Building Buzz: Construction Shake-Ups, Big Plans & Industry Moves
posted on 02.24.2025
Welcome back to Building Buzz, your go-to source for the latest happenings in the construction and development world.
This week, we’re diving into a mix of hot topics that are shaping the industry—from legislative shake-ups and big-ticket development projects to the ever-evolving energy and infrastructure landscape. OSHA is making headlines (again), a homebuilder in Burnsville is facing local resistance, and St. Paul has a bold new vision for a $130-million downtown project. Meanwhile, the federal government has hit pause on EV charging network funding, and a Minnesota asphalt company is paying the price for shady business practices.
Whether you’re here for the policy debates, market trends, or just the latest buzz in Minnesota construction, we’ve got you covered. Let’s dig in!
FEBRUARY 10
Bill to abolish OSHA has 'zero chance' of becoming law, attorney said
Rep. Andy Biggs (R - Ariz.), last month proposed the Nullify Occupational Safety and Health Administration Act, which would abolish the Occupational Safety and Health Act of 1970 that created OSHA. Biggs introduced similar legislation in 2021, which stalled out after it was referred to the House Committee on Education and Labor. Phillip Russell, a Florida-based OSHA and employment lawyer for Ogletree Deakins said that the new bill will not pass, as OSHA plays a vital role in workplace safety. Even if Trump supported the bill, Russell said, Republicans would have to get rid of the filibuster in the Senate, which he does not see as likely. Nevertheless, the Trump administration has taken other actions in recent days that could impact the agency, such as pausing rulemaking and attempts to cut departments' and agencies' headcounts. (Construction Dive)
Builder plans housing at former Burnsville elementary school, faces pushback
A homebuilder seeks to construct 116-units of housing, including single-family homes and townhomes, at the site of a vacant elementary school in Burnsville, though the plan has already been met with community pushback. The local division of Columbus, Ohio-based M/I Homes proposes to redevelop the vacant Sioux Trail Elementary School site, which spans nearly 12-acres at 2801 River Hills Drive along Highway 13, according to city documents. The homebuilder is expected to present its plans to the Burnsville City Council for informal review. M/I Homes proposes the redevelopment include 23 single-family homes, 93 townhomes and a 1.17-acre park, which would have a 5,000-square-foot play structure and 2,500-square-foot sport court next to the existing Tennisioux Park. The units are anticipated to range from about 1,900-square-feet to over 2,000-square-feet, and include three bedrooms, according to M/I Homes' memo. (Minneapolis - St. Paul Business Journal)
DOT suspends Biden's $5B electric vehicle charging network effort
The Trump administration has suspended the $5-billion National Electric Vehicle Infrastructure formula program, informing state transportation directors in a February 6th memo that "no new obligations may occur" until guidance is updated. NEVI was included in the bipartisan infrastructure law passed by Congress in 2021 and represents one of the Biden administration's more robust efforts to expand electric vehicle adoption. The program required states to develop EV charging infrastructure plans in order to access funds, but the Federal Highway Administration, or FHWA, now says it has suspended approval of those plans. Most of the NEVI funds have already been awarded to state transportation departments. Nonetheless, the FHWA's announcement "creates great uncertainty for the billions of dollars states and private companies are investing," according to Ryan Gallentine, managing director at national business association Advanced Energy United. (Smart Cities Dive)
Eagan to consider food production facility at BCBS campus site
Inland Development Partners is proposing a 282,000-square-foot food production facility and office building, which could be underway as soon as next year, according to planning documents for the City Council meeting. The council will hear from and have an informal discussion with city staff and Inland about the proposed development. The production facility would serve as a warehouse and distribution facility for Buddy's Kitchen, a frozen food manufacturer that has facilities in Burnsville and Lakeville. Out of the 282,000-square-feet of space, about 35,000-square-feet are designated for office space while the remaining footprint will be used for "production area, freezers, coolers, test kitchens and support facilities," planning documents said. The anticipated timeline for the proposal would be to start permitting in 2025, start construction in 2026 and have operation and occupancy in 2027. (Finance & Commerce)
Energy providers advance major transmission line project
Great River Energy --- along with ITC Midwest and Xcel Energy --- said in a press release that the project will "meet the significant growth in electricity use projected in the coming decades and improve access to new energy sources needed to serve communities throughout the region." The energy providers said they have filed a "Notice of Intent to Construct, Own, and Maintain" the new transmission line with the Minnesota Public Utilities Commission. Next steps include public outreach and an environmental review process overseen by the commission. It's estimated that construction will begin in roughly 2030 and that the transmission line will be in service by 2035. The next few years, meanwhile, will "all be about public meetings, public involvement." (Finance & Commerce)
Mortenson to finish Milwaukee Public Museum's exterior in 2025
