Old Mukilteo Boathouse To Become Hotel-Eatery

MUKILTEO - After 48 years in business, George and Opal McConnell have closed their boathouse in Mukilteo and sold the property to Investment Futures Corp., an Everett-based corporation.

The new owners - Lillian and John Butters, a mother-and-son team - plan to build a small waterfront hotel with a restaurant, meeting rooms and retail shops. Construction on the $3 million to $5 million project probably won't begin for at least two years, Lillian Butters said yesterday.

"The boathouse carries so much nostalgia. . . . We are trying to incorporate that into our designs," she said. "We're hoping to keep some of the flavor of `Old Town' Mukilteo and some of the nostalgia that went along with the boathouse."

It's too soon to know whether the original building will be saved or torn down, said Butters, who lives in Mukilteo.

McConnell's Boat House owns about 20 boats that are available for rent or charter and the business provides storage for about another 50 boats.

Sunday was the last day of business for McConnell's Boat House, and the sale of the property was official yesterday, Opal McConnell said. Both McConnell and Butters declined to disclose the sale price.

The McConnells had been looking for a buyer for the property for some time and had hoped the business could continue to operate as a boathouse, she said. Unfortunately, no one came forward with plans to continue that operation.

The McConnells bought the business in 1946 from a man whose name was also McConnell. The families were not related. The original owner called the business, which was built in 1925 and expanded in 1941, V. McConnell Boat House. When the current McConnells purchased the property, they modified the name only slightly.

Now that they've sold the property, the McConnells are planning to retire. After years of working the boathouse, it is time for the couple to catch up on some fishing themselves, McConnell said. There was never any time to fish while they operated the business, located a short distance from the Mukilteo ferry terminal, she said.

The Butterses formed the Investment Futures Corp., under which they purchased the boathouse. No other partners are involved, Lillian Butters said.

Butters compared the planned hotel with Everett's Marina Village Inn.

"Like the Everett Marina, we're going for top quality," she said. "We're hoping to attract some of the corporate groups in the area that need a place for their out-of-town clients to stay and where they can hold their conferences."

The Butterses also develop properties under The Butters Group, an Everett-based corporation. In October, that company revealed tentative plans for a 550,000-square-foot regional mall in Marysville. In addition, the plans call for 400,000 square feet of medical, dental and office space.

The Butterses' company owns 22 acres of the approximately 100 acres of land needed for that development and was looking for a joint-venture partner, to complete financing for the project. At the time, John Butters said the project was at least 3 1/2 to 4 years from reality.

In addition to those Marysville plans, the Butters also have acquired land for a 234-acre, single-family residential project in Thurston County.

The Butterses have been involved in the development industry for 17 years and have been part of various land acquisitions in Snohomish and Thurston counties.