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DEED Awards Cleanup Funding for 15 Redevelopment Projects

Minnesota projects will create or retain more than 1,400 jobs

June 11, 2014

Madeline Koch, 651-259-7236
Madeline.Koch@state.mn.us


ST. PAUL –
The Minnesota Department of Employment and Economic Development (DEED) awarded grants totaling $3.7 million to clean up or investigate contamination on 15 sites slated for redevelopment. The projects are expected to create or retain more than 1,400 jobs.

DEED awarded the funding under its Contamination Cleanup and Investigation Grant Program for five sites in Minneapolis, two in Mankato and one each in Chanhassen, Duluth, Fosston, Golden Valley, Newport, Ramsey County, Rochester and White Bear Lake.

“These 15 projects will create jobs for Minnesotans and attract millions of dollars in private investments for land that had been considered too polluted for redevelopment,” said DEED Commissioner Katie Clark Sieben. “The Contamination Cleanup and Investigation Grant Program is laying the foundation for future redevelopment, business expansions and long-term economic growth statewide.”

Grants from the program pay for up to 75 percent of the cost of cleaning up polluted sites. Since DEED launched the program in 1995, more than 3,000 acres of polluted land have been reclaimed for residential, commercial and industrial development in the state.

More details about the Contamination Cleanup and Investigation Grant Program are available here.

The following are summaries of the latest projects:

Chanhassen, Dakota Retail Project, $204,600
The city of Chanhassen was awarded $204,600 in cleanup funding for this 1.7-acre site contaminated with petroleum and other pollutants. This former site of a gas station will be redeveloped into an 8,000-square-foot multi-tenant retail building. The new development will create 32 jobs and increase the tax base by $29,464. Matching costs will be paid by the developer.

Duluth, Jay Street Gas Holder Site, $214,064
The city of Duluth received $214,064 to clean up a 3.1-acre site contaminated with petroleum, heavy metals and other pollutants. Eight to 12 single-family homes will be built on the site, which previously was occupied by a 1 million-cubic-foot capacity coal gas holder. The project will increase the tax base by $30,363. Matching costs will be paid by the city.

Fosston, Chiropractic Clinic, $122,295
The city of Fosston was awarded $122,295 to clean up petroleum on this 0.32-acre site. Formerly occupied by a gas station, the site will be redeveloped into a 2,500-square-foot chiropractic clinic. The project will create two jobs, retain three jobs and increase the tax base by $3,088. Matching costs will be paid by city.

Golden Valley, The Xenia, $111,721
The city of Golden Valley was awarded $111,721 in cleanup funding for this 5.88-acre site contaminated with petroleum and other pollutants. A rubber/tire company, printing facility and electronic equipment warehouse were on the site previously. The property will be redeveloped into a 372-unit apartment building and four-story parking ramp. The new development will create 10 jobs and increase the tax base by $483,709. Matching costs will be paid by the Metropolitan Council, Hennepin County and the developer.

Mankato, 224 Lamm St., $209,412
The city of Mankato received $209,412 to clean up  petroleum, heavy metals and other pollutants on this 1.73-acre site. Historically, the site has been used as an unpermitted dump and was most recently used by the city as a bus maintenance facility. An existing 12,000-square-foot building will be renovated for use by the Children’s Museum of Southern Minnesota. The project will create three jobs and retain six jobs. Matching costs will be paid by the Children’s Museum and the Mankato Economic Development Authority.

Mankato, Hilltop Plaza, $126,618
The city of Mankato was awarded $126,618 in cleanup funding for this 0.7-acre site contaminated with petroleum and other pollutants. The site, previously used as a gas station, will be redeveloped into an 8,322-square-foot multi-tenant office/retail building. The new development is expected to create 17 jobs, retain 19 jobs and increase the tax base by $24,804. Matching costs will be paid by a city grant and the developer.

