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DEED Awards $5.67 Million for Contamination Cleanup

Twelve projects will attract $763.9 million  in private investment

1/2/2019 12:45:22 PM

Shane Delaney 651-259-7236
Shane.M.Delaney@state.mn.us

ST. PAUL - The Minnesota Department of Employment and Economic Development (DEED) awarded $5.67 million in grants towards cleaning up 12 contaminated sites approved for redevelopment.

The funding was awarded by DEED under the Contamination Cleanup and Investigation Grants Program. These projects will create or retain 3,575 jobs and attract $763.9 million in private investment. The local tax bases are expected to increase by $10.58 million because of these projects.

“Contaminated sites represent environmental hazards and wasted economic opportunity,” said DEED Commissioner Shawntera Hardy. “By utilizing grant funding, these cities are preparing for economic growth and making their environments healthier for their residents now and into the future.”

The grant covers up to 75 percent of the costs to investigate and cleanup approved polluted sites. The rest of the funding comes from the Metropolitan Council, cities and counties, other units of local government, private landowners and developers.

The Contamination Cleanup Grant Program has awarded 507 grants worth $176 million since 1995. As a result of the program, 24,977 jobs have been retained and 22,816 jobs have been created statewide. These grants are also credited with generating over $122 million in new tax revenue and creating 15,017 units of market-rate housing.

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

See below for details on the latest round of funding:

Bloomington – Intergenerational Mixed-Use Project

The city of Bloomington was awarded $1,107,399 in cleanup funding for this 7.06-acre site contaminated with asbestos. Formerly occupied by a commercial fitness facility, the site will be redeveloped with a four-story senior housing facility with 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 serve approximately 100 children. It is anticipated this project will create 66 jobs and increase the tax base by $528,589. Matching costs will be paid by the developer and other grant sources.

Local Contact: City of Bloomington, Jason Schmidt 952-563-8922

Buffalo – Downtown Redevelopment

The city of Buffalo was awarded $37,500 in cleanup funding for this 1.5-acre site contaminated with petroleum and other contaminants. Formerly occupied by a lumberyard, parking lot, and grocery store, the site will be redeveloped with a 90-unit residential building, 18 units of which will be affordable at 50% AMI or less, with a commercial space on the ground floor. It is anticipated this project will create 16 new jobs and increase the tax base by $200,000. Matching costs will be paid by the city.

Local Contact: City of Buffalo, Laureen Bodin, 763-682-1181

Minneapolis – Creekside at Van White

The city of Minneapolis was awarded $538,374 in cleanup funding for this 3.4-acre site contaminated with petroleum and other contaminants. Formerly occupied by railroad tracks, a freight house, a metal scrap yard, and petroleum and chemical storage; the site will be redeveloped with a 90,000 square foot creative office building. It is anticipated this project will create 10 jobs, retain 350 jobs, and increase the tax base by $480,118. Matching costs will be paid by the developer and other grant sources.

Local Contact: City of Minneapolis, Kevin Carroll, 612-673-5181

Minneapolis – Keller Building

The city of Minneapolis was awarded $594,525 in cleanup funding for this 3.60-acre site contaminated with petroleum and other contaminants. Formerly occupied by a paint shop, manufacturing company, and automotive shop, the site will be redeveloped with a restaurant, distillery, retail space, and creative office space. It is anticipated this project will create 75 new jobs, retain 192 jobs and increase the tax base by $456,360. Matching costs will be paid by the developer.

Local Contact: City of Minneapolis, Kevin Carroll, 612-673-5181

Minneapolis – Portland and Washington Mixed-Use

The city of Minneapolis was awarded $427,791 in cleanup funding for this 1.75-acre site contaminated with petroleum and other contaminants. Formerly used for a variety of commercial and industrial purposes, a fire station, and a parking lot, the site will be redeveloped with a 22-story, 240 unit market rate residential building, a 6-story, 90 unit affordable residential building, a rebuilt fire station, 6500 square feet of retail space, and a 312 stall parking garage. It is anticipated this project will create 26 new jobs, retain 15 jobs, and increase the tax base by $1,083,104. Matching costs will be paid by the developer and other grant sources.

