Lighthouse Spa set to open in Canal Park amid business turnover

A new spa is about to join Canal Park at a moment when the district’s storefront mix is still shifting. Lighthouse Spa is preparing to open at 395 South Lake Avenue, Suite 2, with a grand opening planned for May 4, in a corridor where recent closures have made every new lease a signal about who can still afford to do business there.

The massage and wellness boutique is owned by Shanna Saarela-Shultz, Pete Saarela and Maddie Boo, who said they got the space ready in less than six months. Two of the owners had already worked in a former spa in downtown Duluth, giving the new business a head start on both the market and the neighborhood. Saarela-Shultz also handled permitting and compliance, while the group leaned on guidance from the Northland Small Business Development Center as it moved through the launch process.

The spa’s website describes the business as offering massage, facials, spa treatments, restorative skincare, body treatments and a boutique self-care experience. The owners have positioned the shop as a place for both visitors and Twin Ports residents, a notable choice in Canal Park, where foot traffic can swing with tourism, weather and the broader downtown retail cycle.

That cycle has been visible in recent months. Hoops Brewing’s Canal Park taproom closed on February 23, 2026, after nearly 10 years in business, and The Social House said its Canal Park location shut down after nearly three years. Vicki Hagberg, regional director of the Northland Small Business Development Center’s Northeast Region, said openings and closures are part of the normal rhythm of business in the district, even if each shutdown is felt by the community.

Canal Park remains one of Duluth’s most valuable commercial corridors. The City of Duluth describes it as a historic waterfront district filled with hotels, restaurants and shops, anchored by the Aerial Lift Bridge. The Duluth Area Chamber of Commerce says the city draws 6.7 million visitors a year and tourism generates more than $780 million in annual direct economic impact. In that setting, a spa is more than a new storefront. It is a test of whether Canal Park’s next round of small businesses will be built for durable neighborhood demand, or continue to depend on the visitor economy that has long defined the lakefront district.

The Northland Small Business Development Center’s Northeast office, at 202 W Superior Street, Suite 800 in Duluth, serves Aitkin, Carlton, Cook, Itasca, Koochiching, Lake and St. Louis counties, underlining how much regional business support now feeds into even a single Canal Park opening.