Editor’s note: This article was published in Grand Traverse Scene magazine’s Fall 2025 issue. Pick up a free copy at area hotels, visitor’s centers, chambers of commerce or at the Record-Eagle building on Front Street. Click here to read GT Scene in its entirety online.
Comfort can seem to be in short supply these days. Except at Crystal Lake Alpaca Farm and Boutique where the warmth of interacting with soulful animals and the opportunity to buy the softest, coziest fall wear on Earth, both soothes and gladdens.
The farm’s 145 acres bordered by the Betsie River in Frankfort is home to 70 alpacas. Visitors pet, feed and get to know the friendly animals who produce luxurious fiber used for making sweaters, socks, hats, scarves and other items sold at the boutique.
“Alpaca fiber is softer than cashmere and warmer than wool,” said Kristin Nelson. Kristin co-owns the business with husband Stephan. She added: “Once you start wearing alpaca, it’s hard to wear anything else.”
The boutique is housed in a renovated barn constructed from wood sourced on the property. The country ambiance complements a curated collection of men’s, women’s and children’s wear. Shoppers also find blankets, felted ornaments, pillows, and cuddly stuffies, plus mittens, shawls and everything one needs to stay cozy throughout a Northern Michigan winter.
While some items are produced locally, most are imported from fair trade sources in Peru, the world’s major exporter of alpaca products. Kristin explained that the U.S. lacks the number of fleece-producing alpaca and manufacturing facilities to meet merchandise demand.
Behind the family-friendly operation is the couple’s dedication to sustainability. “These animals with their padded feet are gentle on the earth,” Kristin said. Alpaca graze without destroying plant roots. They consume a modest amount of water compared to other animals.
Shorn in the spring, one alpaca can produce enough fiber for four sweaters annually. Products fashioned from alpaca fleece can be pricier than other consumer choices, but they exceed sheep wool and cotton in sustainability.
“It’s easy to get caught up in cheaper options,” Stephan said. “We need to consider where we’re spending our dollars.”
The boutique’s comfy fall collection includes a new line of sweaters which Kristin said have never before been available in Michigan. The line includes cardigans, hoodies and pullovers. New designs in hats and scarves are also on the shelves. In addition, there’s a “farm to fingers” option available featuring Kristin’s handcrafted fingerless gloves made from the farm’s own alpaca fiber.
Visitors to the farm/boutique are invited to the Animal Park where they may pet and feed alpaca and meet the five mini donkeys. Admission is $3 per person. There is no charge for children younger than 2 years.
Interacting with alpaca creates a full circle experience. “If you pet one, you see how soft they are. It helps validate the products,” Kristin said.
Visitors may bring a picnic, settle in at a picnic table and soak up the calm rural setting observing alpaca graze and frolic.
The boutique’s ethically sourced alpaca products are available at two additional retail locations. Explore the Crystal Lake Alpaca Boutique at the Village at Grand Traverse Commons in Traverse City for best-selling alpaca products.
Visit its sister store, Crystal Diamond Alpaca Emporium at the Village of Bay Harbor to find a luxury line of alpaca products, including products created from silky baby alpaca fiber.
Opened in May, the store is gaining a following. “Every product feels special,” said store manager Shannon Villarrea. “People are drawn to the quality.”
The store’s wearable collection recently unveiled at the store features clothing for transition to the cool weather season.
If Crystal Lake Alpaca Farm and Boutique sparks one’s fervor for alpaca, you can put an alpaca on your shopping list. Buy your own from the farm for a pet or to start a herd. Costs vary, but Kristin said male fiber producers have a price tag of about $1,500. Females are pricier. The farm has received several national recognitions for the quality of their animals and the Nelsons provide new alpaca owners personal mentorship.
Kristin and Stephan bring expertise to all aspects of their business. Stephan’s parents established the farm in 2001. Stephan, who has a business and finance degree from Grand Valley State University, joined the operation in 2011. When an alpaca gives birth, he’s there watching over the mother and later caring for them. Kristan earned a degree in animal science from Michigan State University. She wears a lot of hats on the farm, from boutique logistics to animal husbandry.
The couple’s young children, Henry and Mary, are the third Nelson generation on the alpaca farm — making the enterprise a modern family affair. For visitors, the operation’s family-oriented experience provides the comfort found in the warmth of family bonds and the pleasure in wearing a cozy alpaca sweater.