Downtown options may help with Saco housing crunch
Watch the video above to learn about 24 new townhouses proposed for the east side of Saco Island. The proposal is now in front of the Saco Planning BoardAbove, a video report to Saco taxpayers, Spring of 2021. The Forge Collection has invested more than $7 million fixing up office and business spaces on Saco Island, as well as building several dozen new apartments to bring more residents into the City’s downtown district.Recent Newspaper Articles:
Edward T. “Ted” Moore has submitted a proposal to the Saco planning board to construct 24 three-bedroom residential units on the east side of Saco Island, a 6-acre landlocked parcel on the banks of the Saco River that has been vacant for decades. The board got its first look at the project on March 30th.
The plan calls for 12 duplex buildings, consisting of 24 residential units. Each unit would have a ground level walk-out and its own driveway. The project is timely, because Saco is experiencing a housing crunch. A recent analysis commissioned by the city identified a “low vacancy rate” compared to neighboring municipalities. Nearly 30% of the city’s housing units were built before 1939, and 97% of its housing units are more than ten years old. Meanwhile, between 2010 and 2019, Saco’s population grew at an annual rate of 0.89%, “nearly double the state’s rate.” (See: “ECONOMIC DEVELOPMENT MARKET ANALYSIS,” Camoin Associates, Sarasota Springs, NY, December 2020)
Although the east side of Saco Island is vacant now, in previous centuries it had been completely developed and buzzed with activity. Decades ago, it was home to various buildings, and featured waterfront capacity that enabled the loading and offloading of transport ships associated with the island’s more industrialized land use. Now overrun by invasive vegetation, the property has been largely unused for several decades. Remnants of that long-ago period remain on the site, with various rubble foundations still visible. The property is separated from Main Street by land owned by Central Maine Power.
The vacant east side parcel is quite unlike the island’s west side, which is experiencing a vigorous renaissance highlighted by a surge of new downtown residents in apartments and condominiums, plus the flourishing of important commercial destinations like the Saco Transportation Center, Crossfit Rising Tide, The Deli & Company, Run of the Mill Public House & Brewery, the new Pacifico restaurant and many personal services businesses.
Moore’s plan will draw more new residents downtown to support local businesses. Far more ambitious plans by other developers have failed in recent years, including proposals that included retail commercial spaces, a hotel, public access, designated spots for fishermen, walking paths along the river, a launch point for kayaks and canoes, and marina slips. A proposal in 2006 included development on the west side of Saco Island and 30 townhouses and a marina on the east side, and secured city council approval of a Tax Increment Financing (TIF) agreement of 95% tax forgiveness for 15 years, then 90% for another 15 years after that. The developer never completed the project as planned, including the 30 townhouses and the marina proposed for the east side.
Moore’s current proposal is smaller and does not require a public/private partnership. In July of 2019, he bought the 6-acre parcel on the east side of Saco Island at auction. Later that year, he presented another ambitious development proposal that did call for a public/private partnership, but officials signaled their disinterest in striking an agreement. The current proposal is less impactful than the 30 townhouse proposal (15 duplex buildings) that regulatory bodies, including the Maine Department of Environmental Protection, the Saco Planning Board and the Saco River Corridor Commission, approved in 2006. The land currently generates only $8,000 a year in property taxes for the city of Saco, and has become an attractant homeless encampment resulting in increased calls for emergency services visits associated with these unsuitable activities. After completion, the project will be professionally maintained and is expected to generate over $200,000 annually in property tax revenue paid to the City of Saco.
“These townhouses will be very tasteful, and when the project is finished it will contribute far more property tax revenue to the city than the vacant land,” said Stephen Bushey, the project manager and a senior associate at Gorrill Palmer. “Traffic impact will be very low, and the land will be substantially improved to stabilize the ground, remove invasive plants and complete much-needed revegetation. The residential scale development appears to fit well with the zoning, both locally and with the SRCC General Development Zone designation.”
Moore is a principal of The Forge Collection, which manages apartments, offices and other commercial spaces on the west side of Saco Island. The Forge Collection recently completed 31 new apartments in what used to be known as “Unit 91,” a property Moore bought from the city in 2018, returning it to the tax rolls. Also, the company recently won planning board approval for the conversion of vacant office space into 12 new apartments in the mill building at 110 Main Street. Construction began in January of this year.
Since it began its work in 2018, The Forge Collection has invested more than $7 million refurbishing its Saco Island campus, and it plans additional investment. The goal is to increase the residential and commercial vibrancy of the island, which supports nearby businesses and the transportation center, in harmony with the City’s current effort to update its comprehensive plan.