The railroad along the east side of the lake was completed in 1889, and the Donnelly mill was moved to the site of Monohon.

[1] By 1900, there were twenty homes in Monohon, and the lumber mill was updated with the latest machinery.

A 20-room hotel was built overlooking the lake, along with a church and a community meeting hall.

[1] During the height of the prohibition era, the town was raided by King County Sheriff officers looking for bootleggers.

The mill was rebuilt, but the town never recovered, and all but disappeared when the Great Depression hit in 1929.