Local partners pitch Rose Street Center retail incubator to Owatonna school board

Lisa Cochran, Main Street director at the Owatonna Area Chamber, and Sean Williams, executive director of the Owatonna Area Business Development Center, presented a proposal to lease the district-owned Rose Street Center and run a retail incubator and complementary programs.

The presenters told the Owatonna Public School District Board of Education that the project would pair outdoor seasonal “shops” with a year‑round indoor retail incubator, co‑working space, makerspace and a welcome center. Cochran said organizers have grant funding and materials already secured for several shops and expect to use high‑school trade classes to construct the shop structures.

Board members were given a timeline and logistics overview. The outdoor shops were described as 12-by-12 units with a 4‑foot porch, each with electricity and a separate heating/cooling unit; organizers said the shops would not have water service. Cochran said the shops are envisioned as seasonal — May through mid‑December — while the indoor components and makerspace would operate year‑round. Owatonna Public Utilities was described as contributing utility services, and the City of Owatonna was identified to hold a three‑year lease of the site if the board approves the district’s participation.

Cochran and Williams cited a Batavia, Illinois, example where a similar retail incubator delivered tenant transitions into downtown brick‑and‑mortar locations and generated retail sales; they said the Batavia program has hosted roughly 35 tenants over four years and produced about $1.5 million in sales. Presenters said local partners including the Chamber, Main Street, OABDC, Owatonna Public Utilities and the school district would have distinct roles: Main Street would oversee the shops and food trucks, OABDC would run the co‑working and makerspace functions, and the district would lease the building to the City.

Organizers emphasized student involvement: building shop kits in high‑school carpentry classes, partnering with DECA and entrepreneurship programs to staff shops during mandated hours, and offering students real retail experience. They also said the proposal already has some materials funded by a Deed grant and that the Owatonna Foundation and other local partners could provide additional resources if needed.

Board members asked about long‑term incentives to keep businesses in Owatonna after incubator seasons; presenters said the incubator is intended to validate tenant business models and that existing city incentive programs and landlord conversations would be the main retention levers, but there is no enforceable restriction preventing businesses from relocating. The board agreed to convene a facilities committee meeting before the board work session to resolve remaining logistical questions and said the item will be revisited at the August meeting.

The presentation generated detailed operational questions from board members about parking, handicapped access, utilities, and seasonality; presenters said they have validated accessibility and parking configurations with city staff and plan to add a handicap ramp at the north end of the shops. No formal board action was taken; the board instructed staff to schedule the facilities committee meeting and bring findings back at the work session.

Organizers left contact information and asked board members to reach out individually with follow‑up questions.