NORTH WINDHAM – Just a week after the Windham Town Council awarded a contract for the first phase of improvements to Donnabeth Lippman Park in North Windham, the town had a granite sign installed at the entrance of the park on Route 302.

The town bought the property situated behind Sherwin-Williams in May 2011 for $400,000 from the Portland Water District after receiving full reimbursement from Martin Lippman, a Standish summer resident and North Windham business owner whose wife, Donnabeth, has since passed away. The new sign was also donated by Lippman.

“I thought it would enhance the area, so people could find [the park] a bit easier,” Lippman said Tuesday. Swenson Granite Works of Westbrook made the sign, and R.J. Grondin & Sons of Gorham installed it last week, he said.

The 123-acre park surrounds Chaffin Pond on Route 302 and was formerly owned by the Portland Water District, which used the pond as a backup water supply. For many years, Town Manager Tony Plante said, the public has had access to trails around the pond for hiking and snowshoeing. Fishing is also popular on the property, he said.

Lippman owns three properties adjacent to Sherwin-Williams, including the former Sebago Gardens building, the former Dexter Shoe building, which is now a hearing aid manufacturing facility and another parcel between the two.

In 2011, the town spent $385,500 from its parks and recreation department fund to purchase the Chaffin Pond property with the intent to use it as a park. At the time, Lippman signed a memorandum of understanding, with the town promising to reimburse the full amount to the town.

As part of the deal, Lippman received 10 acres of the 123-acre parcel to accommodate a potential large-scale project on his property (possibly a hotel) that would require a large septic system. While he wouldn’t be able to build on the 10 acres, the land would factor into sewer density calculations when planning for a septic system.

On Tuesday, Lippman said though his dream for developing the 8-acre parcel hasn’t come to fruition, he still envisions building a nearby motel and restaurants.

“I envision making it like an Italian piazza,” or a market square, he said, explaining that the motel would be located to the rear of the property surrounded by shops or restaurants, and in the middle there would be a large water fountain.

“It was the plan, but my wife passed away, and I was sick,” Lippman said. “I ran out of energy. I just didn’t have the energy to keep things going. For now, it’s on hold.”

On Oct. 8, the Windham council awarded Drew Corp. of Lovell a $139,137 contract for the initial park improvements, which include widening the access road from Route 302 into the property and improving the parking area.

The work is being paid for with $50,000 from the town’s land and facilities capital improvements account, and the remaining $89,137 from the parks and recreation’s budget surplus. The first phase is expected to be completed by the end of November, said Ross.

The second phase of the improvements include building elevated boardwalks along the wet areas of the trails, picnic pavilions and a playground, he said.

“It’s a neat spot,” Ross said. “Being in the business district, I am hoping people at lunch time will come down and enjoy the park.”

“I’d like to see the park be available for all of the people in the area and people who come from away who want to enjoy Windham,” Lippman said.

From left, Parks and Recreation Director Brian Ross, stands by the new sign erected at Donnabeth Lippman Park, with Martin Lippman and Town Manager Tony Plante.