Construction is underway for a five-story, $240-million natural history museum on the northeast corner of North Sixth Street and West McKinley Avenue in Milwaukee. Milwaukee Public Museum officials said exterior construction is expected to be completed by the end of 2025, and interior construction will continue through 2025 and into 2026. The future museum will feature a five-story building on the corner of Sixth and McKinley Street, a three-story parking structure connected to Vilet Street and a plaza and garden on the northwest side of the city block. The construction and design team are led by Mortenson, ALLCON, Ennead Architects and Kahler Slater. Included in that list are more than 30 Wisconsin-based companies involved in construction of the future museum. So far, footings are in place and crews poured concrete for the first two stories. (Finance & Commerce)
Trump's latest tariff plans on steel and aluminum are spreading uncertainty
President Trump intends this week to reset U.S. taxes on all imports to match the same levels charged by other countries, all of which comes on top of the 10% tariffs he already put on China, China's retaliatory tariffs that started February 10th, and the U.S. tariffs planned for Canada and Mexico that have been suspended until March 1st. All of this carries inflation risks at a moment when voters are already weary of high prices and fearful that price increases will eclipse any income gains. Trump maintains that the tariffs will level the playing field in international trade and make U.S. factories more competitive, such that any pain felt by consumers and businesses would eventually be worthwhile. But companies that rely on steel and aluminum saw their share prices decrease, since tariffs mean that the cost of their raw materials could increase. For example, shares in automaker General Motors sold off, which could ultimately signal trouble for a manufacturing sector that Trump has promised to revive. (Finance & Commerce)
FEBRUARY 11
Apple Valley could host 5 data centers
Apple Valley could see an influx of construction on the Fischer Sand and Aggregate mining site if a prominent data center development gest the green light from the city, according to planning documents. Oppidan Investment Co. has pitched a technology park campus for the former mining site that would involve the building of 860,000-square-feet of property spread across primarily seven buildings, including five data centers. The Apple Valley Planning Commission held a public hearing for the proposed campus at its February 5th meeting, though it did not take any action on the item, in accordance with commission policy. The five data centers will create a footprint that takes up approximately 794,200-square-feet, while the remaining 66,000-square-feet will be utilized by two two-story buildings and "several small buildings such as lift stations and fiber rooms," planning documents said. Should Oppidan get all the green lights from the city, the hope is to start construction by this summer or fall. Construction of the site is on a five-year timeline. (Finance & Commerce)
Construction industry on firm footing despite labor challenges
The Royal Institution of Chartered Surveyors and American Association of Coast Engineering said construction was in a stronger position at the end of 2024, according to the USA Construction Monitor report. Researchers credited the infrastructure, home and office sectors for growth in contracting activity. The Construction Sentiment Index, made up of different key indicators, climbed to +40 in the last quarter, the report showed. Confidence was higher at the end of the year compared to +19 in the third quarter and +25 in the quarter before that. The report counted net balance data on a range from -100 to +100. (Finance & Commerce)
Sartell shows support for Niron manufacturing expansion
Niron, a provider of what it calls "rare-earth-free high-performance magnetics," wants to build a 150,000-square-foot manufacturing facility on a 79-acre site in Sartell. As part of the expansion, which is expected to create 175 jobs, the company is seeking state money to help pay for project-related infrastructure improvements. The Sartell City Council approved a resolution of support for Niron's application to the state's Business Development Infrastructure Grant Program, which offers grants to help pay for public infrastructure necessary for economic development projects. Specifically, Niron is seeking a $2-million grant to assist with the reconstruction of Fourth Avenue South from Niron Magenetics' property to Second Street South, according to a city staff report. Besides the reconstruction, the infrastructure project includes a roundabout at Second Street and Fourth Avenue. (Finance & Commerce)
FEBRUARY 12
$130M mixed-use project pitched for St. Paul's Central Station site
Flaherty & Collins wants to develop a key site in downtown St. Paul with a $130-million mixed-use project that would bring hundreds of market-rate apartments and other uses to the central business district. Flaherty & Collins unveiled its vision for a 20-story tower and a skyway-connected six-story-building on the Central Station site, which is framed by Fifth Street, Minnesota Street, Fourth Street, and Cedar Street, to the St. Paul Housing and Redevelopment Authority. The buildings would have a combined 369,600-square-feet of space, according to meeting materials. The unit mix would include studio, one-, two-, and three-bedroom apartments. Also included are 10,000-square-feet of ground floor retail, according to a project narrative. (Finance & Commerce)
Asphalt company ordered to pay $100k restitution
