Building Buzz: July 8 - 12

We're reading the headlines so you don't have to.

From North Dakota's largest in the world greenhouse project to DEED announcing $1M for contamination clean-ups to Mortenson's selection to build the Tampa Bay Rays baseball stadium, here's what was buzzing in the building world the week of July 8 - 12, 2024 (plus a few more):
 


JULY 5

Former YMCA sit in West St Paul could become housing
Developers are pursuing a plan to build hundreds of housing units on the former YMCA site in West St. Paul, a parcel the city has been looking to repurpose for years. Greco Properties and Swervo Development are envisioning as ,any as 461 market rate apartment units, public amenities and a new restaurant (located at the former AutoZone site) on the site of 150 Thompson Avenue East, along with adjacent city-owned properties. The developers are seeking tax-increment financing assistance from the city. They expect to make a formal proposal late this year or in early 2025. (Minneapolis - St. Paul Business Journal)
 

National construction job openings flat since April
The industry is still dealing with labor shortages despite unfilled positions falling over the past year. There were 339,000 construction job openings in May, a slight rise from April's total of 337,000, data from the U.S. Bureau of Labor Statistics showed. That's 28,000 less job openings compared to May 2023. More than half of contractors who responded to ABC's Construction Confidence Index want to add to their staff over the next six months. (Finance & Commerce)
 

Wisconsin schools awarded grants for training students for careers in trades
A $408,123 grants for technical education equipment is coming for 17 high school districts across Wisconsin. The money comes from a round of Wisconsin Fast Forward Grants and will compensate schools for buying and installing equipment for vocational training, as schools look to train students for career paths involving robotics, welding, plasma cutting, 3D printing, drones and more, officials said. (Finance & Commerce)
 


JULY 7

Energy company plans $621M South Dakota wind farm
Deuel Harvest Wind Energy South LLC has filed an application with the South Dakota Public Utilities Commission for the permits necessary to build and operate a $621-million wind farm in the state's Deuel County. The project, spanning multiple townships, would be built on private land, according to the company's almost 4350-page application document, and would include: (1) up to 68 wind turbines; (2) a 34.5 kilovolt (kv) to 345 kv collector substation with transformer containment area, control enclosure, overhead bus and related items, circuit breakers, disconnect switches, relay panels, surge arresters, battery banks and grounding system, as well as relaying, metering and communication equipment; (3) an approximately six-mile long 345 kv generator transmission tie line, which will carry the electricity of the wind farm from the collector substation to an interconnection switchyard; (4) up to three, self-supporting meteorological towers (MET) no higher than the hub height of the turbines; (5) up to two aircraft detection lighting system (SLS towers) as high as 200-feet and equipped with red lights and other equipment that will provide nighttime visibility to pilots; and much more. (The Construction Broadsheet)
 


JULY 8

Change of plans: Converting office buildings into other uses
Larger companies' office needs have been changing for a while and have been significantly impacted by the pandemic. Other factors are driving conversions of office spaces as well. There is higher demand for residential, hospitality, and mixed-use spaces driven by population growth and changing urban lifestyles. The need for sustainability has certainly influenced office building conversions, too, as well as market forces rewarding developers adding to a city's housing supply. (Finance & Commerce)
 

Data-center debate
The data-center boom isn't new, but the rate at which these projects are being planned, proposed and built is quickly escalating. And while data centers once were concentrated in a few key markets, they're now fanning out to metro areas all over the country. Data centers are booming in large part because of how digitally interconnected the world has become. The advancement of generative artificial intelligence also is ramping up data requirements. (Minneapolis - St. Paul Business Journal)
 

GSA adopts new accessibility guidelines for federal properties
The rule establishes that pedestrian facilities in the public right-of-way are readily accessible to and usable by people with disabilities. U.S. General Services Administration's (GSA) action creates a uniform federal standard that aims to ensure all new and modified pedestrian facilities, such as sidewalks and crosswalks, are accessible and meet the Architectural Barriers Act of 1968, as amended. The new rule requires enhanced accessibility features, including pedestrian signals and alternate access routes. (Building Design + Construction)
 

