Sæby Watermill is the city's beautiful landmark. It is located by the bridge over Sæby Å very close to Sæby City Center. In the 17th century it belonged to the king and had one undercarriage wheel and one grinder, and it functioned as a grain mill.
In 1698 the watermill had been destroyed due to sand escape and in 1702 it became completely useless due to ice and flow, so in 1703 the mill got a new owner Elisabeth Bille from Sæbygård, who newly built the mill in 1710 and who in 1716 got the right to collect bridge money from people who crossed the mill dam.
In 1921, the two undercarriage wheels were replaced by a Francis turbine. The mill operation was stopped around 1930, but until 2003 the turbine provided power to the property, which today functions as a residence. The turbine may no longer be used, and according to the EU Water Framework Directive, the voting plant is to be completely or partially taken down.
The project for the conservation of the watermill and the establishment of a fishing ladder was approved in 2021 - after 41 years.
A grant of DKK 27 million from the state makes it possible for Frederikshavn Municipality to implement the project after 41 years. The project is about removing the voice plant and giving the fish free passage at the watermill. It is an expensive project, but it means a lot to many locals and to the city's tourists. It is also important to preserve cultural-historical values so that future generations can see how hydropower was used in the old days.