A Spencer Cornerstone

Carroll’s Bakery isn’t just a staple of Spencer, Iowa – it’s a part of the town’s history.

Trace your way through the long lineage of families and owners of what’s now Carroll’s Bakery and you will have covered more than 120 years of local business and community history.

“I feel that we’re a cornerstone,” said Colleen Thompson, who co-owns the business at 416 Grand Avenue with her husband, Paul.

That’s not an understatement. Everything Spencer has been through, so has Carroll’s Bakery and its owners.

Though it has been around under several different names since 1904, most of the bakery’s history has been as Carroll’s Bakery since 1928.

Not too many years after the Carroll family took over, the bakery survived the infamous Grand Avenue Fire in 1931 that destroyed 80 businesses and caused $2 million in damage.

The bakery stayed in the Carroll family until 1991 when the Thompsons took over.

“We’ve been running it since and following a lot of the same recipes,” Colleen said.

Although many of the recipes have remained the same, the Thompsons have made some changes. Paul went to school for baking and Colleen herself grew up in a bakery family.

“We brought in a lot of our own ideas,” Colleen said.

Truth be told, those ideas rejuvenated a business that, at the time, welcomed a boost. At first, the Thompsons weren’t so sure that’s how it would work out.

“The first day that we opened up, we had an inch or two of snow,” Colleen said. “Coming from Minnesota, we thought, ‘An inch – no problem!’ We had two customers. We thought we made the biggest mistake ever.”

Instead of letting that first day frighten them, Paul and Colleen simply got to work.

“We were able to increase the sales,” Colleen said. “Within three months, sales went up 75%.”

Everything has worked out since. Even during a global pandemic, which will be added to the list of historic events Carroll’s Bakery has overcome, Carroll’s continued on.

“During COVID, we asked our doctor ‘Should we stay open?’” Colleen recalled. “He said, ‘Do whatever you want or whatever you feel safe with.’ Paul and I looked at each other and said, ‘No regrets.’”

They decided to stay open.

“We created some normalcy that people were able to rely on,” Colleen said. “It’s something that always happens. Carroll’s is always awake or open.”

Today, as it always has been, Carroll’s Bakery being open 5:30 a.m. to noon Wednesday through Saturday is a given on Grand Avenue. Paul and Colleen are clocking in, working long hours to bake delicious breads, cakes and other confections.

But this time next year, Carroll’s Bakery being open is not a given.

As of January 2024, unless the right buyer comes forward, Carroll’s Bakery will be locking its doors forever.

What would that look like for Spencer?

For one, it would mean the men who play basketball at the YMCA and come in for doughnuts on Fridays would need to find a new spot, as would anyone else who frequently stops in for coffee, treats and a chat with friends.

It would mean losing a business that has seen many Spencer residents grow.

“We’ve always been there,” Colleen said. “We’ve done a person’s graduation cake, then their wedding cake and then we’ve done their first baby’s birthday cake. We’ve been a part of that.”

Seeing Carroll’s Bakery close is not something the community wants, especially the folks at the Spencer Chamber of Commerce. Colleen said the Chamber staff have been doing their part to not only promote Carroll’s, but are also trying out new initiatives that benefit all of Spencer.

“They’re being forward in their thinking,” she said. “They’re not doing the same old, same old just because we’ve always done it that way, which I’m really thankful for.”

Here at the Iowa Lakes Corridor Development Corporation, we want to see our region thrive. Covering Clay, Dickinson, Buena Vista and Emmet Counties, the Corridor assists businesses, communities, and individuals to support the growth of the region. We do this through partnering with our local chambers, cities, and counties on business retention & expansion programming, business attraction efforts, entrepreneurial & small business support, and workforce & community development.

We know that the Corridor region has many amenities to enjoy and is a wonderful place to live, work, and do business. The Corridor staff is here to help you get a taste of life in NW Iowa and Spencer. Whether you’re looking to relocate, expand, own your own business, or learn more about the opportunities in the Corridor Region, we’d love to get to know you!

To learn more, visit our website at www.lakescorridor.com or contact us at info@lakescoridor.com or 712-264-3474.