EDA approves storefront loan to restore historic Chaska Depot at 3115 Chaska Boulevard

The Chaska Economic Development Authority on May 4 approved a downtown building improvement loan for Keyport Properties LLC to repair exterior damage and refresh landscaping at 3115 Chaska Boulevard (the historic Chaska Depot). The depot suffered interior smoke damage in a recent fire and the owner is undertaking interior restoration funded largely by insurance; the loan targets exterior restoration and streetscape improvements.

Staff described the program as a 50/50 match. Total project costs were reported as $65,800; under the program Keyport Properties will match half and the EDA loan will provide $32,900. The loan breaks into two parts: a $16,450 low‑interest loan repayable over 10 years, and a $14,650 deferred forgivable portion that is forgiven 10% per year over 10 years but becomes due if the property is sold before the forgiveness period ends.

Staff said the proposed exterior work includes replacing entry doors and freight-door windows to match existing historic profiles, repairing and matching the stucco, concrete and stair/rail repairs, and refreshed landscaping. The applicant said insurance is covering the bulk of interior restoration costs and expressed appreciation for the EDA program making exterior reinvestment possible.

Commissioner Hatfield moved to approve the loan request and authorize the assistant executive director to execute loan documents; the motion was seconded and carried. Staff said renovations are anticipated to be complete by July 1 and that tenant and use transitions (including return of long-standing tenant Chaska Computer Services and a planned wine shop tenant) will follow completion.

The EDA authorized execution of loan documents and will monitor compliance with the forgivable-loan terms.