Affordable Housing Project Developed by PROP Revitalizing Westbrook's Historic Frenchtown Neighborhood

Peoples Heritage Bank provides mortgage assistance to the first new homebuyers in 19-unit condo project

The first two families have completed purchases of new condominiums as part of an affordable housing project aimed at easing the area's housing crunch and revitalizing a historic downtown neighborhood in Westbrook.

The collaborative program, developed by People's Regional Opportunity Program (PROP) with support from Peoples Heritage Bank, Maine State Housing Authority, the City of Westbrook, Gorham Savings Bank, Key Bank, and the Federal Home Loan Bank of Boston, involves 19 new and refurbished condos in the urban neighborhood known as Frenchtown.

PROP has set two new modular condominiums, each containing three units, on King Street. Each unit has three bedrooms and 1,300-square-feet of living space. An additional structure will be built on North Street. PROP has plans to rehabilitate existing apartment houses in the neighborhood to create ten additional condominium units.

"PROP's mission is to help people help themselves," said Grant Lee, the executive director of PROP. "That begins with having a safe, secure, and affordable place to call home. Creating this type of housing in Westbrook addresses a critical basic need for the families we serve."

Lee credited Peoples Heritage Bank for locating the first qualified homebuyers and providing mortgage assistance. The other lenders will follow suit in the weeks and months ahead.

Michael W. McNamara, president and CEO of Peoples Heritage Bank, said the bank values public-private partnerships like this one. "Home ownership is going to play a vital role in stabilizing and revitalizing that neighborhood," he said. "We're pleased to be able to become involved in this worthwhile endeavor and provide assistance wherever we can."

Approved homebuyers must meet certain income requirements and must occupy the residence for 5 to 10 years before selling it. The newly constructed condo units are selling for $144,000, but approved first-time homebuyers can qualify for subsidies to substantially buy down their mortgage, said Sharon Brobst, a community lender with Peoples affiliate Banknorth Mortgage Group.

"Working with the Maine State Housing Authority, it's been tremendously gratifying to put these first few loans together knowing what a difference this will make for these people and their new neighborhood," Brobst said.

Since the early 1800s Frenchtown has been home to folks from all walks of life - homeowners and tenants, millworkers and entrepreneurs, and immigrants from many countries who brought their proud cultural heritage here. In recent years the neighborhood fell on hard times as the economic dynamics of the city changed. But thanks to revitalization efforts that began five years ago through the Frenchtown Community Association with assistance from PROP, the neighborhood is changing for the better, according to city officials.

Neighbors have welcomed the three-story modular buildings at 17 and 32 King Street. They signal more good things to come to this riverfront community. Green space, a playground and public garden are planned.

Peoples Heritage Bank is a Maine-based bank with more than 60 branches throughout the state, four of which operate as Oxford Bank & Trust, a division of the bank. For additional information about Peoples, visit online at www.peoplesheritage.com.

PROP is a non-profit Community Action Partnership serving Cumberland County. Community Action changes people's lives, embodies the spirit of hope, improves communities and makes Maine a better place to live. Community Action is dedicated to helping people help themselves and each other.

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