Rumford, Maine — While Sunday River has made some big changes since 2020, it’s in hot water over a scrapped employee housing deal.
The Portland Press Herald reports that Sunday River Resort is being sued by a developer over a canceled project and a finished project that Sunday River backed out of. The lawsuit by High Tide Capital LLC alleges that the Maine ski resort backed out of an agreement to add more employee housing. The goal of the lawsuit, which was filed in Oxford County Superior Court last week, is monetary compensation. The developer also hopes they can reach a resolution that results in employee housing for the ski resort.
The Deal That Fell Apart
The developments were planned for downtown Rumford, which you may recognize as the home of Black Mountain of Maine. The two buildings, which are located near Sunday River, are part of Rumford’s historic Congress Street. High Tide planned to redevelop two buildings into employee housing for Sunday River Resort.
Over multiple years, High Tide and Sunday River were in talks to have these two buildings house workers. After a convoluted timeline of negotiations, Sunday River ultimately backed out of the initial deal just before the units were ready. The financial agreements with the town and bank were reportedly in place. The agreement, which was set to be reviewed by River’s owner (Boyne Resorts), was never signed. This left one of the developments without a tenant, and the other was never built.
“Unfortunately, Sunday River had a change of heart and more or less left us at the altar,” said Dash Davison, a principal at High Tide.
The 119 Congress Street development has been completed. Work on the other one (on 118 Congress Street), which would have had 55 beds of worker housing, never commenced.
On Sunday River’s side, there was concern about whether the units would be completed in time for November 2025. They also were concerned about an overlap in leases with a nearby property.
“We understand the importance of housing in our community and are committed to exploring the right opportunities,” a spokesperson for Sunday River Resort told the Portland Press Herald.
The situation rings a bell because Sugarloaf is dealing with something similar. In 2020, Franklin County reached an agreement with Sugarloaf Mountain to provide financial support for a planned project. Sugarloaf envisioned using this money to construct a dam that would have created a snowmaking reservoir. However, Sugarloaf decided against building it. The Maine ski resort decided to keep the money, while the county requested it back. Sugarloaf claims it has repaid the funds tied to the snowmaking project and is in touch with its legal counsel to determine whether it should repay the remaining balance. No resolution on that matter has reportedly been reached yet, with a lawsuit being a possibility.
Image/Video Credits: Sunday River Resort