Community Blacktop LLC, a Minnesota-based asphalt company that victimized consumers, is required to pay $100,000 in restitution as part of settlement. The owner of the company also agreed to dissolve the business as part of a settlement announced by the office of Attorney General Keith Ellison. The company also goes by the name of C. Blacktop LLC, Community Construction LLC, Frontier Construction, and MVP Valued Paving & Engineering. The business "vicitimized consumers in Minnesota and across the country, targeting the elderly in particular, by promising quality asphalt work at a discount, but delivering subpar results and subsequently demanding outrageously inflated prices multiple times in excess of what was initially quoted," according to a press release from the Attorney General's office. (Finance & Commerce)
Headwaters pitches rentals near downtown Chanhassen
The Chanhassen City Council got a sneak preview of the proposed Headwaters Development project, which would "supplement" an existing 18-unit building on a site bordered by Santa Vera Drive and Saratoga Drive on the north and Laredo Drive on the east, according to a project narrative. The council didn't take formal action on the proposal, which was up for "sketch plan" review. A concept plan submitted to the city shows the new building just south and west of the existing apartments. Also shown are landscaping, a stormwater pond, space for additional ponding if needed, a "grill and amenity area," and parking for 67 vehicles. The developers plan to keep the existing apartments affordable and provide additional affordable units in the new building, according to city documents. (Finance & Commerce)
Monarch Development begins apartment project in downtown Waconia
The development team broke ground on the 92-unit market-rate apartment project last month, with an expected opening date of Spring 2026. The 1-acre site is located at the intersection of Olive Street South and Second Street West, less than two blocks from Main Street and three blocks from Lake Waconia. The five-story building will include a mix of alcove studios and one-, two-, and three-bedroom floor plans with large private terraces. (Minneapolis - St. Paul Business Journal)
Oppidan plans Apple Valley tech campus, five data centers
Oppidan Investment Co. is proposing to build more than 860,000-square-feet of space, including five data centers, at a former mining site in Apple Valley. Finance & Commerce reports that the developer's plan for Fischer Sand and Aggregate mining site went before the Apple Valley Planning Commission on February 5th, though the panel isn't expected to cat on the measure until at least February 19th. The city has a summary of the proposal, along with maps and public comments made so far, at the Apple Valley website. Oppidan is seeking a rezoning of a 134-acre parcel located at 15255 Johnny Cake Ridge Road that would allow mixed business uses. I'ts planning to use the site for five data centers --- three of them one-story structures and the others two-stories in height --- that total nearly 800,000-square-feet. Several ancillary buildings would add another 65,000-square-feet to the development. (Minneapolis - St. Paul Business Journal)
FEBRUARY 13
ABC, BAM sue state over independent contractor law
The Associated Builders and Contractors of Minnesota and North Dakota, the Builders Association of Minnesota, and Rochester-based J&M Consulting claim among other things that the law "adversely affects the construction industry" and is "unconstitutionally vague." The Department of Labor and industry is "reviewing the complaint and has no further comment," a DLI spokesperson said in an email. Ellison's press secretary said in an email that the "Minnesota Attorney General's Office will respond in court." Signed by Gov. Tim Walz last spring, the law is scheduled to go into effect on March 1st, according to court documents. The new law creates more enforcement tools and provides stiffer penalties against employers who misclassify workers as independent contractors. Specifically, it includes "compensatory damages" and penalties of up to $10,000 for "each individual" the employer "failed to classify, represent or treat" as an employee, among other provisions. (Finance & Commerce)
Central Station site: 'pivotal' and challenging
The St. Paul City Council is enthusiastic about Flaherty & Collins' plan for a $130-million mixed-use development on the Central Station site in downtown St. Paul, but at least one city official cautions that the hard work to make the project happen is just beginning. The project, unveiled at St. Paul's HRA meeting on February 12th, calls for 300 apartment units and 10,000-square-feet of retail space in two buildings: a 20-stpry tower and a skyway-connected six-story building. The development site is framed by Fifth Street, Minnesota Street, Fourth Street and Cedar Street. Among other challenges, the site is owned by two separate public entities --- the city of St. Pal and the Metropolitan Council. Further complicating the project is the unusual shape of the site and the presence of a light rail line, which runs through the property. (Finance & Commerce)
Downtown St. Paul Green Line site draws plans for housing from Flaherty & Collins
St. Paul leaders may give the go-ahead on the Indianapolis developer's plan to build hundreds of market-rate homes at a vacant site in downtown, a project that would give the city a needed jolt of private-sector investment. The Pioneer Press reports on the outlook for the plans by Flaherty & Collins, which envisions 300-units of housing at the Central Station block, including a 20-story tower and a smaller, six-story building. The site, which is largely empty aside from a Green Line light rail station, is bordered by Fourth and Fifth streets and Cedar and Minnesota streets. An official with the developer told the paper that the investment could be as much as $130-million, though the plans are still conceptual. (Minneapolis - St. Paul Business Journal)
