The Alpine-themed site opened in Parkwood Springs in 1988 but closed after a major blaze, thought to have been started deliberately, in 2012. And figures last year revealed there has been around 60 fires at the site in the last five years.
In the latest incident, arsonists are thought to have started a blaze there at about 9pm last night - and this attack comes less than a fortnight after two previous arson attacks on the same night.
Firefighters are now urging people to stop setting fires on the site as it is both dangerous and a drain on brigade resources.
Phil Smith, acting watch manager at Sheffield Central Fire Station, said: "It is thought to be deliberate and the fire caused damage to some of the old structures still left on the site.
"We get called out here quite a lot, which takes us away from other jobs.
"There is some fencing but due to the size of the site I think it is difficult to cordon the whole area off. I would urge people to stop going on there and setting fires. There is a significant risk of injury there, that is why it is fenced off."
Crews from Sheffield Central and Lowedges stations spent about two hours tackling the blaze.
The derelict site is now owned by Sheffield Council. At the end of last year council bosses asked investors and developers to put forward ideas for the site. Proposals put forward so far include transforming it into a mountain bike trail and national snow centre.
The council wants to attract a developer to transform the site into a nationally-significant attraction which will cement Sheffield’s reputation as 'The Outdoor City' - the UK’s leading destination for people seeking outdoor adventure, city culture and rural escapes.