Great news from DEED regarding redevelopment grants for seven projects that are expected to create 244 jobs and retain another 800 jobs! Communities include Chatfield, Duluth, Fridley, Minneapolis, St. Cloud and St. Paul. According to the Press Release posted on the Positively Minnesota website, on Oct 17th…
The $2.7 million in grants were awarded under the agency’s Redevelopment Grant Program to prepare blighted sites that will be redeveloped in Chatfield, Duluth, Fridley, Minneapolis, St. Cloud and St. Paul. A total of $6 million in funding was proposed by Governor Mark Dayton and allocated from the 2013 legislative session for redevelopment projects, which provide local communities the opportunity to leverage private investment and spur job creation statewide.
“The Redevelopment Grant Program has stimulated economic development and helped generate thousands of jobs in Minnesota since the program was created 15 years ago,” said DEED Commissioner Katie Clark Sieben. “The latest round of funding will contribute to the development of affordable housing, offices, light-industrial space and other projects around the state.”
The program helps cities, counties and other units of government pay for up to 50 percent of the cost of redeveloping blighted industrial, residential or commercial properties. The grants can be used to pay for demolition, infrastructure and other project-related improvements. Recipients must provide matching funds.
Since its inception in 1998, the Redevelopment Grant Program has awarded more than $63 million, funded 150 projects statewide and reclaimed 1,212 acres of blighted property. The program has created 9,423 jobs, retained 9,952 existing jobs and generated $26.9 million in new tax revenue. The program has attracted over $1.7 billion in private investment and led to the creation of 2,594 units of market-rate housing and 1,824 units of affordable housing.
The following projects received funding in the latest round:
REDEVELOPMENT GRANT PROGRAM AWARDS, AUGUST 2013
St. Paul Port Authority, Forest and East Seventh Streets, Parcel 4 – $483,840
The St. Paul Port Authority was awarded $483,840 for demolition, public infrastructure and geotechnical work associated with the last remaining piece of the Beacon Bluff project. This public private partnership is largest development project in two decades and will create 20 jobs and retain 81 others. This 5.98-acre site will be redeveloped into two light industrial buildings totaling nearly 50,000 square feet. An armored car company is expected to relocate to one of the buildings. The project is expected to increase the local tax base by $262,965. The St. Paul Port Authority Development Fund will provide matching costs.
Local contact: St. Paul Port Authority, Monte Hilleman, 651-204-6237
City of Chatfield, Twiford Area Redevelopment – $233,611
The city of Chatfield was awarded $233,611 to help pay for infrastructure costs associated with a commercial redevelopment project that will create four jobs and increase the tax base by $38,546. The city will provide matching funds.
Local contact: City of Chatfield, Chris Giesen, 507-867-1523
City of Duluth Economic Development Authority, Lincoln Park Apartments – $207,500The city of Duluth Economic Development Authority was awarded $207,500 for abatement and demolition of part of the former Lincoln Park School building. Some environmental infrastructure also is planned on the 2.75-acre site. The remaining structure will be renovated into 50 affordable housing units and 45,000 square feet of office space. Seven of these units will be set aside for households experiencing long-term homelessness. It is anticipated that this project will create two jobs, retain 31 jobs and increase the city’s tax base by $65,799. Matching costs will be covered by tax increment financing.
Local contact: City of Duluth EDA, Heidi Timm-Bijold, 218-730-5324
City of Fridley Housing and Redevelopment Authority, NIROP Site Phase I- $500,000The city of Fridley Housing and Redevelopment Authority was awarded $500,000 for demolishing a 30-acre portion of the former Naval Industrial Reserve Ordnance Plant (NIROP). The site will be redeveloped into two warehouse/office buildings totaling 345,000 square feet. The project is expected to create 70 jobs, retain 388 jobs and increase the city’s tax base by $586,257. Matching costs will be covered by tax increment financing.
Local contact: City of Fridley HRA, Paul Bolin, 763-572-3591
City of Minneapolis, 807 Broadway Ave. – $198,850
The city of Minneapolis was awarded $198,850 for demolition, asbestos abatement, storm water management and limited public infrastructure on this 5.8-acre site. The former site of the Minneapolis Public School Education Service Center will be redeveloped into 170,000 square feet of Class B commercial creative-use office space. The project is expected to create 125 jobs, retain 225 jobs and increase the tax base by $614,937. The developer will provide additional funding for the project.
Local contact: City of Minneapolis, Mark Garner, 651-673-5037
City of St. Cloud Economic Development Authority, Former Granite Bowl – $99,600
The city of St. Cloud Economic Development Authority was awarded $99,600 for demolition and some public infrastructure on this 1.05-acre site. The former site of the Granite Bowl – a downtown bowling alley – will be redeveloped into a 17,000- square-foot, Class A office building. The project is expected to create nine jobs, retain 52 jobs and increase the city’s tax base by $48,180. Matching costs will be covered by tax increment financing.
|Local contact: City of St. Cloud EDA, Cathy Mehelich, 320-255-7218
City of St. Paul, Lowertown Ballpark – $1 million
The city of St. Paul was awarded $1 million for installing public infrastructure at the Lowertown Ballpark site. Vacant since 2003, this 10.5-acre site was formerly home to Diamond Products/Gillette Co. The Lowertown Ballpark is expected to create 14 jobs and retain 23 jobs. City bonds will cover matching costs.
Local contact: City of St. Paul, Jody Martinez, 651-266-6424
DEED is the state’s principal economic development agency, promoting business recruitment, expansion and retention, workforce development, international trade and community development. For more details about the agency and our services, visit us atwww.PositivelyMinnesota.com. Follow us on Twitter at www.twitter.com/PositivelyMN.
Upon request, the information in this news release can be made available in alternative formats by contacting the DEED Communications Office at 651-398-9459.
Minnesota Department of Employment and Economic Development
Phone 651-259-7236 or 1-800-657-3858 ∙ TTY 1-800-657-3973
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