Star Tribune
Businesses at George Floyd Square sue Minneapolis, Frey for $30 million, demand city take over
Citing years of deterioration and crime since George Floyd’s murder, several business owners at the intersection of 38th Street and Chicago Avenue in Minneapolis demand in a new lawsuit that the city and Mayor Jacob Frey begin eminent domain proceedings to take over their properties.
Last week, the owners of Cup Foods filed a civil lawsuit in Hennepin County District Court seeking $30 million in damages, arguing city actions ruined the businesses and constitute an unlawful taking of their property without just compensation.
The lawsuit argues that business in the area lost revenue, real estate value, reputation and tenant and rental income for both business properties and apartments due to how the city handled the unrest after Floyd was murdered by Minneapolis police. That includes the use of concrete barricades to isolate the area that became known as George Floyd Square. It points to a rampant escalation of violence in the neighborhood because of these decisions and alleges the city created a “No Go Zone” for police near the businesses.
The legal action, known as a writ of mandamus, comes two months after Hennepin County Judge Edward T. Wahl dismissed a civil lawsuit filed by the business owners in 2023 that sought $1.5 million in damages from the city and Frey. Wahl dismissed with prejudice claims of negligence and nuisance against the city and claims the city charter had been violated, meaning they cannot be refiled.
But the claim that the city had effectively taken over the property “without formally invoking its eminent domain power” was dismissed without prejudice, meaning that it could be subject to further inquiry.
Wahl said if the businesses near 38th Street and Chicago Avenue wanted to make that claim, they first needed to file the writ of mandamus, a term for ordering the government to properly fulfill their official duties or correct an abuse of discretion.
The new filing essentially asks the city to begin imminent domain proceedings, said Michael Healey, the lawyer representing Cup Foods Inc.; Menthol Tobacco LLC; Southside Electronics, Inc.; NMA Investments, LLC; and 3759 Chicago Ave, LLC. Healey said seven additional businesses will soon file similar suits against Minneapolis and Frey.
“There are two possible outcomes, one is the city will allow my clients — a couple had to sell or leave town — but the folks that still own businesses there could conceivably keep the property if a settlement is reached with the city on the diminished value,” Healey said. “The other possible outcome is the city grants the writ and initiates an official taking of these properties in which case they will definitely have to be paid something. That would have to be litigated.”
Star Tribune
Vandals uproot 60 new trees on St. Paul riverfront tossing many in the Mississippi River
Sixty newly-planted trees along St. Paul’s riverfront were uprooted Wednesday night, and most were tossed into the water, in an act of vandalism costing tens of thousands of dollars.
“I’m incredibly sad. It’s hard to fathom,” said Karen Zumach, the director of community forestry for St. Paul-based non-profit Tree Trust, which contracted with the city to plant the trees with the help of high school students in October. “I like to think that trees are the least controversial thing we deal with these days.”
The trees were planted over two days along Shepard Road, in the area of Upper Landing Park and the Sam Morgan Regional Trail.
Photos taken by city staff Thursday showed a long row of piles of upturned dirt circling around holes in the ground where the trees once stood. All but 14 of them were tossed into the Mississippi River, rendering them unsalvageable, Zumach said.
The St. Paul Parks and Recreation Department estimated the damage comes to $40,000.
The St. Paul Police Department confirmed Thursday it received a report of the vandalism and an investigation is ongoing. The city parks department said in a statement the vandalism is believed to have occurred overnight.
The 14 trees that did not end up in the river have been reinstalled, Zumach said. The process to replace the others has yet to be determined, but the planting season has already passed.
About 25 high school students helped plant 250 trees while school was out during the annual MEA conference for state educators in October, Zumach said.
The Minneapolis City Council was unable to override Mayor Jacob Frey’s recent veto of an ordinance that would give some organizations first dibs on buying certain rental housing units in an effort to preserve affordable housing.
Under the proposal, if the owner of certain rental units wants to sell, they would have to give certain “qualified organizations” the first shot at buying their property, with exceptions for sales to renters or family members, for example.
Frey wrote in his veto letter that “now is not the time to make it harder to invest in our city’s housing stock.” He said while he agrees with the goal of preserving affordable housing, he doesn’t believe the ordinance will accomplish that in the current housing market.
“I appreciate the intention behind this ordinance, and in a different housing market when investment was more free-flowing, I may have a different perspective,” he wrote.
Supporters said the proposal would keep thousands of units of affordable housing available and prevent large investment firms from gobbling them up — and potentially hiking rents to reap profits.
The council voted 7-5 to override Frey, but needed nine votes.
Council Member Jeremiah Ellison, who co-authored the ordinance, argued when it was before the council on Oct. 31 that it would help small, local developers buy property that’s now being bought up by national investment firms or hedge funds.
Council Member Linea Palmisano said she was torn on the ordinance when it was before the council, saying the city has an affordable housing crisis, but that she was concerned about unintended consequences, such as whether first-time home buyers wouldn’t be able to compete. She voted for it then, but voted against an override on Thursday.
Hills-Beaver Creek held off a late Mountain Iron-Buhl rally to win the first Nine-Player state semifinal Thursday at U.S. Bank Stadium, 26-20.
The Patriots had a 26-14 lead late, but fumbled the ball away at their own 5-yard line. Mountain Iron-Buhl capitalized on the turnover and scored right away, making the score 26-20.
Mountain Iron-Buhl got the ball back with 43 seconds remaining and moved into Hills-Beaver Creek territory, but Sawyer Bosch intercepted a pass to end the threat.
Hills-Beaver Creek will face the winner of the Fertile-Beltrami-LeRoy-Ostrander semifinal in the state championship Saturday, Nov. 23 at 10 a.m.
