Council awards $3 million in brownfield cleanup funds

Projects in central cities and five suburban communities are awarded funding

Contact: Bonnie Kollodge
651.602.1357

ST. PAUL—Jan. 21, 2009—The Metropolitan Council has approved brownfield clean up funding for 13 proposed projects in the metro area, including a new hotel near the Hiawatha line, a Mississippi Market on West 7th in St. Paul and a mixed-use redevelopment in Wayzata. The Council, on Jan. 14, approved $3 million for redevelopment projects in seven cities including Bloomington, Edina, Minneapolis, Minnetonka, St. Paul, South St. Paul and Wayzata.

“These are grants that help clean up polluted properties for redevelopment,” said Council Chair Peter Bell. “They’re a wonderful investment tool, leveraging many additional public and private dollars, promoting job growth and improving communities.”

The Council awards cleanup funds twice a year. This funding round will help clean up 82 acres, create nearly 2,000 new jobs, increase the net tax base by $2.4 million and encourage $151 million in private investment.

To be eligible and compete for funding, metro-area cities must participate in the Livable Communities program. More than 100 metro-area communities participate in the program, which provides funding for: 1) affordable housing, 2) development that promotes mixed-use and connected land use linking housing, jobs and services, and 3) brownfield or polluted site cleanup.

Projects awarded funding:

The Corners, Bloomington—$94,100 to assist with additional asbestos abatement of several buildings on a 5.6-acre site at France Avenue South and Old Shakopee Road West, where a gas station and dry cleaner previously existed. Future uses include mixed-use retail and commercial development.

Pentagon Park Hotel, Edina—$317,400 to help with environmental investigation and asbestos abatement on two buildings on the site of a former office complex at 4901 77th Street West. A portion of the eight-acre site is being readied for development of a Starwood Hotel.

200 1st Street North, Minneapolis—$92,600 to assist with environmental investigation, asbestos and lead-based paint abatement, soil remediation and vapor mitigation of a vacant building on a small site with many previous uses, including manufacturing. The building will be renovated into commercial space for two or three small to mid-size businesses.

Digigraphics, Minneapolis—$22,400 to help with environmental investigation, soil remediation and soil vapor mitigation on a 2.8-acre site at 2639 Minnehaha Avenue South, formerly used as a railroad yard and currently owned and used by the Digigraphics printing business. Planned development at the site would add a one-story addition to the existing building.

Soo Line Building, Minneapolis—$207,600 for additional asbestos abatement at 501 Marquette Avenue, where existing office space is being converted to a hotel. In addition to the hotel, the new development will include retail and office space located in close proximity to the Hiawatha Light Rail Line.

BMW Dealership, Minnetonka--$311,400 to help with soil remediation and soil vapor mitigation on a 16-acre site that served as a dump for demolition materials. The site at 15802 Wayzata Boulevard will be redeveloped for a BMW automobile dealership.

Commercial Club, St. Paul—$96,000 to help with asbestos and lead-based paint abatement on the site of a vacant commercial building on Cesar Chavez Street. The building will be demolished to make way for a new restaurant and deli.

Lexington Commons, St. Paul—$448,800 to help with asbestos abatement at a vacant nursing home on Lexington Parkway North, near I-94. The building will be converted into 48 supportive apartments for long-term homeless people. The building will also include administrative, community and program space for tenant use and will be in close proximity to the Central Corridor Light Rail Line.

Mississippi Market, St. Paul—$68,000 to assist with environmental investigation and soil vapor mitigation at a 1.2-acre site on West 7th Street near Otto Avenue that was formerly part of the Koch-Mobile bulk petroleum storage facility. Mississippi Market, a natural foods store, will locate at the site.

Ramada Inn, St. Paul--$374,400 to help with environmental investigation, demolition, asbestos and vermiculite abatement at the site of a vacant 96-room hotel on Old Hudson Road near White Bear Avenue. The 2.5-acre site will be redeveloped for 110 senior housing units.

Minnehaha Lanes, St. Paul—$500,000 to help with environmental investigation, demolition, groundwater monitoring , soil remediation, soil vapor mitigation and lining for a storm water pond on a five-acre site at Chatsworth Street and Pierce Butler Route, previously used as an unpermitted dump. The site was later developed with retail uses, including a bowling alley, grocery store and restaurant. A new building will be used for commercial and industrial space.

Interstate Partners Site, South St. Paul—$214,300 to assist with soil remediation and soil vapor mitigation on a 29-acre site at 310 Market Lane that was part of the livestock yards and related meat-packing houses. New development at the site will include more than 315,000 feet of commercial space in three office/warehouse buildings.

Wayzata Bay Center, Wayzata—$261,500 to assist with soil remediation on a 14.5-acre site on Lake Street East used as a retail mall. New development on the site will occur in phases and include retail and office space, a 100-room hotel and housing, including senior housing and affordable units.

The Council received 20 applications for brownfield cleanup awards this funding round, totaling $4.1 million.

Since the Livable Communities program became law in 1995, the Council has made 263 brownfield clean up grant awards to 38 communities totaling $77.5 million. The awards are helping to leverage another $4.3 billion in private investment, create more than 34,000 new jobs, increase the net tax base by nearly $80 million and clean up more than 1,800 acres of contaminated properties.

The Metropolitan Council is the regional planning organization for the seven-county Twin Cities area. It runs the regional bus and light rail system, collects and treats wastewater, manages regional water resources, plans regional parks and administers funds that provide housing opportunities for low- and moderate-income individuals and families. The Council is appointed by and serves at the pleasure of the governor.

-30-

Return to News Releases.