North Dakota Tribe's greenhouse project to be among largest in world
A Native American tribe in North Dakota will soon grow lettuce in a giant greenhouse complex that when fully completed will be among the country's largest, enabling the tribe to grow much of its own food decades after a federal dam flooded the land where they had cultivated corn, beans and other crops for millennia. Work is ongoing on the Mandan, Hidatsa, and Arikara Nation's 3.3-acre greenhouse that will make up most of the Native Green Grow operation's initial phase. The tribe will spend roughly $76-million on the initial phase, which also includes a warehouse and other facilities near the tine town of Parshall. It plans to add to the growing space in the coming years, eventually totaling about 14.5-acres, which officials say would make it one of the world's largest facilities of its type. (Finance & Commerce)
 

Opus to build industrial facility in Dayton, lands tenant
The development arm of Minnetonka-based Opus Group purchased the site of what will house the new 132,200-square-foot distribution and light manufacturing warehouse, called Dayton Parkway Business Center. The building will have a clear height of 28-feet, 19 dock doors, four drive-in doors, 136 parking stalls and 14 trailer parking stalls, according to a news release. Amenities include natural light and motion-activated occupancy sensors. (Minneapolis - St. Paul Business Journal)
 

Solar manufacturer considers vacant building in Rogers
Canada-based Heliene, a designer and builder of solar modules, is interested in leasing the entire 227,000-square-foot building at 13225 Brockton Lane as part of its expansion in Minnesota, according to city officials. The company has an existing facility in Mountain Iron. Heliene would lease the Rogers building and invest $16-million in the facility, including about $12-million in machinery and equipment and $4-million in building and site improvements, the city said. (Finance & Commerce)
 


JULY 9

ABC's Construction Backlog Indicator inched higher in June
Associated Builders and Contractors reported that its Construction Backlog Indicator increased to 8.4 months in June, according to an ABC member survey conducted June 20 to July 13. The reading is down 0.5 months from June 2023. The entire decline in backlog observed over the past calendar year is attributable to the Middle States and Northeast. Backlog in the South and West regions was unchanged between June 2023 and June 2024. Readings for sales and staffing levels fell slightly in June, while the reading for profit margins improved. All three readings remain above the threshold of 50, indicating expectations for growth over the next six months. (Contractor Mag)
 

DEED announces nearly $1M in contamination cleanup grants
DEED's Contamination Cleanup Grants cover up to 75% of the costs of removing contamination at approved polluted sites. The remaining costs are covered by cities and counties, other units of local government and private landowners and developers. This grant round will lead to the investigation or clean up of more than 12-acres of contaminated land and is expected to create 67 jobs, add more than $1-million to the local tax bases and create 353 housing units. More than $84-million in private investment is expected to be leveraged from the six projects. The six projects are as follows:

(1) City of Bloomington - $550,692
For cleanup funding for a 7.06-acre site contaminated with asbestos. The site will be redeveloped into a 4-story, 208-unit apartment building and an 11,000-square-foot commercial building to be operated as a daycare.

(2) City of Dundas - $19,125
Investigation funding for a 1.5-acre site likely contaminated by agrichemicals. This site may be redeveloped as multi-family housing or as mixed-use commercial and residential.

(3) City of Mankato - $76,770
Cleanup funding for a 0.33-acre site contaminated with petroleum and other contaminants. This site will be redeveloped into a 4-story mixed-use building with 26 market-rate apartments and 1,400-square-feet of commercial space.

(4) City of St Paul - $138,944
Cleanup funding for a 2.2-acre site contaminated with petroleum and other contaminants. This site will be redeveloped into a mixed-use site which includes 40,000-square-feet of commercial space with 60 affordable housing units.

(5) City of Wabasha - $16,650
Investigation funding for a 0.54-acre site. The site will be redeveloped into an apartment building with 50 units.

