October 29, 2007
Campus rules | Changes are in the air at the former home of the Bangor Theological Seminary
When it seemed likely that the Bangor Theological Seminary campus would be put up for sale about a year ago, two Maine developers saw wisdom in investing in the scholarly setting. And though purchasing a historic academic campus is a bit unusual, those new owners believe there is not only potential for the site, but there's also potential for the redeveloped campus to boost the nearby city center.
Paul Cook, a Bangor developer, and Kenneth Ray, a self-employed Portland businessman, formed Seminary Redevelopment LLC a few months prior to their Aug. 15 purchase of the campus for $1.65 million. The Bangor Theological Seminary, facing dwindling numbers of residential students, was relieved to be rid of the campus that even empty had cost about $250,000 annually. The school has downsized to a new home at Bangor's Husson College (for more on the seminary's future at Husson College, see "Downsizing," on page 41.)
"You have seven acres and all these buildings in the center of a rapidly developing area in the state of Maine," Cook says. "On the face of things it makes a lot of sense. And we just like that property."
Bangor Mayor Richard Greene says the property offers lots of "bang for the buck." "It's very close to the downtown area, just on the outskirts of downtown proper, a wonderful little campus site." Plus, City Assessor Benjamin Birch says the private property will pull in $34,259 in annual taxes for the city, up from zero dollars when the site was owned by the tax-exempt seminary.
The two developers have already accomplished their immediate goal of filling the 21 apartments with tenants, and they have completed some grounds maintenance, made a few quick building renovations and, all the while, kept their eyes on the future. They're open to renting office space to nonprofits, like health care facilities or schools, or establishing housing for the over-55 set. They also plan to sell the well-known Hannibal Hamlin house, once home to Abraham Lincoln's first vice-president, for less than $400,000.
But the buildings, while picturesque, are old. And the site, which was rezoned to include residential and nonprofit use, cannot be used commercially according to current zoning regulations, which preserves the feel of the site but limits potential occupants.
Bangor consultant and broker Richard Cattelle, who helped market the campus for the seminary, said the site could challenge developers seeking effective reuses for it. He helped the seminary send out about 250 requests last year to prospective buyers, including commercial real estate developers and schools that might like a satellite campus. "We got very few specific responses," he says. "It took Paul Cook and his association to take a leap of faith and make an investment in the property and see what they could make out of it."
The campus consists of five apartment buildings with 21 apartments; a 10,000-square-foot library; the four-story, 20,000-square-foot Maine Hall; and a building that encompasses two older buildings and was used by the seminary as classrooms, chapel, cafeteria and gathering place. Across the street from the campus stands the three-story Hamlin House that was inhabited by seminary presidents after Hamlin's son donated it to the school in 1933. Grassy areas and 90 parking spaces complete the site.
Despite the number of facilities stretched over the seven-acre campus, most of the buildings were built in the 19th century. "They are in a historic district, so you have historic preservation requirements attached to them," Cattelle says. And, "Bangor's not a super strong economy that can support expensive renovation and redevelopment costs."
Partner up
But Cook is no stranger to real estate development, especially in the downtown. His company, Bangor Property Development LLC, owns several buildings in downtown Bangor, including the Exchange Building and the Coe and Stetson blocks of buildings. He built the 13,000-square-foot Antiques Marketplace & Café on Main Street, and owns apartment units through another business, Cook Investment Group. He's also gained 17 years of experience managing buildings as owner of Bangor-based Maine Real Estate Management LLC.
All this experience bodes well for the campus's success, Bangor Business and Economic Development Officer Sally Bates says. "He has demonstrated from his other businesses, either alone or with partners, that he will understand what will work," says Bates.
Ray, too, expresses his faith in Cook. "I wouldn't be involved with the project if it weren't for his involvement," he says.
Bangor's city center is now in the 10th year of a slow, steady upswing, according to Bates. "Given [the campus's] proximity to the downtown, it's certainly going to benefit from the downtown's robust economy," Bates says. "And by the same token, the downtown will be bolstered by good things happening and greater utilization by the seminary. It is likely that the spinoff will be greater for the local economy than the seminary."
The two developers are hatching plans right now for the site. According to Cook, he and Ray will keep tenants in the apartments, which rent for between $500 and $1,000 a month. Currently a day care and preschool also operate on campus, and Cook said he'd be happy if they expanded.
After finishing the beautification to the Hamlin House, Cook says the two will revamp the Maine Hall, which will take about $1 million, Cook guesses. He says the seminary can be used for offices, housing, and that the chapel, too, could be rented out for weddings.
The plan has it's contingencies, though: Cook says he'd be open to selling if an investor approached him with the right deal to buy all or part of the site. "If someone swooped in and said they would buy it, it would have to be enough to make it worth our while," he says.
