21 May 2024
Let’s be more engaged about the future of Downtown Saint Paul!
The recent announcement about Madison Equities selling off a huge section of downtown St. Paul, preferably to a single buyer, offers a once-in-a-lifetime opportunity to redefine who we are as a city.
If there is one buyer of all these properties, then there may be a new and uncertain dynamic impacting the future of St. Paul.
Currently, downtown investors face the specter of rapidly declining property values, empty office spaces and a smaller consumer base in. The default option is to convert office buildings into housing options. What we need is a downtown with a creative mix of business, office, new technology, housing, art, sports and entertainment.
Point2 recently released a ranking of the top 100 future-oriented cities, ranked in terms of the following indicators: business and technology; internet connectivity; environment and sustainability; transit and mobility; and economy and demographics. St. Paul ranked 44 overall with lower scores in business and technology, internet connectivity, transit and mobility and economy and demographics. Minneapolis ranked 11 and in the top 10 for two of the areas.
Instead of letting fate and the market alone decide the future of our downtown or city, let’s be more engaged.
Owners of property rely on the City, County, Metropolitan Council, Legislature and the rest of state government for many resources and tools to operate effectively in the city and to grow. Usually, the developer goes independently to each entity to get what they want.
What if we consolidate this public interface and have a one-stop shop for potential investors in these downtown properties?
The advantage to the investors is they reduce their transaction costs and set up a stable structure for the future. The advantage to the public is that we get to see if they share our values and can build the community.
The contours this one-stop shop could take are:
— Bringing multiple entities that would interact with the investor/owners in a common space where all programs, tools and incentives can be assembled.
— Preference to investors who help the city grow in at least three areas of the Point2 future city index or a similar framework.
— The opportunity to partner with existing city assets – for example, the parking ramps owned by the city and the ones for sale could be integrated to offer many new possibilities or even the option to transform parking space into entrepreneurial and residential space.
— The opportunity to benefit from the city’s investments in art, culture and parks, which greatly add value to real estate developments.
Through the consolidation and integration of its resources, the City’s one-stop shop could offer the maximum resources to investors who effectively help us build a future oriented downtown Saint Paul.
We have a unique opportunity to pivot St. Paul into a prosperous future. Let us act now.
Dr. Bruce Corrie is an economist at Concordia University, a longtime resident of St. Paul and a former director of St. Paul’s Planning and Economic Development department.
Related Articles
Bruce Yandle: When Biden and Trump agree, consumers should worry
Other voices: The rematch is set: Biden vs. Trump debates have the right balance
Joe Soucheray: We’ve been burned before. So, some questions about that $100 million, Governor
David Brooks: The authoritarians have momentum, and here’s partly why
Markus Flynn: Beyond Brown — the unfinished journey toward educational equity