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DEED Awards Grants to 9 Cities for Contamination Cleanup

$5.34 million will fund 11 projects

 

January 21, 2020

St. Paul – The Minnesota Department of Employment and Economic Development (DEED) awarded $5.34 million in grants to nine cities across Minnesota to clean up 11 contaminated sites approved for redevelopment.

DEED's Contamination Cleanup Grant Program awarded the funding, which will leverage nearly $490 million in private investment and create or retain 382 jobs. The redevelopment projects are expected to add 1,843 housing units, of which 873 units will be affordable housing. Local tax bases are expected to increase by $4 million through redevelopment of the sites.

"These cleanup grants clear the way for additional housing, which is much needed in many Minnesota communities," said DEED Commissioner Steve Grove. "When you also factor in the 199 jobs created and the 183 jobs retained - these are important investments in Minnesota's families and workers."

DEED's Contamination Cleanup Grants cover up to 75% of the costs to remove contaminates at approved polluted sites. The remaining costs are covered by cities and counties, other units of local government and private landowners and developers.

Since its inception in 1993, the Contamination Cleanup Grant Program has awarded over $192 million in grants, which paid for assessment and clean up of 3,724 acres of land, allowed for the creation or retention of over 50,000 jobs and cleared the way for 21,507 new housing units. The program has also leveraged $8 billion in private investments and added over $132 million to local tax bases.

Go to the DEED website for more information on the Contamination Cleanup and Investigation Grants Program.

See details on individual projects below:

Bloomington – Bloomington Senior Housing Project

The city of Bloomington is awarded $1,197,602 in cleanup funds for this 7.06-acre site contaminated with asbestos and Freon 12. Formerly occupied by a commercial fitness facility, the site will be redeveloped with a four-story, 184-unit senior housing facility, an 11,000 square foot children's daycare and underground parking. The facility will offer a mix of independent living, assisted living, and memory care units for seniors and accommodate approximately 100 children in the daycare. It is anticipated this project will create 72 jobs and increase the tax base by $532,240. Matching costs will be paid the developer and other grant sources.

Local contact – Jason Schmidt, 952-563-8922

Falcon Heights – Amber Union

The city of Falcon Heights is awarded $151,744 in cleanup funds for this 3.73-acre site contaminated with petroleum and other contaminants. Historically used for printing, auto repair and fueling, crop laboratory testing, and most recently for public education-related administration; the site's existing two buildings will be renovated into 128 affordable apartments and 787 square feet of retail. It is anticipated this project will create six jobs and increase the tax base $245,380. Matching costs will be paid by the developer.

Local contact – Sack Thongvanh, 651-792-7611

Faribault – Straight River Apartments

The city of Faribault is awarded $802,831 in cleanup funds for this 2.87-acre site contaminated with petroleum and other contaminants. Historically used for bulk petroleum storage, a city dump and most recently maintenance and storage for the city's public works department, this site will be redeveloped with a five-story, 111-unit apartment building with one-level of underground parking. It is anticipated this project will increase the tax base by $201,607. Matching costs will be paid by the developer.

Local contact – Deanna Kuennen, 507-333-0376

Mankato – Bridge Plaza

The city of Mankato is awarded $415,752 in cleanup funds for this 1.94-acre site contaminated with petroleum and other contaminants. Historically the site was used as a hotel, junkyard, gas station, dry cleaner, bus station, welding shop, farm supply store, auto repair shop and most recently a restaurant and warehouse. The site will be redeveloped with a five-story, mixed-use building offering six apartments, three levels of office space, and a mix of covered and surface parking. It is anticipated this project will create 24 jobs, retain 108 jobs, and increase the tax base by $166,906. Matching costs will be paid by the developer.

