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Lakeville annexes 33.31 acres for Compass Rail rail‑car storage project

Lakeville City Council · September 3, 2025
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Summary

The council adopted an ordinance Sept. 2 annexing about 33.31 acres owned by Compass Rail Lakeville LLC and the Metropolitan Airports Commission to allow a proposed rail car storage yard; city staff confirmed commercial lighting on the site must use downcast fixtures per city code.

The Lakeville City Council on Sept. 2 adopted an ordinance annexing roughly 33.31 acres in Eureka Township at the request of Compass Rail Lakeville LLC and the Metropolitan Airports Commission (MAC).

Dan Schmidt Deal, vice president of Compass Rail, told the council the annexation is a first step to develop a rail‑car storage facility in partnership with Progressive Railroad and the City of Lakeville. The applicant said the annexation will allow subsequent land‑use and rezoning applications and that MAC’s portion of the parcel will remain undeveloped.

During the public hearing resident Linda Ripley asked whether lighting parameters would be required to limit glare on surrounding properties and adjacent businesses. City staff responded that commercial and industrial lighting in Lakeville must be downcast by ordinance and that those standards will apply as the development advances.

With no additional public comment, the council closed the hearing and voted to adopt the annexation ordinance. The city noted state statute (Minnesota Statutes chapter 414) authorizes annexation petitions for parcels under the statutory acreage limit when contiguous to the city. The annexation is a procedural step; additional approvals (rezoning, land‑use permits and building permits) will be required before any construction.