St. Paul outlines property-risk response, launches downtown development corporation

At a St. Paul City Council briefing, the Department of Safety and Inspections described a standing property risk management task force that meets at least weekly to track deteriorating downtown buildings, support tenant transitions and, when necessary, prepare legal or emergency tools. Separately, the Saint Paul Downtown Alliance announced a new Downtown Development Corporation (DDC) and named Dave Higgins as its leader; alliance and DDC leaders said they plan a mix of studies, private-public financing and catalytic projects to stabilize and rebuild downtown’s core.

The task force, led by the city’s Department of Safety and Inspections (DSI), was created to gather information and coordinate responses to buildings identified as “at risk,” Director Angie Wiese said. The group’s objectives include keeping downtown buildings and skyways safe and accessible, supporting commercial and residential tenant transitions, and minimizing how long properties remain in an at-risk state. “We meet at least weekly,” Wiese said, and the task force keeps maps and public messaging updated as situations evolve.

Wiese emphasized limits on the city’s authority. She said the city currently does not have an administrative-citation penalty available to levy against owners and that most DSI enforcement work is cost-recovery rather than punitive. She also clarified distinctions among enforcement categories used by staff: revocation of a fire certificate of occupancy (which prevents continued use), condemnation (finding a building unfit for human habitation), the registered vacant building program, and receivership (a court action typically initiated by a lender or tenant). “We are not looking to be property managers,” Wiese said, describing the city’s preference to see troubled buildings remain in private hands when responsibly managed.

Council members pressed staff on additional tools and on whether the city would ever accept court-appointed receivership. Wiese said she is not aware of a recent instance in which courts appointed a public entity to serve as receiver and reiterated that the city does not seek to become a long-term property manager. She gave several operational details: staff typically allow a monitoring window of roughly 90 days to a year after revocation or condemnation before moving buildings into the vacant-building monitoring program; the city has helped “buy time” for tenants in specific cases by coordinating with utilities and other partners; and, as of the briefing, DSI had identified at least five buildings in receivership and noted three downtown sales since October.

Separately, Joe Spencer, president of the Saint Paul Downtown Alliance, and Dave Higgins, president of the newly created Saint Paul Downtown Development Corporation, described a two-track approach to revitalization: short- and medium-term actions that improve the pedestrian experience and accelerate conversions from commercial to residential use, plus larger, catalytic projects such as Central Station, River’s Edge and a renovated arena entertainment district. Spencer said the recently approved downtown improvement district (the DID) and its Safe and Clean program are already being put in place and “really can't be underestimated as a tool” for stabilizing downtown.

Higgins framed the DDC’s role as both a direct developer for projects that the private market will not currently pursue and as a convenor that reduces transaction friction. He emphasized studies and data-sharing — for example, the alliance’s Gensler analysis that scores buildings for conversion potential — and described a plan to assemble a downtown investment fund. The DDC’s near-term fundraising goal, Spencer said, is to “start with raising a $100,000,000,” with further fundraising expected if the city aims for deeper transformation.

Speakers outlined numerical benchmarks the alliance and DDC are using to measure long-term success, citing industry studies. The speakers said downtown now has about 10,000 residents and that the alliance’s target is to grow that population to more than 30,000 residents. They said downtown previously had about 55,000 jobs while the citywide total is roughly 150,000 jobs; the stated benchmark is to grow downtown employment toward roughly half of citywide jobs (about 75,000), though leaders said those are multi‑decade goals.

Council members emphasized the importance of tactical steps as well as long-term strategy: small streetscape interventions, clearer technical studies to reduce developer risk, and stronger coordination among city departments and public stakeholders. Higgins and Spencer said some immediate interventions (for example, focused pedestrian improvements on Fifth Street) can make downtown more inviting while larger redevelopment and financing work proceeds.

Next steps described at the briefing included continuing DSI task-force activity and communication with council offices, the Downtown Alliance completing its implementation steps for the DID and Safe and Clean program, the DDC advancing building assessments and financing planning, and DDC outreach to philanthropic and private capital partners. Speakers said much work remains, and that the effort will require both public coordination and private and philanthropic capital to move challenging, catalytic projects forward.