Blog – Recent Updates

(Rochester, Minn.) May 25, 2023 – The Destination Medical Center Corporation Board of Directors recognized the extraordinary work of the Downtown Rochester Task Force at today’s regular meeting. The Task Force conducted several working sessions to identify four main themes to help inform a community-based action plan to address immediate and short-term recommendations to be taken by organizations and businesses that support downtown Rochester.

“While the DMC initiative is about the long-term vision for Rochester, it is important that we don’t lose sight of the immediate needs of our community,” said board member Brooke Carlson. “The City and City Council are committed to helping with the goals identified by the task force to help our downtown businesses.”

The Downtown Rochester Task Force includes members from the City of Rochester, Destination Medical Center, Experience Rochester, Mayo Clinic, Rochester Area Economic Development Agency, Inc., Rochester Area Chamber of Commerce, and Rochester Downtown Alliance.

The board also received an update on funding options for the District Energy System Rochester (DESR). With new possibilities available from the Inflation Reduction Act, it may now be possible to build out the system to its initial design while remaining within the original budget set by the Rochester City Council.

“It is heartening to know there is so much federal money for this project. It is a positive for this community and closely supports what the city council has already decided,” said Vice Chair Kim Norton. “It will be good for everyone’s health and everyone’s pocketbook.”

An update on the Main Street Revitalization Grant program was provided by DMC EDA President Dr. Clark Otley. The program provided $3 million in no-cost grants for capital improvement projects that result in improvements to any permanent structure or other asset added to a property that adds to its value. The grant awards covered up to 30% of the project costs.

Highlights from the presentation included:

• Funding was provided to more than 50 projects
• 24% of awardees were Black, Indigenous, or People of Color
• 30% of awardees were women-led applicant teams
• 22 awardees are occupying previously vacant or under-utilized project sites

“We invited a diverse group of entrepreneurs and community members to be a part of the application evaluation process,” stated Dr. Clark Otley. “It gave us great insights into some of the challenges that entrepreneurs in our community face when they are trying to develop businesses.”

Board members also kicked off a discussion on DMC investment priorities in preparation for the 2024 DMC funding request. Strategic direction from the board as well as DMC goals, guiding principles and priorities will help shape the annual request before it is presented to the DMC EDA Board of Directors, DMCC Board, and Rochester City Council for approval.

The DMCC Board will consider the 2024 funding request at its next meeting on September 28, 2023, at 9:30 a.m.

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About DMC

Destination Medical Center (DMC) is the largest public-private economic initiative in Minnesota’s history. The 20-year plan to transform Rochester into a global destination for health and wellness will attract developers, investors, startups, and entrepreneurs to live, work and play in America’s City for Health. For more information, visit dmc.mn.

Register here!

When: Wednesday, May 31, 2023 | 10:45 a.m. – 2:00 p.m.
Where: Mayo Civic Center – 30 Civic Center Drive SE
What: The Destination Medical Center Economic Development Agency Real Estate Development and Investment Summit is an opportunity for real estate and development professionals to learn about investment and development opportunities in Rochester, Minnesota. This event will feature a series of short, informative presentations on:

• Economics and demographics of Southeast Minnesota
• Mayo Clinic’s vision for the future and upcoming projects
• City of Rochester’s priorities and upcoming opportunities
• DMC and partner organizations discussing tools to support investment and development

After the presentations, participants will have the opportunity to network with other attendees over lunch, and then choose from a set of tours in the afternoon, including:

Heart of the City to Discovery Square

See the newly completed public realm where “Healthcare meets Hospitality” in the Heart of the City, and then walk along the under-construction Discovery Walk to Discovery Square, where you will tour the biomed-tech buildings that have been completed and hear about the entrepreneurial ecosystem under development.

Rochester Housing Market

Learn about the housing needs of the Rochester community and visit a recently completed mixed-income apartment building (Bryk on Broadway, 180 units at 50%, 60%, and 80% AMI rents), as well as other site developments underway in the downtown.

LINK Bus Rapid Transit (BRT) Corridor Tour

Hop on a bus that will take us along the planned BRT route along 2nd Street and learn about the project timeline, schedule, and development opportunities along the route, including the Transit Oriented Development (TOD) Village planned for the western terminus.

Riverfront

Take a walk along the Zumbro River as it passes through downtown and learn about the Rochester community vision captured in small area plans recently completed along the corridor. Get a preview of the City-owned properties that will be the subject of a forthcoming developer RFP.

