Lindstrom council backs developer's workforce housing concept, sets 50-unit cap and seeks more commercial space

The Lindstrom City Council voted 4-1 to approve a resolution of support for a developer's application to build workforce housing on the former OJ Juice site, authorizing a concept of up to 50 units and asking the city attorney to add language to 'maximize commercial space' along the site frontage.

The vote came after about two hours of presentation and detailed questioning. Dan (staff) opened the meeting by saying the special session was convened so the council could provide the local support the developer needs to include with its state application before the July 11 deadline. "We did call a special meeting to review this concept," Dan said, stressing that the council was not approving entitlements or final design that night.

Developer Jared, who identified himself as representing Rudderall Development, described a four'story, roughly 50'unit workforce apartment concept with underground parking and a mix of one- to four'bedroom units targeted at multiple AMI tiers. "We're a long term owner," Jared said, noting financing for such projects typically requires government-backed gap funding and long-term covenants: "we'd be long term owners." He said the firm expects to submit an application for state housing tax credits by July 11 and that award decisions typically occur in December.

Council members focused on three recurring concerns: the split between commercial pad frontage and housing in the rear; site access, including an "abandoned" frontage road and egress for neighbors; and fiscal impacts from lower tax capacity on regulated affordable housing. One council member said the concept as shown allocated about 86% of the site to housing and asked for a different proportion to preserve commercial opportunity along Highway 8. Another member presented tax-capacity data showing that affordable housing valuation rules could reduce immediate property-tax capacity compared with commercial development.

Dan and Jared said those items would be addressed in later entitlement and site-plan work if the project receives state funding. Dan reiterated that a resolution of support signals local endorsement of the concept but does not approve final zoning, plats or building permits: "This does not approve the project. This just basically says that the city is aware of it. It supports the concept of a workforce housing on the site." Jared warned the project's funding success was uncertain, estimating a roughly 20% to 25% chance of winning the state credits.

To avoid confusion from previous iterations, the council asked that the resolution specify an explicit unit range. Dan recommended and the motion that passed specified support for a workforce multifamily building of up to 50 units, and included a direction that the city attorney draft final findings to emphasize maximizing commercial frontage; the final language will be approved before the resolution is signed.

Council members also pressed for higher-quality façade materials, elevation drawings showing how the new buildings will read from Highway 8, and site adjustments to reduce visual impacts for adjacent businesses and residents. Jared said architects and civil teams will refine setbacks, parking and landscaping during planning review. He also said his firm typically works with third-party property managers (he named Halverson Blazer Group) and tries to engage local employers when outreach begins, though tenant selection must follow tenant-laws and cannot give formal preferential leases.

The resolution passed 4-1. The mayor thanked the developer and council for thorough questioning and reminded members that final entitlements and detailed reviews remain ahead if the project is funded. The council adjourned after formalizing the motion and vote.

Next steps: the developer said it will revise its application materials for the state funding round, the city attorney will draft the commercial-maximization finding for final approval, and the council and planning commission will review detailed entitlement materials if the project receives state support.