Hometown Economies: Bangor-Brewer

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Bangor and Brewer are the oldest communities among those profiled in the Hometown Economies series. Their shared histories are perhaps the richest in terms of its historical economic importance to the people of Maine.

Settled in 1769 among Maine’s great forests, Bangor quickly became the undisputed “Lumber Capital of the World.” In the 1830s, over 300 sawmills were operated by the waterpower provided by the Penobscot River and the Kenduskeag Stream. A network of railroads connected Bangor to other areas of the state and beyond.

Brewer’s early economy was likewise dominated by the lumber industry. The connection between the two cities was strengthened in 1832 through the completion of the bridge spanning the Penobscot River.

Similar to many towns in northern Maine, the decline of the area’s lumber industry resulted in an exodus of workers to more economically prosperous areas of the state. Bangor’s population declined by 9% between 1990 and 2000, whereas Brewer’s population declined by a less jarring 0.3%. The difficulties of growing an economy in the face of a shrinking population were becoming apparent. The cities set about attracting new types of businesses and encouraging younger people to stay in the area after graduation from local colleges, particularly the University of Maine’s flagship campus in nearby Orono.

Yet for two towns whose economic destinies have always been intertwined, Bangor and Brewer have developed different strategies toward economic development. Bangor is focusing on “creative economy” opportunities and the development of its riverfront. Brewer is seeking to develop businesses in the growing healthcare industries.