Southwest Harbor Approves Lindenwood Inn Liquor License Amid Ownership Transition.
Jul 20, 2026
The Bar Harbor Story is generously sponsored by the Bar Harbor Historical Society.
SOUTHWEST HARBOR—The Lindenwood Inn has new owners, but the property’s pending sale created an unusual challenge for the Southwest Harbor Select Board as members worked through the inn’s liquor license renewal last week.
On the agenda, the request for a renewal was by The Lindquist Group. The group that will be using the license is Lily Birch LLC, which has purchased the property.
Just one month after the May 1 death of inn owner James King, the Lindenwood Inn at 118 Clark Point Road in Southwest Harbor was listed for sale with a listing price of $2,225,000.
In the interim, many guests who had previously booked for early summer stays had difficulties because the inn was closed and for a time its website was down. Some are still working through that process, they told the Bar Harbor Story.
King, 69, of Southwest Harbor, and Randy Murray, 69, of Holden, both died, May 1, at inn. The two deaths were being investigated as accidental at the time of the incident.
On July 20, the Office of the Chief Medical Examiner responded to an email inquiry and stated, “The cause and manner is still pending for James King. Randy Murray’s cause and manner of death is undetermined.”
New owners are listed as Lily Birch LLC, which is the husband and wife team of Diana Chiriac and Tsvetomir Nikolov out of Bar Harbor.
Chiriac will own the real estate. Nikolov will own the operating business it says on their application for a Maine liquor license.
There were no concerns with the police department or code enforcement office about the license.
“This is definitely a unique situation,” Town Clerk Jennifer LaHaye told the board.
The liquor license inspector was scheduled to inspect the inn on the same day as the sale’s closing.
The only thing that’s changed before the town is the applicant. It is new owners, but the same establishment and license.
“Our town does not have a clear policy that speaks to the transfer of ownership with liquor licenses,” LaHaye explained.
“We fell in love with the island,” Chiriac said.
Nikolov is the superintendent of the Northeast Harbor Tennis Club. Chiriac owns Aesthetics by Diana.
“This is a new venture for us, (but) we’re vey well settled on the island,” Chiriac said.
It is a new license on the state side but only inn guests will be served on the premises.
“The liquor is an amenity. It is not for making money,” Chiriac said.
The 3,768-square-foot historic inn was built in 1902 and was previously the home of a sea captain.
The inn was once the home of Captain Olas Mills, according to the inn’s website. Mills and his wife Nettie built the three-story house in 1904, the website stated.
Correction: The town’s agenda had mentioned Red Sky in a license renewal. We’ve removed that mention at 1:37 p.m. as it was in our story.
Per the town office, “On 7.14.2026 The Select Board approved the renewal application of the Lindquist Group, on behalf of Red Sky.
“Later in that same meeting the Select Board discussed the application of the Lindenwood Inn. They Red Sky and Lindenwood were two different agenda items. The Select Board made a motion to amend the agenda and discuss the application. A hearing was previously held on it on 5.12. 2026, to discuss the Lindenwood Inn. It was tabled and then discussed on 7.14.2026.”
LINKS TO LEARN MORE
The hotel’s website.
Inn Owner One of Two Men Dead at Southwest Harbor’s Lindenwood Inn.
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