[PAGE 1]
Economic Development Authority
Regular Meeting
Wednesday, March 13, 2024
4:00 PM
Charles S. Crandall Center – Meeting Room
City Hall
1. EDA Agenda - March 13, 2024
Documents:
EDA 03-13-2024.PDF
2. Roll Call: Boeke, Cowell, DeVinny, McDermott, Mensink, Raney, Voss
3. Approval Of Minutes: February 21, 2024
Documents:
EDA MINUTES 02-21-2024.PDF
4. Treasurer's Report
Documents:
TREASURERS REPORT.PDF
3. B. FEBRUARY CASH BALANCES.PDF
5. Loan Report
Documents:
4. LOAN REPORT FEBRUARY.PDF
6. Reports
6.I. OACCT / OPED Report
Documents:
EDA UPDATE-3-2024.PDF
LEADS EDA REPORT MARCH.PDF
6.II. OABDC Report
Documents:
OABDC EDA REPORT 2403.PDF
6.III. EDA Projects
Documents:
EDA REPORT MARCH 2024.PDF
7. Old Business
7.I. Downtown Second Floor Commercial Space Contest
7.II. Discuss Bubba's
8. New Business
8.I. Forgivable Loan - 210 Main Street West (Vanity LLC / Miranda)
8.II. Lucky Dice
8.III. Discuss Multiple Forgivable Loans For The Same Property
9. Schedule Next Meeting - April 17, 2024
10. Adjournment

[PAGE 2]
Economic Development Authority
Regular Meeting
Wednesday, March 13, 2024
4:00 PM
Charles S. Crandall Center – Meeting Room
City Hall
1. EDA Agenda - March 13, 2024
Documents:
EDA 03-13-2024.PDF
2. Roll Call: Boeke, Cowell, DeVinny, McDermott, Mensink, Raney, Voss
3. Approval Of Minutes: February 21, 2024
Documents:
EDA MINUTES 02-21-2024.PDF
4. Treasurer's Report
Documents:
TREASURERS REPORT.PDF
3. B. FEBRUARY CASH BALANCES.PDF
5. Loan Report
Documents:
4. LOAN REPORT FEBRUARY.PDF
6. Reports
6.I. OACCT / OPED Report
Documents:
EDA UPDATE-3-2024.PDF
LEADS EDA REPORT MARCH.PDF
6.II. OABDC Report
Documents:
OABDC EDA REPORT 2403.PDF
6.III. EDA Projects
Documents:
EDA REPORT MARCH 2024.PDF
7. Old Business
7.I. Downtown Second Floor Commercial Space Contest
7.II. Discuss Bubba's
8. New Business
8.I. Forgivable Loan - 210 Main Street West (Vanity LLC / Miranda)
8.II. Lucky Dice
8.III. Discuss Multiple Forgivable Loans For The Same Property
9. Schedule Next Meeting - April 17, 2024
10. Adjournment

[PAGE 3]
Economic Development Authority
Regular Meeting
Wednesday, March 13, 2024
4:00 PM
Charles S. Crandall Center – Meeting Room
City Hall
Agenda
1. Roll Call: Boeke, Cowell, DeVinny, McDermott, Mensink, Raney, Voss
2. Approval of Minutes: February 21, 2024
3. Treasurer’s Report
4. Loan Report
5. Reports
a. OACCT / OPED
b. OABDC
c. EDA Projects
6. Old Business
a. Downtown Second Floor Commercial Space Contest
b. Discuss Bubba’s
7. New Business
a. Forgivable Loan – 210 Main Street West (Vanity LLC / Miranda)
b. Lucky Dice
c. Discuss Multiple Forgivable Loans for the Same Property
8. Schedule Next Meeting – April 17, 2024
9. Adjournment

