Progress Continues with Proposed Cedar Grove Outlet Mall

The Economic Development Authority (EDA), which consists of the members of the Eagan City Council, unanimously approved two separate actions regarding the Cedar Grove Redevelopment Area outlet mall at Tuesday’s city council meeting.

First, the EDA voted to schedule a public hearing on July 17 to allow for public discussion of the development project, which was proposed by the Baltimore-based company Paragon Outlet Partners, LLC in April.

If approved, the open-air, pedestrian friendly mall could take as long at 15 months to construct and cost up to $100 million to build, planners say. The project could generate as many as 400 construction jobs and between 1,500 and 2,000 retail jobs, according to Paragon representatives.

The 400,000-square-foot mall would be built on 35 acres of land off Cedar Grove Parkway and would include up to 100 high-end outlet stores. One or two of these stores would likely be 25,000-square-foot anchor businesses.

In April, the EDA voted unanimously to Paragon’s preliminary concept plan. The project may require the city to realign roads and to move an existing Xcel Energy gas pipeline. The pipeline relocation could cost as much as $1.2 million, according to city officials.

Paragon was exclusive negotiation rights for the purchase of the EDA-owned Cedar Grove Redevelopment Area property in early May. The negotiation rights will expire after 180 days, if Paragon has not concluded a formal purchase agreement with the EDA.

In early June, it was that Paragon would not be in competetition with the 500,000-square-foot shopping center for the former Lockheed Martin site, according to market analysis conducted by Maxfield Research.

"From my perspective, I'm encouraged by the project. I think it takes very good advantage of the assets of the Cedar Grove location,” said Mayor Mike Maguire, when presented with the project proposal in April.

At Tuesday’s meeting, the EDA also approved a professional services proposal from Braun Intertec. The environmental consulting corporation will address minor environmental conditions identified on the property being considered for sale to Paragon.

According to Eagan Community Development Director Jon Hohenstein, these environmental conditions are related to the presence of gas stations, which were previously located on the site.