Yacht builder considers site at Boat School

David Marlow of Marlow Yachts and Marlow Marine of Palmetto, Fla., and Norsemen Shipyard of Xiamen, China, came to discuss his yacht‑building dream for Eastport during a workshop with the city council and city manager on the evening of October 18. With the exception of Councillor Earl Small, all councillors were present. As a result of that conversation, the city will investigate the potential sale of city property, the multi‑building facility that currently houses the Boat School, Westlawn Institute of Marine Technology and an office of the University of Maine Cooperative Extension SeaGrant.
"Eastport is a magnificent place full of maritime heritage," Marlow told the small audience, and if the right conditions are met he'd like to be a part of it. Marlow Yachts designs and builds high‑end yachts and employs close to 600 people at the 280,000-square-foot facility in China and 50 in Florida. He came to Eastport recently with a possible interest in the former Guilford mill building as a manufacturing center for building his smaller yachts and utilizing composite technology that could piggyback with Ocean Renewable Power Company's future composite manufacturing needs for their tidal generating units.
After reviewing the mill he told the councillors that the building is "the wrong place, everything is wrong. It isn't suited for composite." Instead he has set his sights on the Boat School's buildings and land on Deep Cove Road. The change in venue did not seem to change the possibility of a future manufacturing partnership between Marlow and Ocean Renewable Power Company. During the workshop ORPC Director of Operations Robert Lewis said, "I think there are synergies here. We like flexibility," and he asked Marlow for information on next steps.
For the workshop the city's Code Enforcement Officer and Assessor Robert Scott created detailed maps of the city's shoreland properties starting at the airport area at the end of Deep Cove Road and running along the coastline to Estes Head and around the point to the derelict Consea fish meal factory at the southern tip of the island. The properties encompass a mix of uses including residential and industrial.
Marlow is a self‑described "big dreamer" and talked for two hours about the airport, the port facility, the Boat School, the downtown, freight and passenger ferries, and emerging and proprietary technologies in composites. He envisions an upgraded airport for larger private aircraft and suggested that the port facility at Estes Head, if augmented by a 300‑ to 400‑ton mobile crane, might ship his large yachts to world‑wide markets. Looking at the large map, he expressed an interest in the possibility of using more land than just the Boat School property.

Training students on big business boats
"I don't dream small," Marlow said. "I'm trying to determine how to make it all fit together." But what it really came down to, when questioned by audience members and councillors, was the presence of the marine trades students and the facilities near Shackford Head. "Low‑cost labor is the method to my madness," he said. Students, he said, lower the labor costs and in exchange would receive world‑class training. "The students need to be graduate boatbuilders" in order to find high‑level craftsmanship positions in the boatbuilding world. The students would learn through hands‑on work mixed with curriculum. He envisions bringing over a handful of his craftsmen from Asia to transfer their skills through training.
As for Husson University, which operates the Boat School, he said, "I would prefer that they stay, but advance the curriculum.... I don't know the operating structure of the school but would prefer them to be involved to bring people to me to learn about the marine industry. If it isn't something that they want, the apprentice system is something I use in Asia. I wouldn't want to lose Husson, but it's not the only source."
According to city councillors, Husson University has not been involved in a discussion with Marlow or the city about the prospect of co‑joining the curriculum with his commercial boatbuilding operation. Husson University Boat School Dean Greg Miller could not comment on the possibility of combining an educational structure with a commercial boatyard or what Husson's role might be until more information becomes available.

The history of the Boat School
The Boat School is the country's oldest boatbuilding school. In 1977 the Maine Department of Education received a $1,050,000 grant to establish the Marine Trades Center at the Deep Cove location by utilizing buildings in place from the early 1970s. The owner at the time, Sealife Industries, received $330,000 for the property, although the assessed value was set at $450,000. Shortly after, the boatbuilding program of the Washington County Vocational Technical Institute relocated from Lubec to Eastport. The Boat School thrived until the mid-1990s and then began to see enrollment decline. In 2007 legislative action returned the property to the City of Eastport and the Boat School transitioned from Washington County Community College (WCCC) to Husson University.
The school currently bills itself as Maine's most affordable and comprehensive marine trades training program, with an in‑state and New Brunswick residence tuition cost of $8,900 per year and $13,450 for out‑of‑state students. The school is fully accredited and offers one‑ and two‑year certificate and diploma programs in boatbuilding and composites technology. Since 2007 Husson has been building the curriculum, staff base and student numbers. Enrollment has risen from a handful to 37 students this year.
Dean Pike, owner of Moose Island Marine, a member of the nonprofit Friends of the Boat School and an instructor at the Boat School, raised concerns about losing the name of the school and its presence in the community if Marlow were to purchase the facility. He suggested that any document drafted between the city and Marlow include language that would keep the name in Eastport. Marlow was hesitant to assure Pike that this could occur. Pike commented, "We fought long and hard to have the Boat School here."
Public access to state park and pier
Councillor David Morang cut to the chase by asking, "So you're looking to buy?" Marlow replied, "I think it makes the most sense. I'm not crazy about improving someone else's land and property." After being asked by Morang for a rundown of next steps Marlow said, "Economically I have to figure it out. What can I do with what is right there right now? Can I buy it at a reasonable rate of return? I need you to make a fair offer." He stressed that, because of his company's technological innovations, security around the facility would be important. Marlow suggested that the public access road to Shackford Head State Park be re‑routed from Deep Cove Road to go along the hilly edge above Cony Beach that overlooks Broad Cove. Code Enforcement Officer Scott mentioned shoreland restrictions might be an issue with relocating the road to that area.
Marlow was unable to assure councillors that the boat launch pier next to the Boat School would be accessible to fishermen and recreational boat users. He said that Marlow Yachts uses "a lot of very high value machinery. I don't know that that's compatible" with pier users. The pier sees a wide range of boat owners and users for launching, repairs and mooring. An additional pier user is the WCCC outdoor recreation program, which retained access to and use of the pier when the property returned to the city in 2007.
Councillors discussed the possibility of relocating the pier to another spot on Deep Cove Road. Council President Robert Peacock said, "Docks can be put anywhere," but added that the current pier's advantage lies with the amount of water still present during low tide. In addition, the Travellift at the pier is used by Pike in his business, and this lift, Marlow said, would be something he would want as a part of his purchase agreement.
Marlow noted that because of the state of the economy, "There are opportunities all over the U.S. of boatyards and marinas that could use a hand. I picked Eastport because I like it.... Compared to other opportunities, it's probably the least viable, but they don't really interest me. The one I like the most -- I'm sitting here."
In an interview, Scott says he's determined that the 20.8-acre Boat School property has a $1.974 million assessed value as a commercial lot, with the value of the buildings less depreciation plus the pier and ramp. He notes that the assessed value can be different from the sale and appraised value. "The school itself would not go back on the tax rolls," he adds. Scott explains that should Marlow Yachts purchase the property and Husson or another educational institution continue to run on the premises, his office would need to do additional work to determine the value of that portion of the property used for educational purposes and remove it from the taxable portion of the property.
Senator Kevin Raye, who was instrumental in working with a number of key stakeholders in 2007 to pass legislation that returned the property to the city, notes in an interview, "If the city wants to transfer ownership of all or a section of the property, it would require an act of the legislature. It was turned over to the city for its current use." If the Marlow Yachts proposal "comes to fruition, I'd be happy to introduce the legislation." Raye did not anticipate that this would be a cause for concern.
The city manager will work over the next few weeks on issues and property values. In a few weeks the council will schedule a special meeting to discuss the possible sale of the property.