[PAGE 4]
EDA
Minutes
February 21, 2024
The Owatonna Economic Development Authority met in regular session at 4:00 PM in the
Charles S. Crandall Center – Meeting Room at City Hall Building with President Raney
presiding. Commissioners present: Dan Boeke, Andrew Cowell, Brenda DeVinny, Pat
McDermott, Kevin Raney, and Doug Voss. Commissioners absent: Corey Mensink. Also present
were Troy Klecker, Lisa Cochran, Sean Williams, and Kristen Kopp. (Brad Meier arrived during
the discussion on the Downtown Second Story Contest.)
Approval of Minutes. Commissioner Boeke moved approval of the minutes of the January 17,
2024 meeting with second by Commissioner McDermott. All Commissioners voting Aye, the
motion passed.
Treasurer’s Report. Troy Klecker presented the revenue and expense reports for January. He
said we’re just getting the year underway and there isn’t much to report.
Loan Report. Sean Williams presented the loan report for January. He said that the HotWorx
loan was executed yesterday. There hasn’t been action on the low-doc loans. Klecker said that
they received the last Cars N Credit payment, so all of the MIF flood recovery loans are satisfied,
and we are officially done with the program.
OACCT / OPED Report. MainStreet Director Lisa Cochran presented the OACCT Report for
January. She said Made in Owatonna was today and Brad said it went well. She said that it has
been fun for her to see businesses downtown embrace the new branding and the new tagline. A
downtown association group from Grand Rapids is coming to tour Owatonna and learn about our
downtown revitalization. She said they want to include EDA, City Council, and City Staff with
that.
OABDC Report. Sean Williams presented the OABDC Report for January. He said that he’s
changed the format of the report. There is space at the Center for tenants now that CDI has
moved out. Habitat for Humanity has moved in and built an entire house in the last two weeks in
partnership with the high school. The house will be going to Chatfield. They got the executed
paperwork for a DEED grant for $138,000. They have educational offerings in partnership with
Community Ed including a bootcamp and Small Business Academy. Cowell asked how the
maker space differs from the maker space at the library. Williams said he doesn’t want to
replicate what they have at the library. Their intent is primarily for prototyping or for hobbyists
who are looking to convert their hobby into a business. They will be more entrepreneurial
focused. He said they’re also considering the high school because they have a lot of equipment
there that isn’t accessible to the public. He said he doesn’t think they’ll be able to use it, but
might be able to show people. Cowell asked how we will make it happen. Klecker said his guess
is the library’s maker space will probably be up first. Williams said the issue there is training the
staff. Klecker said once the library’s space is up and operational, Williams will get a better look
at it. The thought is, if you are just trying something, you will try it at the library. If you want to
do something more or make it into a business, they will check out the Center.