Minneapolis, Broadway/DC Group, $387,803
The city of Minneapolis received $387,803 to clean up this 1.17-acre site contaminated with petroleum and other pollutants. A lumber yard, coal yard, gas station and machine shop were on the site previously. Plans call for renovating an existing structure and building a 37,850-square-foot office/warehouse addition and a parking ramp. The expansion will create 33 jobs, retain 62 jobs and increase the tax base by $74,084. Matching costs will be paid by the city and the Midwest Minnesota Community Development Corp.

Minneapolis, 3118 W. Lake St./Tryg’s, $328,800
The city of Minneapolis was awarded $328,800 to clean up arsenic and other contaminants on this 1.9-acre site. This former site of a gas station will be redeveloped into a 154-unit apartment building with 5,000 square feet of commercial space. The project will create six jobs, retain 24 jobs and increase the tax base by $555,733. Matching costs will be paid by Hennepin County and the developer.

Minneapolis, East Side Station, $933,083
The city of Minneapolis was awarded $933,083 to clean up this 5.4-acre site contaminated with heavy metals and other pollutants. The former site of an electroplating company will be redeveloped into a 472-unit apartment building with 25,000 square feet of ground floor commercial space. The project is expected to create 56 jobs and increase the tax base by $1.68 million. Matching costs will be paid by the current owner and possibly other grant sources.

Minneapolis, Miller Bag Building, $50,000
The city of Minneapolis received $50,000 to clean up petroleum and other pollutants on this 1.33-acre site. A lumber yard, foundry, blacksmith shop and machine shop previously operated on the site. Redevelopment will include demolition and renovation of existing structures and construction of a 13,596-square-foot addition. The project will create 125 jobs, retain five jobs and increase the tax base by $192,813. Matching costs will be paid by the Metropolitan Council, Hennepin County and the developer.

Minneapolis, MoZaic East, $358,323
The city of Minneapolis was awarded $358,323 in cleanup funding for this 1.22-acre site contaminated with heavy metals and other pollutants. Currently used as a surface parking lot, the site will be redeveloped into an eight-story, 173,300-square-foot commercial/office building. The project will create 390 jobs, retain 350 jobs and increase the tax base by $1.68 million. Matching costs will be paid by the Metropolitan Council, Hennepin County and the developer.

Newport, Knauff Salvage Yard, $153,084
The Newport Economic Development Authority received$153,084 to clean up this 4.75-acre site contaminated with petroleum, heavy metals and other pollutants. This former site of an auto salvage yard will be redeveloped for use by a repossession company. The project will create 31 jobs and maintain the current tax base. Matching costs will be paid by the Newport Economic Development Authority, the developer and possibly the Metropolitan Council.

Ramsey County, Riverfront Properties, $49,641
Ramsey County was awarded $49,641 to investigate this 3.88-acre site that was previously occupied by West Publishing and the Ramsey County Adult Detention Center. Plans calls for a mixed-use commercial project, including an office, hotel, retail and housing component. Matching costs will be paid by Ramsey County.

Rochester, Broadway at Center Redevelopment, $425,550
The city of Rochester received $425,550 to clean up this 1.5-acre site contaminated with petroleum and other pollutants. A blacksmith shop, glove factory, paint shop, dry cleaner, tire repair and vulcanizing business, tin shop, and lime/cement company have all operated on the site. The property will be redeveloped into a 24-story mixed-use building offering apartments, hotel rooms, office space and commercial space. The new development will create 167 jobs, retain four jobs and increase the tax base by $1.01 million. Matching costs will be paid by the developer.

White Bear Lake, The Waters at White Bear Lake, $21,672
The city of White Bear Lake was awarded $21,672 to investigate this 5-acre site that has been used for residential and commercial purposes. The site will be redeveloped into a 136-unit senior living/memory care facility. The project is expected to create 58 jobs and increase the tax base by $1.02 million. Matching costs will be paid by the developer.

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 at http://mn.gov/deed/ . Follow us on Twitter at twitter.com/mndeed .

 

 

 

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Upon request, this information can be made available in alternate formats for people with disabilities by contacting the DEED Communications Office at 651-259-7161.