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Minnesota Public Radio to stay in St. Paul, expand headquarters
By Bill Catlin, Minnesota Public Radio
October 18, 2001

Minnesota Public Radio says it's planning to expand its headquarters in downtown St. Paul. The non-profit will acquire a building across the street from its current headquarters for nearly $8 million. The package includes a vacant piece of land as well, and will be financed by grants and a $3 million city loan.
An artist's sketch of a 'campus' concept for the MPR 'triangle' in downtown St. Paul. See larger image.
 

The announcement ends what MPR President Bill Kling called a "two-and-a-half year saga." The company's headquarters is on the corner of 7th and Cedar Streets, with no room to expand, and some staff housed in other downtown locations.

Kling told a news conference that company officials looked at about 26 locations, some in Minneapolis. But he says the company, which relies mostly on public support, didn't want to abandon the investment and technology in the current headquarters. "Particularly in these economic times, not to just simply say that we're going to get rid of what has served us so well and move on to something new, and rather to embrace what we've built over the last 20, 25 years and to expand on it and build on it," he said.

MPR will purchase a St. Paul Public Housing Agency building across the street to the north, and a acquire a vacant triangle of land across the street to the west. Grants from four foundations and a board member will help finance the purchase. MPR will also receive a three-year $3.3 million dollar loan, that will be forgiven if MPR keeps 250 jobs downtown and adds another 100 over the next 15 years.
MPR President Bill Kling and St. Paul Mayor Norm Coleman announced a deal, Thursday, to keep Minnesota Public Radio's headquarters in St. Paul.
(MPR Photo/Bill Catlin)
 

"The funds we are talking about utilizing are funds that are available for development," St. Paul Mayor Norm Coleman said. "These are not funds we could use for a library project, public safety or anything else. We have certain funds that are earmarked for development purposes. That's what we're tapping into here."

The plans call for 9th Street to be blocked off by new construction, joining the current headquarters and the Public Housing Agency building. Preliminary ideas for the triangle include an outdoor amphitheater and possible broadcast facility.

MPR says it is planning a fundraising drive to pay for development and construction costs, but officials say they have not yet determined how much is required.

The St. Paul Public Housing Agency is planning to move to another downtown site it owns. The PHA would have to build a new facility at a cost of up to $13 million to replicate what it's leaving.

Some St. Paul City Council members said it's important to keep MPR downtown. Some said they saw issues for review, such as blocking off 9th Street.

Ward 4 Council member Jay Benanav, who is running for mayor, says he hasn't seen the details yet. "I think it's very important that we ask the right questions," he said. "That we understand what the risks are, what the benefits are, how it impacts taxpayers, how it impacts MPR, how it impacts the city. There will be, I'm sure, good spirited debate, but ultimately that's what makes better policy and a better deal for everybody."
Minnesota Public Radio will acquire a building behind its current headquarters for nearly $8 million. The package includes a vacant piece of land as well, right, which may be used for an outdoor amphitheater.
 

Chris Coleman, who represents downtown, says state restrictions on tax-increment financing may heighten scrutiny of the $3 million loan to MPR. "It's not huge by the standards of the other deals that we've put together, but in a time of diminishing revenues where we have limited amounts of ability to use TIF dollars - very restricted from the actions of the Legislature this past year - all of a sudden every dollar becomes more and more precious and so you want to make sure you're using it most efficiently," Coleman said.

John Mannillo, chair of the downtown development committee of the downtown community council, says it's too soon to say whether questions surrounding the deal are a big obstacle. "It could be a large problem. It may not be. One thing that's clear to everyone is that, I don't think anyone would not like to see MPR stay in St. Paul. And so there's certainly going to be cooperation from all sides to try to do that. It has to be done in a palatable way," Mannillo said.

The St. Paul City Council, sitting as the Housing and Redevelopment Authority considers the finance package next Wednesday. Officials in Mayor Coleman's administration predict approval by the Council, but Mannillo says that timeline wouldn't permit the required review. Administration officials disagree.