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DEED Awards $3.3 Million for Contamination Cleanup

Twelve grants are expected to create or retain nearly 700 jobs

7/6/2020 2:29:06 PM

St. Paul – The Minnesota Department of Employment and Economic Development (DEED) awarded 12 Contamination Investigation and Cleanup Grants in six Minnesota cities to clean up contaminated sites approved for redevelopment.

DEED awarded $3.3 million in grant funding from the Contamination Cleanup Grant program. This funding will leverage $260 million in private investment, create 1,059 housing units (444 affordable), create 331 jobs and retain 360 more. The local tax bases are expected to increase by $3.8 million because of these investments.

“Continuing investment in our communities is vital for Minnesota’s path to economic recovery and long-term prosperity,” said DEED Commissioner Steve Grove. “These Contamination Cleanup Grants will create good jobs and provide housing and business space on formerly contaminated or polluted sites.”

DEED’s Contamination Cleanup and Investigation Grant program helps communities pay for assessing and cleaning up contaminated sites for private or public redevelopment. Grants cover up to 75% of the costs to remove contaminants 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 and Investigation Grant program has awarded over $194 million in grants, which paid for assessment and clean up of 3,766 acres of land, allowed for the creation or retention of over 50,000 jobs and cleared the way for 22,353 new units of housing. The program has also leveraged over $8.3 billion in private investment and added over $135 million to local tax bases.

Go to the DEED website for more information on the Contamination Cleanup and Investigation Grant program.

See details on individual projects below:

Apple Valley – Apple Valley Commerce Center

The city of Apple Valley is awarded $832,425 in cleanup funding for this 11-acre site. Historically used for gravel mining, concrete manufacturing and landfill across 6.9 acres, this site will be redeveloped into a 117,000 sq. ft. light industrial office/warehouse building. The project is anticipated to create eight new jobs, retain 79 jobs, and increase the tax base by $166,725. Matching costs will be paid with private funds.

Local contact - Kathy Bodmer (952) 953-2503

Duluth – Canal Park

The Duluth Economic Development Authority is awarded $50,000 in investigation funding for this 1.5-acre site. Historically used as a lumberyard, a scrap iron and metal company and other uses, this site will be redeveloped into a private parking ramp with added retail. The project is anticipated to create eight new jobs, retain three jobs and increase the tax base by $273,298. Matching costs will be paid by the city and the developer.

Local contact - Chris Fleege, (218) 730-5297

Duluth Economic Development Authority – Robert’s Home Furnishings

The Duluth Economic Development Authority is awarded $134,946 in cleanup funding for this 0.7-acre site contaminated with petroleum and other contaminants. Historically used by an automobile wrecking company, chemical company, and sheet metal company, this site will be redeveloped into a four-story, 75-unit apartment building. The project is anticipated to create two new jobs and increase the tax base by $152,898. Matching costs will be paid by the developer.

Local contact - Jason Hale, (218) 730-5331

Lakeville – Kingsley Place Senior Living

The city of Lakeville is awarded $413,583 in cleanup funding for this 1.96-acre site contaminated with petroleum and other contaminants. Historically used for agricultural purposes and as an unpermitted dumping location, this site will be redeveloped into a four-story senior living facility with underground parking and a skyway connection to the existing building. The project is anticipated to create seven new jobs and increase the tax base by $101,534. Matching costs will be paid by the developer and other grant sources.

Local contact - David Olson, (952) 985-4421

Mankato – Lewis Lofts and Sinclair Flats

The city of Mankato is awarded $49,162 in investigation funding for this 5.04-acre site. Historically used as a vehicle repair and maintenance facility, this site will be redeveloped into a 108-unit, mixed-income apartment building with a possible commercial component. The project is anticipated to create four new jobs and increase the tax base by $165,419. Matching costs will be paid by the developer.

Local contact - Courtney Kramlinger (507) 387-8711

Minneapolis – 1505 Central

The city of Minneapolis is awarded $375,218 in cleanup funding for this 3.54-acre site contaminated with petroleum and other contaminants. Historically used by a sash and door company, this site will be redeveloped into approximately 90,000 sq. ft. of multi-tenancy office space with an additional 8,000 sq. ft. of commercial space. The project is anticipated to create 76 new jobs, retain 179 jobs and increase the tax base by $186,361. Matching costs will be paid by the developer and other grant sources.

Local contact - Kevin Carroll, (612) 673-5181

Minneapolis – Anishinabe III Supportive Housing

The city of Minneapolis is awarded $42,691 in cleanup funding for this 0.4-acre site contaminated with arsenic, lead, mercury and other contaminants. Historically used as a roller-skating rink, blacksmith shop, laundry facility and electric motor warehouse, this site will be redeveloped into a four-story building with 40 affordable units and community spaces. The project is anticipated to create six new jobs and increase the tax base by $35,393. Matching costs will be paid by the developer and other grant sources.

Local contact - Kevin Carroll, (612) 673-5181

Minneapolis – Malcom Yards Housing

The city of Minneapolis is awarded $203,721 in cleanup funding for this 2.4-acre site contaminated with petroleum and other contaminants. Historically used as a foundry, car shop and lumber company, this site will be redeveloped into a six-story, mixed-use building with 143 residential units and 30,000 sq. ft. of commercial space. The project is anticipated to create 42 new jobs and increase the tax base by $710,497. Matching costs will be paid by the developer and other grant sources.

Local contact - Kevin Carroll, (612) 673-5181

Minneapolis – Northrup King Campus

The city of Minneapolis is awarded $50,000 in investigation funding for this 13.18-acre site. Historically used by a seed company, with a portion of the site being occupied by creative artists, this site will be redeveloped into 97-100 units of affordable artist live-work housing with added community space. The project is anticipated to create four new jobs and retain two jobs. Matching costs will be paid by the developer.

Local contact - Kevin Carroll, (612) 673-5181

St. Paul – Fairview and University

The city of St. Paul is awarded $330,755 in cleanup funding for this 3.18-acre site contaminated with petroleum and other contaminants. Historically used for residential and commercial purposes like a filling station, automotive repair, and chemical and pharmaceutical manufacturing, this site will be redeveloped into two seven-story buildings with 280 mixed-income units with a commercial component. The project is anticipated to create seven new jobs and increase the tax base by $422,629. Matching costs will be paid by the developer and other grant sources.

Local contact - Marie Franchett, (651) 266-6702

St. Paul – Hazel Assisted Living

The city of St. Paul is awarded $245,956 in cleanup funding for this 0.97-acre site. Historically used as greenhouses, this site will be redeveloped into a two-story, 24-unit assisted living facility with a surface parking lot. The project is anticipated to create 16 new jobs, retain 19 jobs, and increase the tax base by $51,315. Matching costs will be paid by the developer and other grant sources.

Local contact - Marie Franchett, (651) 266-6702

St. Paul Port Authority – United Village at Midway Block B Development Project

The St. Paul Port Authority is awarded $635,089 in cleanup funding for this 2.1-acre site contaminated with petroleum and other contaminants. Historically used as part of a streetcar construction and maintenance facility, this site will be redeveloped into two residential towers with 234 apartments and 15,000 sq. ft. of retail, and a commercial building with 19,000 sq. ft. of retail space and 29,000 sq. ft. of co-working office space. The project is anticipated to create 151 new jobs, retain 78 jobs, and increase the tax base by $1,811,199. Matching costs will be paid by the developer and other grant sources.

Local contact - Monte Hilleman (651) 204-6237

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