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Council authorizes HRA to pursue $500,000 state infrastructure grant for 801 West Stanton redevelopment
Summary
The Committee of the Whole authorized HRA and staff to pursue a Greater Minnesota Housing Infrastructure Fund application to help pay for water, sewer and roadway infrastructure for a proposed redevelopment at 801 West Stanton.
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Fergus Falls staff and the Housing and Redevelopment Authority (HRA) presented a preliminary redevelopment concept for the 801 West Stanton property and requested authority to pursue a state infrastructure grant to fund on-site utilities and streets.
The nut graf: Staff described a concept of about 24 lots (50-by-100 feet) plus small multifamily buildings (a 4-plex and a 6-plex at the ends of the plat) and presented preliminary engineering and market information. Staff reported very preliminary infrastructure construction costs of about $947,000 and survey/site work at about $60,000. Minnesota Housing’s Greater Minnesota Housing Infrastructure Fund allows requests for up to $500,000 per project; staff asked for authorization to proceed with an application and developer outreach.
Michael, presenting for the HRA, compared the concept to similar nearby developments, outlined lot price and assessment examples taken from recent projects, and said local developers had expressed interest but would not commit until a site was development-ready. "If we have a qualified project we can apply," he said, noting the application deadline was 5 p.m. on June 12.
Council discussion focused on market demand, phasing, lot widths and garage size, how special assessments might affect affordability, and whether the Stanton site was the best municipal parcel to use for this pilot. Councilmembers noted that infrastructure costs vary by location and that proving a concept at Stanton could enable future phases elsewhere. Several council members urged moving forward with the grant application given the limited opportunity to request 50% of infrastructure costs from the state.
The council authorized staff and the HRA to proceed with preparing a grant application and to continue developer outreach. Staff will return with application materials and any binding developer commitments; the HRA will also evaluate lot configurations and phasing.
Ending: Staff will prepare the grant application for the June 12 deadline, continue developer outreach and provide more detailed engineering and affordability analysis for the council’s review before finalizing any development agreement.
Provenance: topicintro block_id: "2867.36" evidence_excerpt: "the reason for bringing this up today is that there is opportunities for infrastructure grants from the state... Minnesota Housing has an RFP out right now for the Greater Minnesota Housing Infrastructure Fund... funding can be requested for no more than $500,000 for a project." topicfinish block_id: "4052.2449" evidence_excerpt: "With that, we have a motion on the table to continue and authorize, HRA and city staff to work on a project on 801 Stanton. All those in favor say aye."

