Site-Ready and Set to Grow

A city on the right course with a thriving port and development geared for its residents,

In North Mankato, Minnesota, a city recognized for its strong sense of livability and forward momentum, a clear focus on strategic growth, community investment, and economic opportunity is guiding its future. That momentum is fueled by individuals like Mike Fischer, Community Development Director, who emphasizes the importance of local identity. “North Mankato is a community of approximately 14,500 people, often mistaken for our neighbor across the river, Mankato. However, North Mankato is its own city, with a strong emphasis on high quality of life, vibrant neighborhoods, and well-maintained parks and trail systems.

The Port Authority: A driving force for development

At the center of North Mankato’s economic strategy is the Port Authority Commission, a powerful tool created in 1988 under Minnesota statutes to stimulate and facilitate industrial and economic growth. The Commission consists of seven members, five of whom are members of the City Council. At the same time, the Council appoints the remaining two based on their expertise in business, law, finance, and related sectors. The Port Authority serves as an economic development engine and strategic landholder, working closely with developers and businesses to create opportunities for new enterprises and foster job creation.

Port Authority President Duane Olenius, who has served on the commission for several years, highlights the Port Authority’s active role in shaping North Mankato’s economic landscape. “We’re not just acquiring land—we’re creating opportunity. When we prepare sites with infrastructure and offer financing options, we give businesses the confidence to establish a strong foundation here. That, in turn, boosts our job base and supports everything from public safety to our park system.”

The Port Authority plays a pivotal role in preparing sites for development by installing essential infrastructure, such as roads and utilities, ensuring that land is ready for business growth. This proactive approach minimizes risks for developers and accelerates the timeline for launching new projects. Fischer emphasizes, “There’s no middleman. It’s a very clean and efficient way to do economic development.”

The Port Authority’s strategic investments have contributed to the ongoing success of the Northport Industrial Park, which today houses numerous businesses and continues to expand. This year, the Port Authority acquired 60 additional acres of land to support this momentum. Fischer shares, “We secured state funding to cover half the cost of infrastructure, including a new road, water, and sewer systems. Construction is scheduled to begin in the spring or summer of 2025.”

In addition to infrastructure development, the Port Authority administers flexible local loan programs that help businesses cover upfront costs while ensuring long-term value for the city. Olenius notes that these tools provide meaningful support for entrepreneurs and industry leaders: “We’re willing and able to work with businesses that want to grow here. Our location, combined with streamlined processes, makes North Mankato an ideal location for investment.

An expanding industrial landscape

The Northport Industrial Park is home to a diverse mix of businesses that form the backbone of the city’s economy, spanning sectors such as advanced manufacturing, defense contracting, logistics, and printing. City Administrator Kevin McCann outlines the landscape: “We have a bus company, manufacturers of power systems such as generators, and NIDEC Engineering, which holds federal contracts with the Department of Defense.” Taylor Corporation, which started here, is now a multi-billion-dollar business with multiple facilities in the city.

With the Port Authority’s recent acquisition of 60 additional acres, North Mankato is preparing for a new wave of industrial expansion. These shovel-ready sites are strategically positioned to attract advanced industries seeking connectivity, robust infrastructure, and a business-friendly environment. Olenius highlights the city’s strategic positioning: “We have access to major highways, such as 14 and 169, which makes North Mankato an attractive location for manufacturing and distribution.” The proximity to larger urban centers, combined with the community’s small-town appeal, gives North Mankato a competitive advantage in attracting companies of all sizes.

To further encourage economic growth, the city offers a comprehensive support system for businesses. “We have federal and local loan programs, and we also use tax increment financing (TIF) to help businesses recapture increased tax revenue and offset eligible development costs,” says McCann. These programs are often tailored to meet the specific needs of the industry, whether it involves site preparation, utility connections, or workforce training. The Port Authority collaborates closely with city staff and potential investors to streamline the process, ensuring minimal bureaucracy and maximum responsiveness. This collaborative, no-nonsense approach is consistently cited as a reason why businesses choose to grow in North Mankato.

