Colby College touts $2.5B boost to Maine’s economy

PHOTO / GABE SOUZA Waterville's downtown has benefited from a number of building projects undertaken by Colby College, including the Lockwood Hotel, built in 2022.

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By Tina Fischer

Colby College’s investments and campus initiatives contributed more than $2.5 billion to Maine’s economy in the past six years, according to an independent study commissioned by the school.

In Waterville alone, the private liberal arts college contributed $1.3 billion since 2019, researchers with Richmond, Va.-based Camoin Associates found in the report.

“Job creation, business development and population growth are essential to Maine’s future, and that begins with strong communities,” said Colby College President David Greene, who presented the findings at an event last week.

“This report provides evidence that institutions can provide both catalytic and supportive roles to ensure all of Maine — not simply Portland and the coastal vacation centers — can plan for and benefit from a strong economy that benefits individuals and small businesses,” he added.

Greene was honored as a Mainebiz Business Leader of the Year in 2017.

Downtown impact

Colby has built and repurposed several properties in downtown Waterville, including the Lockwood Hotel, which opened in 2022.

With 53 guest rooms and an assessed value of $12.6 million, the business paid $250,000 in taxes in 2024, Camoin researchers found. Colby also built the Bill and Joan Alfond Main Street Commons, which houses 200 students who engage with the downtown.

The college’s investments in the arts in Waterville have contributed to the city’s growing reputation as a cultural destination.

The report shows that 330,000 visitors from out of town attended arts-related events in Waterville and on campus during the past six years, generating $45.3 million in total economic output and $15.1 million in earnings for greater Waterville.

Arts activities are centered at the Colby-owned Paul J. Schupf Art Center, as well as the Colby Museum of Art’s Joan Dignam Schmaltz Gallery of Art. On campus, the Colby Museum of Art, the Gordon Center for Creative and Performing Arts and other entities offer activities, including educational opportunities for local schools.

Overall, Waterville’s state-assessed taxable property valuation rose by 56% from 2020 to 2024.

Employment and capital projects

The report also found that in 2024, Colby’s activities supported more than 2,900 jobs and $216 million in earnings statewide, representing $487 million in economic output for Maine businesses.

With more than 1,000 employees, Colby is Kennebec County’s second-largest employer. The average salary for a Colby employee is $88,000, or nearly 20% above the statewide average, according to the report.

Colby spent more than $265 million on capital projects with Maine-based firms during the study period, including $33 million in Kennebec and Somerset counties and $6.3 million in greater Waterville.

In total, Colby’s capital expenditures related to major construction projects on campus and downtown, including residence halls, academic buildings and community spaces, supported $427 million in economic output across Maine.

Waterville saw population growth during the study period of more than 9%, outpacing both Kennebec County (4.5%) and Maine overall (3.5%). During the same period, Waterville’s labor force grew by 6.9%, compared to 2.2% for the state and 1.5% for Kennebec County.

More information

The study is a follow-up to a 2019 report that quantified Colby’s impact during the early years of the college’s revitalization efforts, from 2014- 2018.

The latest 84-page report is available here.