City Council Meeting Date: July 22, 2025
To: Mayor and City Council
City Administrator
From:
Emery John, Program Associate
Title
Approval of Redevelopment Grant Application to the Department of Employment and Economic Development (DEED) for 528 Division St S
Body
Action Requested:
The Northfield City Council approves a Resolution in support of the Redevelopment Grant Application to DEED.
Summary Report:
The owners of 528 Division, previously the site of DuFour’s Dry Cleaners, requires public money to ensure private investment with new ownership. The property has been a commercial use since the late 1880s.
As is typical for buildings of that age, the space needs substantial asbestos and lead abatement before any interior work can be completed. Owners are in talks with a local buyer, Jupiter Properties Group LLC, hoping to purchase the building, but have a gap due to the extensive interior abatement needed for the building to be safely renovated and used.
Historically, the site has been used in a variety of ways, including a blacksmith, painting shop, lumber shed, and wagon shop. From at least 1910 to 1930, the property was occupied by a veterinarian and by 1922, the north building was apparent and was occupied by an auto painting shop. The property has been occupied by a dry cleaner since at least 1945 until early 2025.
There are extensive environmental challenges posed by long abandoned dry cleaning practices. However, the costs associated with ground vapor remediation, consistent with the environmental impact of those practices, are being sought from a different state fund, specifically designed to aid dry cleaner projects. This application for the DEED redevelopment grant is for interior environmental abatement of asbestos and lead, which is agnostic to historic dry-cleaning practices. DEED redevelopment grants require a governmental entity to submit the application.
The applicant is planning to request up to $25,000, to be matched 100% with funding from Jupiter Properties Group LLC. The project cost of $50,000 will be spent on asbestos and lead abatement. This scope is consistent with Minnesota Statutes 116J.571 - 116J.575, which grants the Minnesota Department of Employment and Economic Development (DEED) the authority to award grants to assist development authorities with eligible redevelopment, including interior environmental abatement and demolition costs.
Alternative Options:
N/A
Financial Impacts:
None to the City of Northfield. The grant is matched entirely with private funding from the applicant.
Tentative Timelines:
August 1, 2025: Application Due
November 2025: Hear back from DEED
March 2026: Begin work on building
May 2026: Finish all abatement related work on interior of 528 Division