The resort is located on the shores of Beautiful Peninsula (Pen) Lake. Colonial Bay is a small three season cottage resort catering mostly to young families and those who like the slower pace of a Muskoka vacation. With less than 40 people on the property at any one time you can experience your very own corner of Muskoka during your stay. There are many activities for everyone, including a range of water toys, lots of time to socialize at the waterfront, the evening campfire, or you can enjoy the privacy of your own cabin. more... See more text