Affordable Housing Case Study: Sagamore Village Redevelopment
April 9, 2026
Drummond Woodsum served as counsel on the $60+ million redevelopment of Sagamore Village, a 200-unit historic affordable housing community in Portland, Maine. Originally constructed in 1942 and listed on the National Register of Historic Places, the property required significant upgrades to reinforce aging infrastructure, address environmental concerns, and meet modern housing standards without undermining its historic character and long-term affordability.
The project presented a complex set of challenges. It required maintaining eligibility for historic tax credits, coordinating multiple public and private funding sources, and ensuring affordability protections remained in place for residents. At the same time, the financing needed to support a full-scale renovation without reducing the scope of improvements.
To meet these demands, Drummond Woodsum structured a sophisticated financing and ownership model that brought together federal and state historic tax credit equity, conventional bank financing, and developer contributions. Central to this approach was the design of a multi-entity ownership and master lease structure, which allowed investors to access tax benefits while enabling the housing authority to retain long-term control of the property and its mission.
The result is a fully financed redevelopment now underway, with phased construction expected through 2028. Upon completion, Sagamore Village will offer modernized, code-compliant housing, improved environmental conditions, and expanded community amenities, all while preserving a vital source of affordable housing for generations to come.
This project reflects how thoughtful legal structuring can unlock complex financing, align diverse stakeholders, and deliver meaningful community impact without compromise.
Media coverage:
https://www.wmtw.com/article/sagamore-village-renovation-portland-maine-restoration/70900230