Enclave Development plans to construct 89 market-rate apartments above two levels of parking (one underground, one street level) on the former city hall site, 129 Holmes St. S. In addition to the parking, the new building, called The DECO, will feature retail and restaurant space along Holmes Street.
Alignment to Community Priorities & Goals
The development fits with the goals and priorities of the community and the comprehensive plan by adding new multi-family homes to accommodate a growing population and continuing downtown’s revitalization to bring more residents closer to the river and the amenities it offers.
|Partnership agreement with CPM Cos.||City Council||June 20, 2017|
|City staff move out of building||Staff||August 2017|
|Building designated as structurally substandard||City Council||September 2017|
|Contract awarded to Frattalone Cos. for abatement, demolition, earthwork||City Council||Nov. 7, 2017|
|City seeks redevelopment proposals||Staff||November-December|
|Demolition of building||Frattalone Cos.||Dec. 11-31, 2017|
|Redevelopment plan for 80-plus-unit market-rate apartment complex proposed||Enclave Development||July 3, 2018|
|Creation of TIF District approved||City Council||Aug. 21, 2018|
|Comprehensive Plan amendment to reguide the property denied||City Council||Aug. 21, 2018|
|City sells property to Enclave Development||Economic Development Authority||Sept. 4, 2018|
|Contract with Enclave Development approved||City Council||Dec. 18, 2018|
|Property reguided to Downtown Mixed Use||City Council||Dec. 18. 2018|
|Groundbreaking for construction||Aug. 16, 2019|
At its Aug. 21, 2018, meeting, the City Council acting as the Economic Development Authority approved creating a Tax Increment Financing (TIF) district for the site. TIF funding would be used for the excavation and removal of the former city hall foundation, utility relocation and reconstruction of the adjacent alley and sidewalk infrastructure. The city would then recover these costs through the lifetime of the TIF. The maximum estimated costs for reimbursement over 25 years would be $2,382,400.
The remainder of the project would be financed by private parties.
The new development will bring new housing and retail to downtown Shakopee. Downtown Shakopee has been the subject of renewed interest by prospective residents and developers and this project will continue that positive trend. The development will be providing more than 100 parking spaces within the building in addition to bike parking and other amenities. With the main use of the structure being residential, traffic levels will not be as high as what was generated by the former city hall.