$85 million resort OK'd on Chehalis Reservation

GRAND MOUND, Thurston County — The federal government has approved tribal leaders' plans to build an $85 million resort south of Olympia near Interstate 5.

The Confederated Tribes of the Chehalis Reservation want to build a four-story, 300-room resort at the 43-acre site designated federal trust land by the Bureau of Indian Affairs.

The designation Friday gives the tribes jurisdiction over the property instead of Thurston County, said Jeff Warnke, a spokesman for the tribes.

It also clears the way for the tribes to finalize negotiations for construction of Great Wolf Lodge, which would include a 50,000-square-foot indoor water park, 30,000-square-foot conference center, family restaurants, an arcade, gift shop, spa, fitness center and outdoor recreation area.

The Chehalis Tribes currently operate Lucky Eagle Casino and Eagles Landing Hotel, both in Rochester, Thurston County, as well as two construction companies and two convenience stores.

They have partnered with Wisconsin-based Great Wolf Resorts to build the lodge, which would be the largest project the Chehalis have undertaken, Warnke said.

The two parties expect to conclude negotiations by the end of the month and begin work in September for a late 2007 opening, Warnke said.

Great Wolf Resorts, based in Madison, Wis., said it has five similar resorts in the Midwest and is planning four more in Pennsylvania, Ohio, Wisconsin and Ontario.

The majority of the lodge in Grand Mound would be financed through bank loans.

It could employ up to 450 seasonal and full-time workers. Combined with the 534 employees who already work for the Chehalis Tribes' Lucky Eagle Casino, it would make the Chehalis the fourth-largest employer in the county, ahead of Capital Medical Center and the Tumwater School District, according to the Thurston County Economic Development Council.

The new resort could become a "southern gateway" for the county, said Michael Cade, executive director for Thurston County Economic Development Council.

"It's a significant development for the county and the Grand Mound area," he said. "It will serve as an attractor for capital and other types of investments."