But Cook says there would be limits on who the pair would sell to. The new owner, he says, would have to be respectful of the property's important historical place in the city. "We would be sensitive," he says. "We are carrying on as keepers of the seminary."
Paul Cook, a Bangor developer, and Kenneth Ray, a self-employed Portland businessman, formed Seminary Redevelopment LLC a few months prior to their Aug. 15 purchase of the campus for $1.65 million. The Bangor Theological Seminary, facing dwindling numbers of residential students, was relieved to be rid of the campus that even empty had cost about $250,000 annually. The school has downsized to a new home at Bangor's Husson College (for more on the seminary's future at Husson College, see "Downsizing," on page 41.)
"You have seven acres and all these buildings in the center of a rapidly developing area in the state of Maine," Cook says. "On the face of things it makes a lot of sense. And we just like that property."
Bangor Mayor Richard Greene says the property offers lots of "bang for the buck." "It's very close to the downtown area, just on the outskirts of downtown proper, a wonderful little campus site." Plus, City Assessor Benjamin Birch says the private property will pull in $34,259 in annual taxes for the city, up from zero dollars when the site was owned by the tax-exempt seminary.
The two developers have already accomplished their immediate goal of filling the 21 apartments with tenants, and they have completed some grounds maintenance, made a few quick building renovations and, all the while, kept their eyes on the future. They're open to renting office space to nonprofits, like health care facilities or schools, or establishing housing for the over-55 set. They also plan to sell the well-known Hannibal Hamlin house, once home to Abraham Lincoln's first vice-president, for less than $400,000.
But the buildings, while picturesque, are old. And the site, which was rezoned to include residential and nonprofit use, cannot be used commercially according to current zoning regulations, which preserves the feel of the site but limits potential occupants.
Bangor consultant and broker Richard Cattelle, who helped market the campus for the seminary, said the site could challenge developers seeking effective reuses for it. He helped the seminary send out about 250 requests last year to prospective buyers, including commercial real estate developers and schools that might like a satellite campus. "We got very few specific responses," he says. "It took Paul Cook and his association to take a leap of faith and make an investment in the property and see what they could make out of it."
The campus consists of five apartment buildings with 21 apartments; a 10,000-square-foot library; the four-story, 20,000-square-foot Maine Hall; and a building that encompasses two older buildings and was used by the seminary as classrooms, chapel, cafeteria and gathering place. Across the street from the campus stands the three-story Hamlin House that was inhabited by seminary presidents after Hamlin's son donated it to the school in 1933. Grassy areas and 90 parking spaces complete the site.
Despite the number of facilities stretched over the seven-acre campus, most of the buildings were built in the 19th century. "They are in a historic district, so you have historic preservation requirements attached to them," Cattelle says. And, "Bangor's not a super strong economy that can support expensive renovation and redevelopment costs."
Partner up
But Cook is no stranger to real estate development, especially in the downtown. His company, Bangor Property Development LLC, owns several buildings in downtown Bangor, including the Exchange Building and the Coe and Stetson blocks of buildings. He built the 13,000-square-foot Antiques Marketplace & Café on Main Street, and owns apartment units through another business, Cook Investment Group. He's also gained 17 years of experience managing buildings as owner of Bangor-based Maine Real Estate Management LLC.
All this experience bodes well for the campus's success, Bangor Business and Economic Development Officer Sally Bates says. "He has demonstrated from his other businesses, either alone or with partners, that he will understand what will work," says Bates.
Ray, too, expresses his faith in Cook. "I wouldn't be involved with the project if it weren't for his involvement," he says.
Bangor's city center is now in the 10th year of a slow, steady upswing, according to Bates. "Given [the campus's] proximity to the downtown, it's certainly going to benefit from the downtown's robust economy," Bates says. "And by the same token, the downtown will be bolstered by good things happening and greater utilization by the seminary. It is likely that the spinoff will be greater for the local economy than the seminary."
The two developers are hatching plans right now for the site. According to Cook, he and Ray will keep tenants in the apartments, which rent for between $500 and $1,000 a month. Currently a day care and preschool also operate on campus, and Cook said he'd be happy if they expanded.
After finishing the beautification to the Hamlin House, Cook says the two will revamp the Maine Hall, which will take about $1 million, Cook guesses. He says the seminary can be used for offices, housing, and that the chapel, too, could be rented out for weddings.
The plan has it's contingencies, though: Cook says he'd be open to selling if an investor approached him with the right deal to buy all or part of the site. "If someone swooped in and said they would buy it, it would have to be enough to make it worth our while," he says.
But Cook says there would be limits on who the pair would sell to. The new owner, he says, would have to be respectful of the property's important historical place in the city. "We would be sensitive," he says. "We are carrying on as keepers of the seminary."
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