(6) City of White Bear Lake - $175,200
Cleanup funding for a 0.67-acre site contaminated with petroleum and other contaminants. This site will be redeveloped into two townhome buildings, consisting of nine residential units. (Press Release - Minnesota Department of Employment and Economic Development)
 

The Opus Group building 132,200-sqaure-foot industrial facility in Minneapolis market
The 132,200-square-foot speculative distribution and light manufacturing facility is advantageously located at 17600 Terrirotial Road in Dayton, Minn., on a 10-acre site easily accessible from the new Dayton Parkway Interchanges and Interstate 94. The Dayton Parkway Business Center offers prospective tenants 19 dock doors, expandable to 34; four drive-in doors; a clear height of 28-feet; 136 vehicle parking stalls, expandable to 177; and 14 trailer parking stalls. Additional amenities include natural lighting, motion-activated occupancy sensors and a solar-friendly roof. (RE Journals | Added to blog post on 7-25-2024) 
 

Wisconsin projects get $26M in RAISE grants
Two Wisconsin projects will get federal transportation grants with nearly 150 other winners across the country. A $25-million grant will go to reconstruct the Valley Transit Center in Appleton starting in 2026. Additionally, more than $1.1-million will go to planning and designing two bike and pedestrian bridges over highways around Waukesha. The money comes from a $1.8-billion investment from the Rebuilding American Infrastructure with Sustainability and Equity (RAISE) discretionary grant program, the U.S. Department of Transportation announced in June. The competitive program awarded funding to 148 projects across the U.S. (Finance & Commerce)
 


JULY 10

$30M apartment project moves forward in Ramsey
Ramsey-based PSD Land Development won final plat and site plan approvals from the City Council for its proposed "Skyline on Sunwood" development, a $30-million+ project that will create 133 apartment units and 13,000-aquare-feet of retail on a 4-acre site at 7545 Sundwood Drive Northwest. A city staff report reveals that the U-shaped building would feature apartments ranging in size from studios to three-bedroom units. Also included are a host of amenities, such as a swimming pool, a fitness room, community rooms, business suites, and a golf simulator. (Finance & Commerce | Added to blog post on 7-25-2024)
 

Aki's Breadhaus to move, expand in northeast Minneapolis
The German-style bakery is staying in northeast Minneapolis but moving a couple of miles away to 1712 Marshall Street Northeast, where it'll share a building with Broken Clock Brewing Cooperative and Curioso Coffee Bar. The new spot will be about five times bigger than its current location on Central Avenue at more than 6,000-square-feet. The Marshall Street location will have just over 60 seats and ample parking. Aki's is also adding a wine bar. Minneapolis-based Shea is helping with design. The infrastructure will be built to allow further expansion in the space, too. (Minneapolis - St Paul Business Journal)
 

Chase Bank, city at odds over plans for new Minneapolis branch
JPMorgan Chase & Co asked the city of Minneapolis and its Planning Commission for a zoning variance to allow it to build a 1-story, 3,885-square-foot branch on a 16,510-square-foot site on a site located along 26th Avenue South just north of East Lake Street. At a June 10th Planning Commission meeting, the city said it would consider adopting the variance request because the branch would be an asset to the community. However, the Planning Commission has ultimately rejected the variance request, siding with a staff report saying the building does not meet density requirements for the area. (Minneapolis - St. Paul Business Journal)
 

Dock improvements slated for 'gateway' to Voyageurs Park
The northern Minnesota tourist town of Ranier has launched an environmental review of a project that would make a community dock and boat launch more accessible for a wider range of users. The project is notable in part because Ranier is "situated at the confluence of Rainy Lake and Rainy River and is considered the gateway to Voyageurs National Park (VNP), Minnesota's only national park," according to an environmental assessment worksheet released. In the EAW, the city noted that the project is needed to "accomodate the boats of all sizes, including personal watercraft and the more than 150 houseboats, sailboats and other larger vessels that are either privately or commercially owned on Rainy Lake." (Finance & Commerce | Added to blog post on 7-25-2024)
 


JULY 11
Added to blog post on 7-25-2024

Culvere's franchise will open in Princeton
The new Culver's will be built in Princeton at 200 19th Avenue North. Currently, Culver's has no locations in the area, as the closest one is nearly 20 miles east in Cambridge. Roseville-based construction firm Tareen Development Partners will start the build of the restaurants on July 15th. It will have fine-in seating, a drive-thru and take-out. It is slated to open in December. (Minneapolis - St. Paul Business Journal)
 