[PAGE 5]
EDA Projects. Community Development Director Troy Klecker presented the EDA Projects for
January. He said there aren’t many updates. 117 West Bridge continues to be shown. People
have ideas and interest; it comes down to a financial issue. It will take the right project to go in
there. There are two adjacent property owners that have some interest in 148 West Main Street.
Both are looking at something else right now. Kamp Automation is open and operational. That
was a good project and went smoothly. They’re still plugging away on Ascend. Scooters still
plans to build their coffee shop. He is talking with Alexander Lumber on the Fremont Street
property. FoamCraft has started construction on their addition. The City is planning on
demolishing the East Pearl Street house.
Old Business: Update on 224 Cedar Avenue North. Klecker said he talked to Oscar on
Monday and he is choosing not to go forward with the project. The costs are substantially more
than when he signed the purchase agreement two years ago. He’s talked to contractors and
developers and has exhausted all the options. He will not proceed with the project and we can
proceed with getting the property back. With that, we have a development agreement with
timelines. There was language that allowed us to push off the dates as it was supposed to be
completed in 2022. Oscar was involved in the Ascend shuffle of businesses. If he is in default,
we can take the property back. We did have language in there should he not move forward, he
would reimburse us $8,500 for the TIF consulting expenses we incurred. And the property taxes
were not paid in 2023, which were around $5,000. He said he will talk to Mark Walbran and the
TIF Consultant. Klecker said the development agreement says that the EDA gets the $8,500 and
the taxes are paid. Cowell agreed as it is tax payers’ dollars. Raney agreed. Klecker said that is
the route they will go. Klecker said that Oscar offered to share any work he’s done on plans. He
would work with anyone that has interest in the building or drawings. Voss said it wouldn’t be
hard to make the argument that he’s cost us more than that. Raney said the new owner may not
find the information valuable. Klecker said he will have to check to see if increment is generated,
because if so, the clock is ticking on the TIF district. There could be another project that comes
in. He said it has happened once before with The Pearl. He said it’s disappointing, but they could
end up with another project in the end. Raney said that it’s more desirable now than it was a
couple years ago. Cowell asked when they can begin marketing it. Klecker said unofficially, but
he wouldn’t put anything out there officially until the City owns it again. Klecker said he’d give
updates as we proceed.
Raney asked if we’ve taken over the old Cemstone facility yet. Klecker said we own it, but they
are operating under a lease for five years. There are probably two years left on it. They’re timing
the move based on the five-year time frame. They’ve moved the new plant and will take down
the existing plant. Then, they’ll build a new facility at the new site.
New Business: Forgivable Loan – 605 Cedar Avenue N. Williams said that Mr. Olson
submitted an application for a forgivable loan for $10,000 interior and $10,000 exterior for ADA
accessibility and bathrooms. He said that they told him that work couldn’t go further because the
loans weren’t applied for. Williams said that the ramp is already built. Olson said that he had the
footings poured because he had been told that he could start since usually the work is more than
the loan. DeVinny said she thought we had a precedence with MSB and their outdoor patio.
Raney agreed and said he’d like to go back and see the notes. Olson said he wasn’t trying to go

[PAGE 6]
around the system or hope that he could sneak through something. Boeke said he didn’t think it
would be a problem for him to approve this loan as this is what it is designed for. Mr. Olson said
he’s trying to not take more loans than he needs, but not getting the $20,000 would hurt. Klecker
said the program applies to the B-3 Central Business District and has been rezoned to be in the
correct district. Raney said they have to follow the guidelines on what the program is and can’t
just change it without agreeing. Olson said the guidelines weren’t as clear when he first applied.
Raney said he doesn’t want Olson to stop construction. Klecker said he still has interior
improvements to do, so that could be approved. Olson said that the majority of the outside is
done. Klecker agreed not to keep the project on hold. For the exterior, we can go back and look
at what they did with MSB and make a decision at the next meeting. Voss asked if he’s doing
other stuff to the front? Olson said eventually, when he starts making money. He said he doesn’t
like taking loans. Raney asked if he filled out the paperwork in August for the loan. Olson said
he didn’t apply, but it was through an email he was told he could start. He read through the email
thread. Williams said that the old application was not clear that he had to be approved before
starting construction. Klecker said that the process is simple and clear now. There was some
transition in all of this. Intentions were good. It’s accomplishing what we want – a handicap
accessible ADA compliant building. Raney said, with the understanding from the prior
paperwork, are we comfortable approving it as is, or would you want to research it. Raney said it
sounds like he did everything he could to follow the processes. He’s more apt to say, based on
the information given at that time, it is different than MSB. He said he’s comfortable with it.
Voss asked if there were any others in the same position. Williams and Cochran said not that
they are aware of. Cochran said if someone printed something off before we switched
applications, they could have the old one. Williams said Olson was actively working on the
process. Anyone from this point on would have to reapply. Cowell said he believes that Olson is
acting in good faith and has the documents. Our old application wasn’t clear. He said it would be
in their best interest to approve it. Boeke said he’s in favor of it. DeVinny said she’s in support
of letting him move forward. He’s still in process. McDermott said it sounds like the process was
a little unclear before and he has well documented communication on it. He said he’s in support
of it as well. Raney said he agrees, and we changed halfway through the process. A motion was
made by Boeke and seconded by DeVinny to approve a $10,000 exterior loan and $10,000
interior loan for 605 Cedar Avenue N. All Commissioners voting Aye, the motion passed.
There was some discussion about Lucky Dice accessing old dollars from 2019 that they didn’t
spend, or whether they could reapply for another loan. Klecker said the project they applied for
was completed under budget. This would be a different project than what they proposed before.
Voss said the loan is kind of to get the project started. Klecker said they determined that they
weren’t going to open up the loans to businesses who had loans. Klecker said what they could do
is, say you get $10,000 interior and $10,000 exterior, you could apply for another project as long
as it was under $10,000. Williams said it’s not giving them extra money over $10,000. Klecker
said that Lucky Dice is a unique situation as they had a collapsed wall during the streetscape and
we reduced it by the difference. There will be more discussion at the next meeting and it will be
on the agenda.
Downtown Second Floor Commercial Space Contest. Klecker said there has been some
discussion about a contest for converting vacant, second story space to commercial space. He
said he wanted the Commissioners input and direction if we are going to move forward with it as

