Mainebiz

W W W. M A I N E B I Z . B I Z 19 JA N UA R Y 1 0 , 2 0 2 2 F O C U S 2 0 2 2 E C O N O M I C O U T L O O K also proceeding with plans for a new headquarters in Portland's Old Port that Schneider aims to have built by 2024. In the shorter term, Schneider aims to ramp up news coverage and editorial staffing in several areas to make up for recent downsizing dur- ing the pandemic through voluntary retirements, saying, "We are now scal- ing up in the wake of that." Maine Public, which has 100 employees including 20 journalists, recently hired a state house correspon- dent in Augusta to replace a staffer who retired. Schneider says the com- pany also plans to add a Bangor cor- respondent and hire a correspondent dedicated to climate change — with plans to create a specialist team, or desk, devoted to the topic. While there has been less televi- sion production in recent years, Maine Public plans to produce more videos for distribution on digital platforms, which can be accessed from anywhere. Travel programs about Maine, of interest to a nationwide audience, could be distrib- uted through the Public Broadcasting Service system, he says. Launched in 1992 as the Maine Public Broadcasting Network and rebranded as Maine Public in 2016, the nonprofit is dependent on chari- table donations, general fundraising and corporate support that Schneider says has been steadfast even during the pandemic. "We do better when people use and value our services," he says. "Certainly people have an appreciation of Maine Public during these times, and of news and journalism" more generally. "I do think the services Maine Public provides are so important in a world like this." Other priorities include expand- ing foreign-language programming and coverage of immigrant commu- nities, as well as potential radio news and classical music expansion, with Maine Public applying for additional FM radio frequencies from the Federal Communications Commission. Maine Public submitted multiple applications in November and won't know the out- come until later this year. "Nothing is certain," Schneider says, "but we are optimistic about sev- eral of the applications." M A N U FAC T U R I N G / R E TA I L Maine Outdoor Brands gears up for trade show return, startup training B Y R E N E E C O R D E S R obust interest in Maine's great outdoors is sparking a wave of startup activity and newcomers to the Maine Outdoor Brands nonprofit trade alliance. Membership has grown 60% since the start of the pandemic to around 150 today. "With the pandemic, we've seen more interest in outdoor recreation, and that has definitely spurred some people to start businesses, which is amazing to see," says Jenny Kordick, executive director of the group, which is based in Portland but has board members from Kittery to northern Maine's Debouille Township. "We've seen that both on the product and service side." Among startups on her radar: Northeast Ramblers, a new Portland- based company that rents vehicles out- fitted with rooftop tents, field kitchens and gear for overland exploration. While traditional camping at state parks is "off the charts," Kordick notes that high-end camping, or glamping, is becoming popular, at places from Sandy Pines Campground to Kampgrounds of America's Terramor Outdoor Resort in Bar Harbor. Outdoor recreation in Maine gen- erated $2.3 billion in gross output in 2020, down from $2.9 billion in 2019, according to a November report from the U.S. Department of Commerce's Bureau of Economic Analysis. When 2021 data is released next year, Kordick says she expects the number to be back to around $3 billion or higher. To promote Maine on the national stage, Maine Outdoor Brands will have a booth at this month's Outdoor Retailer Snow Show in Denver featur- ing brands including South Portland axe maker Brant & Cochran and Waterville-based portable campfire provider Tree Free Fire. "is will be our first trip back to a trade show since the pandemic, and we're taking a bunch of emerging brands," Kordick says. "We're really excited." Among other plans in 2022, Maine Outdoor Brands will join forces with Maine Center for Entrepreneurs to develop business training for early-stage outdoor recreation businesses, with $25,000 from the Maine Community Foundation's Start Up Scale Up Grant Program. Maine Outdoor Brands also plans to pursue additional grants and funding to help the industry expand further. "We see a need to help accelerate and incubate outdoor recreation start- ups and work together as an industry to attract and retain a talented work- force," Kordick says. M U LT I - FA M I LY H O U S I N G In a hot real estate market, multi-family homes B y P e t e r V a n A l l e n M ulti-family home values in south- ern Maine had what Brit Vitalius of Portland-based Vitalius Real Estate calls "a wild ride" in 2021. In many towns in southern Maine, prices spiked 14% to 40% and volume was up more than 50%. ere were a couple main drivers of this, Vitalius told Mainebiz. First, the smaller multis — those of two to four units — are in high demand from owner-occupants. It's essentially the same demand driving single family house prices: People need a place to live and there simply are not enough houses or multi-family properties for everyone. Second, the same demand for housing extends to the rental market. As rental rates increase, the value of multi-families increase, he says. Vitalius cites the wave of new resi- dents fleeing cities or more densely pop- ulated or more expensive areas. Many of the people who have relocated to Maine are working remotely and retaining "big city income," he says. "ey are able to pay more when buying a home or when paying rent and are likely coming from cities with even higher housing costs, so there is no sticker shock," he says. In addition to Portland, investors are looking to Westbrook, Biddeford, Lewiston and Auburn. "Multi-family owners in other towns with relatively lower rental rates are dis- covering that there are now tenants who can and are willing to pay significantly more for rent," Vitalius says. "Building by building, units are improved to meet the tastes of this new, more affluent ten- ant base. [Landlords are] commanding higher rents." Even as Portland's year-old rent- control law has capped rents, the value of small multi-family homes continues to rise. In many cases, Vitalius says, the small multis are being acquired by owner-occupants, who are not affected by the rent-control measures. Most three-units on Munjoy Hill, for exam- ple, sold for over $1 million in 2021. But Vitalius says there are signs larger, so-called investment grade apartment buildings are seeing the effect of rent control. "Buyers are locked into current income with no other upside rent poten- tial, even when a unit turns over," he says. "Fed up with Portland, investors have focused their attention on nearly every other city in Maine, pursuing value-add opportunities as the market transforms around the new influx of residents, higher demand, and higher rent rates." He expects those trends to con- tinue in 2022. C O N T I N U E D O N F O L L OW I N G PA G E » We're about telling stories to Mainers and potentially telling Maine's stories to a wider audience. — Rick Schneider Maine Public Rick Schneider took the reins as president and CEO of Maine Public in July. P H O T O / C O U R T E S Y O F M A I N E P U B L I C Brit Vitalius, principal at Vitalius Real Estate Group in Portland, expects to see continued interest by investors in multi-family housing in southern Maine. P H O T O / C O U R T E S Y V I TA L I U S R E A L E S TAT E G RO U P Jenny Kordick, executive director of the Maine Outdoor Brands nonprofit alliance, says the pandemic has sparked stronger interest in outdoor recreation. P H O T O / C O U R T E S Y M A I N E O U T D O O R B R A N D S

• Cover