Nicollet Mall Businesses Feeling Squeeze Of Lengthy Construction

MINNEAPOLIS (WCCO) -- A report surfaced this week about the downtown Minneapolis Macy's store possibly closing.

Macy's has not announced anything about closing the iconic downtown store but said last year the company was considering redeveloping the building, keeping the retail store and adding other businesses into the mix.

Other downtown business owners feel the possibility of losing the downtown Macy's is a sign of the times.

Haskell's owner Jack Farrell's family business has been a downtown fixture since the 1930s.

Farrell said the downtown businesses along Nicollet Mall are suffering because of a multiyear construction project on Nicollet Mall.

The $50 million city project started almost two years ago and has another year to go before it is complete.

The plan is to make Nicollet Mall more pedestrian friendly and add hundreds of trees.

"It has been a total disaster," Farrell said about the construction.

Farrell said the construction has been more than an eye sore, making it harder for customers to navigate the mall and visit businesses.

Farrell said many businesses are down 25-30% because of the construction.

"They're hanging on by their fingernails," Farrell said.

Downtown Council President Steve Cramer would not discuss Macy's but said the city has done all it can to try to help business owners during the transition, ensuring there is a walkway to each business amid the construction and asking for their input along the way.

"There is no question a project of this magnitude is going to have an impact on adjoining businesses," Cramer said. "I think the only thing worse than that is if we had done nothing at all with the mall and let it continue to slowly deteriorate."

Cramer said part of the reason the project is taking a few years is because of the underground utilities that need to be replaced.

"The thought process is to get this done as quickly and efficiently as possible," Cramer said.

Cramer said he expects the pay-off will be worth it for businesses when the project is complete.

"Nicollet Mall will be a destination more people will want to visit," Cramer said.

Farrell hopes the city's fastest effort is quick enough to keep the businesses already along Nicollet mall.

The mall was last renovated in 1990 and 1965 before that.

The Downtown Council said a handful of businesses have closed since construction started but there are many reasons a business may close, not just construction.

Farrell had a meeting with Mayor Betsy Hodges recently where he discussed his concerns.

Mayor Hodges had this response.

"Recently I had the opportunity to visit with business and property owners along Nicollet Mall as well as get an update on the construction. Generally I received great feedback on the work that City staff is doing to keep business and property owners updated on the progress. While I understand there are challenges during construction, the overall long-term impact will be substantial and it will help businesses attract customers once complete. It will be well worth the wait—improving the pedestrian experience for all those who come to shop, dine and be entertained in our vibrant downtown."

To keep up with the latest on the Nicollet Mall construction visit here.