. All of this is situated on the chain of Upper, Lower, and Middle Cullen Lakes, boasting up to fifteen feet of water clarity and fantastic fishing for Bass, Northern, Walleye, and Panfish. But in addition to the homes, a central Lodge and a Wellness Center are being constructed. The lodge, when complete, will include 3500 square feet. The area will be devoted to a lounge where food and drink are available. There will also be a business center, a private kitchen and dining area available by reservation; a lobby and reception area with resort offices, a central stone fireplace, flat screen televisions, along with games and other such diversions for rainy or snowy days.  The lodge will connect via a spacious deck (lined with log railings) to the Wellness Center. The Wellness Center will include a pool, spa, fitness room, and sauna. The Wilderness will include forty boat slips (a stunning number when you realize there are only 45 homes on the property) and a boat launch, as well as a beautiful sandy beach. In other words, at the Wilderness, the cabin up north comes with all your modern resort amenities.

Forty-five lots on the thirty-five acres will be developed, each with its own log villa. These villas include the utmost in luxury and extras. While the exterior walls and trim of each one is in the log-cabin style, the interior includes drywall, which is easier on forest-resources, and much easier to redecorate. Of course, log cabin exteriors are notorious for requiring a fair amount of maintenance.  However, the units at the Wilderness will be maintained by the resort association. Owners don’t even have to mow their own lawns, let alone re-stain the log siding.

Some of the existing cabins from the old resort have already been updated and remodeled. Situated under lovely mature pine and hardwood trees, these units are the epitome of the old family cabin at the lake – only they aren’t “old” and the maintenance is done by someone else. All of the amenities of the resort are included with these homes. And although they do not sit at the lakeside, these particular units are outrageously affordable, starting at $149,000.

The newer lots and homes, particularly at the lakeside, are of course priced more to reflect the lake-shore market. However, even these are not necessarily out of reach. When the villa is not in use, the owner of the home rents the unit back to the resort. As an owner, sixty-five percent of the rental income is returned to your pocket, while 35% goes to the resort. The income is a way to defray the cost of owning that cabin Up North. Lakeshore Properties has experience doing this, and their rental clients are high-quality. There has never been a problem with renters ruining things for owners.

Another option is to purchase a one-half, one-quarter or one-eighth share of a unit. A share-owner gets time at the cabin, rental income, and shares in the expenses; all in proportion to his or her share in the property.

Of course, a person could certainly experience the Wilderness by renting a villa or cabin. In fact, while construction is going on, Wilderness has continued to operate as a seasonal resort. Right now, there are twelve seasonal cabins and four new villas available for rent during the 2008 season. Seasonal cabins go for approximately $1,000 per week, while the new town home resort villas are between $2,000 and $2,500 per week. Year-round operations are expected to begin in 2010.  

Development is not the only thing that excites Tom Steffens these days. He has had the opportunity to help other resort operators through consulting. He finds many “mom & pop” resort owners who are having difficulty transitioning their business to the twenty-first century. “Lately I’m excited to have the opportunity to help other resort owners that haven’t been through the experience, to develop their own property, to maximize potential, to survive the growth.” After all, Steffens genuinely loves the “Up North, Lake Country.” His goal is to help as many people as possible experience their Lakeshore Dream.


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