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About Greenwood Lake, NY The Village of Greenwood Lake was settled by Europeans as a farming community in the 1700s in the area of an earlier village occupied by the Munsee Indians. The Munsees, considered a branch of the Lenape people (also known as the Delaware), were Algonquian speakers who called the lake Quampium. Some of the farms at the head of the lake were purchased by the Morris Canal and Banking Company in 1837, and portions of these properties were inundated after a dam was built that same year. It greatly increased the size of the lake to its current condition. The enlarged lake attracted tourists, and a grand hotel operated by Theron Felter was operating within the area of the Village by at least 1851.
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