[PAGE 7]
it would be good to roll it out this spring. Cochran said she started a document listing what is out
there. Klecker said they could roll out something and have no takers at all. Raney said second
floor could also include third floor. Raney said they tried to do the Restaurant Challenge and had
no takers because the costs were exorbitant. Would it be bad if we did a $20,000 forgivable loan?
To meet today’s codes, $10,000 isn’t going to do anything. Voss said it’s missing the goal
because their job is to help businesses. To him, it’s on the owner to fix the building. Raney said
this is an incentive to reinvest in the business and makes the property more valuable. Klecker
said he has a preference for a business over an apartment. They are trying to create more activity
and draw more people downtown. Raney said he likes the idea of second floor business. Voss
said the program so far has focused on the front and the usability of the space. Cochran said she
sees both sides of it. If it is apartments, it’s for that building owner. Some businesses are
struggling and they have a guaranteed income from renting apartments. You also have more
people who live downtown and hopefully go to the businesses. She said she’s also all about
having businesses downtown, too. Klecker said they could set no boundaries on eligibility but
say it’s for improvements for second floor space. They could review the applications and reserve
the right to reject any and all applications. If there is a winner, they get $20,000 or they could
reject them all. Boeke said this is one way we’d get more housing or more businesses. Either
way, we win. DeVinny said she likes the idea of a contest because we can see what kind of
interest there is. McDermott said that it seems like leaving some flexibility would be the right
way to do it. Raney said he’s curious to see what the property owners see their second floor as.
Only one, or none, will get it. Cochran said she’s seen it work in other MainStreets and it would
be interesting to see who’s interested. Raney said he likes that we have people from Grand
Rapids who want to see how we did our streetscape. We did the forgivable loan and we continue
to add on to what makes a vibrant downtown. Cowell said he’s all for a second floor contest, but
ask if someone who received a forgivable loan would be eligible? Klecker said we would reserve
the right to reject all. DeVinny said this is a challenge, so she would see this differently. Meier
said you could put emphasis on, maybe it’s space that hasn’t been used in five years. Klecker
said they can leave it broad, but give some criteria for what they’re looking for, such as, is it
going to bring people downtown? Raney asked if there are other communities that are doing this.
Cochran said she will look into it and come back with some examples from other communities.
Williams said he likes objective scoring criteria for contests.
Schedule Next Meeting. The next EDA meeting is scheduled for March 20, 2024 at 4:00 PM in
Charles S. Crandall Center – Meeting Room at City Hall. Raney said that he, Voss, and Boeke
will be out of town that day. Klecker said he’d like to chose a date that more Commissioners can
approve. If we went March 13, 2024, would that work? The Commissioners agreed. Raney
asked if they could change the agenda around and move this up.
Adjournment. There being no further business, a motion was made by Commissioner Voss and
seconded by Commissioner Cowell to adjourn the meeting at 5:20 pm. All Commissioners
voting Aye, the motion passed.

