Skip to main content

City deals on land by Shopko for development

By
Lori Sorenson

The city of Luverne is in the process of acquiring land west of Shopko to create opportunities for future commercial development.
City Council members went into closed session at their meeting Tuesday night, July 24, to discuss negotiations on three lots — a total of 9.6 acres west of Shopko south of I-90.
When they returned to their open meeting, they voted to pursue the deal with property owner Christensen Corporation.
The asking price was $25,000 per acre, but the city has negotiated the purchase of all three lots at a lower price of $18,500 per acre.
According to Luverne Mayor Pat Baustian, the city needs more commercial and industrial lots, and it’s prudent to buy land now rather than pay a higher price in the future.
Also, he said it creates development leverage for the city to have lots ready to offer interested businesses and industry.
“We can strike a deal if we own it already, plus we can offer economic incentives,” Baustian said after the meeting.
“We could negotiate a better price buying it all at once, and it was just time to buy. … We’ve already had interested parties asking about lots.”
Luverne’s industrial park is nearly full, especially with the current developments of tru Shrimp (60 acres) and the National Guard Amory (15 acres) west of Papik Motors along the north side of I-90.
Today fewer than 20 acres remain for sale in Luverne’s industrial park, and the city is looking to pad its offerings of commercial lots for prospective businesses.
As part of discussions about land in the Shopko area, the city is also interested in the lot south of the new car wash.
Carwash owners Pete and Kristi Jessen have an option to buy the ground — just over 2 acres — from Christensen Corporation.
It has Highway 75 access and is served by water, sewer and electricity. The Jessens have a week to exercise their option to purchase it.
The lots west of Shopko have only electrical hookup and would need water and sewer connections to be shovel ready for new development.

You must log in to continue reading. Log in or subscribe today.