
As tomorrow is the 4th of July and Chester will be a hub of activity. However, it that was not the case for many years. Chester was slow to evolve, and would gain prominence when the Great Western Power Company created Lake Almanor in 1914. The initial Lake Almanor was smaller than it is today. It is another story for another time, but it should be noted that in the early 1900s, when Great Western began land acquisition in the basin. their goal was to acquire everything below the 4500 elevation contour line.
Many of the original families, once they sold to Great Western moved away. That was not the case for members of the Olsen family. In 1859, the patriarch, Peter Olsen, settled along the west bank of the Feather River . which would later become the community of Chester. Peter passed away in 1892, leaving his three sons, George, Nels and Edgar and carried on the family’s dairy operation. The sons sold the majority of the family property Great Western, retaining 110 acres above 4500 contour line.

The dairy operation would slowly be phased out, so it was time to change occupations. The family became innkeepers. In 1913 construction began on their hotel. In early May 1914, the doors were open to the public, and timing could not have been better. By the end of the month, Lassen Peak began erupting, bringing throngs of people to see it. Olsen’s was one of the few nearby lodging establishments and business was off to a booming start.
For many years the hotel was operated by Nels and Eula Olsen. In 1948, it was time to retire and they sold the hotel to Earl McKenzie. McKenzie leased it for a time, and it finally shuttered. As to the building’s final demise, I do not know. It should be noted that the Olsen Barn has been perserved and graces Chester’s east entrance.
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Kids started a fire and it burned down, about 1968, I believe.