New multi-million dollar hotel proposed for Montague

Steve Sharratt
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Construction on the Riverhouse Inn could begin as early as this fall

This is a shot of the Montague waterfront, courteous the town's website. Montague may be welcoming a new, multi-million dollar hotel development to the town as early as this fall.

MONTAGUE — A new multi-million dollar hotel could be on the verge of construction here this fall.

If all goes well with the final contracts and details, The Guardian has learned the construction on the 30-room facility will begin on the banks of the Montague River this month.

“It’s in the proposed stage and it’s taken a lot of work,” said the new owner, who asked not to be identified until his building permit is filed. “We’re about 85 per cent complete with the financing and I'm confident we’re on the road to finalizing the project.”

The project has been in the works for two years as financing and designs were completed for the project named the Riverhouse Inn. Details about the proposed construction began surfacing as part of the Montague town election campaign.

Plans are to include a 100-seat multi-media room to provide convention-like facilities like video conferencing and Power Point presentations, but not a restaurant.

The Inn is designed to be a four-storey building complete with turrets and take advantage of the southern exposure to ensure substantial natural light throughout the building. All rooms, from basic to bridal suite, will overlook the Montague River.

“I think it will be a great addition to the town and we certainly need it,’’ said the owner. “I’ve had great support from those involved in this effort.”

Montague lost its only hotel when the waterfront structure was purchased years ago and turned into a seniors home. The change had little to do with the lack of business, but left the municipality with no hotel or motel option.

If this project does go ahead, the Riverhouse Inn plans to be open year-round to provide for the abundance of summer tourists and build on winter events from festivals, hockey and curling tournaments, and snowy getaways.

“We’ve got a great town and a great region here and I see this new project as helping to complement all the other attractions that have been developed in the community,” said the developer citing the town waterfront, museum, marina, restaurants, shopping, and the Artisan on Main project that featured artists working in three downtown buildings this summer.



Organizations: Riverhouse Inn

Geographic location: Montague River

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Recent comments

  • lyle lanley
    November 06, 2012 - 20:43

    Hey Montague! Have I got a deal for you! Forget the stupid hotel - buy a quality used MONORAIL! Oh yes, a monorail, just like I sold to North Haverbrook! It will put you on the map! Trust me but don't trust any other developer!

  • T
    November 06, 2012 - 15:41

    Sean Brown- The Rodd did not go under........ no goverment money was lost....... the building did not go to waste...... do you remember what was in that place before the hotel was ever built.....a old eye sore house and the owner i beleive beautified the montague waterfront...

  • T
    November 06, 2012 - 15:36

    Dear Abegweit- As a fellow worker of the Rodd Marina Inn and Suites it is true that Rodd pushed their reservations to Brudnell instead of the one in Montague. Rodd managed the building and did not own it. It was not of financial problems that it was sold.

  • caringgal
    November 06, 2012 - 15:26

    We lost our beautiful waterfront hotel in montague because of a disagreement with the re-elected mayor,who was mayor at that time. the owner wanted some cleanup outside of the hotel which really looked ugly,and was promised but never done.He became disgusted and put hotel up for sale.I doubt this guy will get any better co-operation from mayor and council.I understand owner is funding this himself...but not 100% sure.The waterfront is turning ugly with gym equip.and playground equip. that spoils the view.No wonder 3 board members quit when town went over their heads to do this.

  • Incred Ulus
    November 06, 2012 - 14:27

    This is such a terrible idea I'm -almost- speechless. If I understand correctly it is a 30 room hotel, with a state-of-the-art conference room for 100 people & no restaurant, open year-round. In Montague. And building could start this year? I feel bad for the company wanting to do this, if they have been planning for two years I'm sure a lot of money has already been wasted and they couldn't have predicted the massive hit to the economy Montague was going to take from the 2012 federal budget. I could see the research centre folks maybe using the conference room, but who else? Will people from Charlottetown come out to Montague? Maybe, maybe not. They better bring a lunch if they do! I am definitely in agreement that not one cent of taxpayer's money be used on this project, because this is a non-starter. More short term (construction) and low wage ( probably also short term, very likely part-time) jobs replacing full-time, middle class jobs. I hope no one tries to sell this as 'economic growth' for the area; that's just insulting, & Islanders know better.

    November 06, 2012 - 13:41

    dream on - if this does not have govnerment money all over it, i will eat my hat, ---- nobody, but nobody does anything on this Island without government hand outs, --- it's 'the law'

  • doreen
    November 06, 2012 - 12:16

    don't forget about kates cafe, great breakfast there.

  • A Small Private Hotel
    November 06, 2012 - 10:06

    Am I missing something? A 30 room 'private' hotel. What is wrong with that? No wonder Montague can't get ahead. The negativity in that community is so thick. I wish the developer all the best with this.

  • donald duck
    November 06, 2012 - 09:53

    I think that it will be good for the town of Montague and i will tell you where its going you heard it here first ...lanes cottages close to the ice cream shop

  • Not surprised
    November 06, 2012 - 09:51

    The Ghiz government loaned $16.3 million of OUR tax dollars to build the Holman Grand Hotel, yet I've heard it is only assessed at $4 million ?!?!?!? Who's making all this money, and why do we keep getting screwed by the people we elect???

