Approximately two hours west of Seattle, Alderbrook has views of nearby Olympic National Park and Mount Washington.

Beginning in 1909, Stumer worked with friends from Seattle's Swedish Club to buy and develop beachfront property just east of Union City.

Stumer bought three of the resulting lots from what became known as the Sunny Beach tract and built tent cabins consisting of frames covered in black and orange striped canvas.

Clara Eastwood retained the westernmost Sunny Beach lot where the Flagwood gift shop was located and built a cabin for herself.

[2] Johnson quickly released redevelopment plans which included the addition of an indoor swimming pool, marina, 18-hole golf course, and 70-room hotel.

[8] In 1966 Wes Johnson announced new plans for redeveloping the Alderbrook Inn which centered around demolishing the existing lodge and building a new high-rise hotel on pilings out over the water.

[9] The Hood Canal Committee made similar requests to several state agencies and Governor Dan Evans asking that they reject the permit application.

[14] The rejection of the project from the Department of Interior required that the ultimate decision come from top Army Engineer officials in Washington, D.C.[12][15] In an unusual course of action,[16] a public hearing was scheduled for January 24, 1970,[17] by the Army Corps of Engineers to "make sure they [had] all the pertinent facts and to conduct business in a climate of public understanding.

"[20] On April 21, 1970, the Washington, D.C. headquarters of the Army Corps of Engineers ruled against the issuance of a permit for the Alderbrook project because of "adverse effects on the environment and esthetics.

[23] Wes Johnson was required to obtain one of these special permits[24] and revised his plans for Alderbrook to make the new hotel shorter and move it back above the shoreline.

[35] For decades Washington State Route 106 separated Alderbrook from its public parking area, forcing guests to cross the busy highway with their luggage and catching motorists by surprise.

The engineering and permitting necessary for the move delayed the reopening of the Inn by nearly a year, but rerouting the highway was essential to creating a sense of arrival in the destination resort.

[36] When the resort closed for renovation the unemployment rate in Mason County reached 7%[42] and area gift shops went out of business.

[41] In 2007, it was announced that North Forty Lodging had purchased the Hood Canal Marina 1 mile east of the resort and planned a total replacement of the moorage area, remodel of the building, addition of a new septic system, beachfront picnic spot, landscaped parking area, and most importantly the sale of gas and diesel for boats.

[41] When the marina was developed in the 1960s there were several gas docks available and fishing and ski boats filled the waters of lower Hood Canal.

For the next ten years, the nearest fueling station for boats was an hour away at Pleasant Harbor Marina, and fears of getting stranded prevented boaters from venturing to the lower end of the canal.

[43] Galvanized steel pilings, sealed polyurethane floats, and composite decking replaced creosote logs and Styrofoam making the new dock more environmentally friendly.