Industry Watch
Hotelier has a history of stiffing contractors on MDI
Hotelier has a history of stiffing contractors on MDI
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✍️By ZRIntel Editorial Team📍Mount Desert Island, Maine
MOUNT DESERT ISLAND, Maine (BDN) -- The recent situation surrounding the Asticou Hotel, located on Mount Desert Island (MDI), has raised concerns among contractors and stakeholders in the local hospitality industry. Since the hotel's purchase by Tim Harrington in 2023 and the initiation of a $28 million renovation, 13 liens have been filed against the property due to unpaid contractor bills. This troubling pattern is not new for Harrington, who has previously faced similar accusations in other projects across the region. In fact, Harrington's history includes multiple contractor liens filed against him, indicating a persistent issue with payment delays. Ten contractors from various parts of Maine collectively filed liens amounting to a staggering $14 million against the Asticou Hotel over the past couple of months alone. Such financial disputes have implications not only for contractors but also for the broader economic environment on MDI, where the hospitality sector plays a crucial role. Prior to the current legal entanglements, Harrington had faced reprimands for unpaid bills connected to renovations at other properties, including The Claremont Hotel in Southwest Harbor. In 2021, a lien was filed by R.L. White & Son of Bar Harbor after they completed work that Harrington failed to pay for promptly. Their invoices totaled $925,000, marks an example of how disputes can drag on for more than a year before resolution. Another builder, Richard Bradford, who worked at a residential site on Little Cranberry Island, reported similar challenges. After submitting a bill for $324,000, he waited several months for payment, prompting him to file his own lien. Fortunately, after several months, Bradford received payment, allowing him to discharge the lien, but not without experiencing stress and uncertainty during the wait. Murky waters surround Harrington's management strategies, as he also oversees Salt Cottagesa high-end property in Bar Harborwith no recent contractor disputes recorded against it. However, scrutiny has previously dogged him, such as in 2017, when he abruptly closed a popular restaurant at The Boathouse Hotel in Kennebunkport, leaving staff bewildered by the sudden decision without adequate communication. The issues at the Asticou Hotel appear to underscore a culture of non-compliance with contractual obligations that could have far-reaching repercussions for the construction and hospitality industries within the region. In an industry where relationships and trust are paramount, delays in payment can lead to contractors re-evaluating their partnerships and even impact the availability of skilled labor in the area. As Harrington continues to expand his portfolio in Maines competitive hospitality marketpossessing multiple properties including upscale venues in Kennebunkportit remains to be seen how these unresolved disputes will affect his reputation and future business dealings. Local contractors, hoping for fair treatment and timely compensation, are left in a precarious position. While MDI remains an attractive tourist destination, uncertainty in the business relationships can impact both the quality of services provided and the overall guest experience.