Miron awarded $21M bid to build first men's shelter in Madison
City officials announced Miron Construction submitted a low bid of $21.4-million with an 8% maximum construction contingency of $1.7-miollion, for a total of $23.1-million, for the city of Madison's first ment's homeless shelter. The city, Dane County and nonprofit Porchlight Inc. plan for the 40,000-square foot shelter to be located at 1904 Bartillon Drive. The building will house 250 men who are experiencing homelessness in a place specifically designed to meet their needs, officials said. Previously, shelters operated through church basements and renovated spaces. Miron won the project over Riley Construction, which bid a total of $22-million; Joe Daniels Construction Oc., which big $23.1-million; and Tri-North Builders, which bid $24.1-million. (Finance & Commerce)
 


JULY 12

Developer needs Sartell site for affordable housing after rejected rezoning request
TTT Development of Waite Park has been looking for years to find the right location for an affordable housing project in Sartell, and that search continues now that the City Council has denied the developer's rezoning request for a project that would create 48 homes for low- and moderate-income renters. By a 3-1 vote, the City Council denied a request for rezoning the site from "B-2 General Business District" to "R-3 Multi-Family Residential District," leaving the project in limbo just weeks before the developer was expected to submit a funding application to the Minnesota Housing Finance Agency. (Finance & Commerce | Added to blog post on 7-25-2024)
 

Economist: Workforce and financing woes to persist in construction industry
With workforce woes and construction costs being the lead headaches for contractors, construction backlogs and public investment in infrastructure were still going strong in a recent economic outlook. That's just the surface of a surprising economic review and forecast by Anirban Basu, the chief economist of the Associated Builders and Contractors, who spoke at a webinar for Construction Executive. Keeping a pulse on the wider economy and trends, he shared some insight on current challenges, future struggles and some things to look forward to. At the start of the webinar, Basu predicted the Federal Reserve might cut interest rates in September according to the bond market. The consumer price index for all items was up 3.3% over the past 12 months, and May 2024 construction inputs were up 2.1% year-over-year, according to federal statistics. (Finance & Commerce | Added to blog post on 7-25-2024)
 

Milwaukee County seeks contractors for airport redevelopment
County supervisors approved redeveloping the international terminal of Milwaukee Mitchell International Airport in 2017 but the project was halted by the pandemic. Original plans budgeted the redevelopment at around $50-million; years later costs are now around $80-million. The project has been in planning since at least 2016 as the airport seeks a larger terminal to make space for more passengers and flights. Now, the county has four different bid packages: demolition of the existing Concourse E, construction of the new concourse, building a new fueling system, and installing new boarding bridges. The bid date is July 25. Milwaukee-based Gilbane Building Co, and Minneapolis-based Aliiance are the construction manager and prime consultant, respectively, for the redevelopment. (Finance & Commerce | Added to blog post on 7-25-2024)
 

Rays select builder for $1B stadium project
The Tampa Bay Rays have picked a company to build their new billion-dollar ballpark, and the team selected is Minneapolis-based company Mortenson Construction. The $1.3-billion project would see St. Petersburg contribute $287-million, while Pinellas County and the Rays would put in $312-million and $770-million, respectively. The project is expected to be completed by Opening Day in 2028. (Spectrum News - Bay News 9)
 

What you need to know about the Minnesota Supreme Court decision on negligent selection of independent contractors
The Minnesota Supreme Court recently issued a landmark decision recognizing the tort of "negligent selection of an independent contractor." This development holds significant implications for businesses that engage independent contractors. The case in question is Pedro Alonzo, et al. c. Richard Menholt, et al. The case arose from a personal injury incident involving Pedro Alonzo, who was severely injured in a truck accident caused by Alberto Lopez, a driver e,ployed by Braaten Farms --- a subcontractor for Menholt Farms. Lopez had a suspended license and a history of driving infractions, which were not investigated by Braaten Farms or Menholt Farms before his employment. (J D Supra | Added to blog post on 7-25-2024)
 

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