Now into its third generation of family ownership, Bali Hai Restaurant on Shelter Island will celebrate its 70th anniversary in October.

The Polynesian-themed eatery at 2230 Shelter Island Drive is renowned for its mai tai cocktails, seafood dishes, and enchanting bay views. Bali Hai’s potent mai tais are so popular, that the restaurant served its three millionth of the craft cocktails in May.

Bali Hai co-owner Larry Baumann and general manager Tommy Baumann talked with the Peninsula Beacon about the restaurant’s past and its legacy moving forward.

“My grandfather and Larry’s father-in-law Tom F. Ham Jr., a public accountant, purchased (then) Christian’s Hut on Shelter Island in 1954 after its third bankruptcy in two years,” said Tommy Baumann. “He would buy bankrupt businesses, turn them around, and sell them at a profit.”

Tommy Baumann said his grandfather “fell in love” with the Shelter Island property at first sight. Larry Baumann added his father-in-law was also drawn originally by the restaurant’s tropical theme.

“When he visited here he saw the view, which was like something he never knew, and he loved the South Pacific,” he said. “So he named it Bali Hai, which translates to ‘top of the isle’ referring to the musical ‘South Pacific.’ The other thing that happened in the mid-1950s was tropical drinks got very romanticized and glamorized – and the restaurant capitalized on that trend.”

Tommy Baumann talked about a development from the 1960s to the 1980s, that put this place on the map. “It was our night floor shows, two shows a night five nights a week with cocktails, a luau, and (Polynesian) costumed dancers,” he said adding it was “a big deal.”

Tommy Baumann added it also really helped that Asian fusion cuisine with its own distinctive “food identity” became more popular drawing guests to experience their restaurant’s Polynesian theme while sampling local seafood.

Tommy Baumann noted that coinciding with Bali Hai’s anniversary month in October, the restaurant will be running a “retro” menu featuring past culinary delicacies like Salmon Wellington, a popular dish from the 1990s.

Looking ahead, Larry Baumann pointed out Bali Hai has signed a long-term lease with the Port of San Diego to continue operating on Shelter Island. “We don’t plan any changes,” he said. “We’re into our third generation now of running the business, and we have members from the fourth generation in the family working here.”

Larry Baumann noted that the family’s “hands-on” approach to the business has paid dividends and will always be a hallmark of its operations. “The Baumann family are on the property daily, and I think it has contributed to our success,” he said. “We are blessed to have this piece of property, and we are woven into the fabric of the community.”

“We have regular patrons who’ve had their baptisms here, who’ve come to dinner here, had their proms and marriages here, had their first mai tai here at age 21,” pointed out Tommy Baumann concluding, “When you’ve been in business for 70 years, you get to be connected with a lot of the regulars.”

BALI HAI HISTORY

Before it was Bali Hai, the 70-year-old restaurant at 2230 Shelter Island Drive was Christian’s Hut, then The Hut. Both were developed by restaurateur Arthur “Art” Gregg Wellington LaShelle, who owned the popular Christian’s Hut in Newport Beach. That eatery was based on the original Christian’s Hut he had opened on Catalina Island in 1934 for the cast and crew of MGM’s “Mutiny on the Bounty.”

In 1952, LaShelle got approval from the City of San Diego to build another of his Tiki restaurants on the newly developed Polynesian-themed Shelter Island. Christian’s Hut opened in August 1952, eventually changing its name to The Hut. The corporation owning The Hut, Shelter Island Inc., ultimately filed for bankruptcy protection. That’s when Tom F. Ham Jr., a public accountant, recommended it as a potential moneymaker to his boss William Kirk. Kirk purchased it only after Ham agreed to operate the restaurant, after falling in love with the people and community on his initial visit. Ham soon turned Bali Hai into a success story, allowing him to pay off all debts from the bankruptcy and make a good name for himself in the industry. In 1954, The Hut was formally re-opened as the Bali Hai, which translates to both “Your Special Island” from the musical “South Pacific,” and “Top of the Isle.”

Ham’s family is now in its third generation operating the Bali Hai when founder Tom Ham, Jr.’s daughter Susie and husband Larry Baumann took over. Now their son, Tom Drake Baumann (Tom Ham’s grandson) manages Bali Hai. In 2010, the Baumanns renovated the Bali Hai. They also signed a 40-year lease with the Port of San Diego.