City Council - 04/04/2023 - Workshop
APPROVED MINUTES
CITY COUNCIL WORKSHOP & OPEN PODIUM
TUESDAY, APRIL 04, 2023 CITY CENTER
5:00 – 6:25 PM, HERITAGE ROOMS
6:30 – 7:00 PM, COUNCIL CHAMBER
CITY COUNCIL: Mayor Ron Case, Council Members Kathy Nelson, Mark Freiberg, PG
Narayanan, and Lisa Toomey
CITY STAFF: City Manager Rick Getschow, Police Chief Matt Sackett, Fire Chief Scott Gerber,
Public Works Director Robert Ellis, Community Development Director Julie Klima, Parks and
Recreation Director Jay Lotthammer, Administrative Services/HR Director Alecia Rose,
Communications Manager Joyce Lorenz, City Attorney Maggie Neuville, and Recorder Kelsey
Engelen
Workshop - Heritage Rooms I and II (5:30)
A. ECONOMIC DEVELOPMENT UPDATE
Dave Lindahl, Economic Development Manager for City of Eden Prairie, began by overviewing the
various topics he would discuss throughout the presentation. Lindahl mentioned the Innovation
Sandbox; Economic Development (ED) Fund Infrastructure Projects; Development Activities;
Leasing Updates; High Profile Vacancies in Eden Prairie; Chamber of Commerce Collaborations;
and a SouthWest Light Rail Transit (SWLRT) Construction Update.
The Innovation Sandbox, Lindahl explained, began about four years ago with the goal of doing more
to support entrepreneurship in Eden Prairie (EP). It evolved into a space that the EP School District
plans to build at the EP High School (EPHS) as a collaboration between the City, EP Schools, the
Chamber of Commerce, and 1Million Cups. The new dedicated space will provide educational
programing around entrepreneurship; opportunity for collaboration between students and
entrepreneurs; after hours availability to entrepreneurs, and for meetings and events; guest
instructors; potential office space for start-ups; and a “point of sale” for student-based products.
Lindahl showed the Council concept images of the Innovation Sandbox located inside the south
entrance of EPHS, and explained that EPHS would potentially be under construction in late 2024 so
the space might be available for the beginning of the 2025 school year.
Lindahl moved on to discuss several ED funded infrastructure projects, beginning with
improvements at Singletree Lane and Prairie Center Drive. The project will reconfigure the right
turn for improved safety and redesign the corner plaza area for enhanced aesthetic value.
Next, Lindahl provided an update on the Town Center Place Plaza with Flying Red Horse project.
Mayor Case, with agreement from Councilmembers, suggested using the word “historic” in place of
“iconic” on the sign. Lindahl explained that the City has applied for a $160,000 grant through
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April 4, 2023
Page 2
Hennepin County (HC) to cover half of the total Plaza cost. Discussion ensued around text and
lighting of sign.
The next project Lindahl highlighted was the Golden Triangle Station Trail Connection. The new
trail would stretch from Golden Triangle Area (GTA) Station to Valley View Road, which is
approximately a half mile, and would connect with the existing City trail network. The trail would
provide pedestrian, bike, and micro mobility access to approximately 9,000 jobs and 300 housing
units, and is identified in the Aspire 2040 Comprehensive Plan as well as HC’s Transitional Station
Area Action Plan as a priority connection and opening day improvement. The City is applying for a
$500,000 HC Transit-Oriented Development (TOD) Grant to help fund the project.
The final ED Fund assisted infrastructure project Lindahl covered was the West 70th Street (East)
Extension, which provides access to GTA Station. In 2015, the City obtained a $470,000 HC Grant
to help fund east and west segments, and the west segment was completed in 2016. The East
segment construction is expected to take place in 2024, for which the ED Fund is providing
$560,000 for its completion.
Next, Lindahl moved on to discuss various development activities in Eden Prairie, beginning with
the former Vikings and Winter Park property. Over the last four years the City has engaged in
discussions with the owner regarding development options. The concept plan shared last December
showed apartments and commercial redevelopment. Staff is encouraging property density similar to
Elevate and Paravel apartments.
The Crosstown Core Industrial Building project involves redevelopment of former Kabuki
Restaurant and the adjacent parking lot. The 65,000 square foot multi-tenant spec building is
currently under construction with projected completion in 2023.
Lindahl then introduced the new Bush Lake Vet Clinic project currently under review. Located at
Hennepin Town Road and Pioneer Trail, the vet clinic would take up about 4,000 square feet of the
5,367 square foot building; the remaining space would be open for commercial use.
Another project under review is Baker Road Senior Living which consists of 126 senior assisted
living units on the southwest corner of Baker Road and West 62nd Street. This development project
would repurpose of the existing 9,000 square foot office building and add a 32,000 square foot
addition.
Next, Lindahl discussed the highly successful Asia Mall development project which opened in
November 2022. This project involved major renovation of the former Gander Outdoors building,
and they continue to work through parking challenges.
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April 4, 2023
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Lindahl outlined two car washes that are under review for each of the former Burger King sites. The
first is Mister Carwash on Crystal View Road, and the other is Crew Car Wash on Terry Pine Drive.
