Building new opportunities at an old lumber mill site in Wrangell

Presented by the City and Borough of Wrangell

Six miles south of Wrangell’s idyllic downtown is the site of an old lumber mill that has sat vacant for almost three decades.

The 42-acre mill site was once the economic pulse of the community. Today, it offers a unique chance to help revitalize Wrangell as it struggles with population loss.

“To my knowledge, it is the last remaining [unoccupied] deep-water port in Alaska,” said Wrangell Borough Manager Mason Villarma. “It represents an opportunity for Wrangell to reinvent itself.”

Officials had eyed the six-mile deep-water port as a potential development project for years before purchasing it in 2022, with the intention of leasing or selling it. Now, the City and Borough of Wrangell is working to attract new business to the community and create a bright future for its residents.

‘People want to either stay in Wrangell or move home’

Wrangell is a community of around 2,070 people nestled in the lush Alexander Archipelago.

“It’s a special place, and I think it’s very unique, even in Southeast Alaska,” said Villarma.

Home to the Tlingit people for thousands of years, it has a rich history as one of Alaska’s oldest settlements. Wrangell served as a bustling supply center during the 1800s Gold Rush era, and in the 20th century, fishing and timber drove its economy.

The lumber mill shut down in 1995. It has been unused since.

Steve Miller, Wrangell port and harbor director, moved to Wrangell in 1982 when he was 12 years old.

“When it shut down, it was pretty tough for the community,” he said. “We went from barely being able to house everybody to houses sitting on the market for years.”

The closure has had a long-term impact on the community. Today, about 260 children attend Wrangell schools, just half of the enrollment in the 1980s, said Villarma.

“We’ve seen an early decline in our population, which puts a greater strain on the taxpayer to afford the quality of life that we have here,” said Villarma.

As residents retire, Wrangell is also struggling to maintain its workforce. Nearly a third of Wrangell’s residents are 65 and older, according to the U.S. Census bureau.

“Without industry it’s really tough to bring young people in who want to have children and families,” said Miller.

Esther Aaltséen Reese is Tribal Administrator at Wrangell Cooperative Association, which represents 890 Tribal citizens in Wrangell. In 2019, the organization conducted a report on how to prevent the outmigration of Tribal citizens. More jobs and housing are needed, she said.

“A lot of our people either want to stay in Wrangell or they want to move home,” said Reese. “We have to have greater economic opportunities and housing to enable that.”

The deep-water port project has the unique potential to create jobs, bring children to the school district, and help protect Wrangell’s overall way of life, said Villarma.

“42 acres is a lot of property to have deep-water access here in Southeast Alaska. It is an anomaly in and of itself,” said Villarma. “It’s a blank page for somebody to come in and create their vision.”

Crafting a sustainable future

Officials are working with the community to ensure development fits its needs.

At town hall meetings, residents indicated that the site would best be used for industrial purposes, said Villarma. An industrial maritime fabrication facility is one top prospect; others include mariculture processing, a barge facility, mechanic and technical services, expanded tourism, or a blend of several industries.

“The mill provided a lot of economic support in the region for almost a century,” said Villarma. “As we transform, we still hold on to those blue-collar roots. We’re looking for a partner to invest in the property who understands Wrangell’s character.”

Adjacent to the deep-water port property is available housing and another roughly 30-acre undeveloped lot. Electric is on-site and water and sewer utilities are nearby. The borough is also open to providing incentives for private industry.

“We’re ready for business,” said Villarma.

Although off the road system, Wrangell has daily Alaska Airlines flights and monthly barge deliveries. Ferries, cruise ships and charters visit its shores, too.

“We’re remote, but we’re very connected,” said Villarma.

The existing downtown port and harbor is an important part of life for residents, who enjoy world class access to camping and fishing just moments from shore.

“I can launch my boat from the city hall parking lot and in five minutes, be gone. It’s hard to beat,” said Villarma.

But at just 6 acres, the downtown port is packed with boats and cargo. The barge service yard is squeezed into a 1.9-acre plot next to the city dock. Stacks of shipping containers often crowd the area.

“We’re running out of space in our downtown infrastructure,” said Miller.

Officials hope to move the barge service yard to the six-mile deep-water port, easing pressure on downtown and freeing up space for new restaurants, bars or other service operations.

The move would also encourage a deeper connection to a subsistence lifestyle, said Reese.

“It would open up space for boats and watercraft, for people to go out fishing and hunting. It will provide greater opportunities for people to go and practice our traditional subsistence ways,” she said.

‘Infrastructure is the backbone of these communities’

Federal grants are also helping bring the project to fruition.

In June 2023 Wrangell received a Thriving Communities grant from the US Department of Transportation (USDOT). The grant provides two years of technical assistance to under-resourced and disadvantaged communities to help develop transportation projects.

This summer, members of the Thriving Communities program traveled to Wrangell to hear firsthand from the community, bringing knowledge of best practices.

The Thriving Communities program is helping Wrangell explore all options on the table, access to more grants and loans or partnerships with the private sector, said Dr. Morteza Farajian, Executive Director of the Build America Bureau.

“Infrastructure is the backbone of these communities,” said Dr. Farajian.

Wrangell has also been awarded funding through the Port Infrastructure Development Program through USDOT for planning activities and environmental assessments for the development of the 40-acre deep water port site.

“Every community wants to be a better place for its residents. That is why this is really important. It’s a step toward building that foundation. All the other goals and objectives that a community has can be built on this foundation,” said Dr. Farajian.

In another massive win, in June, Wrangell received a $25 million federal infrastructure grant to renovate its existing Reliance Harbor—the largest grant it has ever received, said Villarma.

This renovation will bring better harbor facilities for residents in addition to the six-mile deep-water port project.

“We’re working toward a preservation of the lifestyle and to create jobs for people who want to be here,” said Villarma. “As we bring in more jobs and housing opportunities that will really allow this place to continue to survive and thrive.”

For Reese, it’s an inspiration to watch other leaders bring such big gains to the community; the six-mile deep-water port project is an opportunity for Wrangell to come together and work toward a shared vision.

“Wrangell is absolutely poised for growth. We have a bright future ahead.” said Reese.

The City and Borough of Wrangell seeks to uplift and support its residents by providing opportunities for economic growth and a high quality of life for all.

This article was produced by the sponsored content department of Anchorage Daily News in collaboration with the City and Borough of Wrangell. The ADN newsroom was not involved in its production.