The bankrupt Lincoln Paper and Tissue mill has picked the Portland industrial real estate brokerage NAI The Dunham Group to begin marketing its 240-acre parcel bordering the Penobscot River in Lincoln.
The company on Tuesday asked a bankruptcy judge to allow it to hire The Dunham Group to start seeking a buyer for the property, much of which will require environmental remediation after decades of use making paper and tissue.
Town officials voted to begin investigating whether they could put around 262 acres of the property into the federal Superfund program, which would begin a decades-long cleanup process under the U.S. Department of Environmental Protection.
The town has sought to set aside a 90-acre plot that it says could be decontaminated sooner and potentially redeveloped for biomass energy production, light manufacturing or wood products businesses.
The proposed deal with The Dunham Group would allow the brokerage to begin negotiating with potential buyers for the mill’s roughly 240 acres at 50 Katahdin Ave. in Lincoln, through Aug. 1, 2018.
If the property sells, the deal would give the brokerage an 8 percent commission on the purchase price, except in the case of a sale to the town of Lincoln. The mill would not pay a commission on the first $80,000 of any sale to the town.
The agreement would allow, per state law, the brokerage to represent both buyer and seller, which carries certain restrictions. In those cases, a broker is prohibited from telling either buyer or seller whether the other party is willing or able to pay more or less than asked or detail the motivation of either party for buying or selling.