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Finance committee recommends Epstein for commercial realtor services; full council to review
Summary
The Bangor City Finance Committee recommended contracting Epstein Commercial Real Estate to handle commercial property sales, citing staff interviews and local market familiarity. The committee noted the 8% flat commission and said the contract will go to full City Council next week because the five-year total may exceed $250,000.
The Bangor City Finance Committee recommended contracting Epstein Commercial Real Estate to provide commercial realtor services, citing staff interviews that indicated stronger local market connections.
Staff told the committee the city sent two bids for commercial realtor services after separating residential and commercial work: Epstein Commercial Real Estate and the Bullis Company. "This is the commercial side," staff said when introducing the item. Staff reported Epstein proposed a flat 8% commission while Bullis offered a sliding-scale commission plus an additional valuation fee if needed. Staff said interviews with the firms led them to conclude Epstein had better contacts and a stronger understanding of the Bangor market than the Bullis Company.
The recommendation matters because the contract will be used to list and sell properties the city acquires through matured tax liens and utility-bill foreclosures, transactions that state law requires be handled by a licensed broker in many cases. Staff said most lien-acquired properties are expected to be low-value, vacant, and in need of repair; the commission is deducted from sale proceeds before any amounts are returned to former owners, meaning the city would not typically incur out-of-pocket cost for higher commission payments on lien sales.
Staff also said the contract is not an exclusive requirement for all city-owned commercial parcels. For properties not required by law to be marketed through the contracted firm, the city may choose to sell directly or negotiate separately. Staff noted the committee previously approved a contract for the residential side (Shay Renee) and that this commercial contract will be placed on the full City Council agenda next week because, over a five-year term, cumulative payments could exceed the $250,000 threshold that triggers full-council approval.
Committee members asked whether 8% was Epstein’s normal commission; staff said the 8% figure is the firm’s standard rate. Staff also discussed whether splitting commercial listings between firms would have been possible; they said that was not part of the RFP and doing so now would undermine the competitive process used.
The committee’s discussion focused on market familiarity, expected low sale prices on lien properties, and the procedural need to present the contract to full council if total payments might surpass the statutory threshold. No roll-call vote on final approval of the commercial contract appears in the committee transcript; the recommendation will go to full council for final action.
Bangor City Finance Committee members in attendance included Councilor Beck, Councilor Dean, Councilor Fournier, Councilor Trumbo, Chair Councilor Pelletier, Councilor Hawes and Councilor Mallow; Councilor Leonard attended by Zoom. Finance Director David Littaker led staff presentations and answered procedural questions.
Looking ahead, the commercial realtor contract will appear on next week’s full City Council agenda for final approval.
