Development options for the Armour Gates site

Jake Spitzack
Staff Writer

In early October, the South St. Paul City Council held a work session to discuss several topics, including the future of the property at 450 Hardman Ave., home to the historic Armour Gates. There was consensus among city staff that creating a park at the site – as called for by a petition with more than 2,000 signatures that was created by a South St. Paul Middle School history teacher – would not be ideal due to the industrial nature of the surrounding area and because it’s not called for in the city’s parks master plan or comprehensive plan.

The council is considering plans from three developers that have expressed an interest in building on the site. All include an option to preserve one or both gatehouse structures if the city maintains responsibility for their upkeep.

Cobra Holdings has submitted plans to build an office-warehouse facility to accommodate the growth of Cobra Transportation, currently located at 235 Hardman Ave. S. The concept requires that the southern gate be relocated so the Gates are parallel to Armour Avenue rather than perpendicular. Based on similar developments in the city, staff estimate a total market value of $2.3-$2.9 million and total property tax revenue of $75,000-$95,000 annually.

Interstate Development has expressed interest in developing two small office-warehouse structures at the site, each with about an acre of paved exterior storage area. Under this plan, the gatehouse structures would either be retained as is or demolished and the materials reused for development. Estimated total market value is $650,000-$750,000, with $18,000-$22,000 in property tax revenue annually.

Langer Development envisions a 40,000 square-foot multi-unit office-warehouse building at the site. Designs call for preservation of the northern gate and deconstruction and reuse of material of the southern one. The estimated total market value for this project is $3.375-$4.8 million, and $110,000-$160,000 annually in property tax revenue.

The 3.75-acre site has been vacant since the City’s Economic Development Authority purchased it in the 1990s. It’s been difficult to find a buyer, partly due to controversy surrounding demolition of the Gates and the shape of the triangular lot. At work sessions over the past few years the city council and staff determined that relocating the gates would cost nearly $175,000, and their restoration – not including roof replacement – would be nearly $205,000. On the flipside, it would cost about $25,000 to demolish them, which would be the developer’s responsibility. The City previously requested $350,000 in state funds to assist with relocation and restoration of the structures but was only awarded $50,000. That wasn’t nearly enough so the City ultimately relinquished the funds back to the State. The 1918 brick and limestone structures once served as the entry point for thousands of people going to work at the Armour & Co. meat packing campus.

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