Once a farming community, Gorham’s residential population has been swelling for years.

And, now, business is booming as well, according to commercial brokers and local officials.

Tom Ellsworth, president of the Gorham Economic Development Corporation, cited a “natural outward progression” from Portland for available land and an inviting tax rate as factors that are beckoning businesses to Gorham.

“Our tax rate is very competitive,” Ellsworth said of Gorham’s tax rate of $19.50 per $1,000 of valuation.

For example, last year, Jotul North America, a Norwegian company that manufactures and distributes wood and gas stoves, moved from Portland to Gorham. Ellsworth said Jotul moved into a 100,000-suare-foot building in Gorham’s Industrial Park off Route 25 in August. It occupies the building vacated by Sebago Shoe.

Atlantic Hardwood Inc., a flooring distributor, also came from Portland and built a new building in Gorham’s industrial park. Other businesses, like Clean-O-Rama, decided to stay in Gorham. It relocated two weeks ago from another site in the industrial park where they built a new structure.

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Bob Lapointe, a spokesman for Clean-O-Rama that distributes janitorial supplies in Maine and New Hampshire, said location and a good relationship with the town kept the company in Gorham.

“Gorham was willing to work with us,” Lapointe said. “The location is excellent.”

Hanging on to businesses

Overhead Door Company, along with Glidden Paving and Excavating, are both relocating within the town. And Moody’s Collision Center on Narragansett Street got approval from the planning board last week for a 17,000-square-foot building and car storage area in the Narragansett Development District. Retaining existing businesses are as important as attracting new businesses for the town, Ellsworth said.

Gorham appears poised on the threshold of industrial expansion. Nappi Distributors of Portland has asked the town to rezone a 22-acre parcel on Main Street from roadside commercial to industrial. Nappi, which distributes beer and wine, hopes to build a $13 million warehouse. The planning board last week endorsed the rezoning request and sent it to the Town Council.

Also last week, Grondin Properties introduced a preliminary plan for a seven lot industrial subdivision on 56 acres on Mosher Road. Construction of a sewer line along Mosher Road to Westbrook from Little Falls will begin this year.

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Last year, Shaw Brothers Construction of Gorham bought a 100-acre tract from LaChance Brick Company on Mosher Road. After buying the land, Shaw Brothers hadn’t decided on a future use of their acquisition, but Danny Shaw indicated it would be a nice spot for an industrial park.

Growth spread over town

Business growth is sprouting all over town. In South Gorham, the planning board is reviewing plans submitted by Hans Hansen, who owns Hansen’s Farm Market on County Road, for a childcare center. Hansen will make a presentation to the board //// at 7 p.m.on Monday, March 6./////

Hansen, who has already submitted a sketch plan, said the building would be 60 feet by 100 feet and cost more than $500,000. The building, which would be located next to the farm market, would hold up to 50 children.

And also on County Road, VIP Auto Parts received approval last year for a retail store. The town granted VIP a tax break in the form of tax increment financing for road improvements because of heavy commuter traffic. VIP will build this spring on the former site of the Roberts Welding shop, which burned two years ago.

Downtown Gorham is flourishing, too. TD Banknorth opened a branch on Main Street in November.

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Ellsworth said the Shopper’s Village Mall on Main Street is undergoing an exterior facelift. He said pitched gables and other changes would be in keeping with traditional New England character. “It looks nice,” Ellsworth said.

The planning board is also reviewing a plan by Four Brothers, LLC, to transform the School Street United Methodist Church into an event center that would include a deli, lounge and wellness center. Town approval of the project, which could hinge on finding adequate parking, would pave the way for the church to sell and build a $1.7 million church at the intersection of Cressey Road and Route 25.

From agriculture to industry

Peter Mason of PoGo Realty said Gorham is growing from the industrial standpoint. Mason pointed to the town’s location and said the town is attractive to businesses. “I think it’s business friendly,” he said.

More jobs in industry mean more people relocating to Gorham to live near those jobs. Mason said residents are drawn to Gorham because of the school system and the “great people who live here.”

Once an agricultural community, Gorham is shifting toward industry. Businesses are finding space to build in Gorham. Businesses go where there’s availability, Ellsworth said.

And the town’s proximity to the interstate system plays a role. It doesn’t seem as far removed as it once was, Ellsworth said.

Last year, talks opened with the Maine Turnpike Authority for a possible spur linking Gorham to the Turnpike, and Congress approved the money for a Gorham bypass to relieve downtown traffic congestion.

However, Ellsworth said that businesses haven’t relocated to Gorham or expanded based on the expectancy of a bypass. “It will be a bonus,” he said.

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