The former townsite of Dillon, Colorado, lies beneath the waters of Dillon Reservoir, and the town moved to its current location, at the northeast edge of the reservoir, for the Denver Water Board to start work on building a dam across the Blue River in 1961 to create the freshwater reservoir, also known as Lake Dillon.
Prior to inundating the area with water, a grave site and many of old Dillon’s buildings were moved to the new townsite, including the Town Hall, the former Dillon School House and Community Church building (now the Summit Historical Society museum), and the Arapaho CafĂ©. Other buildings were moved to the neighboring towns of Frisco, Silverthorne and Breckenridge, and any remaining structures were demolished.
It was the third relocation in its history for Dillon since being established as a stage stop and trading post by the Dillon Mining Company in 1881.