The Right Equation for Responsible Development: Spotlight on Firehouse Village (Scarborough)

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 2024, 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 throughout the state, with each receiving special recognition at MEREDA’s 2025 “Notable Night” social celebration in May.

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.

Mainebiz also featured each of our Notable Project Recipients in their inaugural “Groundbreaking Maine” publication.  Be sure to check it out!  https://www.mainebiz.biz/special-edition/groundbreaking-maine-2025

MEREDA’s 2024 Top 9 recipients include:

Firehouse Village, Firehouse Ventures & Avesta Housing (Scarborough)

99 Western Apartments, Mastway Development (Augusta)

The Malone Family Tower, MaineHealth and Perkins&Will (Portland)

Seaport Community Health Center, Penobscot Community Health Center (Belfast)

Katahdin Woods and Waters National Monument: Tekαkαpimək Contact Station, Elliotsville Foundation (T3 R7 WELS)

Vertical Harvest, Vertical Harvest Maine (Westbrook)

Stacy M. Symbol Apartments, Westbrook Development Corporation (Westbrook)

Nightingale & State Street Campus Redevelopment, NewHeight Group & Redfern Properties (Portland)

Front Street Redevelopment, Portland Housing Authority (Portland)

Please join us this week in celebrating Firehouse Village.

MEREDA:  Describe the building and project.

Firehouse Ventures & Avesta Housing:  Firehouse Village is an innovative, adaptive reuse of a former fire and police station into a vibrant, self-contained community modeled after a traditional New England Village reimagined for modern needs. The 2.58-acre site incorporates a central green space abutting retail businesses. There is a curated mix of tenants including a grocery, a seafood retailer, a restaurant, a dry goods store and a community room that is accessible to the entire campus. Augmenting the small village feel is Village Commons, 31 units of affordable housing for people ages 55 and older.  This new apartment building, which is owned and operated by Avesta Housing, is a model of sustainable development that achieves Passive House standards for air tightness and exceeds the American Institute of Architects’ 2030 carbon emission goals.

MEREDA:  What was the impetus for this project? 

Firehouse Ventures & Avesta Housing:  The Town of Scarborough listed for sale its former fire and police stations on U.S. Route 1 and sought a quality development that would potentially save the historic brick buildings. The development team was looking for sites for multi-unit housing and believed that the parcel could creatively be fashioned to meet both the goals of the town and provide critically needed affordable housing.  The final product recreates a New England village feel with affordable homes and retail businesses in close proximity on one campus. The project also supports the local fishing and farming industries by providing a market for fresh seafood and groceries, and the community room provides a space for residents of Village Commons and other members of the neighborhood to gather for socialization, educational opportunities, and other activities.

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

Firehouse Ventures & Avesta Housing:  Due to the global pandemic, the planning process was extended for months beyond our expectations. In addition, the development team needed zone changes to address residential and parking requirements. Another priority included maximizing green space on a relatively tight parcel. We were ultimately granted a shared parking approach that alleviates the use of impervious surfaces.

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

Firehouse Ventures & Avesta Housing:  The construction phase of the project was completed as Covid-19 became widespread and took a dramatic toll on in-person retail activity. Marketing spaces during this period were extremely challenging, as few retailers were willing to take risks on extended leases. These difficulties were exacerbated by a rapid construction cost escalation caused by supply chain disruptions and labor shortages, requiring multiple revisions to the budget. In addition, the location of the site, while optimal for mixed-use infill, posed challenges in that it’s one of Maine’s busiest intersections and located along the popular Route 1 highway. These challenges were overcome by a team approach to think outside the box.

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

Firehouse Ventures & Avesta Housing:  Adaptive reuse of existing buildings is usually more challenging and expensive than building from the ground up. Meeting current building and energy codes required a nearly complete gutting of the former fire and police stations. The need for extensive and costly site infrastructure work and upgrades to almost all of the mechanical systems at Firehouse Village added to the budget. Due to the unavailability of certain materials for the initial building design, the development team decided to partially redesign the building with available materials to keep the construction timeline on track while implementing strict safety protocols and contingency plans to ensure the health and wellbeing of workers and the community.

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

Firehouse Ventures & Avesta Housing:  Firehouse Village is a model of sustainable and inclusive development that benefits both the community and the environment. By repurposing the former fire and police stations, the site preserves the hard- working pride of Maine and creates a welcoming space. The retail/housing mix creates a wonderful synergy, establishing a charming, traditional New England village-inspired setting while providing modern comforts and incorporating sustainable features to address future needs. Residents of the affordable apartment building can fulfill most of their daily needs directly on site, and other amenities such as banking, dining, a sports complex, a public park, the Eastern Trail walkway, and Scarborough Public Library are all within walking distance to the campus. Firehouse Village provides a welcome respite from the busy Route 1 commercial corridor and is a wonderful example of an infill, mixed-use development.