If you’re road-tripping through Michigan’s Upper Peninsula and looking for a polished stay with lake views, delicious dining, and a convenient morning coffee fix, the 4-star Terrace Bay Hotel in Gladstone, Michigan, is a fantastic find.
Arriving
Located right along the shoreline of Little Bay de Noc, arriving at the Terrace Bay Hotel feels peaceful and scenic. There’s ample parking, warm welcomes, and an easy and efficient check-in. The atmosphere is relaxed yet professional, clean, and updated.
Location
Terrace Bay Hotel is located in Gladstone, Michigan, just minutes from Escanaba. It’s a great base if you’re exploring the southern stretch of Michigan’s Upper Peninsula. You’re right on the water, with easy access to scenic drives, waterfront parks, and outdoor adventures.
Rooms
We stayed in the newly renovated section of the hotel, and the room was immaculate, well-appointed, and spacious. It was so spacious that I could do a Michelle Briehler Barre workout without any modifications. Our room even had a sizable balcony overlooking Lake Michigan.
Everything felt fresh and thoughtfully designed, from the sleek modern finishes to the cozy bedding. The spotless bathroom included Lockwood New York toiletries free of parabens, sulfates, and petroleum. I love their natural Rosemary Geranium scent.
It’s the kind of room where you can truly relax after a day of adventuring (or driving)—and many of the rooms come with bay views, which is a huge bonus. Tour our room with us on Instagram.
Drinks + Dining
Dinner at Freshwater Tavern, the onsite restaurant, was a highlight. The space had a fun, energetic vibe—a local favorite and a hit with fellow travelers. The menu was approachable but creative, and everything we ordered was flavorful and well-prepared. It’s the kind of place where you’ll want to linger a bit longer over their crafted-with-care drinks.
The next morning, we were grateful for the Biggby coffee shop located inside the hotel. We grabbed our morning coffee and breakfast to-go, which made getting back on the road that much easier. It’s a small touch that makes a big difference.
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Amenities
- Onsite restaurant and bar (Freshwater Tavern)
- Coffee shop inside the hotel
- Free parking
- Lakeside location with water views
- Event space and meeting facilities
- Renovated rooms with modern finishes
Our Favorite Thing About the Hotel
The updated rooms and the onsite coffee shop. The clean, modern feel of the new wing made for a relaxing stay—and being able to grab coffee without leaving the building? Total win on a travel day.
Closest Airport
Delta County Airport (ESC) – about 15 minutes away by car.
Starting Rate
Rooms typically start around $125 per night, depending on the season and availability. We paid $145 for our gorgeous room with a balcony. We stayed in mid-February.
Would we stay again?
Absolutely. Terrace Bay Hotel is a solid, comfortable stay with thoughtful upgrades, great dining, and a convenient location for exploring the UP. It hit all the right notes for a short overnight, but we’d also love to return for a longer lakeside escape.
If you’re planning a road trip through Northern Michigan and the U.P., be sure to check out our guide to five charming places to stay across the region.
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