from Samantha Scott-O'Hara:

In case anyone wonders what happened next: J. B. Sanders' plans were not readily apparent when he bought a lot and stable on the east side of the Covington-Lexington Turnpike directly across from the buff brick two story First National Bank in 1909.

He completed what would be known as the Carlsbad Hotel in 1911. According to the 1928 History of Dry Ridge written by Joe C. Miller and Zinn Price, Sanders bought the old mill and the old town hall and store building , connected and built to them, forming the Carlsbad Hotel.

The entire town could see the thriving business possibilities arising from the hotel and mineral waters being developed by Sanders. The town trustees adopted an ordinance in 1911 changing the name to Carlsbad. However the name change was never approved by the Kentucky legislature or accepted by Post Office Dept. The ordinance was repealed in 1912. The move did succeed in adding Carlsbad Springs to the railroad timetable showing one stop for Dry Ridge and Carlsbad Springs.