Local contact – Courtney Kramlinger, 507-387-8711

Mankato – Studio 5

The city of Mankato is awarded $241,912 in cleanup funds for this 0.43-acre site contaminated with metals and other contaminants. Formerly used as a drycleaner and grocery store, this site will be redeveloped with a three-story, mixed-use building offering 4,270 square feet of commercial space, 17 apartments and 40 off-street parking stalls. It is anticipated this project will create four jobs and increase the tax base by $24,032. Matching costs will be paid by the developer.

Local contact – Courtney Kramlinger, 507-387-8711

Minneapolis – 14th and Central

The city of Minneapolis is awarded $556,403 in cleanup funds for this 2.7-acre site contaminated with petroleum and other contaminants. Historically used as a lumber yard, residences, and for vehicle repair, this site will be redeveloped with a six-story, 175-unit apartment building and a 5,700 square foot studio/makerspace building. It is anticipated this development will create four jobs and increase the tax base by $267,971. Matching costs will be paid the developer and other grant sources.

Local contact – Kevin Carroll, 612-673-5181

Minneapolis – Portland and Washington Mixed-Use Development

The city of Minneapolis is awarded $427,818 in cleanup funds for this 1.75-acre site contaminated with petroleum and other contaminants. Currently surface parking and the city's Fire Station 1, this site was historically used as a lumber yard, livery, tin shop, glass shop, and printing business. Site redevelopment consists of four components: a 22-story, 240-unit apartment building with two-levels of underground parking and 6,500 square feet of retail space; a six-story, 90-unit-affordable apartment building with underground parking; a new 20,000 square foot Fire Station 1, and an above-ground parking structure. It is anticipated this project will create eight jobs, retain 15 jobs and increase the tax base by $1,072,075. Matching costs will be paid by the developer and other grant sources.

Local contact – Kevin Carroll, 612-673-5181

New Brighton – Former Micom Corp.

The city of New Brighton is awarded $82,170 in cleanup funds for this 3.19-acre site contaminated with petroleum and other contaminants. Formerly used for auto repair, a self-service car wash, and by a circuit board manufacturer; the site's three existing buildings will be renovated into approximately 62,800 square feet of commercial/industrial space. It is anticipated this project will create 32 jobs, retain 60 jobs, and increase the tax base by $67,115. Matching costs will be paid by the developer and other grant sources.

Local contact – Ben Gozola, 651-638-2059

Roseville – Twin Lakes Station

The city of Roseville is awarded $179,514 in cleanup funds for this 13.2-acre site contaminated with petroleum and other contaminants. Used for truck/trailer storage, maintenance, and repair; this site will be redeveloped with two, four-story apartment buildings with 228 affordable units, and one, five-story apartment building with 252 senior-living units. It is anticipated this project will create 10 jobs and increase the tax base by $416,509. Matching costs will be paid by the developer and other grant sources.

Local contact – Jeanne Kelsey, 651-792-7086

Shakopee – Riverfront Bluff Development

The city of Shakopee is awarded $332,732 in cleanup funds for this 1.9-acre site contaminated with petroleum and other contaminants. Historically used for residences, a limestone quarry, gravel pit, printing and vehicle repair; this site will be redeveloped with a five-story, 170-unit apartment building with 6,400 square feet of commercial/retail space and one-level of underground parking. It is anticipated this project will create 32 jobs and increase the tax base by $306,378. Matching costs will be paid by the developer and other grant sources.

Local contact – Michael Kerski, 952-233-9346

St. Paul – Waterford Bay

The city of St. Paul is awarded $959,507 in cleanup funds for this 9.56-acre site contaminated with metals and other contaminants. Historically used as a power plant and for vehicle maintenance and storage; this site will be redeveloped with a four-story, 242-unit apartment building. It is anticipated this project will create seven jobs and increase the tax base by $775,196. Matching costs will be paid by the developer and other grant sources.

Local contact – Marie Franchett, 651-266-6702

DEED is the state's main economic development agency, promoting business recruitment, expansion and retention, workforce development, international trade and community development. For more details about the agency and its services, visit the DEED website or follow DEED on Twitter.

 

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