[PAGE 8]
EDA ADMINISTRATION
Account Description Current Budget Current YTD Budget Remaining
REVENUE
290-31000-690-691-000000 PROPERTY TAXES - 200,000.00 - 33,350.00 - 166,650.00
290-31410-690-691-000000 LODGING TAX - 3% - 250,000.00 - 12,648.85 - 237,351.15
290-34950-690-691-000000 TIF ADMINISTRATIVE F - 71,773.00 - 71,773.00
290-36210-690-691-000000 INTEREST EARNINGS
290-36220-690-691-000000 RENT/RENTALS - 3,600.00 - 600.00 - 3,000.00
290-36231-690-691-000000 GRANT FUNDS
TOTAL REVENUE - 525,373.00 - 46,598.85 - 478,774.15
EXPENDITURES
290-41000-690-691-000000 WAGES - REGULAR FT 86,568.00 13,187.92 73,380.08
290-41300-690-691-000000 WAGES - OT
290-41410-690-691-000000 PERA 6,493.00 980.16 5,512.84
290-41420-690-691-000000 FICA 6,622.00 974.95 5,647.05
290-41500-690-691-000000 INSURANCE 7,445.00 1,094.87 6,350.13
290-41550-690-691-000000 WORKERS COMP INSURAN 493.00 74.50 418.50
290-42000-690-691-000000 OFFICE SUPPLIES 400.00 400.00
290-42300-690-691-000000 SMALL TOOLS & MINOR 400.00 400.00
290-43010-690-691-000000 OTHER PROFESSIONAL S 35,000.00 35,000.00
290-43121-690-691-000000 PHONE 200.00 200.00
290-43122-690-691-000000 POSTAGE 300.00 300.00
290-43220-690-691-000000 TRAVEL & TRAINING 1,000.00 105.62 894.38
290-43231-690-691-000000 OBD - MARKET SERVICE 80,000.00 80,000.00
290-43232-690-691-000000 OBD - LOAN SERVICES 20,000.00 20,000.00
290-43233-690-691-000000 OBD - SMALL BUSINESS 4,000.00 4,000.00
290-43234-690-691-000000 DOWNTOWN ENHANCEMENT 5,000.00 5,000.00
290-43235-690-691-000000 PARTNERS FOR PROGRES 12,000.00 12,000.00
290-43320-690-691-000000 ADVERTISING & PROMOT 1,000.00 1,000.00
290-43400-690-691-000000 MEMBERSHIPS & SUBSCR 200.00 200.00
290-43720-690-691-000000 REPAIR & MAINT - EQU 200.00 200.00
290-43810-690-691-000000 RENTS/LEASES 6,700.00 6,700.00
290-43972-690-691-000000 SOUTHERN MN INITIATI 1,667.00 1,667.00
290-43990-690-691-000000 MISCELLANEOUS
290-43991-690-691-000000 TOURIST DEVELOPMENT 237,500.00 237,500.00
290-47000-690-691-000000 TRANSFER TO OTHER FU 12,000.00 2,000.00 10,000.00
TOTAL EXPENDITURES 525,188.00 18,418.02 506,769.98
EDA LOANS
Account Description Current Budget Current YTD Budget Remaining
REVENUE
292-34109-690-692-000000 OTHER REVENUE
292-34960-690-692-000000 INTEREST ON LOANS - 108.94 108.94
292-36210-690-692-000000 INTEREST EARNINGS - 16,000.00 - 16,000.00
TOTAL REVENUE - 16,000.00 - 108.94 - 15,891.06
EXPENDITURES
292-48300-690-692-000000 LOAN PROGRAM DISBURS 10,000.00 - 10,000.00
TOTAL EXPENDITURES 10,000.00 - 10,000.00
EDA LAND
Account Description Current Budget Current YTD Budget Remaining

