Oakdale city leaders are looking to do a little spring cleaning of old commercial properties.

In a quest to redevelop the Tanners Lake commercial area into a city gateway and to update the Oakdale Mall, the city is seeking special legislation to extend the maximum time frame for tax-increment finance (TIF) districts to fund the work.

Under state law, a redevelopment TIF district may go up to 25 years, said Bob Streetar, the city's director of community development. Oakdale officials are seeking an exception that would grant them up to 35 years.

"These properties bring down surrounding properties because they are either issues or eyesores," said Oakdale City Council Member Lori Pulkrabek. "To keep the community up as a whole, we need to take care of these issues."

The Tanners Lake commercial area, located on Geneva Avenue near Interstate 94 and across the street from the main 3M campus, comprises three buildings: Blackie's Eatery & Saloon, Harmon Auto Glass and Toby's on the Lake Restaurant, which is currently closed.

Last month, the City Council approved an agreement to purchase Blackie's Eatery & Saloon. City leaders plan to close the restaurant early this summer and remove the building, as well as the old Toby's on the Lake structure.

Restoring that area is a priority, Pulkrabek said, because it is considered a prime lakeshore site and a gateway into Oakdale.

Oakdale Mall, on the northwest corner of I-694 and 10th Street, measures 180,000 square feet and sits on about 18 acres. Streetar said it's only 20 percent occupied and has been that way for the past 10 years. Among the tenants are the St. Paul Bridge Club, Tools & More, a Chinese restaurant and a dress shop.

"It has been in need of redevelopment for a good 10 plus years," Pulkrabek said. "I've been on the council for nine years and it's something I've heard about for my entire nine years."

The two retail centers are two of about 17 commercial properties that the council is looking to redevelop. As the city has aged, so have some of its business properties, and city officials say they want to take steps now to avoid blight.

"If you think of a bell curve, Oakdale is at the top of the bell curve," Streetar explained. "[Its] big growth area was between 1970 and 2000, and the big push was in the '80s and '90s. They want to take these areas that are beginning to get blighted and manage them rather than wait and do nothing."

Oakdale's redevelopment plans depend on the outcome of the city's effort to get the extended TIF district.

Streetar said Oakdale's request is included in the Senate tax bill, and Oakdale city leaders, led by Mayor Carmen Sarrack, recently testified before the House tax committee. "We're about as confident as we can be," Streetar said of the city's chances, although he added that he is concerned that Oakdale's request may get folded into some other legislation and get rejected if Gov. Tim Pawlenty vetoes the whole bill.

"Most of our commercial properties are doing very well," Pulkrabek said. "We have a new business park that is currently being developed. These two areas in particular really do stand out. Otherwise as a whole, our commercial properties are doing really well."

Allie Shah • 651-298-1550