Northern Stacks VII

Location: 60 51st Way, Fridley, MN 55421

Nominated by: Hyde Development

The brownfield community is already familiar with this project and its ReScape successes. Northern Stacks is a 21-acre site alongside the Mississippi River, which is situated on what used to be the highest scored Superfund location in the country. It is the former Naval Industrial Reserve Ordnance Plant. The 2019 finalist is Northern Stacks Building VII.

There were many challenges in redeveloping this property, including working with regulatory authorities at the federal, state, and local levels to de-list the former federal and state Superfund site for redevelopment. Cleanup and redevelopment activities also needed to be coordinated with the US Navy’s groundwater gradient control system on the site. During the redevelopment process, a 1.5 million square foot building from the former plant was demolished and asbestos removed from the property. This enabled the Navy to conduct further investigations and cleanup underneath the old foundation. 100% of all concrete and pavements generated during demolition were reclaimed and used as engineered fill and aggregate base for new pavements. All steel from the building demolition was recycled for re-use. Stormwater ponds were constructed to limit groundwater infiltration and prevent adverse effects to the U.S. Navy’s groundwater control system.

Building VII is the final newly constructed building at this eight-building, master-planned business park. The building was 100% leased before completion to LKQ Automotive and allowed the company to expand and modernize its operations without leaving the core metro area. LKQ brought 110 new quality jobs to the City of Fridley. The redevelopment will result in estimated increases of $601,000 in tax base and $16.6 million dollars in property value. Northern Stacks Building VII represents the near completion of the redevelopment of the largest brownfield in the Twin Cities inner-ring and is a huge addition to the City of Fridley.

Project Financing

  • $6,215,000 – Private Capital/Equity of Owner/Developer
  • $14,250,000 – Construction Loan
  • $1,028,000 – MN DEED Contamination Cleanup Grant
  • $512,000 – Metropolitan Council Tax Base Revitalization Account Grant
  • $500,000 – HSS Tax Increment Financing

Project Partners

  • Hyde Development (Owner/Developer)
  • Mortenson Properties (Owner/Joint venture partner)
  • MN DEED (Contamination Cleanup Grant)
  • Metropolitan Council (Tax Base Revitalization Account Grant funder)
  • City of Fridley HRA (Grant funder)]
  • MPCA (Regulator)
  • EPA (Regulator)
  • LKQ Automotive (Tenant)
  • MA Mortenson (General contractor)
  • Braun Intertec (Project management, remediation design)
  • Frattalone Companies (Remediation contractor)
  • Mohagen Hansen (Architect)
  • Westwood (Civil engineer)
  • Colliers Landlord (Broker)
  • First National Bank of Omaha (Lender)
  • Parkway Law (Environmental counsel)
  • Gray Plant Mooty (Real estate and corporate counsel)