Courtesy / Malone Commercial Brokers
The Continental Mill, on the Androscoggin River, is viewed as a prime redevelopment opportunity.
Updated: August 12, 2019
Continental Mill buyer envisions commercial, residential use
Courtesy / Malone Commercial Brokers
Eric Chinburg, president of Chinburg Properties in Newmarket, N.H., purchased the Continental Mill in Lewiston for $715,000.
The buyer of a massive former mill in Lewiston envisions a mixed-use project of residential, retail, light industrial, commercial and office tenants.
Eric Chinburg, president of Chinburg Properties in Newmarket, N.H., bought the Continental Mill, at 2 Cedar St. on Riverfront Island, from Roy Continental Mill LLC for $715,000.
The 560,000-square-foot former mill is on 7 acres. Cheri Bonawitz and Karen Rich of Malone Commercial Brokers represented Chinburg in the deal, which closed June 20.
Chinburg is an experienced developer of historic mills in Maine, New Hampshire and Massachusetts.
“It’s a game-changer for the city of Lewiston,” Bonawitz said of the deal.
Chinburg acquired the mill through an auction conducted May 21 by Keenan Auction Co. The auction was used as a sales mechanism.
Riverfront master plan
According to marketing materials, the brick and granite mill was built in 1858 along the banks of the Androscoggin River. The mill has excellent views of the river and the Peace Bridge, and offers high ceilings, brick walls and hardwood floors that provide great amenities for office, retail and loft-style apartment development. The large site has 40,000 square feet of parking available and has excellent street access and exposure.
The site is in the Riverfront Island section of the Lewiston Riverfront Master Plan.
Riverfront Island is considered a pivotal area within the city’s downtown riverfront. It is home to the Bates Mill Complex, where high-quality restoration has attracted offices, destination restaurants, a brewery, a medical space, and new loft-style housing.
New cultural destinations and outdoor spaces have also been springing up through the Riverfront Island area. That includes the Franco-American Heritage Center, Museum L-A and Simard-Payne Park, which was once an abandoned rail yard and is now home to the Great Falls hot air balloon festival.
A former rail bridge is now a pedestrian and bike bridge. A Lewiston-Auburn Riverwalk has begun to take shape on the Auburn side of the river, and paths have been established along portions of the Lewiston riverfront as well.
Zoning changes
At Continental Mill, the main structure forms a square with two interior courtyards. A handful of other buildings surround it.
Originally built in 1858 as the Porter Mill to produce cotton, the property was purchased in 1866 by the Continental Co. and expanded and renamed. By 1895, the Continental Co. employed 1,200 people at the cotton mill.
Courtesy / Malone Commercial Brokers
An undated postcard showing the Continental Mill, built in 1858.
In more recent decades, the property has been home to Commonwealth Shoe, Falcon Shoe, Malvee Stitching, Acorn Shoes, Pantheon Guitars and a competitive cheerleading center, the Sun Journal reported earlier this year.
Chinburg said he’s working with the city on proposed zoning changes to allow a mix of uses.
“For example, we have a brewery that’s interested in occupying some space there,” he said. “But currently the zoning doesn’t allow that.”
Long-term goals include building affordable apartments, he said.
“We’re working with the city in a cooperative manner so that we can increase our chances of creating a vibrant and successful project,” he said.
Structurally, the mill is in good condition, he noted. Some of the roofing needs to be replaced, some brick repair is needed on the exterior and the utility infrastructure needs to be upgraded, he said.
“I anticipate the process with the city to wrap up in a matter of months,” he said. “Then the real challenge is assembling the financing that’s needed for these types of projects. The financing is complicated. Construction costs have increased at a much steeper rate than income, and there’s a gap between what you can build and what people can afford” for lease rates.
As a result, he explained, various financing tools are needed to make the project viable, like state and federal historic tax credits and municipal tax increment finance subsidies. Assembling the tools and identifying a lender can take a year or more, he said.
In the meantime, industrial warehouse space of 5,000 to 100,000 square feet is available for lease; Bonawitz and Rich are handling the leasing.
The Continental Mill is Chinburg’s 15th mill purchase. In Maine, he owns mills in Westbrook, Saco and Biddeford.
In December, he purchased the historic Dana Warp Mill in Westbrook, a 246,108-square-foot, four-story building that overlooks the Presumpscot River.
That mill was 70% full when he purchased it.
“That’s a vibrant property with a lot of commercial tenants,” he said in an update. “We’re operating it with the existing tenants and maybe a long-term plan to put in residential tenants.”
In 2014, he purchased a 237,600-square-foot mill on Saco Island and redeveloped it as a mixed-used property called Saco Mill #4.
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