If you’ve ever stepped off the ferry and looked up at that massive, 660-foot front porch, you know the Grand Hotel isn't just a building. It's basically the crown jewel of Michigan. For nearly a century, when people asked who owns the Grand Hotel on Mackinac Island, the answer was easy: the Mussers.
But things changed in a big way recently. Honestly, some locals and long-time guests are still wrapping their heads around it.
In late 2019, the Musser family—who had been the stewards of the "Summer Place" for 86 years—passed the torch. It wasn't a decision they took lightly. Dan Musser III made it clear that finding the right "next" owner was about preserving the vibe of the island, not just selling to the highest bidder.
The Current Owner: Who is KSL Capital Partners?
Right now, the Grand Hotel is owned by KSL Capital Partners, LLC.
They aren't just some random real estate group. They are a private equity firm based out of Denver that specializes in "high-end" travel and leisure. You might recognize some of their other spots, like the Fairmont Miramar or various posh ski resorts. Basically, they buy iconic places that need a lot of love (and a lot of cash) to keep running.
When the sale went through, a lot of people worried. Would they put in elevators that looked like Star Trek? Would they stop the "dress code" after 6:30 PM?
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Luckily, KSL seems to get the assignment. They brought in Davidson Hospitality Group (specifically their luxury wing, Pivot) to actually run the day-to-day operations. They didn't fire everyone and start over. In fact, Dan Musser III stayed on as Chairman to make sure the transition didn't feel like a corporate takeover.
Why the Musser Family Sold After 86 Years
It’s kinda wild to think about, but the Mussers didn’t actually build the hotel. It opened in 1887, backed by railroad and steamship companies. The Musser era didn't start until 1933.
W. Stewart Woodfill (Dan’s great-uncle) bought it out of receivership during the Great Depression. Talk about a gamble. He eventually passed it to R.D. Musser Jr., and then to Dan III.
Why sell? Running a 397-room historic wooden hotel on an island with no cars is a logistical nightmare. Every single piece of furniture, every bag of flour, and every gallon of paint has to come over on a boat and then get hauled up a hill by a horse.
The maintenance alone is enough to make a billionaire sweat. KSL has the deep pockets needed to handle the massive renovations required for a building that's over 135 years old. Since taking over, they’ve already poured millions into the "Cupola Suites" and upgrading the pool area (the Esther Williams pool, for the movie buffs).
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A Quick Look at the Ownership Timeline
- 1887: Opened by the Mackinac Island Hotel Company.
- 1910 - 1933: Various owners, including Henry Weaver and J. Logan Ballard.
- 1933: W. Stewart Woodfill buys it (The Musser family era begins).
- 1979: R.D. Musser Jr. and his wife Amelia officially buy it from his uncle.
- 2019: KSL Capital Partners acquires the hotel from Dan Musser III.
What Has Changed Under New Ownership?
If you visited in 2024 or 2025, you probably noticed it's still the same Grand Hotel. The pecans are still on the salad, and the fudge is still everywhere.
But there are "stealth" upgrades. The tech is better. The booking systems actually work like it’s the 21st century. They’ve also been more aggressive about the "off-season" and hosting major events. For instance, the 2026 Mackinac Policy Conference is already a massive focus for the management team.
There's a delicate balance here. KSL is a business. They want a return on investment. But you can't "optimize" the Grand Hotel into a Hilton Express without losing the very thing people pay $600 a night for.
The "Carleton Varney" Factor
One of the biggest questions during the sale was about the decor. The late Carleton Varney (of Dorothy Draper & Co.) was the man behind the "clashing-but-it-works" floral patterns and bright green walls.
KSL has stayed pretty loyal to that look. They know that if they painted the lobby "millennial gray," there would be a literal riot on Main Street. They are keeping the soul of the place while fixing the plumbing and the Wi-Fi.
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Is Dan Musser III Still Involved?
Yes, but his role is more "spiritual guide" than "boss" these days. As Chairman, he provides the institutional memory. He knows which floorboards creak and which families have stayed in the same suite for forty years.
It’s a smart move by KSL. In a small community like Mackinac Island, "new money" from Denver can be viewed with a side-eye. Keeping a Musser at the table ensures the island's political and social ties remain intact.
What This Means for Your Next Trip
If you’re planning to visit in 2026 or beyond, don't worry about the ownership change ruining the experience. If anything, the hotel is in better financial shape than it has been in decades.
Expect to see:
- More modern amenities: Better AC in the rooms (a big deal in July).
- Higher prices: It’s an expensive place to run, and the new owners are definitely pricing it as a world-class luxury destination.
- Expanded dining: They’ve been tweaking the menus at the Jockey Club and Woods to feel a bit more contemporary.
Honestly, the biggest threat to the Grand Hotel isn't the owner; it’s the weather and the sheer age of the wood. As long as KSL keeps writing the checks for the upkeep, that porch isn't going anywhere.
Actionable Insights for Visitors
- Book early for 2026: Especially if you're looking at late May. The Mackinac Policy Conference (May 26-29, 2026) fills the hotel and the entire island. You won't find a room if you wait until April.
- Check for "Experience" Packages: KSL has been leaning into themed weekends. Sometimes you can get a better deal by booking a "Murder Mystery" or "Vintage Baseball" package than just a straight room rate.
- Respect the traditions: Even with corporate owners, the dress code is strictly enforced. Pack your coat and tie or your evening dress. They won't let you into the dining room in a t-shirt, regardless of who owns the place.
If you're curious about the specifics of the 2026 season, your best bet is to check the official Grand Hotel site directly or look into the Mackinac Island Tourism Bureau for ferry schedules, as those change slightly year-to-year depending on the ice.