Past & Future—Excelsior Bay Hotel

HotelsExcelsior

Sep 15

Local history enthusiasts look to downtown Excelsior as the gold standard of historical preservation among Lake Minnetonka communities. They’re right in doing so, as the city council has worked diligently to maintain as many of its historic structures as possible as well as upholding the memory of those which could not be saved. Despite these efforts, one hotel evades much of the public memory — Excelsior Bay Hotel.

Before we dive into the history of the business, let’s first pinpoint where we’re actually standing. If given a hint, you’d almost certainly know where it is so, here’s your hint. . . Pizza Hut. That’s right, the now vacant lot at 326 Lake Street was once home to the first hotel in Excelsior and to one of the founding pioneers of Excelsior. Now that we recognize the location, let’s talk about the history of this place!

George Galpin, brother of Reverend Charles Galpin, settled Excelsior in 1854 and chose a rolling hill overlooking the bay as his homesite. Here he constructed a log cottage and named it, simply, the Galpin House. After making two unsuccessful attempts to sell the property, Galpin would expand the hotel in 1867, only to have his efforts totally lost in an 1870 fire. Down but not out, Galpin built a new hotel on the site and named it Excelsior House. The new 50 room hotel was 46 feet wide by 135 feet long, three stories tall, and featured expansive verandas with sweeping lake views. The hotel also supplied its patrons with fishing tackle, rowboats, and shower baths. For $1 per day or $4 per week, guests could enjoy the newest, largest, and most modern hotel on Minnetonka. By 1876, the hotel boasted a capacity of 100 people at $2.50 per day.

By the mid 1880’s, ownership of the Excelsior House had transferred to Mrs. H.F. Wait, who expanded the building to a capacity of 150 patrons. Unfortunately, the improvements weren’t meant to last. On New Year’s Day, following a party the night prior, the hotel was destroyed by fire — making it the second hotel to burn on the site.

From there, the charred property was sold to Dr. George La Paul, who would construct a new hotel titled La Paul House. Like the Excelsior House before it, La Paul’s hotel was three stories tall and featured boiler heating rather than the prior’s wood heating. The distinct difference between them was that the property was no longer directly abutting Excelsior Bay, having been divided along Lake Street. As the 1880’s dawned, tourism to the lake continued to grow due, in large part, to its popularity among wealthy southerners. La Paul wanted to attract their business, so built four cottages beside the hotel to house the African American servants that were brought with them. He also hired Black waiters to help the hotel’s reputation as being comfortable and hospitable to southern norms.

Excelsior House depicted just left of the water tower, behind the Blue Line roller rink — Minnetonka Minute Collection

Business continued to be a tremendous success through the remainder of the 19th century and, in 1918, the hotel sold to the Goodrich family. Just two years later, the property changed hands again and was renamed Excelsior Bay Hotel. Just eight years later, on December 5, 1928, an overworked furnace lit the old hotel aflame. Before firefighters could properly respond, the hotel was partially destroyed and declared a total loss — now the third to burn on the site.

Demolition of Pizza Hut building — *Laker Pioneer,* 05/31/2010

In an effort to create a more accommodating landscape for the town, the rolling hill that defined the property was razed and flattened to match the grade of Water Street. The property saw mixed use throughout the 1900’s and was most recently the site of Pizza Hut. The chain establishment opened its doors in 1978 and closed in 2008 after its 30 year lease was non-renewed. With its departure, the town lost what many considered to be a key Excelsior establishment. In 2010, the vacant building was demolished and has sat undeveloped in the 16 years since. Though, it’s worth mentioning that it’s not vacant for lack of trying.

There’s much discussion and debate surrounding this property as developers have repeatedly attempted to reimagine the site. Most recently, in August, 2026, an agreement was reached between the City of Excelsior and developer Mithun Companies to perform a partial demolition to the neighboring Dock Cinema theater and construct a three story mixed use building on both properties. This new building would be some 32 feet tall and include 43 apartments, a ground level commercial area, and underground parking.

Fortunately, unlike the enterprises of yesteryear, adequate fire prevention is much more commonplace and effective. Hopefully the coming development can break the fiery trends of this property’s past!