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HomeMy WebLinkAbout2015-02-10 PACKET 05.B.01. http://www.twincities.com/local news/ci_27428771/cottage-groves-business-park-thriving-and-growing Cottage Grove's business park thriving -- and growing TwinCities.com Updated: 0210112015 11:45:42 PM CST Thriving park The Grow business Cottage Grove Cottage has a success story to brag about. park Is growing, and now has businesses employing l,000 people. A medical marijuana The city's business park, started in 1997, is now home to 1,000 jobs. That doesn't facility and a $15 million storage condo complex Will be count the impact of two projects planned this year -- a medical marijuana facility and a opening later this year. $15 million storage condominium complex. COTTAGE GROVE In addition, city administrator Ryan Schroeder said, several of the present tenants are considering expanding their facilities. One soon-to-be tenant of the park credits the city. "All the development they are getting is because they are friendly to it," said Paul Pioneer Press Jorgensen, developer of the storage condos. He said the park is thriving because of the location and the business-friendly approach of city officials. "They are really working it," Jorgensen said. "It's nice to feel like you are wanted." The growth highlights a hidden strength of the city's economy. While neighboring cities -- notably Grove Woodbury -- have been successful in attracting places to shop, Cottage has added places to work. "And these are jobs that can support families," Schroeder said. The park, west of Jamaica Avenue and U.S. 61, is removed from most residences and retail. "The average even person on the street wouldn't know where the business park is," Schroeder said. The city set up the business park after reaching an agreement with a family trust that owns the land. The trust agreed to sell the land to the city piece by piece, as needs for development arose. For example, when LeafLine Labs wanted to build its medical marijuana facility, the city bought the land LeafLine requested, then immediately resold it to the company. The final cost was about $2 million. five "The city owned it for about minutes," Schroeder said. Land prices have varied over the years. The trust sold about 40 acres to the city in 1997 at 79 cents per square foot. Currently, the city is selling land at about $3 a square foot. As the park grows, the city pays for new infrastructure, including sewer, water and roads. The city's costs over the years have come to about $9 million, which has been covered mostly by tenants' payments for the even land. Schroeder said the park breaks and doesn't cost taxpayers anything. Grove Park businesses generate about $1.8 million a year in taxes, to Cottage and other taxing authorities. Of the original 400 acres, about 170 acres remain undeveloped. Today, the park is home to a variety of factories and other facilities representing Andersen Windows, 3M Co. and Werner Electric. Feb 02, 2015 08:28:47AM MST Page 1 of 2 http://www.twincities.com/local news/ci_27428771/cottage-groves-business-park-thriving-and-growing One newcomer will be the 13-acre storage facility. When completed, it's expected to be assessed at $15 million to $20 million -- a healthy addition to the city's tax base, Schroeder said. It will be the seventh metro-area location for Park Place Storage Condominiums. Owner Jorgensen expects to break ground this spring. He said most customers will store boats and RVs in the heated units. The condos will be 400 to 4,000 square feet, with a few hitting 15,000 square feet -- perfect for anyone needing to store an Olympic-sized swimming pool. The facility will include a car-washing bay bigger than a four-car garage. Jorgensen cited another reason he was lured to the park -- high-end homes planned nearby. Grove "Cottage has nice housing moving that way," he said. "When you have nice houses, people have nice things." Nice things, of course, need storage. By next summer, the facility will have an unusual neighbor -- one of the state's two medical marijuana factories. Leafline Labs broke ground on its 24-acre site in December and expects to be selling marijuana in liquid and pill form by July 1. The plant will have 35 employees, with plans to expand the payroll to 150 by 2016. rave Existing tenants about the park. Ben Granley, president of Werner Electric, said that when he was looking for a building site in 2008, the Grove savings between land in Cottage and land in Woodbury was enough to pay for his new building. Grove "Cottage city government is very friendly to us. They have a great industrial park, with the right price and the right deal. The whole process is easy," Granley said. Grove even Granley said Cottage officials looked into state grants for his project. "We did not have to call anyone else," he said. "They were really champions of incentives." Storage condo owner Jorgensen agreed. "When you take an idea to a lot of places, they just pooh-pooh it," he said. "Here, they are open to it." Bob Shaw can be reached at 651-228-5433. Feb 02, 2015 08:28:47AM MST Page 2 of 2