Leadership of the city of South Portland continues to promote development and developers of housing projects with few, if any, affordable workforce units and no broad community buy-in.
The proposal for Yard South is only the latest example.
Latitude at South Portland, with 256 market-rate and zero affordable units, was developed in 2020 on more than seven acres designated a Federal Opportunity Zone to spur economic growth and job creation in low-income communities while providing tax incentives to investors.
The City Council rezoned the land for a local developer and the planning board approved a $45 million project. The year after approval, the project was sold to a group of New York investors. Its managing partner boasted to the business press: “This project is the perfect example of both off-market and decade-long relationships paying dividends … We were introduced to the local landowner several months back and immediately forged a relationship.” The current rents paying New York corporate dividends range between $1,995 and $2,425 for 1-2 beds, plus a $600 administrative fee, $60 application fee and various monthly fees.
The Piggery, on Terrace Road, is a six-acre neighborhood oasis of woodland and meadowland, home to a variety of wildlife. A citizens’ group submitted a petition with 245 signatures requesting that South Portland buy and protect the Piggery. The group was amenable to low-cost housing in addition to preserving open space. The city purchased the property in Jan. 2021, however, claiming the city’s Land Bank didn’t have the $2 million the seller wanted, and two-plus acres were sold to HWLand Company, a Portland developer. According to city-approved plans, four buildings with 20 high-end, market-rate, three-bedroom, two-bath condominiums and 52 parking spaces will be built.
The eastern portion of the property will remain in city ownership for open space; however, a detention “wet” pond and an emergency turnaround for the development will be on the city-owned open space portion. Additionally, according to the plans, the storm water management facility is located on the city’s portion of the property, so an easement related to the maintenance of the storm water system will be conveyed by the city to the developer.
Yet another high-end market-rate condominium development was approved for 13 units on nine separate wooded lots at Surfsite and Preble Streets. The city’s Open Space Acquisition Committee inquired about purchasing lots with a portion of the $4.5 million bond voters passed in 2021, but the properties had already been sold and approved for development.
Meetinghouse Hill Park, a promising 43-unit housing project (nine single family homes, 21 condos and 13 townhouses) on the former six-acre public works facility experienced so many delays by city committees and departments that four affordable units won’t be available for three to five years. The prices of the nine homes in Phase 1 have now soared to between $750,000 and $775,000.
South Portland is now unaffordable to many, if not most, of the city’s essential workers, including police and fire, and to all low-income service workers.
Without a commitment by city councilors and a mandate to prioritize affordable housing (as defined in the city’s Housing Needs Assessment & Strategy report, released in June of last year), profit-driven acquisitions and developments will continue to proliferate, as they have in so many coastal Maine cities and towns.
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