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Rural Maine to get 105 affordable rental units, governor announces

Gov. Janet Mills said a new law helped finance construction of the rentals in Hallowell, Newcastle, Rockport, Rumford, Sanford, and Waterville.

PORTLAND, Maine — Across the state, there's a growing issue that's hard to ignore: the scarcity of affordable housing. 

As more individuals and families flock to Maine in search of its charm and opportunities, existing residents find themselves grappling with the challenge of securing housing that fits their budgets.

Gov. Janet Mills has made tackling the housing crisis a priority, a sentiment underscored during the Greater Portland Council of Governments Regional Housing Summit in Portland Tuesday.

During the summit, Mills announced forthcoming construction projects across the state that she said were made possible by L.D. 2209, a new law she signed that increased the cap on mortgage purchase bonds issued by the Maine State Housing Authority.

"I'm pleased to announce ... that construction will start very soon on 105 new affordable rental units in Hallowell, Newcastle, Rockport, Rumford, Sanford, and Waterville," she said.

The summit served as a platform to unveil strategies aimed at alleviating the housing shortage and ensuring that Mainers have access to homes they can afford.

The Mills administration has set an ambitious goal: to create an additional 84,000 homes and rental units by 2030, with a significant portion designated as affordable housing. 

Moreover, the Greater Portland Council of Governments has outlined its own objective of adding 24,000 new homes by the same deadline.

"We have a lot of people who have moved here with remote jobs, that's increased pressure on housing prices," said Kristina Egan, executive director of the Greater Portland Council of Governments. "So we are working on how to accommodate that growth whether we want it or not and make sure the people in Maine have the homes they need and can afford."

Housing plays a critical role in supporting economic growth, according to the governor.

"The biggest impediment to our economic growth is the lack of affordable housing for our growing workforce in particular," Mills said. 

She said businesses in the state like Washburn & Doughty, the Bigelow Laboratory for Ocean Sciences, and The Jackson Laboratory have had difficulty hiring workers due to the housing shortage.

Mills said more than 1,000 homes are currently under construction, with an additional 2,000-plus homes in the pipeline, which she said will help meet the long-term demand for housing in Maine.

The governor's office provided this breakdown of the locations of the new 105 rental units, which are expected to take 12-18 months to build:

  • Waterville: 165 Main Street project – 18 units 
  • Hallowell: Tree Tops Apartments – 17 units 
  • Rockport: 6 Madelyn Lane – 18 units 
  • Newcastle: 16 Mills Road – 16 units 
  • Rumford: 988 Prospect Avenue – 18 units  
  • Sanford: Central Park Residences – 18 units 

The council announced an online housing toolkit for municipalities to help plan for new developments.

"We think this toolkit will make it easier for development to happen and also preserve natural areas that make Maine so special," Egan said.

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