Welcome to Bay Inn of Petoskey, a picturesque boutique inn nestled on the hillside 110 feet above the shores of Lake Michigan in beautiful Petoskey, Michigan. Located just 2 miles from downtown Petoskey and near walking distance from the beautiful village of Bay Harbor, Bay Inn of Petoskey is situated on an unparalleled piece of lake view real estate, providing spectacular views of Little Traverse Bay (Lake Michigan) from every guest room. Experience the much talked-about million dollar sunsets across the bay. Guests of Bay Inn of Petoskey will enjoy a relaxing stay in a quiet, clean, comfortable and welcoming environment. Innkeepers Shirley and Verne Osterlund will welcome you upon arrival and assure that your expectations are met during your stay. Originally from the Birmingham-Bloomfield area, Shirley and Verne decided to make the move north and purchase Bay Inn of Petoskey in January 1999. The move came after a twenty-year career operating the successful St. Christopher Inn located in Bloomfield Township.