ECONOMY

Little Traverse Wheelway users provide big boost for regional economy

Eric Cox
Top of Michigan Trails Council
The Little Traverse Wheelway stretches 23.5 miles, connecting Harbor Springs with Charlevoix.

PETOSKEY — Little Traverse Wheelway users pumped an estimated $10 million into the local economy last year, according to a study done by the Top of Michigan Trails Council (TOMTC) in Petoskey.

The 2021 scientific survey, which was modeled on a 2015 Michigan State University study also conducted by the Trails Council, was carried out by Trails Council staff with assistance from the Michigan DNR and interns at North Central Michigan College.

The survey collected data from hundreds of individuals in four locations — two on the Little Traverse Wheelway and one each on the North Central and North Western state trails. Questions revolved around trail users and their spending habits when visiting the area, as well as how they actually use the trails.

When compared to the 2015 study result, the collected data in 2021 revealed some promising economic data for the Petoskey area: increased trail usage and more spending by those visitors.

Driven outdoors by the 2020 global pandemic, trail users from all over flooded into the region, lodging, camping, and dining locally while exploring area trails on bike and foot. But, the pandemic boom was only the start, according to the Trails Council. What many thought would be a short-term tourism surge became a sustained onslaught.

Brent Bolin, TOMTC executive director, said local trail use skyrocketed by 40-50 percent in 2021 as people continued to distance themselves from populated areas. Bolin said this influx exposed thousands of new people to the trail system, and many are either returning or spreading the word about the region.

“The Little Traverse Wheelway is seeing about 116,000 trail users annually and they’re creating an estimated $10 million impact on the local economy,” he said. “Visiting trail users don’t just ride and walk our trails; they also stay in local motels or campgrounds, eat in local restaurants and shop in local stores.”

A late September sunset view of Bay Harbor from the Little Traverse Wheelway.

According to Bolin, the continued tourist influx signals deep satisfaction with the trails system and Northern Michigan generally.

“Since the pandemic, there has been substantial new interest in the trails,” he said. “Even for people who don’t use or pay attention to the trails, it’s easy to see the increased (bike and foot) traffic out there.”

Northern Michigan trails are indeed a mainstay of the seasonal economy, pandemic surge notwithstanding, according to local business owners and tourism specialists.

“Bicycles, whether trail, road or mountain bikes, have easily become the most popular form of recreation for guests at our three lodging properties in Emmet County,” said Reg Smith, chairman of Stafford’s Hospitality. “This is one of the forms of recreation in which couples of all ages and families can participate at various levels of skill and fitness.

“Keep in mind that these are not ‘budget’ travelers,” Smith added. “They stay in our top end rooms and they spend dollars in Petoskey and other cities.”

Michigan outdoor recreation in general is extremely lucrative, generating about $26.6 billion in annual consumer spending, according to the Michigan Office of Outdoor Recreation Industry.

With a full slate of all-season offerings — ski hills, fall color, shopping, trail systems, water recreation, golf, hiking, hunting, fishing, boating and more — Northern Michigan has a stiff backbone for a rural economy.

“Outdoor recreation makers, facilitators, retailers, and service providers are major players in the local economy,” the Northern Lakes Economic Alliance (NLEA) reported on its website. “It is important to foster, grow and retain the outdoor recreation industry in Northern Michigan to promote economic development and provide jobs.”

Reporting current statistics from Dun & Bradstreet Hoovers, NLEA said the outdoor recreation industry in Antrim, Charlevoix, Cheboygan and Emmet counties generates an estimated $153,790,877 in revenue annually and employs over 2,705 people.

“Protecting and improving regional outdoor assets is an opportunity to improve local quality of life and generate economic returns,” NLEA stated.

More:Community discussion about wheelway repair efforts set for Nov. 15

More:Trails council seeks community support in repairing Wheelway

This photo shows erosion damage which occurred in mid-April 2020 along a stretch of the Little Traverse Wheelway west of Petoskey’s Magnus Park.

Local trail supporters agree. People like Christian Janssens of Petoskey, owner and founder of Latitude 45 Bicycles and Fitness, would like to see the Little Traverse Wheelway’s celebrated bluffs segment, a portion of which collapsed a few years ago, repaired.

“The Little Traverse Wheelway was pivotal in my decision to expand my company to Petoskey and paramount to the growth and success Latitude 45 has achieved over the past 20 years,” said Janssens. “Getting arguably the most beautiful section of the Wheelway back online will be critical to our long term sustainability plan, and we strongly encourage all government bodies to understand the importance of the trail to our regional economy.”

