The Haunting Story of a Notorious Hotel in Indiana

Mocobizscene- The Story Inn, located in Nashville, Indiana, has gained a reputation for being the most haunted hotel in the state. With its origins dating back to 1851, this historic establishment has instilled fear in the hearts of many, making them hesitant to spend the night. Adding to its eerie ambiance is the fact that the hotel is situated in an isolated area that was once the town of Story.

Before the great depression, the town experienced a thriving economy and rapid growth. Unfortunately, it was unable to withstand the devastating impact of the great depression. Today, the Story Inn stands as one of the few remaining vestiges of the town’s former glory.

The Story Inn, which operated as a general store in the 1970s, underwent a change in 1978 when Benjamin acquired the property. Benjamin’s purchase included not only the general store but also a grist mill, a barn, and a small house. In the beginning, Benjamin and his wife resided on the second floor of the building.

Benjamin, an architect and builder, had prior experience in the restaurant industry. Inspired by their shared passion for hospitality, the couple made the decision to transform their property into a charming bed and breakfast. And thus, the Story Inn came into existence.

Unfortunately, the Inn faced another setback in 1992 when the town was hit by hard times once again. This led to Story filing for federal bankruptcy, and as a result, the entire village was sold to Rick Hofstetter at a sheriff’s auction on February 14, 1999.

The hotel underwent renovations and now stands as the focal point of the former Story Village. It is also renowned for its resident ghost, famously known as the “Blue Lady”. Upon your arrival, you’ll immediately notice that the rooms are not identified by numbers, but by names. Furthermore, unlike any other hotel, each room has its own guest book instead of a shared one for the entire establishment.

Guests staying at the hotel are encouraged to share their personal experiences in each room, as some believe it is a way to connect with the spirits that reside there.

The Blue Lady has been a presence at the Story Inn since the 1970s when individuals first began documenting tales about her. There is a belief among some that she is the spouse of Dr. George Story, the man after whom the village was named. She is frequently sighted in the room now referred to as the Blue Lady Room, formerly known as the Garden Room.

According to local lore, she is described as a spectral figure draped in a flowing white robe, exuding a mischievous presence. Sporting captivating blue eyes, she is known to manifest when visitors activate a small blue light adjacent to her resting place. However, sightings of her have been reported even without this trigger. Her ethereal presence is accompanied by the scent of cherry tobacco, and it is customary for people to leave her presents, most often in varying shades of blue.

The hotel is known for its spooky tales, including flickering lights, mysteriously shifting objects, and chilling cold spots. There have been reports of eerie voices and whispers echoing through the halls. Interestingly, the hotel remains open to this day, and you can even book a stay in the infamous Blue Lady room.

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MBS Staff
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