At 7,000 feet above sea level, San Bernardino Forest's mountain peaks grew and abundance of trees. They became a source of lumber for the rapidly growing communities in Southern California.

In 1925, the dam was under construction. It would eventually create a 10-acre lake with three-fourths of a mile of shoreline. At 6,850 feet above sea level, the lake is 106 feet higher than Big Bear Lake.

Although the town's population remained approximately 300 full-time residents, new homes spread over time for the part-timers and tourists who came for the cooler summer climate, winter skiing, and spring fishing.