Economic Development

Chelan is open for business. Nestled at the edge of Lake Chelan and surrounded by orchards, vineyards, and natural beauty, our city offers a dynamic blend of opportunity, lifestyle, and support for businesses large and small. Whether you’re launching a startup, looking for a new customer base, or planning for the future, Chelan provides the infrastructure, community, and resources to thrive.

Why Chelan?

Chelan is more than a beautiful place—it’s a smart place to do business. As a growing regional hub in North Central Washington, our city combines natural appeal with practical advantages for investors, entrepreneurs, remote professionals, and employers. With a thriving healthcare sector, strong year-round tourism, fiber infrastructure and proactive leadership, Chelan is intentionally shaping a diverse, resilient economy where  businesses succeed and communities flourish.

  • Regional service center with strong sectors in healthcare, education, government, and tourism
  • Supportive city leadership committed to smart, sustainable development and economic diversification
  • Active infrastructure investment, including fiber broadband, affordable utilities, and transportation
  • Exceptional quality of life that attracts talent and supports workforce retention
  • Business-friendly environment, with low taxes, flexible zoning, and streamlined permitting

Key Economic Opportunities

Chelan’s economy is built on a strong, diverse foundation. While tourism remains a vital engine, employment data shows significant strength across healthcare, agriculture, education, and construction—sectors that support year-round stability and long-term resilience. Strategic investments in infrastructure, land use, and workforce development are unlocking new possibilities across the region.

  • Healthcare & Wellness : With a growing retiree population and a new hospital, healthcare is one of Chelan’s fastest-growing sectors. The city is well-positioned to attract medical providers, specialty clinics, wellness services, and senior care innovations.
  • Tourism & Hospitality: With over 2 million annual visitors, Chelan’s tourism economy is a strong platform for restaurants, lodging, events, and recreation-based businesses. The City continues to pursue strategies that expand family-friendly tourism into the shoulder seasons and reinforce its benefits to the local economy.
  • Agriculture, Winemaking & Agribusiness: The Lake Chelan AVA supports a robust wine and cider industry, with opportunities in production, tasting room expansion, and value-added agriculture. Coupled with traditional farming and orchard operations, there’s opportunity for ag-tech, value-added food production, and expanded farm-to-consumer enterprises.
  • Construction, Light Industry & Trades: Chelan’s demand for housing, infrastructure, and commercial services is fueling growth in the skilled trades. The City is actively investing in utility and transportation infrastructure to support trades, fabrication, warehousing, and service-based businesses.
  • Education & Workforce Development: With strong employment in educational services, Chelan is ripe for partnerships in career training, youth programs, and skill-based learning that support our evolving workforce needs.
  • Remote Work & Knowledge Economy: Chelan’s quality of life and extensive fiber broadband make it a magnet for remote professionals and entrepreneurs in tech, design, consulting, and finance. 

Demographics Snapshot

CategoryStatistic

Population (City)

~4,500 residents

Population (Chelan Valley)

~7,500

Visitors Annually

~600,000

Median Age

43.6

Median Household Income

$66,000+

Labor Force Participation

~62%

Primary Industries

Tourism, Agriculture, Healthcare, Retail, Construction

Education

85% HS diploma or higher

(Sources: U.S. Census, City data, NCWEDD) 

Local & Regional Partners

Chelan’s economic development efforts are amplified by strong partnerships across the region:

Current Projects

The City of Chelan is proactively investing in its future through a Tax Increment Financing (TIF) project to significantly upgrade its water utility infrastructure in the East Chelan Area. This strategic investment is crucial because the anticipated private development and the community's sustainable growth cannot occur without these needed water infrastructure improvements. Without the TIF, the development potential would not be realized.

Key infrastructure improvements include:

  • East Chelan Reservoir and Booster Pump Station: Construction of a 1 million-gallon reservoir and booster pump station.

  • Water Main Extensions: Four extensions from the reservoir to surrounding neighborhoods, including connections to Bradley Street, No See Um Road, the Lake Chelan Airport, and Isenhart Road. These extensions are crucial for meeting future water demands, providing redundancy during emergencies, and enabling long-term growth, particularly with potential airport expansion.

The infrastructure development is expected to spur significant private development between 2024 and 2033, including:

  • Residential Units: A total of 868 residential units are projected, encompassing apartments, senior housing, affordable apartments, townhomes, and single-family homes.

  • Commercial and Industrial Space: Approximately 50,000 square feet of winery and live-work businesses/homes, along with an additional 8,000 square feet of light industrial space.

By proactively addressing infrastructure needs through creative financing, the City of Chelan is laying the groundwork for a thriving and expanding community

Connect With Us

Have a business idea or looking to invest in Chelan? We’d love to hear from you.

John Ajax
Community Development Director
jajax@cityofchelan.us | 509-682-8005