The Right Equation for Responsible Development: Spotlight on Northeastland Hotel (Presque Isle)

Each year, the Maine Real Estate & Development Association (MEREDA) recognizes some of the state’s most “noteworthy and significant” real estate projects, completed in the previous year. The exemplary projects from across the state, completed in 2023, not only embody MEREDA’s belief in responsible real estate development, but also exemplify best practices in the industry, contributing to Maine’s economic growth by significant investment of resources and job creation statewide.
This year, MEREDA honored projects from Portland to Gardiner to Presque Isle, with each receiving special recognition at MEREDA’s 2024 Spring Conference on May 15th.

In a multi-part series exclusive to the Maine Real Estate Insider, we’ll provide an up-close look at the most notable commercial development projects of the past year that are helping to fuel Maine’s economy in terms of investment and job creation. MEREDA is proud to recognize responsible development based upon criteria including environmental sustainability, economic impact, energy efficiency, difficulty of the development, uniqueness, social impact and job creation.

MEREDA’s 2023 Top 7 recipients include:

University of Southern Maine Portland Commons Residence Hall and McGoldrick Center for Career & Student Success, Capstone Development Partners (Portland)
Maine Savings Amphitheater, Waterfront Concerts, LLC (Bangor)
Phoenix Flats, Community Housing of Maine (Portland)
Homeless Services Center, Developers Collaborative (Portland)
Northeastland Hotel, Haley Ward, Inc. (Presque Isle)
Johnson Hall Opera House, Johnson Hall Redevelopment, LLC (Gardiner)
The Armature at Hanover Works, Reveler Development (Portland)

Please join us this week in celebrating the Northeastland Hotel.

MEREDA: Describe the building and project.

The Northeastland Hotel, a 100-year-old 50 room hotel located in Presque Isle, Maine needed renovations to bring the old building up to the modern age and better fit the needs of the community. Phase I of the project, completed in March of 2023, included the renovation of more than 8,900 square feet of space on the ground and basement levels of the building, including all common areas such as the restaurant, lobby, front desk/reception area, back entrance, restrooms, staff rooms, laundry facility, storage room, lower lobby entrance for the hotel’s grand ballroom, and a new cooperative working space, that would bring the most value to the overall community.

MEREDA: What was the impetus for this project?

The Northeastland Hotel was purchased by Ignite PI with the plan to create a co-working Innovation Center, renovate the hotel and restaurant while providing economic growth through new jobs, and renovation to the downtown community.

MEREDA: That sounds like quite a process. How long were you in the planning stages before construction started?

Our involvement in the project began when Haley Ward was engaged by Ignite PI to do a due diligence review of the hotel, looking for the building code related and practical challenges to renovating the building. We produced a report indicating what we had found, which was used by Ignite PI to decide how to proceed.

Once Ignite PI’s board knew what they wanted to do, they hired Haley Ward and Bowerbird Design Collaborative to develop designs to renovate the lobby floor of the building, adding a new coworking space to the facility, refreshing the main lobby of the hotel, and creating a new dining experience for hotel guests and the community at large. Once the design was completed, Haley Ward assisted the board in selecting Nickerson and O’Day to be the construction manager and contractor for the project and creating the construction documents needed to guide the construction of the work.

All told, the design process for the project took about a year before the project was ready to proceed to the construction phase.

MEREDA: Tell us about the most challenging aspect of getting this project completed.

Renovating the building posed a unique set of challenges, particularly due to the difficulty of renovating a 100-year-old building that was not completely compliant with modern building codes. The structure’s diverse history, with part of it being an addition, complicated the renovation process. Procuring materials, and workers in the rural location of Presque Isle proved challenging, requiring a collaborative effort from the entire city to locate supplies. Unearthing asbestos and addressing an unstable brick wall further added to the complexity. Innovative problem-solving emerged, such as using metal studs and spray foam to secure the shifting wall. Coordinating upgrades while keeping the hotel operational presented logistical hurdles, emphasizing the need for precise timing and coordination.

MEREDA: Something unexpected you learned along the way was….

The most surprising thing we learned along the path to completing this project was how important it was for all parties in the work to meet regularly and collaborate to address the challenges that were encountered as we executed our design intentions. The Owner, the design team and the contractor all contributed to solving the challenges we faced in bringing a 100-year-old hotel into the 21st century. Without the experience and creativity brought to the project by the whole team, the project might not have been as successful as it is for everyone concerned.

MEREDA: Now that it’s complete, what feature of the project do you think makes it the most notable?

Ignite PI found a non-traditional approach to serving a community in an innovative way, with the intent to revitalize the downtown and bring more opportunities to the City of Presque Isle, through a nonprofit partnership. This partnership allowed for the renovation of the Northeastland Hotel into a hub for new opportunities for growth in The County. The Innovation Center serves as the focal point of economic development for the community, providing first class accommodations, co-working space to aspiring entrepreneurs, a business center to visiting individuals, and a conduit for promoting the region and culture.