Nye's owners push closing date into 2016; neighborhood group pulls support for makeover

There's time for another spin around the dance floor at Nye's Polonaise Room.

The popular restaurant and bar just north of downtown Minneapolis will stay open until January, the owners said Friday, just days after a neighborhood association rescinded support for redevelopment of their property.

Brothers Rob and Tony Jacob, Nye's co-owners, said their decision to delay its closing date from late 2015 to early 2016 has nothing to do with area residents' worries about building a residential tower on the site.

But the neighborhood's change of heart is just the latest wrinkle in redevelopment efforts for the storied property in the St. Anthony Falls ­Historic District. Nye's has been a Twin Cities landmark for decades and bills itself as home to the "World's Most Dangerous Polka Band."

In December, the Jacob brothers announced they would close the popular establishment and work with Schafer Richardson, a Minneapolis developer, on a mixed-use project for the site.

The initial plan was to tear down the three buildings — including two more than a century old — that compose Nye's and build a 30-story residential tower with ground-level retail and a parking garage.

After criticism from patrons, neighbors and preservation ­activists, Schafer Richardson agreed to save the two older Nye's buildings and ­incorporate them into the street-level facade of the new building.

But the height of the tower remained a concern to some neighbors. Members of Our Lady of Lourdes church, which is next door to Nye's and is the city's oldest continuously operating church, expressed concern about the effect that construction would have on their old building. The church also said the size of the tower was inappropriate for the site.

Schafer Richardson engaged in discussions with various neighbors and, Rob Jacob said Friday, "We continue to work with the neighborhood and church."

The Nicollet Island East Bank Neighborhood Association, or NIEBNA, in February initially approved the project. But later, when plans strayed from the original proposal, the group became uncomfortable, said Barry Clegg, vice president of NIEBNA.

"Schafer Richardson is still proposing lots of ideas, but none of them are remotely close to what was originally proposed," said Clegg. "We wanted to make it very clear that any such proposals need to come back before us."

Clegg said Schafer Richardson is exploring several other options, including a shorter building.

"We have not publicly presented the plan any different from the one previously presented," said Maureen Michalski, senior project manager for Schafer Richardson. "We want to do a good project so we have to look at all those things and take into consideration all those comments. But nothing is confirmed at this time."

While the project's fate is being determined, the Jacob brothers decided to keep the restaurant going through the fall and winter holiday season. Rob Jacob sent a text message to reporters Friday morning asking for help to get the word out.

"The outpouring of Nye's followers to grab one more Jumbo while enjoying ­pierogies, piano and polka gave us no choice but to expand the opportunity to pay tribute to the Nye's legacy," Jacob said in the text.

He said that the restaurant will maintain the same hours and that a "Farewell to Nye's" party planned for Aug. 22-23 will still go on.

Jim Buchta • 612-673-7376

Kristen Leigh Painter • 612-673-4767