Auburn Mayor Jason Levesque, who owns the former B. Peck & Co. department store on Main Street in Lewiston, seen in the foreground in May, plans to develop housing on the parking lot behind it at Middle and Lowell streets. Russ Dillingham/Sun Journal file

LEWISTON — A multi-phase residential development proposed by Auburn Mayor Jason Levesque is moving ahead after the first 150-unit building on Middle Street was given unanimous Planning Board approval earlier this month.

According to Levesque, the next step will be a City Council hearing in September on a proposed tax increment financing district. Another Planning Board review for a 180-unit building could come soon after.

The City Council has already signaled its support for the project and a TIF agreement. City officials are hopeful the development could help usher in improvements associated with its Riverfront Island Master Plan, including an extended Riverwalk trail.

During a development review hearing Aug. 14, the Planning Board approved the 55 Middle St. building with some conditions related to parking, street trees and an easement on the north side of the parking garage owned by Levesque that will serve as a connection to the extended Riverwalk.

The 590-space parking garage, which Levesque said is empty, is planned to serve tenants of both residential buildings.

Levesque also owns the nearby former B. Peck & Co. department store building on Main Street, which is empty after L.L.Bean left in 2021. He said he is also eyeing redevelopment there.

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The proposed six-story, 150-unit building on Middle Street will be built on what is a parking lot used by Central Maine Medical Center. Officials said the project is estimated to cost $32 million.

The first floor will feature 1,500 square feet of retail or restaurant space, as well as services for its residents.

During the hearing, several board members emphasized the need for the development to increase “connectivity” in the downtown area, and between the riverfront and hospital campus. Levesque is also seeking to bury the overhead utilities in the road, urging the city to look at how other improvements could be done at the same time.

Board member Alex Pine asked the development team to be creative regarding an access drive to the parking garage from the first building, saying it could be a more pedestrian-friendly plaza.

He said the space should be centered “around the Riverwalk and people using the building.”

Board member Josh Nagine also said the development is a chance to “re-picture” that area of Lewiston while accomplishing city goals for the Riverwalk and other amenities.

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Developers are hoping the residential development, along with mixed-use commercial space, can bring new energy to the area, and that it will spur additional development that can “feed off each other.”

Planning Board Chairperson Lucy Bisson voiced one of the only concerns, which was related to privacy for first-floor tenants of the building. She said the low window height would allow “anybody walking by” on the Riverwalk to see into the first-floor apartments.

Architect Nick Griffin said that with the space on the side of the building, additional plantings or screening could be installed.

The only public comment came from City Councilor Larry Pease, who said he supports the project.

City staff has said the proposed 20-year TIF agreement would generate $551,000 annually in new taxes, with 65% returned to Levesque over the first 10 years. The return would then decline 5% per year until year 20. In all, it would return $5.6 million to the developer, with $5.37 million going to the city.

The new value would be used for infrastructure improvements, while the city would also share the cost of moving utilities underground between Chapel and Bates streets. An early cost estimate is $600,000 but officials conceded it could be much higher.

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