New life will be coming to Le Sueur’s Valley Green Square Mall and Main Street.
On Monday night, June 22, the Le Sueur City Council voted unanimously to sell its partial ownership of the Valley Green Square Mall parking lot to Building Good Downtowns, LLC for the low, low cost of $1.00.
In exchange, the parking lot, which is valued at $180,000, will be added back onto the tax roll and is expected to generate $1,200-$1,500 in tax revenue for the city, according to City Administrator Jasper Kruggel.
As part of the deal, the city will no longer be responsible for snow removal or other maintenance on the parking lot.
The sale of the parking lot is also part of a much larger project the city is still negotiating.
For the past year, the city of Le Sueur has been working towards the goal of reconnecting Main Street. But to do that, the city needs to acquire a significant right-of-way from the new mall owners, approximately 20,000 square feet.
Building Good Downtowns, LLC is expected to officially take ownership of the mall on Tuesday, June 30. According to Community Development Director Samantha DiMaggio, the soon-to-be new owners are expected to redevelop the mall with businesses on the main floor and 14 apartments on the second floor.
Corner Drug would like to have a drive-thru window as part of the planned redevelopment.
Many moving parts are part of the redevelopment and reconnection of Main Street. In addition to selling the parking lot, the city of Le Sueur is willing to forgive $54,894.49 in an unrepaid loan to the current mall owner if the new owner will sell the vacated east half of Main Street to the city.
The city will also pay the developer $250,000 after the developer demolishes the portion of the mall that is on the vacated right-of-way. The city will also reimburse the developer $300,000 for façade construction costs, provided the developer spends at least $700,000, and the city will establish a TIF district to subsidize the remodeling of the mall and upstairs apartments.