[PAGE 9]
REVENUE
294-34950-690-694-000000 TIF ADMINISTRATIVE F - 1,362.00 - 1,362.00
294-34960-690-694-000000 INTEREST ON LOANS - 43,235.00 - 43,235.00
294-36210-690-694-000000 INTEREST EARNINGS - 12,000.00 - 12,000.00
294-36220-690-694-000000 RENT/RENTALS - 30,000.00 - 1,700.00 - 28,300.00
294-39101-690-694-000000 SALE OF CAPITAL ASSE
TOTAL REVENUE - 86,597.00 -1700 - 84,897.00
EXPENDITURES
294-43004-690-694-000000 LEGAL FEES
294-43010-690-694-000000 OTHER PROFESSIONAL S 20,000.00 20,000.00
294-43320-690-694-000000 ADVERTISING & PROMOT
294-43500-690-694-000000 PROPERTY & LIABILITY 4,100.00 4,100.00
294-43711-690-694-000000 RENTAL PROPERTY EXPE
294-43910-690-694-000000 REAL ESTATE TAXES 20,000.00 20,000.00
294-45100-690-694-000000 LAND
294-45300-690-694-000000 OTHER IMPROVEMENTS
TOTAL EXPENDITURES 44,100.00 44,100.00

[PAGE 10]
City of Owatonna
Balance Statement by Fund
29-Feb-24
FUND 292: EDA LOANS
Account Number Account Name Ending Balance
ASSETS
292-10100-000-000 BANK ACCOUNTS $ 8,683.44
292-10400-000-000 INVESTMENTS 800,000.00
FUND 294: EDA LAND
Account Number Account Name Ending Balance
ASSETS
294-10100-000-000 BANK ACCOUNTS $ 268,381.51
294-10400-000-000 INVESTMENTS 500,000.00

[PAGE 11]
CITY OF OWATONNA
EDA - LOAN PROFILE
As of : February 2024
prepared 3/4/2024
EDA - Improvement Notes
Original Current Monthly
Borrower Loan Date Int Rate Years Balance Balance Payment Status Type Notes
Wagner's 10/1/2018 2.500 7 43,480.63 19,515.17 564.78 Current Retail
Total 43,480.63 19,515.17 564.78
Number Original Current % of Current
Profile by Loan Performance Status of Loans Balance Balance Balance
Current 1 43,480.63 19,515.17 100.00%
Non-current 0 - - 0.00%
1 43,480.63 19,515.17 100.00%

[PAGE 12]
EDA - Low Doc Notes
Original Current Monthly
Borrower Loan Date Int Rate Years Balance Balance Payment Status Type Notes
Selective Looks 6/16/2020 2.500 7 25,000.00 10,334.12 259.78 Non Current Last Payment Received 12/29/2023
Vesterby 12/13/2021 1.625 7 12,500.00 8,781.65 157.53 Current
Vesterby 12/13/2021 - 3 5,000.00 1,388.86 83.33 Current
42,500.00 20,504.63 500.64
Number Original Current % of Current
Profile by Loan Performance Status of Loans Balance Balance Balance
Current 3 42,500.00 20,504.63 100.00%
Non-current 0 - - 0.00%
3 42,500.00 20,504.63 100.00%
EDA Land Fund
Original Current Annual
Borrower Loan Date Int Rate Years Balance Balance Payment Status Type Notes
Gateway #2 TIF note 12/31/16 3.000 25 472,889.00 425,262.87 Current TIF Guarantee
Arrow Ace TIF note 12/1/17 3.000 25 350,000.00 313,732.13 Current TIF Guarantee
Nicolai TIF note 12/31/17 3.000 25 524,845.17 518,820.84 Current TIF Guarantee
Marriott TIF note 3.000 25 268,000.00 268,000.00 Current TIF Guarantee
224 Cedar TIF note 3.000 25 225,000.00 225,000.00 Current TIF Guarantee
Total 1,840,734.17 1,750,815.84 -
Number Original Current % of Current
Profile by Loan Performance Status of Loans Balance Balance Balance
Current 4 1,840,734.17 1,750,815.84 100.00%
Non-current 0 - - 0.00%
4 1,840,734.17 1,750,815.84 100.00%

