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DEED Awards Grants for Contamination Assessment and Cleanup

Fifteen projects will create or retain 938 jobs

7/19/2016 10:41:27 AM

Monte Hanson, 651-259-7149
Monte.Hanson@state.mn.us

ST. PAUL – Redevelopment projects that will create or retain 938 jobs have been approved for investigation and cleanup funding from the Minnesota Department of Employment and Economic Development (DEED).

DEED awarded $5.8 million from its Contamination Cleanup and Investigation Grant Program for 15 projects in the state. The funding will help pay for cleaning up or investigating pollution on those sites. Housing, office and retail space, as well as a professional soccer stadium and grocery store are among the projects planned.

"Nearly 49,000 jobs have been created or retained in Minnesota since the Contamination Cleanup and Investigation Grant Program began in 1995," said DEED Commissioner Shawntera Hardy. "This program is one of the state's most effective and successful redevelopment tools."

DEED cleanup grants, which are awarded twice a year, account for about 75 percent of funding used for reclaiming polluted sites and brownfields statewide. The remaining 25 percent comes from the Metropolitan Council, cities, counties, other local units of government, private landowners and developers.

DEED's Contamination Cleanup and Investigation Grant Program has awarded 514 grants worth over $163 million since the program's inception. Thanks to the funding, 3,354 acres of contaminated property have been reclaimed for development projects, resulting in 22,974 new jobs and 25,903 retained jobs. The program has attracted $6.2 billion in private investments and $108.9 million in new tax revenue.

More details about the program are available here.

Here is a breakdown of the latest round of funding:

Bemidji – Bemidji Rail Corridor, $30,776
The city of Bemidji was awarded $30,776 in investigation funding for this 20.52- acre site. A railroad, feed mills, flour mills, lumberyard and automobile repair shop have operated on the site. The land will be redeveloped into a mix of commercial, light-industrial and residential uses. The project is anticipated to create 82 jobs, retain 24 jobs and increase the tax base by $266,800. Matching costs will be paid by the city.

Eagan Economic Development Authority (EDA) – Cedar Grove Affinity, $131,277
The Eagan EDA was awarded $131,277 in cleanup funding for this 2.7-acre site contaminated with petroleum and other pollutants. Formerly used for automobile repair, filling stations and other commercial uses, the site will be redeveloped into a 173-unit apartment building. The project will increase the tax base by $332,612. Matching costs will be paid by the EDA.

Hastings – Artspace Hastings Lofts, $167,531
The city of Hastings was approved for $167,531 in cleanup funding for this 1.03- acre site contaminated with petroleum and other pollutants. Formerly used for manufacturing, leather tanning and other industrial purposes, the site will be redeveloped into 37 housing units for artists and 2,200 square feet of retail space. The project will create two jobs and increase the tax base by $83,212. Matching costs will be paid by the developer and other grant sources.

Minneapolis – 117 27th Ave., $140,708
The city of Minneapolis was awarded $140,708 in cleanup funding for this 2.02-acre site contaminated with arsenic and other pollutants. The site, formerly used for automobile/locomotive repair and fire brick manufacturing, will be redeveloped into 196 market-rate apartment units. The project will create five jobs and increase the tax base by $555,367. Matching costs will be paid by the developer and other grant sources.

Minneapolis – 333 Hennepin Ave., $366,000
The city of Minneapolis was approved for $366,000 in cleanup funding for this 0.74- acre site contaminated with petroleum and other pollutants. Formerly occupied by an automobile repair shop and offices, the site will be redeveloped into a 260-unit apartment building with 3,500 square feet of retail space. The new development will create 14 jobs and increase the tax base by $1.18 million. Matching costs will be paid by the developer and other grant sources.

Minneapolis – East Side Station, $94,390
The city of Minneapolis received $94,390 in additional cleanup funding for this 3.16- acre site contaminated with metals and other pollutants. This former site of an electroplating company will be redeveloped into a 20-story residential tower surrounded by a four-story structure. The total development will offer 280 apartments, 22,000 square feet of commercial space and three levels of parking. The project will create 75 jobs and increase the tax base by $1.11 million. Matching costs will be paid by the developer and other grant sources.

