Council approves Renaissance-zone tax exemption for 28-unit downtown Moorhead project

The Moorhead City Council on May 27 approved a 15-year Renaissance-zone property tax exemption for a proposed 28-unit apartment building at the corner of 14th Street and Main Avenue.

The exemption, approved after a public hearing, applies to new construction value only; land will remain taxable under the city’s Renaissance Zone policy. The council’s action allows redevelopment of a former service station and nearby residential structures into a walk-up apartment building estimated to cost about $5 million and expected to start construction in summer 2025 with completion anticipated in summer 2026.

Derek Lapointe, who presented the application, said the project would remediate known contamination on the site, noting the property has been vacant since at least February 2008 and contains old fuel tanks. Lapointe said the building will include a mix of one-, two- and three-bedroom units, 18 garage stalls and 25 off-street parking spaces. He told the council the project “meets a a high number of” the city’s Renaissance Zone goals and that the investment would qualify for the 15-year exemption, with a schedule of 100% exemption on new value for the first five years, 75% for years six through 10 and 50% for years 11 through 15.

Council members who spoke welcomed the infill redevelopment. Council member Heather Niesemeyer said she supports the project and urged consideration of fully accessible units and larger units for families, saying the city needs “some maybe not so standard, offerings.” Council member Deb White praised the building’s orientation and the use of a garage as a buffer between Main Street and the adjacent single-family neighborhood. Council member Nicole Matson said she voted in favor but raised a broader concern about public safety staffing as the city adds housing, saying emergency call volume rose substantially in 2024 while department staffing had not increased.

Kevin Bartram, the applicant, was present for questions. Lapointe said the Economic Development Authority had given unanimous approval earlier in the month. The council moved and seconded the approval and the motion carried unanimously.

Beyond the exemption itself, Lapointe and Bartram said the redevelopment will include removing underground tanks and addressing contamination as part of the construction program. The city’s Renaissance Zone policy and the EDA’s prior recommendation framed staff and council review.

The council did not specify further conditions in the meeting record on unit mix or accessibility; Lapointe and council members indicated those topics could be discussed as design details are finalized.