[PAGE 13]
Owatonna Area
Chamber of Commerce
& Tourism
Memo
To: Economic Development Authority
From: Brad Meier, President/CEO
Date: 3/13/2024
Re: OACCT Economic Development Update
Economic Development
 See report for leads and ‘in progress’ reports.
Workforce
 68 high school students from OHS, Owatonna ALC, Medford, and Blooming Prairie participated in
the health care day. Students were on site at Mayo Clinic and Allina. They did small group
rotations at Riverland Owatonna in the afternoon.
 Chamber received a grant from Greater Twin Cities United Way/MN Chamber of Commerce to
offer 10 additional work experiences this summer.
 Planning taking place for the 2024 ‘Signing Day’
 Owatonna Opportunity: working with Superintendent Elstad to talk with business leaders about
supporting this scholarship program.
Other
 OPED: Livability new articles (5) have been published at Livability.com
 OPED: Senior Affordable Housing Tax credits meeting
 OPED: Met with Faribault Park & Rec Director about their Community Center efforts
 Website updating for VisitOwatonna, Chamber, and Owatonna Partners for Economic
Development-collecting proposals
 Working with Deanna (city) and Lori (school) to hire a contract employee to assist Engage
Owatonna and ‘beef up’ the activity on the platform.
1

[PAGE 14]
Project Outcome: Green
Company Date of Inquiry Service Provided (progressing), yellow
Follow ups Conclusion (probable); red (not moving)
Received some promotional
Looking for ideas on a new information and have been
Franchise director for DQ
franchise owner for the DQ sharing it out to business
US looking for a new
in Owatonna. They'd like community. 01/09/24:
person to run DQ
to fill the space just franchisor they had lined up fell
franchise for Owatonna
vacated on Bridge. through, so still looking for one
10/9/2023 for Owatonna.
Some questions about
what is needed by the city Ken Beck & Brad Meier met with Owner still working on details
Wants to run an adult of owatonna to complete business owner to discuss what with architect. 2/15/24:
daycare in his existing this project in current is needed and a realistic conditional use permit
location downtown 12/4/2023 space. timeline. approved at city.
Lead pastor has moved Building on the south end of
church to temporary Owatonna has come on the
location, wants to find an market. Discussed some
Looking for new site for existing building with at informtion about the site with Church is going to purchase
their church 1/25/2024 least 10,000 sq ft him. land to put up a new structure.
Group has purchase 2/22/24: meeting with the key
agreement on building Redevelopment project investors of the project to
looking for feedback on that has high visitor Provided ideas on the building discuss possible uses and
needs/use 1/8/2024 attraction potential. and possible uses/needs. operators.
Discussed redevelopment
sites at I35 & Hoffman as Did not seem like a project this
Discussion with developer well as south end individual was interested in
about future projects. 2/27/2024 wholesale tires buildings taking on at this time.
Early stages of the idea and it
Developer presented an has some overlap with another Set up meeting between the
Development project idea idea for a new building in downtown project being two project developers for
for downtown Owatonna. 2/29/2024 downtown Owatonna. discussed. March.
Met with new owners
purchased existing Plan to invest upwards of Improvements will allow for Not asking for help with it, plan
business in Owatonna 3/1/2024 $500,000 into the building growth of the business. to complete in 2024.

[PAGE 15]
EDA Report for February 2024
Updates:
- Starting Your Business Bootcamp – March 2nd and 3rd – 5 entrepreneurs – 1 restaurant, 4
service providers
Upcoming:
- Owatonna Community Education partnership, using Co.Starters curriculum:
o Small Business Academy – Monday evenings, March 18th – May 20th
o Scholarships available
o Sponsored by SMIF and SBDC
- RFP for Software Studio
- Monthly entrepreneurial event
- Online EDA Low Doc Loan Application
Consulting
Hours
Clients Sessions Hours New Operating 2024 YTD 2023 YTD
13 17 16.00 7 6 35.25 16.75
Occupancy
Manufacturing Offices
Total Leasable Space 34,325 Total Leasable Offices 11
Total Leased Space 19,375 Total Number of Leased Offices 10
Present Occupancy % 56% Present Occupancy 91%
Budget Occupancy % 70% Budget Occupancy 70%
YTD Performance to Budget $(1,398) YTD Performance to Budget $1,270
YTD Performance to Budget 89% YTD Performance to Budget 130%
Number of Tenants 7 Number of Tenants 10
Future Makerspace 1,600

