As the old, dilapidated hospital building comes down, Phelps Town Supervisor Jeremy Ryan says it’s hard not reflect on the past.
“It's kind of odd. I think the community overall is very excited, but I think there was a level of sadness too, knowing that at one time that was probably the largest employer, at least in recent time. So, you know, it's tough to see something like that go,” said Ryan.
While some still feel that loss, there’s a lot of energy focused on the site’s future.
The Vilas County Economic Development Corporation and the Town of Phelps have been working together to reimagine what the property that looks over North Twin Lake could be.
They received funding from the Wisconsin Economic Development Corporation’s Thrive Rural Program to hire a consultant for a market site analysis.
VCEDC Executive Director Kathy Schmitz says this was to figure out the best use of the site— what the town needs, what services are needed, and what would help boost the economy.
That analysis showed a clear need for a multi-use commercial development. That could include things like a grocery store, hardware store, a café with maybe a restaurant or affordable housing on top of the complex.
“Whatever we would do, it would be to take the needs of the community in terms of what we heard from them and what they wanted, and then see if we can make that work on this site,” said Schmitz.

Nothing has been finalized.
Ryan says Phelps has a lot of needs that won’t all be solved by this one development.
“You eat an elephant one bite at a time, and we didn't want to try to eat the whole elephant at once. This is, you know, one piece of the broader vision of the town,” said Ryan. “We hope to check a bunch of boxes with this particular development and then continue to move forward into some of the other areas that we know need to be addressed.”
Ryan says it will be very important to focus on what will be sustainable.
He says between this and things like the new $5 million community center, the town is showing people they’re committed to making Phelps a better place.
“We want growth, but we want sustainable and controlled growth. We don't want to be the next Wisconsin Dells, but we want to be Phelps,” said Ryan. “We want to show that whoever is willing to come take a chance in our community, that we're also doing the same thing.”
The VCEDC and Town held a site visited for an architect and are working to get a concept of what it could look like.
Schmitz hopes to have a draft by the end of August which would then go to the town to get their approval. From there it will be working with a developer.
“We have a, we think, a strong case to attract developers to the area. It'll just be a matter of how the town wants to proceed. Do they want to attract a developer, get the commitment to develop and then sell the property? Do some other financial kind of approach, or a legal approach? It's kind of TBD, depending on what the town wants to do,” said VCEDC Board Chair Jim Tuckwell.
Ryan encourages people to attend town meetings and continue to give feedback.
“I want this to be a huge success and really be the springboard to the future of Phelps,” said Ryan. “We can't do this alone, and their input is certainly very important to us.”