Revitalization and Redevelopment

In addition to industrial development, North Mankato is actively revitalizing key areas of the city, breathing new life into aging infrastructure and underused properties. One standout project involves transforming a long-neglected hotel site into a vibrant mixed-use development.

Fischer recounts, “The Port Authority acquired the hotel and later sold it to developers who are converting it into apartments. They’re also adding commercial buildings, some with residential units above, and planning a new hotel on the adjacent land. It’s the largest redevelopment project we’ve had in two decades.”

This redevelopment goes beyond bricks and mortar; it’s a symbol of North Mankato’s strategy of sustainable urban renewal. The reimagined site will offer a blend of market-rate housing and commercial amenities, helping to meet the growing demand for modern living spaces while drawing in new business and hospitality opportunities. The additional commercial space aims to foster local entrepreneurship and attract service-based businesses that complement the residential component.

The project also represents the Port Authority’s unique ability to act swiftly and decisively in revitalization efforts. By taking ownership of distressed properties and facilitating their transformation through public-private partnerships, the Authority helps reposition neglected parcels into thriving community assets. These types of adaptive reuse projects are instrumental in maximizing land value, enhancing walkability, and strengthening the city’s tax base—all while preserving the character and intent of the original sites.

Livability and legacy

At the heart of every development initiative in North Mankato is the desire to enhance quality of life. “We’re a very safe city,” Fischer shares. “Our parks are well-kept and well-used. Caswell Park, for example, has hosted the Minnesota State Girls Fastpitch Softball Tournament for over 30 years.”

Adding to the city’s recreational appeal is the planned regional athletic facility, which McCann describes as one of the city’s top priorities. “It would focus on indoor sports, such as basketball, volleyball, and tennis, but also include important community features like meeting rooms and a walking track,” says McCann. “It’s a major priority for us moving forward.”

The facility is envisioned as a hub not only for residents but also for regional events and tournaments, which would bring visitors to North Mankato year-round and support the local economy. Still, in the planning stages, the city is actively exploring funding sources and partnerships to bring this vision to life.

The city also shines in its event calendar. “Our annual town celebration, Fun Days, has been going for over 50 years,” McCann notes. It began as a way to commemorate flood recovery efforts and now generates thousands of dollars for concerts, parades, and rides.

Housing for a growing community

With industrial expansion and job creation comes the inevitable need for housing. Fischer notes, “We’re reviewing two new residential developments—one single-family and one mixed single- and multi-family—along with a new 60-unit apartment complex and a 24-unit senior living facility.”

Affordability, however, remains a challenge. “The state is looking at ways to help,” says Fischer, “but we haven’t seen substantial funding reach the city level yet.”

Still, North Mankato is laying the groundwork for future solutions. “We receive around $30,000 annually from the state for affordable housing,” McCann explains. “We’ve set up a fund to grow that amount until we can make a meaningful investment in a major project. Our goal is to be ready when a development opportunity arises that aligns with our affordability goals.

In the meantime, the city continues to collaborate closely with developers to promote a range of housing types that cater to the evolving needs of its population. From young professionals and working families to retirees, North Mankato is positioning itself to offer a diverse range of living options—balancing market-rate development with a focus on long-term affordability and accessibility.

Looking ahead with purpose

As North Mankato looks toward 2025 and beyond, its priorities are clear: to develop the newly acquired industrial land, expand housing options, and bring significant community projects, such as the regional athletic facility, to fruition.

“We’re committed to making the development process as easy as possible for businesses and industries,” Fischer asserts. We don’t have many extra fees or burdensome regulations. If someone wants to invest here, we want to make it happen.”

Simplicity and transparency have become hallmarks of the city’s approach. Olenius adds, “We often hear from businesses that it’s easy to work with North Mankato. That goes a long way.”

AT A GLANCE

Who: North Mankato, MN
What: A dynamic community recognized for its strategic economic development, strong local identity, and commitment to fostering business growth and innovation.
Where: Located along the Minnesota River in south-central Minnesota, adjacent to the city of Mankato
Website: www.northmankato.com