Condo Media - October 2012 - 12

MAINE
Condos in the News
W
Development on the Portland Horizon
e have all heard the jokes
about lawyers and ambulances,
but architects and
engineers can be found to
have similar behavioral characteristics.
Instead of chasing ambulances, we follow
promising construction sites and
watch for cranes on the horizon. In
Maine, the most prominent and visible
hunting ground is in Portland.
One of the most publicly conscious
vacant properties in Portland is the
site of the former Jordan Meats processing
plant off Franklin Avenue. The
city’s interest in this site stems from
the view of many that its full development
will be the catalyst to extend the
downtown area further east.
The Jordan Meats site development
is well underway with the recent
completion of a 122-room Hampton
Inn, the Sebago Brewing Company’s
newest restaurant and 12 condominium
units. This building complex is
sometimes referred to as “The
Opechee Phase I” project. The developer,
Opechee Construction
Corporation out of New Hampshire,
has a history of successful projects,
including office buildings, hotels,
industrial plants and multi-family
housing complexes.
The new $18 million proposed project
recently approved by the city is
called “The Opechee Phase II.” This
project will use the one-acre balance
of the Jordan Meats site to include a
five-story, 180,000 square foot
mixed-use building complex with its
entrance at 203 Fore Street. It will
comprise 18 high-end condominium
units on the top two floors; three
floors of office space; and commercial/retail
space on the ground floor.
The complex will also incorporate
12 CONDO MEDIA • OCTOBER 2012
two indoor levels of parking for the
building occupants with valet service.
Controversy Over TIF
As successful as “Phase I” was with
widespread praise for its appearance
and local economic value, “Phase II”
Recognizing the overall potential
continuing benefit, the city approved
the TIF funding proposal in late summer.
This would reduce the property’s
real estate tax bill over a 10-year
period by as much as 50 percent during
the first two years (or $1 million)
followed by a 40 percent reduction in
taxes over the following two years
($300,000 annually).
Interesting enough, the developer’s
is not without its critics. Most of the
controversy stems from the developer’s
new proposal, which called for
city financial assistance in the form of
Tax Incentive Financing (TIF), unlike
the “Phase I” project, which had
more traditional private funding.
Opechee requested a $650,000 tax
break to mitigate the $1 million estimated
costs of placing above-ground
utilities underground and subsequent
repairs of sidewalks and other disturbed
infrastructure.
Normally, condominium projects are
not eligible for TIF funding, however,
due to the mixed use of the building,
TIF funding would be allowed.
proposal also asked for a waiver on the
standard 8-foot wide parking space
requirement to allow 7’4” parking
spaces, to increase the number of
spaces to 178. The rationale was the
wider space requirement was intended
for normal drivers, while the parking
garage was to be totally operated by a
professional valet service whose drivers
could safely negotiate the narrower
spaces. This logic was accepted and
the waiver was also passed by the city.
For those of us with binoculars at
the ready on our front engineering
porches watching the Portland skyline
for new cranes, other development
sites include the former Village Café
Italian Family restaurant off nearby
India Street and the further development
of this Munjoy Hill neighborhood
by S. Donald Sussman, who is
reportedly purchasing many of the
old residential and warehouse buildings
along Middle, Hampshire, India,
and Congress Streets for the future
continued revitalization of this upand-coming
section of the city. Stay
tuned.
CM
Jack Carr, P.E., RS, LEED-AP, is
senior vice president with CriteriumEngineers
in Portland, Maine. He is a
member of the Condo Media board
and a frequent author and speaker.
by Jack Carr, P.E., RS, LEED-AP
CAI Regional News
Condo Media - October 2012

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