[PAGE 16]
EDA Forgivable Loan Program – February 2024
Updates:
- 605 N. Cedar – MO Fitness/Olson
o Loan paperwork executed
- 214 N. Cedar – Martin Family LLC
o In permitting process for approved interior loan (2019)
New Business:
- 210 W. Main St. – Vanity LLC/Miranda
o $10,000
§ Exterior – Doors, awning, and lighting

[PAGE 17]
March 13, 2024
EDA Meeting
EDA Projects Report
 The developer has sold the site for the second building on the old Hardees/Budget Mart
site to Redline Development Group, LLC. TIF was approved for this project. There is
enough TIF being generated from the first building to pay the City back for costs
associated with realigning Barney Street. Any additional TIF generated from a second
building would assist the developer for costs associated with the development.
 The land swap between the City and Cemstone is completed. The City now owns the
current Cemstone site and Cemstone owns 14 acres of vacant land in the industrial park.
Cemstone will have 5 years to build a new facility on the new site. The City will then
redevelop the current site once Cemstone moves out. Tax Increment Financing is being
used to assist with the project. Cemstone has completed the plant on their new site. They
will be building an office and storage space next year.
 The property at 224 North Cedar Avenue has been conveyed to Oscar and Tammy
Mazariego to renovate the building into a wine lounge. Tax Increment Financing has
been approved for the project. A development agreement was approved and signed for
the project. Costs has gone up on the project from the time the development agreement
was signed and the owner is not moving forward with the project. Staff is working with
the owner to be the property transferred back to the City.
 The City has purchased the property at 117 West Bridge Street formerly owned by Centro
Campesino. Construction of a new roof on the building is complete as well as other
improvements. The EDA paid for the roof and other improvements with the intent of
redeveloping the property and utilizing tax increment financing to recoup those costs
from the project. A redevelopment project is being sought for that property.
 The City owns the property at 148 West Main Street that was damaged from a collapsed
roof. A redevelopment project is being sought for that property.
 Tax Increment Financing has been approved for the redevelopment of 202 West Bridge
Street. The project will renovate the entire building into retail and office space.
Construction is complete on the first floor and Graif has moved into that space. A tenant
has now moved into the upper level of the building.
 Plans have been announced for the riverfront redevelopment project north of West Vine
Street and west of North Oak Avenue. Redline Development Group will be demolishing
5 buildings, including the Chamber of Commerce building and constructing a bank
building and a second building which will contain Mineral Springs Brewery, 20,000
square feet of commercial space and 70 luxury apartments. The EDA owns one of the
buildings at 216 North Oak Avenue. Tax Increment Financing has been approved for this
project. A development agreement has been approved. The property is being platted and
easements and streets are being vacated as part of the project. Demolition of the buildings
is complete and construction has begun.

[PAGE 18]
 Scooter’s Coffee is proposing to build a drive-through coffee shop on city owned land at
the corner of South Cedar Avenue and 18th Street SW. The City Council has approved a
conditional use permit for the project and purchase agreement for the property. The
property has been sold. Scooters is trying to purchase the tower property and incorporate
it into the site before beginning the project. Construction is planned for this summer.
 The City has purchased the property at 126 East Fremont Street. Plans will begin to
demolish the house and garage on the site. A redevelopment project is being sought for
this property and the 4 other lots the City owns. The house was burned on October 22 and
the rest of the site has been cleaned up. Staff is working on a plan to develop the
property.
 Foamcraft is proposing to construct a 15,000 square foot addition to their existing facility
in the industrial park. Tax Increment Financing has been approved for the project.
Construction has begun on the site.
 The City Council approved the purchase of 139 East Pearl Street. Closing on the property
occurred on October 18th. The City will be demolishing the house in the spring.