  • Bill Kays
    Bill Kays
    November 06, 2012 - 09:40

    How do the business concerns of one individual constitute news? Why is it even in the Guardian? If a private individual wants to risk his own money in a venture such as this it should be his business alone and not made public. Only if public money was involved should the Guardian print such a story. I am of the impression (and I could be wrong) that there is no public monies being invested in this project, no tax breaks, or other public incentives. I wish the individual good luck with his project.

    • tom paine
      November 06, 2012 - 09:51

      sorry, mr. kays. Building a hotel in Montague is news, regardless of who finances it. It's a big deal for Montague, and the Guardian "covers the Island like the dew." But even then, when the Holman Grand was announced, there was no mention of public funds. Only later did we find out that $30 million of the $45 million came from the taxpayer. However, there is no justification for withholding the name of the developer. If he applied for a building permit, it's a matter of public record.

    • nitpicker
      November 06, 2012 - 11:29

      The story of a multimillion dollar construction project in the town of montague is not worthy of a place in the guardian? i would disagree with that. As a reader of the Guardian, I find such happening to be noteworthy.

  • Sean Brown
    November 06, 2012 - 09:16

    montague didnt make a go of the old rodds marina when it was there and now its a seinors complex. It is a complete waste of money if rodds can not make a go of it then why set yourself up for a fail and build something.

  • No restaurant?
    November 06, 2012 - 07:44

    I agree with Mistake that a hotel should have a restaurant or at least a small cafe for people staying in a hotel. I also agree with Joe Blow that there better not be once cent of taxpayers money going into such a venture.

  • Charlie Townian
    November 06, 2012 - 06:56

    From what I heard, the plans are all in order and the job has been awarded. If there's no restaurant in it now then there certainly won't be one in the near future. I hope this works out in the end.. Montague has been upgrading its facilities over the last few years and it's really turning into a great little town.

  • XComa
    November 06, 2012 - 06:50

    Seriously !.. One MultiMillion dollars Hotel is shutting down just a little after a year of operation and Montague is considering building another MultiMillion dollar Hotel. That does not seem to make sense... I hope no Tax Dollars get sunk into this unNeeded Project...

  • Dan MacKinnon
    November 06, 2012 - 06:41

    I think this is great for the area. But as usual there is people on here trying to drag it down. Please people post your real names, then make you comments or keep you trap shut.

    • intobed
      November 06, 2012 - 19:20

      Yes daddy.

  • Very Curious
    November 06, 2012 - 06:16

    I am very curious just where this will be built . The only place I can think of is the Federal Building on the waterfront that is closing . If this is so ; then the closing of this place was in the planning stages for several years in the back rooms . As stated , project has been in the works for two years . After what Lawerence has wasted on building this , (Millions) , for a private person to get it for private gain is totally wrong . This building and waterfront should only be used for the good of all taxpayers . I'm sure some goverment dept. could make fine use of this prime property for the good of all . It will be interesting to follow this news story .

  • brudenell bob
    November 06, 2012 - 06:09

    Yes, Montague could do with lodging and a restaurant. But as with Homburg, if it's privately financed, I wish them the best. If it's public money -= STOP.

  • SG
    November 06, 2012 - 00:19

    (Plans are to include a 100-seat multi-media room to provide convention-like facilities like video conferencing and Power Point presentations, but not a restaurant.) A multi million dollar Hotel with no Restaurant, only 30 rooms but will have a 100 seat multi-media room! Good Luck.

  • Justine Thyme
    November 06, 2012 - 00:07

    Was there not a hotel in Montague on the waterfront already, which could not fill their room? It was a great development, sadly married to the wrong hotel chain as far as promotion of the location. At least when it closed the building was developed into a useful business for the area. Wont hold a restaurant? That wont last, after the plans are in place I am sure a kitchen will be added for "future" plans. Will this be built as an add on to the federal building on the waterfront, hear that is closing.

    • Abegweit
      November 06, 2012 - 09:05

      The hotel that was in Montague before was under contract with Rodds to handle management including reservations. When ever there was a request for lodging in the Montague area, Rodds tried to fill heir own property in Brudenell first. Most tourists were unaware that there even was a hotel in Montague. Hopefully, this hotel will not suffer a similar fate. A hotel on the Montague River will help bring much needed tourist dollars to the area.

  • andy
    November 05, 2012 - 22:41

    I heard the Homburg is for sale, I'm sure the gov't would probably give it to them on a promise and probably even pay pd construction to move it.

  • Joe Blow
    November 05, 2012 - 22:05

    There better not be 1 cent of government money going towards this venture!!! The government's knowledge about building hotels is about as small as it gets, with the whole Holman Grand fiasco!! If this is a private project funded by a good person trying to help a community...then great....Montague could use this motel...but the government had no money now and cannot afford to spend money on a hotel the same day another hotel has been shutdown in Charlottetown!!

  • Mistake
    November 05, 2012 - 21:39

    You need a restaurant.....Montague is in dire needs of a 12 month restaurant....Sir Isaacs is for sale.....Pooles Corner is to far for somone wanting to have a couple of drinks with their meals-and not to mention a hot breakfast in the AM is needed with nothing being served early AM's in the town-unless of course you Like the Golden Arches of Tims.....Artisans on main? is that not gone already? Maybe you could buy the Homburg in town for a dollar and move it?