Luxury Real Estate Company Unveils ‘Flathead Lake Club’ Proposal in Lakeside at First Public Hearing

The Flathead County Planning Board last night unanimously voted to table a recommendation for a private golf club proposal that would include a 359 single-family home subdivision on 1,700 acres west of U.S. Highway 93 in Lakeside called the “Flathead Lake Club.”

Planning board members cited new information that had not yet been reviewed before the meeting and complications surrounding water rights, which the developer does not currently have, as primary reasons for the decision.

The proposal will be revisited at the next planning board meeting on Aug. 13.

According to the staff report, the property is also planned to have “amenity lots” serving residents that would include restaurants, clubhouses, a spa, fitness areas, offices, retail stores and maintenance facilities along with open space totaling 864 acres.

The applicants say only 20% of the acreage would be developed while 80% would remain open space.

Submitted under the applicant name “Flathead Friends, LLC,” the development is proposed by Discovery Land Company, which has a large portfolio of private clubs around the world. The company already developed three private clubs in Montana including Crazy Mountain Ranch in Shields Valley, Iron Horse Golf Club in Whitefish and the Yellowstone Club in Big Sky.  

A private marina would also be included for Flathead Lake Club members, according to Discovery’s website.

According to county planners, the development complies with the neighborhood plan and the proposal follows an “acceptable density.”

During the applicant’s presentation, Craig Schaeffer of 406 Engineering reminded board members of a planned development on the same property in 2007 bordering the existing Eagles Crest subdivision that never materialized, which received approval for 854 lots at the time. The plat was reconfirmed in 2010 when the Lakeside Neighborhood Plan was approved.

“That brings us to today – 15 years later,” Schaeffer said. “We have our land grant here, which is similar in terms of where the cluster density is and the uses of the land, however, our density is a 359-unit density across 1,700 acres or one for every 4.7 acres – so that’s roughly 50% of the density that should be allowed.”

Prior to the public hearing, a variety of agencies submitted comment on the proposal, with some organizations concerned about the impact the development would have on wildlife habitat, water quality, wildfire risk and traffic congestion.

“A wildfire mitigation plan will be implemented over the next couple of years,” said Jeremy Pfile, the Discovery Land Company Vice President of Development. “We will have resources on our property as well. We discussed internally and made a decision to have an onsite 24/7 fire and EMT substation that would service not only our property but the surrounding properties as well.”

Following the completion of each of the project’s five phases, the Lakeside Water and Sewer District would serve the property, which has raised concerns from the Flathead Conservation District (FCD) and other members of the public. The district has been working to upgrade its facility to meet the demand, but litigation has led to complications in recent months.

“FCD emphasizes the need to prioritize responsible development and sustainable growth in the region,” the public comment states. “The Lakeside Sewer and Water District’s treatment capacity needs to be upgraded to accommodate projects such as the Flathead Lake Club. FCD has noted concerns regarding the Lakeside Sewer and Water District’s capacity and treatment quality and the consequences of the system failing.”

This spring, the Confederated Salish and Kootenai Tribes (CSKT) and Citizens for a Better Flathead sued the Montana Department of Environmental Quality (DEQ) for issuing a wastewater discharge permit that they argue does not comply with water quality regulations.

“There are still major questions regarding Lakeside’s available capacity and their ability to adequately increase water to protect those surrounding surface water, groundwaters and Flathead Lake,” said Jennifer Tipton, Board Chair of the Upper North Shore Water Alliance, said. “Additionally, independent scientists argue that the methods used to analyze the effects of their newly issued groundwater discharge permit were incorrect and that it will, in fact, pollute the area’s groundwater and surface waters.”

But developers were unfazed by the lawsuit and said the sewer lines would be designed to fit the district’s and DEQ’s standards.

A road easement with Legacy Bike Park, which lies to the south, has also raised concern with the park’s owners because their access road runs through the proposed development property.

“Legacy Bike Park – as some of you know – their access to our property is through our property,” Pfile said. “We have made a decision to relocate Bike Park Road to the southern border and build that Bike Park Road as a subdivision design standard with paving as well, which is above and beyond what they currently have to get access to.”

Legacy Bike Park co-owner Marty Beale said during public comment that while he was not there to judge whether the club will fit into the community, he wanted to ensure the easement relocation did not impact operations.

Traffic congestion and safety was also a primary concern of members of the public, especially during the summer months when U.S. Highway 93 in Lakeside is a hot spot of car accidents.

“Lakeside as it sits today is not prepared for this influx of new people,” said Lakeside resident Kirk Kleinen.

A traffic impact study concluded that a right-turn lane would not be warranted by Montana Department of Transportation (MDT), but developers would attempt to install one at the Bike Park Road intersection with U.S. Highway 93.

Nate Larson of 406 Traffic and Transportation Consulting said that while the subdivision’s residents would generate more traffic, the impact would not be significant due to the seasonality of the club.

“The big difference is that second homes don’t usually contain a lot of commuters,” Larson said.

Despite opposition from many Lakeside residents, developers described a variety of capital improvement benefits, which would include developer-funded highway upgrades, creation of jobs, additional fire safety and the significant tax revenue it would generate.

“That’s a huge financing mechanism for Flathead County and their public services and improving the regional infrastructure,” Pfile said. “That’s $8 million annually in perpetuity.”

Pfile says the school district would receive millions of additional dollars in funding without increasing the student population.

“We think that this product is a big economic driver to help a long-term benefit,” Pfile said.

David Fetveit, a real estate broker and the Lakeside-Somers Chamber of Commerce president, was one of a handful of supporters of the project. Representing 120 small businesses, he applauded the proposal and said developers were “exceeding most of the standards.”

“I almost feel like we’ve been handed a gift and chance of a do-over,” Fetveit said.

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