Local Contact: City of Minneapolis, Kevin Carroll, 612-673-5181

Minneapolis – RBC Gateway

The city of Minneapolis was awarded $1,092,395 in cleanup funding for this 1.71-acre site contaminated with petroleum and other contaminants. Formerly occupied by a hotel, printing business, filling station, dry cleaner, and most recently a parking lot, the site will be redeveloped with sixteen office floors, ten hotel guestroom floors and four residential floors sitting atop a four-level podium consisting of hotel amenities, lobby spaces, service areas and retail and restaurant spaces. It is anticipated that the project will create 505 jobs, retain 1,925 jobs and increase the tax base by $6,460,962. Matching costs will be paid by the developer and other grant sources.

Local Contact: City of Minneapolis, Kevin Carroll, 612-673-5181

Pine City – Airport Road Parcel

Pine City was awarded $24,300 in investigation funding for this 7.04-acre site. Formerly occupied by a rifle range and airport hangers and fueling, the site will be redeveloped with an expansion of the city's technology park. It is anticipated this project will retain 12 jobs from expanding businesses and increase the tax base by $50,000. Matching costs will be paid by the city.

Local Contact: City of Pine City, Lezlie Sauter, 320-629-2575

Roseville EDA – Edison Apartments

The city of Roseville Economic Development Authority (EDA) was awarded $325,000 in cleanup funding for this 9.2-acre site contaminated with petroleum and other contaminants. Formerly undeveloped, but used for suspected unpermitted dumping, the site will be redeveloped with three buildings containing 209 total apartment units, 118 of which will be affordable at 60% AMI or less. It is anticipated this project will create 4 new jobs and increase the tax base by $269,920. Matching costs will be paid by the developer and other grant sources.

Local Contact: City of Roseville, Jeanne Kelsey, 651-792-7086

South St. Paul EDA – Verderosa Avenue

The city of South St. Paul Economic Development Authority was awarded $701,250 in additional cleanup funding for this 9.25-acre site contaminated with petroleum and non-petroleum contaminants. These funds will supplement the $864,276 award made in July 2017. Formerly used as a landfill for local stockyards and demolition materials, the site will be redeveloped by a trucking and construction firm with an office building, fuel canopy, and truck and equipment storage. The project will create 10 new jobs, retain 40 jobs, and increase the tax base by $20,106. Matching costs will be paid by the developer.

Local Contact: City of South St. Paul EDA, Ryan Garcia, 651-554-3278

St. Paul – Fairview Business Center

The city of St. Paul was awarded $228,300 in cleanup funding for this 10.81-acre site contaminated with petroleum and other contaminants. Formerly occupied by a hardware and grocery store, electronics and computer manufacturing company, and a Church, the site will be redeveloped with 76,500 square feet of office space and 204,000 square feet of industrial space. It is anticipated that the project will create 237 new jobs, retain 23 jobs and increase the tax base by $455,950. Matching costs will be paid by the developer.

Local Contact: City of St. Paul, Dan Bayers, 651-266-6685

St. Paul – Northwest University Dale

The city of St. Paul was awarded $237,630 in cleanup funding for this 1.04-acre site contaminated with petroleum and other contaminants. Formerly occupied by a church, residential, office and commercial space, the site will be redeveloped with an 80,000 square foot, mixed-use building for commercial, retail and office space. An existing building will be renovated for local small business tenants. It is anticipated that the project will create 18 new jobs, retain 59 jobs and increase the tax base by $88,814. Matching costs will be paid by the developer and other grant sources.

Local Contact: City of St. Paul, Andrew Hestness, 651-266-6577

St. Paul – O’Gara’s

The city of St. Paul was awarded $361,408 in cleanup funding for this 1.18-acre site contaminated with petroleum and other contaminants. Formerly occupied by gasoline filling stations and an auto repair shop; the site will be redeveloped with a five-story mixed-use building offering 163 apartments, 4,100 square feet of commercial space for O’Gara’s Restaurant, 2,000 square feet of co-working space, and one level of underground parking. It is anticipated this project will create 4 jobs, retain 38 jobs, and increase the tax base by $510,330. Matching costs will be paid by the developer.

Local Contact: City of St. Paul, Sarah Zorn, 651-266-6570

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 its services, visit the DEED website or follow DEED on Twitter.

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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