DULUTH – A 15-story residential high-rise in downtown Duluth that was due to start construction this spring has been delayed and might not be finished until 2024.
Citing "current uncertain market conditions" and time needed to finalize tax-increment financing (TIF) arrangements, Northstar Development has asked the city to postpone the construction start-date deadline to April 30, 2021.
Duluth is providing $6.2 million in TIF money over 25 years for the $75 million project, the single largest private residential investment in downtown Duluth.
Other "pre-development challenges" such as financing, bidding and utility work previously delayed the project from a Dec. 31, 2019, construction deadline, according to city documents.
The apartment complex at 333 E. Superior St. would replace the Voyageur Lakewalk Inn and several other buildings. Plans call for 204 market-rate units and retail space on the ground floor.
An amended project agreement, which now requires construction to be completed by June 20, 2024, goes before the Duluth Economic Development Authority on Wednesday.