State Senator Steve Drazkowski (Mazeppa) today announced the award of two major Redevelopment Grants from the Department of Employment and Economic Development (DEED) to the cities of Red Wing and Wabasha. 

“The redevelopment of these sites in Red Wing and Wabasha shows the strength of our community and the value of entrepreneurs supporting our local economy,” Senator Drazkowski said. These projects will not only create new housing and commercial spaces but will also provide job opportunities and provide a boost to our tax base.” 

The city of Red Wing has been awarded $746,500 in Redevelopment Grant funds to demolish structures on a 1.31-acre site, formerly home to the Red Wing Malting Company and Fleischmann Malting Company. The redevelopment will bring a new mixed-use building featuring 120 residential units, 15 of which will be affordable, and 12,000 square feet of commercial space. The project is expected to generate 35 new jobs, increase the local tax base by $195,410, and attract $30.1 million in private investment. The project’s completion will add much-needed housing and commercial opportunities to the heart of Red Wing.  

The city of Wabasha received $166,528 in Redevelopment Grant funds for the cleanup and redevelopment of a 0.54-acre site that was previously a gas station and auto repair shop. The site will be transformed into Alleghany Apartments, a 50-unit affordable housing development. The project is anticipated to create one job, boost the tax base by $135,767, and leverage $7 million in private investment. This redevelopment is an essential step in providing more housing options for Wabasha’s growing community.