Earlier this month, Sunday River Ski Resort released the next phase of its Merrill Hill development sales for the exclusive ski-in/ski-out neighborhood.

Following the sale of all 18 “Founder’s Lots,” 12 new “Vermillion Lots” went on the market Oct. 11, priced from $650,000 to $1.3 million. When construction costs are added, the final price tag is as lofty as the view.

Located on Aquamarine Way and Topaz Way, both cul-de-sacs, the new parcels boast westward views of ski mountains Jordan, Oz and Aurora, as well as the Mahoosuc Range. A centerpiece of Boyne Resorts’ 10-year Sunday River 2030 plan, the project was launched in 2021 and sits between South Ridge and Aurora Peak.

In addition to offering direct lift access, the development has added new snowmaking capabilities, 600 vertical feet of terrain, and new trails including Spectra, Prism and Double Refraction.

The project — and other ski-area developments — has raised concerns in Newry, a town of 411 year-round residents. The large vacation homes and rising short-term rental demand have added pressure to local services, including septic systems, waste facility overflow and volunteer emergency services.

Yet, a vacation rental ordinance brought forth by Newry Code Enforcement Officer Joelle Corey failed 40-15 at the town meeting in May. The ordinance would have allowed town officials better oversight.

At the vacation rental ordinance meeting, one resident pointed to larger development issues. “You go up on Merrill Hill, they’re blowing the hell out of that mountain. It looks like motels are being built. They are $7 to $12 million homes. … I don’t see how this (vacation rental) ordinance is going to do anything until you control the building up there,” he said.

Sunday River President Dana Bullen said he wouldn’t respond directly to the comment and instead noted, “We feel a tremendous responsibility to the community we are part of, Newry and the state of Maine. We live and play in nature’s cathedral. We’re very concerned about the environment and the impacts it all has.

“We try to do things responsibly and we always try to work with the people who give us our permits, who give us permission to do these things. To make sure we are operating within the guidelines they have established for us,” he said.

Bullen said it was several years ago when Bob Meador, a Florida developer, “came to Maine and fell in love.” In 2019, Bob’s widow Katie sold the already-permitted lots to Sunday River. That same year Sunday River sold the lower “Merrill Hill North” lots to local developer Ron Savage and his team.

Bullen said he knows each of the families on Merrill Hill. “There are some amazing families. It has been a great little community unto itself, which adds to the whole town of Newry,” Bullen said. “They are definitely part of the town of Newry and part of Sunday River. All those families want to be part of everything that goes on around here.”

Since 2020, Newry has issued 25 to 30 new home permits annually, with more than two dozen currently active for projects ranging from new builds to lift infrastructure. These permits cover the entire town — with about 80-85% of permits for the Sunday River side of town.

On Oct. 29, six homes on Garnet Way were buzzing with construction workers. Utility trucks were coming and going, too. Oversized signs marked the new lot locations.

Recent lot sales on Merrill Hill in the first phase included Lot 16 on Garnet Way, which closed on Aug. 25, 2023, for $875,000; Lot 18, with five-plus acres that sold for $1.3 million; and Lot 17, a five-acre lot that sold for $950,000.

On lower Merrill Hill, a house at 121 Morganite Way is for sale for $2,379,000 as of Oct. 19. The lower lots are not ski-in/ski-out but still have incredible views, Bullen said.

Construction has required significant grading, utilities, trail clearing and lift installation. The community features underground utilities and paved internal roads. The town’s property valuations have nearly doubled since 2022, largely due to mountain-area growth.

To manage impacts from heavy hauling, Newry has added a $250 site-plan fee and now requires developers to post bonds for potential road damage, especially along Monkey Brook Road, at the base of Merrill Hill.

At a recent Newry Planning Board meeting, Bullen said he thanked members for working with them to help them understand how they could be better community members. “Yes, they did start looking at things more specifically,” he said. “But they did it respectfully, they did it with kindness, they did it cooperatively. … Everybody benefitted from them being very specific about their expectations for us.”

Sunday River employs 350 year-round, full-time employees. Seasonally they bring on another 700 people. When Bullen started 21 years ago there were 190 full-time employees, he said.

Since opening in 1958, Sunday River’s growth has reshaped Newry’s identity. Merrill Hill marks the latest — and most visible — phase of that transformation.