On July 6, 1914, the Lassen County Board of Supervisors approved John S. Spalding’s subdivision for the Town of Spalding, on the west side of Eagle Lake. It was Spalding’s intent to develop a summer resort. The Susanville newspapers had extolled wonderful praise for the project.

Yet, momentum was difficult. First, there was competition of other developments taking place—the volcanic eruptions of Lassen Peak, the construction of Lake Almanor and the newly built company town of Westwood. Yet, one of Spalding’s biggest obstacles was access, or in this case, lack thereof. Even since 1900, considerable pressure was applied to the Lassen County Board of Supervisors to make road improvements to Eagle Lake, though very little materialized. The resort town was a failure. Only one lot was sold, of note it was a purchase by a retired Lassen County school teacher, Asa M. Fairfield.

In September 1924 the Spalding family petitioned the Lassen County Superior Court to dissolve the townsite and was granted.