Lindahl noted that the Burger King franchise will not sell their properties for a food use.
The grocery box building which is part of the Flying Cloud Commons redevelopment by Oppidan
Development, remains vacant. It is unclear at this point if the 40,000 square foot grocery store
building, for which Oppidan has a lease for Amazon, will become an Amazon Fresh. Amazon is
apparently pausing all new store rollouts to reevaluate their concept. There is currently no word from
Oppidan regarding alternative uses if Amazon backs out. Discussion ensued regarding alternative
options for the building.
Construction is underway at the former Jakes restaurant site which may include a relocation of
another vet clinic. The balance of the space would most likely be available for a food-related space.
Lindahl provided an overview of the Fat Pants Patio Expansion which is currently under review. The
project would include an expansion to their current patio space with an area for music and increased
landscaping.
Moving on from the various development activities, Lindahl dove in to the leasing activities in Eden
Prairie. Smith Coffee’s lease term runs through 2027 and has several projects starting Spring 2023.
Both rain gardens will be completely restored, new lighting has been installed and new furniture and
seating is in the works. Lastly, they are planning new landscaping along the north property line. The
landscaping proposal for this City-owned property was developed by the City and represents a strong
design plan which takes into account the future of the property.
At 8098 Glen Lane, The EP Montessori School’s lease term runs through September 2027. One of
two Montessori schools operated in EP, it is a thriving business and successful location.
Lotus Nails, located at the Den Road EP municipal liquor building, has a lease term that runs
through September 2024. Lindahl explained that the business has struggled coming out of the Covid
pandemic, and the City will likely learn later this year or early 2024 if they intend to renew their
lease.
Chuck and Don’s, with a lease term through 2029, is doing very well despite the parent company
filing bankruptcy in early 2023. The Eden Prairie store is expected to stay open at the Den Road
municipal liquor building.
Lindahl briefly discussed the City Center space formerly occupied by UNFI and EP Schools which
is being considered for new Police Department headquarters and parking. This remodel would open
the current police department area as leasable building space.
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April 4, 2023
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Lindahl went on to touch on various high profile building vacancies. One of the largest is the
450,000 square foot Prairie Commons building at 13625 Technology Drive, currently occupied by
Optum. Their lease expires in December 2023 and the property is on the market with Cushman
Wakefield looking to lease.
At 12125 Technology Drive, a 155,000 square foot former Optum building is on the market which
the company had put a lot of money into before finding that the space was unneeded after the Covid
pandemic.
The Eden Bluff Corporate Center is a 150,000 square foot building that is on the market for lease
and is currently occupied by CH Robinson. It is unclear at the moment if CH Robinson intends to
extend their lease agreement with the building owners.
Lindahl explained that UNFI intends to sell their entire campus in on the southwest side of Bryant
Lake. Their situation is a common one; occupying only about 20 percent of their building as more
people are working from home, they intend to find a much smaller building which will meet their
needs. One 175,000 square foot building occupies 105 acres and has been occupied by UNFI since
the 1970s. Most of the land is zoned for office; and part of property is guided for medium density
residential, but the land would be difficult to develop due to wetlands and hills. The developable
land is likely to be desirable for housing development of apartments or townhomes. Discussion
ensued regarding north side lake frontage land and potential pushback from residents on the other
side of the lake.
The American Family Insurance Campus by Opus Park has been on the market for almost a year.
Like so many companies, they no longer need the space. The campus includes two buildings totaling
208,000 square feet, on 14 acres. The land presents potential for residential development. Due to its
proximity to Minnetonka, this would require collaboration with City of Minnetonka as it would
impact their road system.
Next, Lindahl provided an EP Chamber of Commerce collaboration update. Lindahl touched on
various events including the Economic Development Bus Tour; Annual Career Expo at EPHS;
Session Priorities Event and Dinner; Congressman Dean Philipps Luncheon; Annual Golf
Fundraiser; and the Annual Meeting. Community Development Director Julie Klima explained that
Dave Lindahl was presented the President’s Award from the EP Chamber for his longstanding
service to the community and for being such a strong proponent and supporter of the EP Chamber
and the City’s efforts.
Lindahl offered a brief update on SWLRT construction, stating that the new passenger waiting area
will be open for SouthWest Transit in April or May of 2023
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The Green Line LRT Extension project will force closure of the Highway 212 Prairie Center Drive
ramp for 12 weeks beginning April 10. Lindahl detailed detour routes, including the preferred route
for EP Center traffic.
Lastly, Lindahl discussed the Eden Prairie Realtor’s Forum which will take place May 12, 2023. The
forum is a collaboration between the City, Schools, and Metro Area Realtors (MAR), intended to
keep local realtors informed of community developments. The event includes a bus tour of recent
developments in addition to a classroom session, and it offers continuing education credit for local
Realtors. Past forums have taken place in 2011, 2013, 2016, and most recently in 2019.
Discussion ensued about various business and non-profit town hall meetings and opportunities.
Council also discussed the trend of business office buildings diminishing following Covid.
Open Podium - Council Chamber (6:30)
I. OPEN PODIUM
III. ADJOURNMENT