Katofsky discusses Sugar Loaf wine, Brownfield plan, green energy with Leelanau officials

Photo: Jeff Katofsky visited Sugar Loaf last October and beheld the pristine views of Leelanau County.

Skiing option “still on table” but with fewer than five lifts

By Jacob Wheeler

Sun editor

Sugar Loaf owner Jeff Katofsky held a long-awaited, 60-minute conference phone call on April 3 with Leelanau County administrator Chet Janik, County Commissioner for Leland and Centerville Townships, Patricia Soutas-Little, and several other county and township officials. Katofsky updated them on his plans for the resort which has been closed since 2000.

He also postponed a public open house in Leelanau until “sometime in late spring or early summer,” according to Soutas-Little. The public session won’t happen until Katofsky has resolved key questions such as whether Sugar Loaf will ever host downhill skiing again.

“It’s not a question of if he’s coming, but when,” said Janik. “He doesn’t want to come here and just give general terms or say something that he’s not able to make happen.”

The California realtor, lawyer and minor league baseball team owner is also busy renovating and reopening the St. Clair Inn and adding several other projects in southeast Michigan.

Janik said that Katofsky has talked with both the Marriott and Hilton hotel chains about Sugar Loaf carrying their name. Janik and Soutas-Little told the Glen Arbor Sun they believe that Katofsky has financing in place for developing Sugar Loaf, but they don’t know who those financiers are, nor have they asked.

Once the project breaks ground, Janik expects the resort’s development to take two years.

Katofsky hopes to employ more than 300 workers at Sugar Loaf and include workforce housing.

He released the following statement through the Leelanau County officials:

“For the past six months, our team has been working on concepts, mapping, feasibility, government programs, utility plans, financing, and other things needed to move forward. It is a very complicated project and we are, at least internally, taking an aggressive approach. The following are some highlights that I am willing to disclose publicly at this point. As a reminder, I do not intend to release information until I am absolutely sure we can completely accomplish what we say.”

• “Skiing: still on the table.It is not financially feasible with five lifts. We are looking at smaller skiing alternatives in order to try to keep some form of skiing on site. No promises either way.”

Janik and Soutas-Little said that Katofsky may consider downhill skiing with fewer than five chairlifts. “He’s open to a mini version,” said Janik. “But it’s not gonna be what it was.”

“He was kind of not gonna do this,” added Soutas-Little. “But everybody’s been talking to him (about skiing). He’s exploring what’s feasible for him to do. That might be cross-country, it might be rope tows, it might be a lift …”

Katofsky has also spoken to local entrepreneurs of other sports such as Bike Leelanau cofounder Cody Sprattmoran, who pitched him the idea of a “Sugar Loaf Mountain Bike Park”.

• “Wine: We have begun clearing approximately 10 acres of land for the planting of grapes. In conjunction with Harbor Hill Fruit Farms, Inc., we plan on clearing this year and planting in 2020.”

Harbor Hill is co-owned by Sam Simpson, whose wine is featured at Good Harbor Vineyards and Aurora Cellars. Grapes will be planted at two locations at Sugar Loaf and will require three years to cultivate and ferment.

• “Existing hotel: Between the years of neglect, dilapidation and the extreme vandalism, we expect to take down the existing building. We are looking at a Brownfield plan to accomplish this and to reuse the debris for roads and infrastructure.”

Katofsky visited Sugar Loaf last October and was disappointed at the condition of the lodge. His mood improved considerably once he hiked to the top of the hill and enjoyed the views. He told Janik and Soutas-Little he is 95 percent certain the existing building must come down.

• “Utilities: We are discussing waste utilities and infrastructure with the Department of Agriculture in order to bring a unified plan to local government. As with the St. Clair Inn and other St. Clair County projects, green alternatives to replace aging infrastructure are planned for Sugarloaf. Meetings with utility and governmental agencies are planned to explore green options.”

Katofsky will quietly visit Leelanau County in a non-public capacity sometime this spring to speak with representatives from Consumers Energy, DTE and the Michigan Department of Transportation to discuss the feasibility of green alternatives, Janik and Soutas-Little said. They added that Katofsky is considering a geothermal option.

• “Airfield: We are working on clearance from the FAA (Federal Aviation Administration) to take the airstrip off line as we have some other alternative plans for that section of the property. Barriers soon will be places as a reminder that the airstrip is no longer useable.”

Janik and Soutas-Little didn’t discuss what Katofsky has in mind to replace the airstrip.

• “Site preparation: On March 4, we began the process to remove three underground storage tanks on the Sugarloaf property to allow assessment of the soil beneath the tanks. This work is being done through US EPA (Environmental Protection Agency) grant funds with the help of the Leelanau Brownfield Redevelopment Authority.”

• “Forest Health: the District Forester for the Leelanau, Grand Traverse and Benzie Conservation Districts was awarded a grant to document the presence of the Invasive Species Network Hemlock Woolly Adelgid (HWA). Sugarloaf is a priority site for the survey because of its ecological value and proximity to the lakeshore. On February 26 the study was conducted. While no HWA infestation was found, we received recommendations for maintaining the forest in good health.”

Kama Ross is the Forestry Assistance Program Forester for the Conservation Districts.

“We continue to work diligently to create a destination that will revitalize the community, surrounding area and bring back to life one of the most fantastic sites in the region,” Katofsky concluded his written statement. “A public forum will be announced once we move closer to a more formal announceable vision for this site.”

Correction: Harbor Hill Fruit Farms is co-owned by Sam and Taylor Simpson. The story initially identified Sam as the sole owner. We regret the error.