Ski area to be sold at auction> Mt. Abram behind on mortgage, taxes

LOCKE MILLS — Ski Mt. Abram could not compete with the massive Sunday River ski resort down the road, so the small ski area will be sold at a foreclosure auction this summer, officials said.

The ski area had fallen behind on its mortgage payments and owed real estate taxes on the property, said Jack Fay, vice president of commercial lending at Norway Savings Bank.

Although it was not far behind on payments, the ski area’s financial condition was expected to worsen with no revenue this summer. Majority owner Rick Hoddinott could not be reached for comment.

Mt. Abram has long faced the challenge of competing with Sunday River, which is about 10 miles north on Route 26. Under owner Les Otten, Sunday River has grown into one of the largest ski areas in New England. Using Sunday River as a foundation, Otten has created a national network of ski resorts owned by American Skiing Co.

While big-name resorts have been consolidating, smaller operations have struggled to find ways to turn a profit in a market characterized by analysts as being marked by slow growth.

Chet Homer, who owns the Shawnee Peak ski area in Bridgton, said smaller ski areas like Mt. Abram have a tough time attracting skiers who expect the same amenities as larger resorts.

“You have the big destination resorts, and then you have the medium-sized ski areas which can attract the out-of-state skiers,” said Homer, who said Shawnee Peak fits that category. “Then you have the smaller areas, which cater to the local market and they struggle.”

But Mt. Abram seemed to be carving out a successful niche. This past year it had invested in more snow-making equipment, lights for night skiing and an area for snow tubing. But the ski area was hurt badly by the January ice storm and an early spring, said Greg Sweetser, executive director of Ski Maine, an industry association.

Sweetser said Mt. Abram may emerge from foreclosure a more successful ski area than it was in the past. The new owner will be able to take advantage of recent improvements, and the ski area has a core of loyal customers.

No minimum bid price has been set yet for the ski area, but Norway Savings Bank has reserved the right to bid on the property itself, said Richard Keenan, owner of Keenan Auction Co.