More than 240,000 square feet of commercial space is under construction in the town center at The Downs. (Courtesy of M&R Development)
SCARBOROUGH — Verizon, NBT Bank and Maine Community Bank are the latest businesses to commit to locating in the town center that’s under construction in The Downs mixed-use development.
They join a growing list of companies setting up shop in the heart of the former Scarborough Downs. A Market Basket supermarket and an InterMed medical office building are expected to open later this year, and Café Luna is moving from its Route 1 location to the new town center next spring.
More than 240,000 square feet of commercial space is under construction in the town center and 70% is already leased or purchased, according to M&R Development, the Scarborough-based partnership that bought the site in 2018.
“Having these well-known businesses in The Downs will deliver convenience for residents and visitors, and serve as a catalyst to attract future residents, restaurants and retailers as we continue build out the town center,” developer Peter Michaud said in a statement.
Creating a town center in a community without one has been a stated goal in Scarborough’s comprehensive plan since 2006. The town then passed special zoning that allowed mixed-use development on the 577-acre property.
It now encompasses 700 homes with 1,000 residents off Route 1, and 50 businesses with 1,500 employees in a commercial district off Payne Road. And those numbers are poised to grow in the town center.
“For 20 years, Scarborough residents have wanted a true town center,” said Travis Kennedy, chair of the town’s economic development and downtown committees. “To see it finally happen is a milestone in local history.”
MORE BUSINESSES BUY IN
Verizon has leased space for a street-level store in The Breakaway, a commercial-residential building on Scarborough Downs Road that will have 76 1- and 2-bedroom apartments on four upper floors. It’s the first mixed-use building in the town center. Construction started in May.
A local artist will paint a mural on the building reflecting the 70-year history of The Downs as a racetrack from 1950-2020. Café Luna also will be located in The Breakaway and there’s ground-floor space for several other small businesses.
A rendering of The Breakaway building, currently under construction at The Downs. It will include several street-level businesses and 76 1- and 2-bedroom apartments on four floors above. (Courtesy of M&R Development)
NBT Bank, which has branches throughout the Northeast, including Portland, has leased space at 72 Market St. for its second branch in Maine, next to Market Basket.
“This investment reflects our strong commitment to southern Maine and our continued growth in the region,” said Mike O’Reilly, NBT Bank president for Northern New England. “We’re especially excited to be part of the revitalization of Scarborough Downs and serving the individuals and businesses who will call this new community home.”
The Market Basket at The Downs will be the chain’s fourth store in Maine, after Biddeford, Westbrook and Topsham. Maine’s first Costco opened in 2023 on the north side of The Downs, off Payne Road, and is driving nearly 2 million shoppers annually to nearby businesses, a study found.
Maine Community Bank is purchasing commercial condominium space at 4 Market St., near an Allagash Brewing Co. tasting room and restaurant, a nail salon and a fitness center. InterMed’s facility will be its sixth in Greater Portland.
Maine Community Bank plans to open a branch in the town center at The Downs. (Courtesy of M&R Development)
HOUSING PROJECTS MOVE AHEAD
Housing projects under construction in the town center include Cross Street Condos, with 96 luxury units in two buildings, and Sturgeon Place, with 51 affordable units designed for people with physical disabilities.
Since the developers purchased the property for $6.7 million, they have built more than $353 million in assessed value, which generates $4 million in annual property taxes, they said. When the first phase of the town center is completed, the assessed value is projected to be $463 million, pushing annual taxes to $5 million, they said.
The 700 housing units built at The Downs include single-family homes, market-rate apartments, townhouses, subsidized senior apartments and tiny homes — helping to make Scarborough a statewide leader in housing production, according to the Greater Portland Council of Governments. A total of 2,000 housing units are projected to be built in the development.
“Every community in Maine has something to learn from how the town of Scarborough managed growth at The Downs,” said Greg Payne, housing policy adviser to the Mills administration. “The town’s thoughtful zoning directed the growth, its comprehensive plan guided development, and the resulting mixed-housing types cater to every price point and demographic.”