This is a unique opportunity to learn about the exciting developments and investment opportunities in Rochester, Minnesota, and to connect with like-minded individuals who share a passion for economic growth and development.

We look forward to seeing you there!

Register here!

(Rochester, Minn.) May 5, 2023 – Destination Medical Center Economic Development Agency and the City of Rochester are thrilled to announce the graduation of the first cohort of Community Co-design Facilitators. At a ceremony at City Hall on May 4, seven Rochester residents were recognized for their time and effort toward the advancement of the co-design process.

“How are we, as a community, going to compete in the future? How can we be more resilient? We will be able to do those things because of co-design,” said Cindy Steinhauser, deputy city administrator. “Community co-design is not just a DMC initiative or a City of Rochester initiative. This is an initiative for government, non-profits, and the private sector as well.”

The seven co-design facilitator graduates are Fatuma Ahmed, Khadija Ali, Shay Baumbach, Lida Casper, Derrick Fritz, Julie Ruzek, and Claudia Tabini.

“I am very excited to be recognized as a co-design facilitator. I look forward to helping include diverse voices in future projects and initiatives,” said newly graduated facilitator Khadija Ali. “I have always been on the co-designer side, but now I will be able to recruit people and facilitate these sessions.”

A second cohort will be launched in the summer of 2023 and a third cohort will be held in late 2023 or early 2024.

The evening also saw the unveiling of a webpage dedicated to co-design in the Rochester area. On the page is information on upcoming leadership and facilitator trainings, as well as access to the Co-Design toolkit and case studies from several successful co-designs. The page can be found at www.rochestercodesign.com. You can learn more about Community Co-design by downloading the Community Co-design Toolkit.

The Downtown Rochester Task Force is inviting the community to provide feedback on a proposed action plan related to the long-term impacts of the pandemic on downtown Rochester. The development of the action plan, prioritizing short-term recommendations, is a result of community working sessions held earlier this year.

Community members are encouraged to participate in a second round of public working sessions to provide feedback on recommendations included in the action plan. Once feedback is collected, a final plan will be shared with the community in May 2023.

Three working sessions are planned—two in-person and one virtual. All sessions will be facilitated in the same format. Participants are encouraged to attend one session. A draft of the proposed action plan will be shared next week prior to the sessions.
– Friday, April 28 at 9 – 10 a.m., Chateau Theatre
– Tuesday, May 2 at 6 – 7 p.m., Chateau Theatre
– Thursday, May 4 at 12 – 1 p.m., (virtual)

Patrick Seeb, executive director of Destination Medical Center, shares, “We have been intentional to build the action plan together with downtown stakeholders. We are grateful for their input and guidance along this process. The feedback has been instrumental in building the recommendations for the action plan that we will work from moving forward.”

In response to the long-term impacts of the COVID-19 pandemic on downtown Rochester, a task force was assembled to build a community-based action plan to address immediate and short-term recommendations to be taken by organizations and businesses that support downtown Rochester.

In February, the Downtown Rochester Task Force invited the community and downtown businesses to participate in public work sessions to share specific challenges they are experiencing related to downtown. Attendees shared concerns and ideas for moving forward during the facilitated discussions.

In March, the Task Force shared initial findings from the working sessions. Feedback was grouped into four major themes. A public survey was conducted to gather responses to the themes. The four major themes are:
– Promotion, Activation, and Programming
– Access to Downtown
– Barriers to Doing Business
– Growing Downtown

The Downtown Rochester Task Force is using an accelerated model in creating an action plan to allow participants to identify concerns and work on solutions quickly. The goal is to present an action plan by May 2023 to guide the Downtown Rochester Task Force moving forward. More information about the Downtown Rochester Task Force can be found on the Destination Medical Center website.

The Downtown Rochester Task Force includes members from the City of Rochester, Destination Medical Center, Experience Rochester, Mayo Clinic, Rochester Area Economic Development Agency, Inc., Rochester Area Chamber of Commerce, and Rochester Downtown Alliance.

Rochester, Minn. – Following work sessions in March, the Downtown Rochester Task Force is announcing four major themes heard from the downtown community in response to the long-term impacts of the COVID-19 pandemic on downtown Rochester. 

