Historic blacksmith shop and adjacent building in a rural village setting.

A Stretch of Shoreline Steeped in History

Portrait of an older man with a mustache and weathered face.

In July of 1904, August Zahn made the journey from Germany to join his uncle, Albert (Bird) Zahn, in Baileys Harbor. Albert had emigrated to the Door peninsula some years earlier, and wrote to his young nephew about the opportunity that existed here for a young blacksmith such as himself. With about a month of hard work, Albert and August built the smithy that still stands next to the Zahn House, and August soon had his forge up and running by the end of that summer. Homesick for his family and his native land, August began construction next door in 1905 of a stovewood construction replica of the family home and smithy in which he had grown up. What is now the Zahn House took August seven years to build. By the time he occupied the building in 1912, he had a young family to move in, including a wife, Martha, and son, Walter. Although he had designed the building to serve as both residence and smithy, he never moved the forge, which remains in the original blacksmith shop to this day!

A woman sits behind a display of handmade crafts in a vintage shop, surrounded by knitted items and decorative accessories.

August and Martha eventually raised two sons and a daughter in their sturdy home, and Walter ultimately adopted both his father's career and residence. Walter married Estelle, and they raised two daughters. The first generation of Zahns lived in what is now the front desk and offices on the ground floor of the Zahn House, while the rest of the building served as a storage barn. In the 1950s, Walter and Estelle remodeled the north end of the second floor above their apartment into a weekly tourist rental, and converted the street side of the ground floor into a shop for Estelle to sell aprons, doilies, and other sewn goods she produced alongside her friends over the winter months.

Historic black-and-white photo of North Main Street in Bailey's Harbor, showcasing early buildings and telephone poles.

In early 1994, Walter and Estelle sold both the house and the blacksmith shop to Dave Haidlinger and Kevin Stoerr. Dave left his corporate job in Milwaukee and launched the transition of the Zahn residence into a bed and breakfast called the Blacksmith Inn. Two years later, in 1996, Dave and Kevin sold the fledgling inn to Joan Holliday and Bryan Nelson, who continue to own and operate it with their son, Sam. Joan and Bryan purchased the lot to the north of the parking lot, and began construction in September 1999 of the Harbor House, which welcomed its first guests in July of 2000. The historic Orchard House, located across the street from the inn, was added in autumn of 2001 and opened as a vacation rental house the following summer. Joan, Bryan, Sam, and staff delight in being able to share with you the unparalleled history and setting of the Blacksmith Inn on the Shore.