OLD ORCHARD BEACH — A proposal to allow residences on the first floor of multi-unit buildings in the Old Orchard Beach neighborhood commercial district of the Washington Avenue corridor will take time to review.

Washington Avenue runs east of Saco Avenue, beginning at Carlton Avenue and heading south to Union Avenue.

A section of the street – the area between Evergreen and Park avenues – is zoned as a Neighborhood Commercial-3 District, or NC-3.

Town ordinance does not allow street level apartments on multi-units in the NC-3 zone. This rule is likely in place because Washington Avenue was once a busy commercial area, and the town wanted to assure that storefront space would remain available, according to Planning Board documents.

Last year, DEC Investments LLC purchased a multi-unit building at 20 Washington Ave., which has had an empty store front space for many years. The investment company has requested that the town eliminate the restriction and allow street-level apartments in multi-unit buildings in the NC-3 zone.

The Planning Board recommended that the Town Council approve an ordinance change that would make street-level apartments in multi-unit buildings an allowable conditional use. Conditional uses require Planning Board approval.

Washington Avenue has changed over the years. Although there is a restaurant currently under renovation, a small convenience store and a laundromat, it is not the busy retail area that it once was.

There is a movement within the community to revitalize the Washington Avenue area. OOB Community Friendly Connection, a community group that seeks to make Old Orchard Beach a great place for people of all ages to live, work and play, recently hosted a block party in the area to connect with neighborhood and collect input from those living there. The event featured a “mock up” illustration of a bakery with street seating in the vacant 20 Washington Ave. space.

Councilor Jay Kelley said Tuesday that he thought the proposed ordinance to allow first floor apartments in the NC-3 would be a step backwards in the neighborhood revitalization plans.

“I would like to see it go back to businesses. That was our downtown. That’s where it all happened in Old Orchard,” said Kelley.

Council Chairman Joseph Thornton said that he, too, would like to see businesses in Washington Avenue, but he also thought there should be options for landlords who can’t find a commercial renter for first floor space.

Town Manager Larry Mead suggested the Town Council consider a workshop to get insight from Planning Board members on the proposal.

Thornton said he thought a workshop would be a good idea, and added that he would like more insight on how the proposed ordinance change would fit into the comprehensive plan.

The Town Council tabled the proposed change and voted to a workshop to review the proposal more thoroughly.

— Staff Writer Liz Gotthelf can be reached at 780-9015 or by email at egotthelf@journaltribune.com.