The Downtown Rochester Task Force invited the community and downtown businesses to participate in one of four work sessions to share specific challenges they are experiencing related to downtown. Attendees shared concerns and ideas for moving forward during the facilitated discussions to inform the building of a community-based action plan.  

Today, the Task Force is sharing initial findings from the working sessions. Feedback was grouped into four major themes: 

• Promotion, Activation, and Programming
• Access to Downtown
• Barriers to Doing Business 
• Growing Downtown 

Patrick Seeb, executive director of Destination Medical Center, shares, “The Task Force felt it was important to share the initial findings with the community before moving into the next phase of work. Each piece of information was analyzed and synthesized carefully. The themes identified will help our community prioritize the next steps in the process.” 

Community members are asked to review the initial findings report and provide feedback via a short survey. In April, working sessions will be organized around the four themes to identify immediate and short-term action recommendations. These working sessions will again be open to the public 

“The model we are using to create the action plan is different from others. Our seven organizations are working collectively with the community to build a recovery plan,” says Seeb. “The challenges that the pandemic caused downtowns can be complex and takes more than one organization to solve.” 

The Downtown Rochester Task Force is using an accelerated model in creating an action plan, which will allow participants to identify concerns and work on solutions quickly. The goal is to present an action plan by mid-May 2023 to guide the Downtown Rochester Task Force moving forward.  

The Downtown Rochester Task Force includes members from the City of Rochester, Destination Medical Center, Experience Rochester, Mayo Clinic, Rochester Area Chamber of Commerce, Rochester Area Economic Development Agency, Inc., and Rochester Downtown Alliance.    

Click here to view the Initial Findings Report.

Click here to take the short survey.

(Rochester, Minn.) March 23, 2023 – The Destination Medical Center Corporation Executive Committee approved a report documenting nearly $200 million of new private investment in Rochester and the DMC district. This brings the cumulative total to nearly $1.5 billion in private investment since the beginning of the DMC initiative.

The 2022 figures include $172.6 million in Mayo Clinic investment, its largest-ever annual investment. This is a strong signal of Mayo Clinic’s commitment to further cement Rochester, Olmsted County and the state of Minnesota as a global destination medical center. The expansion of the Proton Beam Therapy Program and continued construction of the Anna-Maria and Stephen Kellen Building were two of the significant projects ongoing in 2022.

“The impact of this investment goes beyond the cost of the buildings,” said Doug Holtan, chair of Mayo Clinic’s Facilities and Support Services. “It leads directly to approximately $446 million in economic impact for the Rochester area economy with 99% of the work not done by Mayo Clinic staff is performed by Rochester Area Builders members.”

In addition, $26.5 million was invested by other private organizations. The 2022 report recognized continued investment in Bryk on Broadway, a workforce housing project offering units priced at 50%, 60%, and 80% of the gross Area Median Income. The DMC district saw a variety of projects from other private organizations contributing to improvements in Rochester’s downtown. This includes businesses new to Rochester like Interiors by J.Curry and Spyhouse Coffee, as well as existing businesses improving or moving into new spaces like Mezza 9 and  Neighborly Group. These and others totaled in excess of $26.5 million.

The 2022 private investment, along with the cumulative investment since 2013, will release $30 million in state public infrastructure funding later this year.

“I am really pleased to see the numbers from 2021 and 2022. Rochester is so fortunate compared to other communities,” said DMCC Vice Chair Kim Norton. “I am pleased to see the trend upward, and that even during the pandemic, we continued with a strong economy.”

Also at today’s board meeting, the executive committee approved a temporary change to the Bryk on Broadway developer assistance agreement to allow tenants with incomes up to 110% of the area median income to lease apartments in the complex, while at the same time, maintaining the same lease rates. This change will be for 54 of the 108 units that are set for individuals making 80% AMI. This temporary action will stay in effect through October 1 to allow time for the federal adjustment to more accurately reflect current incomes in our area. The action was also considered and passed by the Rochester City Council, acting as the city’s economic development authority, on Monday, March 20.

“I’m supportive of this proposal and I appreciate the flexibility,” said DMCC Secretary Paul Williams. “Bryk is a new model and it really helps demonstrate a new way of looking at affordable housing.”

The next DMCC Board meeting is set for Thursday, May 25, 2023, at 9:30 a.m.

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About DMC

Destination Medical Center (DMC) is the largest public-private economic initiative in Minnesota’s history. The 20-year plan to transform Rochester into a global destination for health and wellness will attract developers, investors, startups, and entrepreneurs to live, work and play in America’s City for Health. For more information, visit dmc.mn.

