Neighborhood Development Center, a St. Paul real estate firm with a 30-year record of reviving inner-city commercial corridors, on Monday acquired a corner lot at Chicago Avenue and E. Lake Street, the site of a two-story building destroyed by arson in the riots after the killing of George Floyd last May.
NDC and the former owner agreed to a sale price of $1.6 million, Mike Temali, chief executive of NDC, said. That's more than the tax-assessed price but less than at least one other offer for the property.
NDC will begin talking with neighbors and community groups "who we've worked with for 30 years and get input on what they would like to see," Temali said.
He said NDC will likely build a multistory commercial complex on the site that may include affordable housing.
The project would entail development and construction costs of $15 million to $30 million depending upon its size. Construction would start in 2022, following stakeholder input, including the city, as well as design and financial arrangements.
NDC is a nonprofit business that managed and was a co-owner of the 20-year-old Mercado Central, at Lake Street and Bloomington Avenue, until 2019 when it sold its stake to the merchant cooperative that operates the market.
NDC also is the developer and co-owner of the Midtown Global Market, the retail face of the $190 million, 2006 renovation of the former Sears complex on E. Lake into Midtown Exchange. That project is anchored by headquarters for 1,800 Allina Health workers.
"This is an interesting location, next to the Midtown Global Market," Temali said. "It gives us an opportunity to build on the global market, the local diversity, the cultural businesses, and potentially expand the brand of the Global Market. It's really important, in my view, to use these high-traffic corners to demonstrate to the world how vibrant are these communities.
