MANKATO — The Mankato City Council is set to vote Monday night on a resolution declaring the former Dutler’s Bowl building to be “structurally substandard.”
For anyone who’s glanced at the once-sparkling bowling alley in recent years, it would seem extremely doubtful that any council member would vote “nay.” The only question is whether the majority would vote “aye” or “Well, duh.” After all, the bowling alley along Highway 169, which later became a short-lived “vintage mall,” is now a neglected, weed-strewn, trash-covered, blighted property.
But there is a reason for officially stating what might be obvious: A developer is looking to raze the building soon, and the “structurally substandard” designation must be in place before the demolition for the property to be eligible for planned subsidies.
“The developer is also concerned about continued vandalism and other issues with the dilapidated property that could be alleviated by moving forward with the demolition process sooner,” according to a memo to the council.
Under Minnesota law, a building is “structurally deficient” and thus eligible for redevelopment subsidies if the cost of bringing a building up to code exceeds 15% of the cost of constructing a brand-new replacement building. City inspectors have determined that the Dutler’s Bowl building definitely meets the definition.
The subsidies, which are to be decided after a public hearing on July 24, involve setting aside nearly $2.4 million in additional property taxes that will be generated by the redevelopment over the next 15 years. Of that total, $1.6 million would go to developer Old Town Holdings LLC to offset some of the costs related to demolishing the existing building and replacing it with a 72-unit apartment building — a project that is scheduled to begin this year and be completed in 2024. The other $786,000 would go to the city, mostly for the future construction of new roads to provide access to the apartment building and to foster improvements to other properties in the proposed development district.
The city plans to construct a new “Hiniker Parkway” and a new extension of West River Lane on the west side of Highway 169 in conjunction with a major reconstruction of the highway by the Minnesota Department of Transportation in 2027. The new municipal roads would replace Range Street, much of which would be removed, as the access for the properties in the development district — the 72-unit apartment building and a planned second 72-unit apartment building that may be developed in the future on land Old Town Holdings owns closer to Butterworth Street on a site currently home to a closed car wash. The district will also encompass the Coratel Inn and Suites, which is just north of the Dutler’s site, in the event the owners of the 57-year-old motel wish to redevelop the property.
The creation of the development district, which would allow TIF subsidies to be used for the road projects adjacent to all of the district’s properties, is scheduled to be reviewed by the Planning Commission on Wednesday.