Hempel aims for TIF for West End apartment project
Though it received approval from St. Louis Park for its planned unit development, Hempel Real Estate, the developer, will go back to the City Council to ask for final approval for the tax increment financing district and a conditional use permit. The Terasa, as the project has been dubbed, is addressed at 5401 Gamble Drive in St. Louis Park's The Shops at West End. The project will spread 223-units across six stories, according to planning documents. The first floor will have 21,000-square-feet of commercial and retail space. Out of the 223-units, 45 have been designated as affordable units, available for people making 50% of the area median income. There will be 74 studio units for the Terasa along with 71 one-bedroom and two-bedroom units. The remaining seven units will have three bedrooms, according to planning documents. There will be 133 surface stalls and 231 stalls in a below-ground parking garage. (Finance & Commerce)
Hempel plans office, residential near St. Louis Park's shops at West End
Hempel Real Estate is planning three new mixed-use buildings at and around The Shops at West End in St. Louis Park, led by a high-profile real estate executive who joined the developer. Officials said the new project includes an office building with as much as 120,000-square-feet behind the Punch Bowl Social location, as well as another two mixed-use residential buildings across Gamble Drive from The Shops. The buildings, still in the proposal stage, would be among Hempel's latest efforts to expand its holdings around West End after the company purchased The Shops in 2022. (Minneapolis - St. Paul Business Journal)
Lake West tries again to redevelop TCF headquarters in Wayzata
Lake West Development has submitted new plans to the city after five previous attempts failed since 2020 to redevelop the site overlooking Wayzata Bay on Lake Minnetonka. The latest denial led the developer to sue the city in 2023, alleging it erred in its denial of a rezoning of the property, located at 200 Lake Street East. Its latest proposal considers two concepts for a nearly 99,000-square-foot building that would replace what's there now:
1.) A 4-story building with 30 condominium units, ground-floor commercial space and 205 parking stalls, or
2.) 1 3-story building with 50 condominium units, ground-floor commercial space and 162 parking stalls.
The residential units will have a homeowner's association. The building would look like separate buildings, city documents showed. (Minneapolis - St. Paul Business Journal)
FEBRUARY 14
Amazon buys 95-acres of Thomas Reuters campus in Eagan
Amazon.com Inc. has acquired over 95-acres of the former Thomson Reuters campus in Eagan, supporting other indicators that the ecommerce giant is involved in a redevelopment of the site. Ryan Cos. US Inc. is in the process of transforming 179-acres of Thomas Reuters' 263-acre campus into a mix of industrial and residential uses. Ryan first unveiled its intent to redevelop the site last year, with plans showing a 3.6-million-square-foot industrial building for an unidentified user. The building plans, like the color swatches and an entry-door design, suggested that Amazon could occupy the multi-story building called Project Nova. Now Amazon has purchased a large swath of the site, located off Dodd Road, from a subsidiary tied to Ryan. (Minneapolis - St. Paul Business Journal)
Amazon buys Thomson Reuters lot for $52M
Amazon has purchase a piece of land on what was formerly the Thomson Reuters campus in Eagan for $52.5-million in cash, according to a certificate of real estate value released. The CRV says the property will be used for a distribution warehouse, which aligns with the master plan for development for the Thomson Reuters campus, a plan that was passed by the Eagan City Council in November. The development master plan that was considered in November labeled this parcel of land as "Project Nova." (Finance & Commerce)
Hempcrete and solar thermal come together on Lower Sioux projects
As program coordinator for 8th Fire Solar, an emerging Osage, Minnesota-based provider and installer of solar thermal panels, Gwe Gasco is doing his part to take care of the environment and lay the groundwork for a more energy independent future. The "two worlds" he references are solar thermal and hempcrete. They are coming together on projects 8th Fire Solar has been working on for the Lower Sioux Community in Southwest Minnesota. In January, Gasco led a team from the White Earth Nation, which brought a solar thermal panel to install on a recently built hempcrete house. In the following interview, Gasco talks about his company, the marriage of solar thermal and hempcrete on a recent Lower Sioux project, his outlook for energy-friendly projects in 2025, and more. (Finance & Commerce)
Stillwater building contractor pleads guilty in tax fraud case
The Ramsey County Attorney's Office (RCAO) has announced that a Stillwater building contractor has pleaded guilty in a tax fraud case. Todd Konigson, a masonry contractor who owns the business Stillwater Masonry Restoration, kept employee withholding and failed to report income. Ramsey County Attorney John Choi's office came one of the first county attorney's offices in Minnesota to hire a full-time wage theft investigator who prioritized crimes like these. It launched an investigation after receiving reports that Stillwater Masonry was failing to timely pay wages to its employees, as well as not fulfilling contractual obligations to small businesses, churches, and nonprofit organizations in the Twin Cities area. The investigation arose out of work the business performed on St. Paul's historic Masonic Temple. Subsequently, the office filed a criminal complaint against Konigson. (Finance & Commerce)
