Model Cities Properties

TO OPERATE FOR THE BENEFIT OF MODEL CITIES OF ST. PAUL, INC. AND MODEL CITIES COMMUNITY DEVELOPMENT CORPORATION.

MODEL CITIES PROPERTIES ENCOMPASSES ALL OF MODEL CITIES' REAL ESTATE DEVELOPMENT PROJECTS. OUR MOST RECENT DEVELOPMENT, MODEL CITIES BROWNSTONE, IS LOCATED AT THE VICTORIA STREET LIGHT RAIL TRANSIT (LRT) STATION OF ST. PAUL'S GREEN LINE. THE DEVELOPMENT IS A 4-STORY, MIXED-USE TRANSIT-ORIENTED DEVELOPMENT THAT INCLUDES 35 UNITS OF AFFORDABLE RENTAL HOUSING; APPROXIMATELY 20,000 SQUARE FEET OF RETAIL, OFFICE AND COMMUNITY SPACE; AND CLOSE TO 7,000 SQUARE FEET OF OUTDOOR SPACE DEDICATED TO A POCKET PARK. SEE SCHEDULE O FOR ADDITIONAL INFORMATION.SINCE OPENING IN 2017, BROWNSTONE HAS BEEN AT OR NEAR 100 PERCENT OCCUPANCY (APPROXIMATELY 97% ON AVERAGE EACH YEAR) FOR THE 35 UNITS OF AFFORDABLE HOUSING INCLUDED IN THE PROJECT. THE POPULATION OF RESIDENTS IS DIVERSE WITH A MIX OF RACES, AGES, AND FAMILIES RESIDING AT BROWNSTONE. INTEREST CONTINUES TO REMAIN HIGH IN THE RESIDENCE AS WE TYPICALLY GET MULTIPLE APPLICATIONS FOR VACANCIES WHEN THEY ARISE. IN ADDITION, MODEL CITIES IS INCREASING ITS CAPACITY AS A PROPERTY MANAGER AS IT HAS SUCCESSFULLY MET ALL THE LIHTC COMPLIANCE ISSUES THAT CAME WITH THE PROJECT. FOUR OF THE FIVE COMMERCIAL SUITES ALONG UNIVERSITY AVENUE HAVE BEEN LEASED WITH OUR NEWEST TENANT OPENING UP A CARIBBEAN RESTAURANT IN NOVEMBER 2022. COMMERCIAL TENANTS HAVE BEEN A BLEND OF BUSINESS PEOPLE FROM THE SURROUNDING NEIGHBORHOOD INCLUDING A SOMALI-OWNED CONVENIENCE STORE/DELI, AN AFRICAN-AMERICAN-OWNED BARBERSHOP, HMONG-OWNED APPAREL STORE, AND AN AFRICAN-AMERICAN WOMEN-OWNED RESTAURANT. THESE FOUR SHOPS HAVE EMPLOYED A NUMBER OF RESIDENTS FROM THE AREA.

MODEL CITIES PROPERTIES ALSO SERVES AS A HOLDING COMPANY FOR OUR SANKOFA AND FAMILIES FIRST SUPPORTIVE HOUSING DEVELOPMENTS, WHICH PROVIDE 37 LONG-TERM, LOW-COST HOUSING UNITS AT NO MORE THAN 30% OF FAMILY INCOME. SANKOFA SERVES PREGNANT AND PARENTING YOUTH AND YOUNG ADULTS AGES 17-25. FAMILIES FIRST SERVES SINGLE-PARENT FAMILIES MOSTLY SINGLE MOTHERS WITH A HISTORY OF HOMELESSNESS.

MODEL CITIES IS ALSO WORKING ON A DEVELOPMENT PROJECT (652 SHERBURNE), A VACANT 8-UNIT BUILDING LOCATED IN THE FROGTOWN NEIGHBORHOOD OF ST. PAUL. MODEL CITIES, ALONG WITH THE FROGTOWN NEIGHBORHOOD ASSOCIATION (FNA), HOPE COMMUNITY, HISTORIC ST. PAUL, AND THE HOUSING JUSTICE CENTER, CAME TOGETHER AS THE SHERBURNE COLLECTIVE TO JOINTLY REDEVELOP THE BUILDING INTO A SIX-UNIT COMMUNITY-OWNERSHIP BASED PROJECT. RONDO COMMUNITY LAND TRUST WILL OWN THE LAND IN A TRUST ENSURING THAT THE BUILDING WILL REMAIN IN COMMUNITY OWNERSHIP IN PERPETUITY. THIS $2.9 MILLION DOLLAR PROJECT INCLUDES A COMPLETE RENOVATION OF THE BUILDING, CONVERTING SOME OF THE UNITS TO MUCH NEEDED FOUR-BEDROOM FAMILY UNITS. FUNDING HAS BEEN COMMITTED FROM BOTH RAMSEY COUNTY AND THE CITY OF ST. PAUL. MODEL CITIES WILL SERVE AS THE DEVELOPER AND WILL MANAGE THE PROJECT UNTIL THE UNITS CAN BE CONVERTED TO OWNERSHIP UNDER A CONDO OR COOP MODEL. FNA WILL CONDUCT COMMUNITY OUTREACH AND WITH HOPE COMMUNITY, HELP PREPARE ELIGIBLE FAMILIES FOR OWNERSHIP. REHAB OF THE BUILDING SHOULD BEGIN IN LATE SUMMER 2023 WITH OCCUPANCY IN SPRING 2024.