[3] It is situated nine miles southwest of the community of Telluride, in the Lizard Head Wilderness, on land managed by Uncompahgre National Forest.
[1] Topographic relief is significant as the west aspect rises 2,700 feet (820 meters) above Bilk Creek in approximately one mile.
[5] According to the Köppen climate classification system, Sunshine Mountain is located in an alpine subarctic climate zone with long, cold, snowy winters, and cool to warm summers.
[6] Due to its altitude, it receives precipitation all year, as snow in winter, and as thunderstorms in summer, with a dry period in late spring.
Precipitation runoff from the mountain drains into tributaries of the San Miguel River.