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Rochester approves development agreement with Mayo Clinic, secures pedestrian access and stormwater easement

Rochester City Council · June 2, 2025
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Summary

The council approved a development agreement with Mayo Clinic to satisfy conditions of a prior street vacation, requiring Mayo to grant easements for utilities, build and maintain an underground stormwater holding vault, and provide an 8‑foot public passageway open from 6:30 a.m. to 10:00 p.m. daily; the agreement also requires restoring north–south bike connectivity to a specified standard.

The Rochester City Council adopted a development agreement with Mayo Clinic tied to the November 2024 vacation of 3rd and 4th Avenues SW. The agreement obligates Mayo to provide temporary and permanent easements for utilities, design and install an underground stormwater holding vault with city maintenance access, and preserve pedestrian and bicycle connectivity across the redeveloped block.

"The development agreement includes an 8 foot public passageway from 06:30 in the morning till 10:00 at night, 7 days a week, 365 days a year," Deputy City Administrator Cindy Steinhauser said, describing the permanent pedestrian easement that will run between the Osmond and Waterman buildings. Steinhauser said Mayo will maintain the passageway and the city will retain access rights to maintain or improve the facility.

Steinhauser also described the stormwater solution: "The management solution that is proposed is an underground stormwater holding vault, at which they will design, install, own, and maintain, and yet the city has access to maintain and make improvements should we not be happy with the way in which improvements are being made." The agreement further assigns responsibility for implementing traffic‑study improvements and for restoring north–south bike connectivity lost to the vacation; staff said the city set a maximum estimate for the bike‑connection restoration using the Broadway separated cycle track standard as a cap.

Council members asked about the hours, amendment mechanisms and cost assumptions; outside counsel and the deputy administrator confirmed the easement hours are part of the recorded easement and would require an amendment to change. Councilmember Keane made the motion to approve the development agreement; it passed on a voice vote.

Next steps: staff will negotiate remaining cost‑share and UPUI agreements, finalize exhibits and return to council as required before easements are recorded and construction proceeds.