🔒New hotel taking shape on Portland’s Monument Square

Portland-based hotel developer Fathom Cos. is transforming the Fidelity Trust building on Portland's Monument Square into a 101-room luxury hotel, set to open in summer 2027. Freeport-based Zachau Construction is the contractor on the project. Jim Brady, president and founder of Fathom Cos., recently gave Mainebiz a tour of the 10-story building, which was essentially gutted. Crews were still replacing windows and cleaning up demolition debris during the walk-through. The project has required extensive remediation of asbestos insulation, a fire-resistant material commonly used when the building was constructed in 1910. Brady, who was honored on the Mainebiz Next list in 2017 for his contributions to Maine's economy, expects the renovation costs to exceed $50 million. Some of the costs will be covered by $1.5 million in Brownfields loans from the city and the Greater Portland Council of Governments.

Marble floors, soaring ceiling

Even in its current state of disarray, the building's stately beauty is evident. The marble floors and columns are being refinished, along with the huge decorative first-floor windows, soaring ceiling, and impressive trim work. The building was the state’s tallest skyscraper when it was built. It's had several tenants, including M&T Bank, but was vacant when Brady purchased it in the summer of 2024. In addition to a guest reception in the grand lobby, Brady plans a full-service restaurant and bar. The lower level will be renovated into a wellness center for guests, with a sauna, steam room, cold plunge and experiential shower. Brady also plans to repurpose the historic basement vault into a salt relaxation room, which he’s loosely calling, "the salt vault." Guest rooms and suites will occupy floors two through nine and initial framing is starting to go up. “We have a number of one-bedroom suites throughout the floors, while our most bespoke suites are located on the 10th floor, with sweeping views to the mountains of New Hampshire westward, and over Casco Bay and the Fore River to the ocean to the east.” We walked up to the 10th floor with Brady, where the views across the city and out to the water are extensive. The tour continued to the “model room” of the future hotel. It’s a full-scale mockup that allows Fathom to test construction details, fit and finishes, furniture, fixtures, and equipment while the renovation is still in progress.

Portland portfolio

Fathom Cos. has developed and managed a number of hotels in Maine: the Brunswick near Bowdoin College, and the Canopy Portland Waterfront and the just-opened Evalina, both on Portland’s Commercial Street. Other properties include the Weldon 'aparthotel' on York Street and the Press Hotel on Congress Street near Portland City Hall. Fathom Cos. also has approvals for a hotel and condo project at 385 Congress St. in Portland and for a five-building multi-use development in Biddeford, which has just broken ground. Brady notes they are all boutique hotels, not franchises with a large chain.

“We are affiliated with Leading Hotels of the World, though," he said. "This membership is meaningful for us as we aim to establish the market lead for luxury hospitality in Portland. The nearest LHW is the Newbury Hotel in Boston.” The Monument Square project was approved before Portland recently increased its Inclusionary Zoning fee for hotels. But even under the earlier tax, Brady said he’ll have to pay a one-time fee of $4,831 per guest room, or “just under half a million dollars.” The new hotel’s location in the heart of Monument Square, an area which has struggled to hold onto retail, business and restaurant tenants, has made Brady wonder at times if the project may be risky. But he’s also optimistic that the newly opened constable station next door, the refurbishing of nearby properties, and the energy his building’s renovation will bring to the street will help make the area inviting again for locals and visitors alike.