A former Petoskey Area Visitors Bureau official, Diane Dakins, said the visitors bureau office is routinely inundated with inquiries about the Wheelway, which, aside from the collapsed portion, stretches 23.5 miles connecting Harbor Springs with Charlevoix.

“Nearly 10,000 people have indicated directly to the visitor’s bureau that they have an interest in biking in the Petoskey area — and certainly many of those have ridden or want to ride the Little Traverse Wheelway,” Dakins said. “I have personally spoken to many guests who plan their trips around riding while they visit. And unfortunately, I’ve spoken to many who enjoy other trails in the area, but are shortening their trips to the region because of the washout on the Wheelway.”

Bay Harbor Company General Manager Denny Brya said residents and business owners in his community miss the Little Traverse Wheelway connection with downtown Petoskey. “Our residents enjoy being able to ride their bikes to Petoskey, without having to get in a car,” he said.

In the affluent Bay Harbor enclave near Petoskey, the effects of the broken trail are evident, according to Denny Brya, general manager of the Bay Harbor Company.

Prior to the Wheelway collapse, bike and foot traffic flowed freely from Petoskey to Bay Harbor and vice versa, yielding customers for both areas’ businesses. That changed dramatically when the thoroughfare failed. Though cyclists can still reach Bay Harbor on a less safe and unofficial detour: the U.S. 31 road shoulder with its higher-speed car and truck traffic an arm’s length away.

“It has definitely had an effect,” Brya said, referring to the trail breakdown. “(The collapse) has definitely slowed the tourism traffic in Bay Harbor. Having that connection is a wonderful benefit to the overall community. We had a lot of people coming to Bay Harbor from Petoskey. And our residents enjoy being able to ride their bikes to Petoskey without having to get in a car.”

He said the Wheelway repair is a popular topic among Bay Harbor residents and merchants, many of whom hope to see a fix in the near future.

“People ask me often about it — what the plans are and what’s happening,” Brya said. “They’re not too thrilled about the (unofficial) detour route on the U.S. 31 shoulder. But, they would love to see the Wheelway reconstructed in its original location, if that’s feasible.

“Having the Wheelway open, so people can ride and walk to Bay Harbor, is definitely a benefit,” he added. “The bike and foot traffic is great, especially the bikes. It’s a huge resource for our community.”

Not everyone feels the same way. Trail development — whether new trail or rail-trail — often sparks pushback from property owners and other stakeholders.

According to Andrea LaFontaine, executive director of the Michigan Trails and Greenways Alliance (MTGA), common complaints about trail development often revolve around liability, trespassing and safety. Cost of maintenance is another rebuttal, with people wondering, "How can we maintain the trails if we can’t fix the roads?"

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A view from the bluffs section of the Little Traverse Wheelway prior to its collapse in 2020.

TOMTC Executive Director Brent Bolin was quick to answer that question.

“It’s a fallacy to pit trails against other community priorities such as roads, public safety, schools, housing, etc.,” he said, “First off, these community amenities don’t actually compete because the state and federal dollars that are critical to all these projects come from different sources.

“In other words,” Bolin added, “you can’t pay for trails with school money, and vice versa. Second, and perhaps most important, is that a thriving community needs all of these investments and not recognizing that is a failure of vision. We can do more than one thing, and make thriving communities where people can live, work and play.”

This enhancement of a community’s public spaces based on resident’s ideas and assets is known as placemaking — a specialty of Michelle Archie, a consultant with the San Francisco-based Harbinger Consultancy. In July, Archie hosted a webinar that featured some statistics and anecdotes about different American trail communities.

“Research and plain old observation suggest that trails can affect business location decisions, business expansion and new business formation,” Archie said. “This can be seen especially in communities that have decided to leverage their trail proximity — or create it for themselves.”

The Wheelway’s washout section notwithstanding, Petoskey has aimed to do just that — create it for themselves. And it seems to be working — not just here, but across the state. Michigan’s rich natural, cultural and recreational opportunities — trails included — are proving to be potent economic drivers.

A recently released study of 2021 economic trends by the U.S. Bureau of Economic Analysis revealed that outdoor recreation in Michigan contributed $10.8 billion to the economy, supported 109,000 jobs, and yielded $5 billion in wages.

“That’s a path we want to stay on,” Bolin said.