Gorham agrees to sell Amazon 94 acres for $4 million — but it’s just a first step

aerial view of industrial park in Gorham

PHOTO /COURTESY TOWN OF GORHAM A 94-acre parcel adjacent to Gorham Industrial Park is targeted for development by Amazon.

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By Tina Fischer

Amazon received preliminary approval from the Gorham Town Council on Tuesday night for its plans to purchase a 94-acre parcel of town-owned land in an industrial zone off Main Street/Route 25.

Thomas Poirier, Gorham’s director of community development, said that the project has a long way to go before the town would see an Amazon facility built — and there will be opportunities for the public to weigh in as the Seattle-based e-commerce giant wades through the approvals process.

“They won’t own it until they get all their approvals,” Poirier told the Town Council.

Amazon will face a site plan review before the planning board, followed by consideration by the Maine Department of Environmental Protection, the Maine Department of Transportation and possibly the Army Corps of Engineers.

The special council meeting was held in Gorham Town Hall and the Amazon issue was the only item on the agenda. There was no public comment taken, though several council members noted they had received many emails from residents. The session lasted barely an hour before the council voted in favor of the sale, 5-2.

No votes were cast by council members Charles (Lou) Simms and Seven Siegel.

Simms advocated for a more extensive cost analysis on the project and suggested the selling price was likely too low.

David Willis, another council member, countered: “We are not going to sell this land for $150,000 an acre. There are a lot of wetlands, a vernal pool, etcetera.”

Simms said the parcel would have more value and provide more tax revenue if it were used for housing development. “We instantly and dramatically devalued this land when we zoned it industrial. It was an arbitrary choice. We chose to make it industrial and we could change it if we wanted to.”

Council Chair Suzanne Phillips said: “When we bought this land in 2020, we were told industrial use was in high demand. Then COVID hit. We’ve been trying to sell this land for years.”

Town-owned parcel

The town purchased the parcel as part of a 141-acre tract for $4 million with the intent to expand the existing Gorham Industrial Park. Voters approved the purchase, along with an additional $1.9 million in infrastructure improvements, in November 2019.

The purchase included both a northern and southern lot, and the southern parcel has been developed into a “new industrial subdivision,” according to Kevin Jensen, Gorham’s economic development director.

The town had had lots in the parcel Amazon is pursuing under contract, but those deals fell through for a variety of reasons. Jensen told Mainebiz the town has been actively marketing this acreage since 2020 with Malone Commercial Brokers.

Simms argued that utilizing the land to support small businesses growth would be a better move for the town than making a deal with Amazon. “Small businesses create higher quality jobs. I’m business-friendly, but I’m people-friendly as well. I’m skeptical that this is the best path forward," he said.

Siegel ultimately voted no, but said, “This is the single hardest decision I’ve had to make in my three years on the Council. This feels like a devil’s bargain. A large company is going to bring in a lot of revenue, but it’s Amazon. I’m not a fan of Amazon," he said.

Siegel was vehement in emphasizing, “There are no tax breaks of any kind in this contract for Amazon.”

Council members Willis, Phillips and Rob Lavoie all said the governing body had given a great deal of consideration to the proposal and it was time to move forward.

“If our requirements are too strict for Amazon, they may drop out," Phillips said. "There is lots of public input to come and we’ll hear lots of concerns.”

The town could decide to nix the deal too before its finalized, but Poirier noted that decision would likely cost in the neighborhood of $135,000 to cover Amazon’s expenses during the permitting process.

It’s unclear what Amazon intends to build in Gorham.

Amazon spokesperson Mike Murphy has declined to share further details. After the vote Tuesday evening, Murphy commented in an emailed statement, “We’re always exploring the possibility of opening operations facilities — from small to large in scale — in communities across the U.S. Nothing is finalized in Gorham yet, and we’ll share more if additional progress is made and we have something confirmed to announce.”

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