Many people don’t realize that there’s a Daufuskie Island abandoned resort teetering on some perfectly pristine South Carolina coastline, withering away to tatters as the sea, humidity, and salt air consistently eat away at the grandeur of the property. Its story is an unfortunate one with an uncertain ending.

The abandoned property, now commonly referred to as the Melrose Resort, was once a huge tourism draw for Daufuskie Island.

Bright Sun Films/YouTube

This Daufuskie Island resort was built in 1987 as a 50-room plantation resort. On hundreds of acres, there were two championship golf courses, an inn, a beach club, deep water lots, cottage homes, and more!

Bright Sun Films/YouTube

The property operated smoothly for about 15 years and then changed owners in 2001, which is when its troubles began. It struggled to stay profitable and the new owners filed for bankruptcy.

Bright Sun Films/YouTube

Bright Sun Films/YouTube It was put up for auction in 2010, but there were no bidders. It ended up being bought by a Utah-based company. (The two photos above show a before/after of the lobby area.)

The company had plans to renovate the property, acquiring $10 million from private investors on top of over $17 million borrowed to purchase it. Investors were promised a sizeable return once renovations were completed and it was re-financed or sold.

Bright Sun Films/YouTube

Bright Sun Films/YouTube But over time, only the beach club area of the resort re-opened. The rest of the property was left completely abandoned and in disrepair. (The two photos above show a before and after of the dining area.)

Investors reported the money they had been promised never came and an investigation was opened by the FBI and IRS. The developer was indicted and pled guilty to wire and tax fraud (essentially, a Ponzi scheme).

Bright Sun Films/YouTube

Bright Sun Films/YouTube The above two pics show the condition of the kitchen area and a note from the chefs that is still there.

Assistant U.S. Attorney Amy Bower prosecuted the case, and in August of 2022 United States District Judge Richard M. Gergel sentenced the developer to 63 months in federal prison, to be followed by a three-year term of court-ordered supervision.

Bright Sun Films/YouTube

Other attempts to sell the property have failed thus far. The property went under contract with a buyer in March 2022 but the sale was halted in September due to unresolved issues around the Melrose Landing, which was condemned.

Bright Sun Films/YouTube

Bright Sun Films/YouTube It’s interesting how some parts of the resort, such as this guest room, are for the most part still intact.

This side of Daufuskie Island is susceptible to beach erosion. A steel break wall was installed to help combat this, but a portion of the break wall collapsed.

Bright Sun Films/YouTube

Bright Sun Films/YouTube Because the resort was abandoned, the erosion has since gotten worse, as evidenced by the sea swallowing the gazebo.

Then when Hurricane Matthew made landfall in 2016 just a few miles up the coast, this resort area was decimated. Here you can see where a palm tree has fallen into and partially through one of the windows!

Bright Sun Films/YouTube

At least portions of this abandoned resort in South Carolina have been salvaged … some of the cottages and beach villas have been restored.

Bright Sun Films/YouTube The fate of the rest of the resort is really up in the air, as issues around the landing and dock must be resolved if there’s any chance for the property to be purchased and restored. Residents of Daufuskie Island have been divided on the issue and what’s best for the Island.

Bright Sun Films/YouTube

It was put up for auction in 2010, but there were no bidders. It ended up being bought by a Utah-based company. (The two photos above show a before/after of the lobby area.)

But over time, only the beach club area of the resort re-opened. The rest of the property was left completely abandoned and in disrepair. (The two photos above show a before and after of the dining area.)

The above two pics show the condition of the kitchen area and a note from the chefs that is still there.

It’s interesting how some parts of the resort, such as this guest room, are for the most part still intact.

Because the resort was abandoned, the erosion has since gotten worse, as evidenced by the sea swallowing the gazebo.

The fate of the rest of the resort is really up in the air, as issues around the landing and dock must be resolved if there’s any chance for the property to be purchased and restored. Residents of Daufuskie Island have been divided on the issue and what’s best for the Island.

Did you know about this Daufuskie Island abandoned resort on the beach in South Carolina? Have you heard anything about the controversy around the landing and dock issues? Share with us in the comments section below … we’d love to know if there have been any developments with that hurdle.

For more about Daufuskie Island, keep reading to find out just how unique this island is.

OnlyInYourState may earn compensation through affiliate links in this article.

Address: Daufuskie Island, SC 29915, USA

The OIYS Visitor Center

Daufuskie Island abandoned resort February 14, 2023 Anne What are some other abandoned places in SC? If the abandoned Daufuskie Island resort captured your curiosity, you’ll want to check out the following abandoned places in South Carolina:

Landsford Canal - Catawba Springs Recreation Park - Lancaster Saluda Mill - Columbia Fort Freemont - St Helena Island

Searching for more? For anyone who is brave enough to try, there are quite a few abandoned places in South Carolina worth visiting, outside of this road trip above. In fact, we have a list of the eight abandoned wonders of South Carolina that make for quite the experience.

The OIYS Visitor Center

Daufuskie Island abandoned resort

February 14, 2023

Anne

What are some other abandoned places in SC? If the abandoned Daufuskie Island resort captured your curiosity, you’ll want to check out the following abandoned places in South Carolina:

Landsford Canal - Catawba Springs Recreation Park - Lancaster Saluda Mill - Columbia Fort Freemont - St Helena Island

Searching for more? For anyone who is brave enough to try, there are quite a few abandoned places in South Carolina worth visiting, outside of this road trip above. In fact, we have a list of the eight abandoned wonders of South Carolina that make for quite the experience.

The OIYS Visitor Center

The OIYS Visitor Center

If the abandoned Daufuskie Island resort captured your curiosity, you’ll want to check out the following abandoned places in South Carolina:

  • Landsford Canal - Catawba
  • Springs Recreation Park - Lancaster
  • Saluda Mill - Columbia
  • Fort Freemont - St Helena Island

Searching for more? For anyone who is brave enough to try, there are quite a few abandoned places in South Carolina worth visiting, outside of this road trip above. In fact, we have a list of the eight abandoned wonders of South Carolina that make for quite the experience.