Richfield – Lyndale Gardens, $577,000
The city of Richfield was awarded $577,000 in cleanup funding for this 3.5-acre site contaminated with petroleum and other pollutants. Formerly used for unregulated dumping and, most recently, as a garden center, the site will be redeveloped into a 150-unit apartment building. The project will create six jobs and increase the tax base by $266,903. Matching costs will be paid by the developer and other grant sources.

Robbinsdale – Terrace Mall, $82,002
The city of Robbinsdale was approved for $82,002 in cleanup funding for this 10.4- acre site contaminated with petroleum. The former site of a movie theatre and shopping mall will be redeveloped into a 99,500-square-foot grocery store. The new development will create over 375 jobs and increase the tax base by $110,484. Matching costs will be paid by the developer and other grant sources.

St. Louis Park EDA – Morrie's Dealership, $428,550
The St. Louis Park EDA was awarded $428,550 in cleanup funding for this 2.76-acre site contaminated with petroleum and other pollutants. Historically used as an unregulated dump and recently for two restaurants, the site will be redeveloped into a 30,000-square-foot car dealership showroom and service center. The project will create 43 jobs and increase the tax base by $314,135. Matching costs will be paid by the developer and other grant sources.

St. Louis Park EDA – Parkway 25, $160,162
The St. Louis Park EDA was approved for $160,162 in cleanup funding for this 1.57- acre site contaminated with petroleum and other pollutants. This former site of a restaurant, motel and unregulated dump will be redeveloped into a five-story, mixed-use building with 105 apartments and 14,500 square feet of commercial space. The project will create 30 jobs, retain 25 jobs and increase the tax base by $505,102. Matching costs will be paid by the developer and other grant sources.

St. Paul – 2300 Territorial Road, $763,327
The city of St. Paul was awarded $763,327 in cleanup funding for this 3.37-acre site contaminated with metals, petroleum and other pollutants. Formerly occupied by railroads, a manufactured gas plant and other industries, the site will be redeveloped into a 150-unit apartment building, with 80 percent of the units affordable. The new development will create six jobs and increase the tax base by $148,299. Matching costs will be paid by the developer and other grant sources.

St. Paul – Dorothy Day Opportunity Center, $549,495
The city of St. Paul received $549,495 in cleanup funding for this 1.96-acre site contaminated with petroleum and other pollutants. Formerly used for residential, commercial, educational and automobile repair/refueling purposes, the site will be redeveloped into a six-story, 171-unit building for homeless people along with support services. The project will create seven jobs, retain 10 jobs and increase the tax base by $40,360. Matching costs will be paid by the developer and other grant sources.

St. Paul Port Authority – Soccer Stadium, $1.55 million
The St. Paul Port Authority was awarded $1.55 million in cleanup funding for this 20.85-acre site contaminated with petroleum and other pollutants. Formerly used for streetcar construction and maintenance, and bus storage and maintenance, the site will be redeveloped into a 20,000-seat major league soccer stadium. It is anticipated that the project will create 120 jobs and retain 105 jobs. Matching costs will be paid by the developer and other grant sources.

Thief River Falls – Riverwalk Flats, $50,000
The city of Thief River Falls was approved for $50,000 in investigation funding for this 3.48-acre site. Historic uses include a lumberyard, milling center and, most recently, the Sanford Medical Center. Redevelopment of the site includes the demolition of the northern portion of the former medical center, the construction of a 62-unit apartment building, and the renovation of the southern portion of the former medical center into an 87-unit apartment building. It is anticipated that the project will create five jobs and increase the tax base by $233,332. Matching costs will be paid by the city and the developer.

Vadnais Heights – Garceau Corner, $690,646
The city of Vadnais Heights was awarded $690,646 in cleanup funding for this 3.56- acre site contaminated with petroleum and other pollutants. This former site of a hardware store and automobile service station will be redeveloped into a 145-unit senior living facility. The project will create four jobs and increase the tax base by $531,133. Matching costs will be paid by the city, the developer and other grant sources.

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 the DEED website or follow DEED on Twitter.

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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.

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