On February 9th, the Destination Medical Center Corporation (DMCC) Board of Directors approved $10 million to aid in funding improvements to Soldiers Field Memorial Park. After months of engagement with local stakeholder groups, a collaborative plan was put forth with a shared vision to benefit the greatest amount the Rochester community.

“The DMCC board not only recognizes the importance of Soldiers Field Memorial Park to the DMC initiative but also the immense significance it has for all of Rochester,” said DMCC board chair Pamela Wheelock. “This park has been a signature public space for decades and these improvements, selected through extensive community engagement, will make sure Soldiers Field continues to be welcoming and inclusive to residents and visitors alike.”

There are several key features that align with the DMC Development plan including using sustainable building practices and focusing on universal design. Some of the park improvements include:

• Expanded aquatics area with lap and wading pools, lazy river, and a splash pad.
• Inclusive playground and shelter on the east side
• Basketball courts and track improvements
• Downtown riverwalk

The Rochester City Council will consider this item at their Wednesday, February 22 regular meeting. The cost of the project is estimated at $22.5 million with $10 million coming from DMC funds and the remainder from federal, state, and local resources.

The DMCC Board of Directors also approved support for the next steps in the redevelopment of the downtown waterfront. This culminates a comprehensive community engagement process to reconnect to the Zumbro River, create a signature public space along the river, and open underutilized city-owned properties to future private development.

“Cities throughout the country are rediscovering the importance of connecting with the natural beauty of their riverfronts,” stated DMCC board member Kim Norton. “Rochester has an opportunity to do the same and to do so in a way that provides for both public and private development, as well as reconnecting with its origins.”

The funds will be used for the following:

• $350,000 for riverfront design and engineering including:
  • Working with appropriate State and Federal agencies to discuss necessary modifications to the river channel wall managed by the Army Corps of Engineers.
  • Red Owl/Time Theater property analysis
  • Site design and development preparation

• Up to $450,000 for the purchase of the Olmsted County-owned “Mr. Muffler” site.

The next DMCC Board meeting is set for Thursday, May 25, 2023, at 9:30 a.m.

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About DMC

Destination Medical Center (DMC) is the largest public-private economic initiative in Minnesota’s history. The 20-year plan to transform Rochester into a global destination for health and wellness will attract developers, investors, startups, and entrepreneurs to live, work and play in America’s City for Health.

Rochester, Minn. – In response to the long-term impacts of the COVID-19 pandemic on downtown Rochester, a task force is being assembled to identify priority issues to be addressed.

The Downtown Rochester Task Force includes members from the City of Rochester, Destination Medical Center, Diversity Council, Experience Rochester, Mayo Clinic, Rochester Area Economic Development Agency, Inc., Rochester Area Chamber of Commerce, and Rochester Downtown Alliance.

“The pandemic was a disrupter to many aspects of our national, state, and local economies. How and where people work, shop, and participate in activities has changed,” states Kim Norton, mayor of the City of Rochester. “While downtown Rochester has and will change, there are several opportunities in how we can strengthen and become a more resilient downtown. And we must do this work together.”

The Downtown Rochester Task Force invites the community and downtown businesses to participate in upcoming work sessions to share specific challenges they are experiencing related to downtown. Together, attendees will identify both priority concerns and solutions. Once key priorities are identified, an action plan will be created to address each concern.

Four work sessions—three in-person and one virtual—are planned.

• Monday, February 27 from 6-7 p.m., Fagan Studio and Studio 324, 324 South Broadway Avenue
• Friday, March 3 from 9-10 a.m., Chateau Theatre, 15 1st Street SW
• Monday, March 6 from 2-3 p.m., Pasquale’s Neighborhood Pizzeria, 130 5th Street SW
• Tuesday, March 14 from 10-11 a.m. (virtual)

Patrick Seeb, executive director of Destination Medical Center, shares, “Everyone has a stake in a healthy downtown. Now is the time to be intentional about the steps we take to help accelerate recovery. We will build on existing strengths while focusing on the future.”

The Downtown Rochester Task Force will use an accelerated model in creating an action plan, which will allow participants to identify concerns and work on solutions quickly. The goal is to present an action plan by May 2023 to guide the Downtown Rochester Task Force moving forward. Register for the work sessions here.