Leavenworth is a city in Chelan County, Washington, United States. It is part of the Wenatchee−East Wenatchee Metropolitan Statistical Area. The population was 1,965 at the 2010 census. The entire town center is modeled on a Bavarian village.The railroad construction was completed during the winter of 1893. Lafayette Lamb arrived in 1903 from Clinton, Iowa to build the second largest sawmill in Washington state.Leavenworth was officially incorporated on September 5, 1906. A small timber community, it became the headquarters of the Great North Railroad in the early 1900s. The railroad relocated to Wenatchee in the 1920s, greatly affecting Leavenworth's economy.In 1962, the Project LIFE Committee was formed in partnership with the University of Washington to investigate strategies to revitalize the struggling logging town. The theme town idea was created by two Seattle business men, Ted Price and Bob Rodgers, who had bought a failing cafe on Highway 2 in 1960.