The Minnesota Department of Employment and Economic Development (DEED) announced more than $2 million in grants and loans awarded from the Redevelopment Grant and Demolition Loan Program.
The Redevelopment Grant Program helps communities with the cost and of redeveloping blighted industrial, residential or commercial sites for planned projects. Grants pay up to half the redevelopment costs for a qualifying site, with 50 percent local match required.
The Demolition Loan Program helps development officials with the costs of demolishing old blighted buildings on sites that have future development potential but where there are no current development plans. Low-interest loans can pay up to 100 percent of the demolition costs for a qualifying site and can be used for site acquisition costs.
The Alexandria Economic Development Authority was awarded $350,000 in Redevelopment Grant funds for demolition and infrastructure improvements on the 2.31-acre site of GoodNeighbor Properties. This site will be redeveloped to a four-story, mixed-use building offering 23,450 square feet of retail and professional space, 75 apartments and one level of underground parking. It is anticipated this project will create 37 jobs and increase the tax base by $209,847. Matching funds will be provided by tax increment financing and the developer.
The Herman Economic Development Authority (EDA) was awarded $80,000 in Demolition Loan funds for the abatement and demolition of the former Herman Locker Plant. This 0.138-acre site has the potential for commercial development. The EDA will issue a general obligation bond to secure the loan.