Hotel-to Condo conversions put on hold in Old Orchard Beach

OLD ORCHARD BEACH — The town has imposed a moratorium on conversions of hotel and motel buildings to condominiums.

The moratorium was approved at the Nov. 15 Town Council meeting and is in effect for 180 days, unless the Town Council chooses to repeal it at an earlier date.

The town has received a number of inquiries from property owners wishing to convert hotel buildings to condominium complexes, according to text from the moratorium. These conversions raise many concerns, including parking adequacy and compliance with zoning, building, electrical, plumbing, and life safety codes; according to town officials.

Town officials say that the town’s existing ordinance does not provide tools to adequately review these conversions for regulatory compliance.

“Basically, with condo conversions, we have zero rules,” said Town Planner Jeffrey Hinderliter.

Earlier that evening, the issue of motel to condo conversion came up during the business licenses and approval segment of the meeting. On the list to be approved were three year-round rental licenses for units at 78 East Grand Ave., the former Biarritz Motel.

“We don’t have anything regulating that,” said Town Council Chairman Shawn O’Neill. “They don’t meet our current standards because we don’t have anything to govern that right now.”

The Town Council moved to delay the vote on the approval for a rental license for the three units at 78 East Grand Ave. to seek legal advice from the town attorney. Because the owners of the three units have gone through the town approval processes, the moratorium may still not apply to them even if the vote is delayed. However, delaying the vote will give the town time to review the matter and to determine how the potential approval of three condominiums in the 22-unit former motel would impact the other units in the building.

Publisher Liz Gotthelf can be reached at newsdesk@sacobaynews.com.