Excelsior’s iconic lakeside eatery, Lost Bay, is set to reopen this summer after a year-long legal dispute that captured the attention of Lake Minnetonka locals. Tucked inside the Caribbean Marina on Tonka Bay, Lost Bay faced an unexpected hurdle in 2024 when the Minnesota Department of Natural Resources (DNR) halted reconstruction of its historic lakeside deck.
The deck, originally built in the 1950s, was severely damaged during the harsh 2023–2024 winter. Owners Shawn Wischmeier and Rob Schatzle, who have operated the marina and restaurant since 2019, had received approval from the Lake Minnetonka Conservation District to rebuild it. However, the DNR argued that because the deck extended over public waters, a state permit was also required. This disagreement resulted in a lawsuit filed by the owners last April.
Following months of legal back-and-forth and the submission of additional permits, the case was dismissed in April 2025. Construction resumed shortly afterward, and the newly rebuilt deck is on track to be finished within weeks.
This reopening is big news not just for Tonka Bay boaters and Excelsior foodies, but for the broader Lake Minnetonka community, which missed out on this local favorite last summer.
As always, if you’re looking to stay ahead of the curve on what’s happening around Lake Minnetonka, Woodbury, or anywhere in the east metro, I’m Darin the Minnesotan—your go-to Realtor for all things Twin Cities.
Tags: Lost Bay, Excelsior MN restaurants, Lake Minnetonka dining, Minnesota DNR lawsuit, lakeside restaurants Minnesota, Excelsior deck rebuild, Twin Cities Realtor, Darin the Minnesotan, real estate in Lake Minnetonka
