Construction began in March 1928 and the aircraft was ready to fly by the end of the year, but would make its first flight on 10 January 1929 out of Anacostia NAS, Washington, D.C.[3] In standard Navy practice, production contracts were open to other bidders, and Martin underbid them, and was awarded the contract to build them as the Martin P3M-1 and P3M-2.

[6] The Navy placed a new contract on May 26, 1931 for an improved version, designation the Model 22 Ranger by Consolidated.

Incorporating features of the Model 16 Commodore, such as the enclosed cockpit,[2] and designated XP2Y-1 by the Navy.

Two Wright R-1820-E1 Cyclone engines were located on the underside of the top wing and had narrow-chord cowlings.

A third similar engine was mounted on struts above the wing, but was removed after the first test in April 1932.