Counterpoint | Strengthening small businesses could fix Minneapolis’ tax problems

Revitalizing Uptown would broaden the tax base and improve livability in this city.

December 8, 2025 at 7:42PM
The Uptown Theater marquee, looking toward West Lake Street and Hennepin Avenue on July 14 in Minneapolis. (Aaron Lavinsky/The Minnesota Star Tribune)

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In his Dec. 5 commentary, my good friend and member of the Board of Estimate and Taxation, Steve Brandt, offers a number of options to meet Minneapolis’ taxation needs while reducing skyrocketing property tax increases (“Minneapolis needs an alternative to rising property taxes”). As usual, he did his homework, including tax options from other cities.

He left out one of my preferred methods to meet our taxation needs: Grow the small-business tax base.

Recently, my wife and I visited the Uptown Winter Wonderland Holiday Market at Seven Points, formerly Calhoun Square. We parked in the ramp. Even with the event in progress, the ramp was dark, cavernous and eerily vacant.

I was the Fifth Police Precinct Inspector from 1992-94. Uptown and the Calhoun Square mall was the most vibrant city business node after downtown. That parking ramp led into the mall with well-lit and bustling businesses and restaurants. Famous Dave’s was a tenant for many years. On a normal day now, if you park in the largely vacant ramp, it leads directly to nowhere. During many business hours you actually need to walk around Seven Points to get to one of the remaining businesses. That feels very unsafe.

We live in East Harriet, making us almost equidistant from Uptown and 50th & France. In Uptown we patronize Lunds and Byerlys, Cub and the excellent Magers and Quinn booksellers. Frequenting 50th & France is a much easier proposition. It is hard to deny the ongoing vibrancy on both sides of the Minneapolis-Edina border. One significant difference is the free parking ramps provided by the city of Edina, which benefits Minneapolis businesses too.

My big idea is for the city of Minneapolis to acquire the parking ramp at Seven Points and offer free parking to shoppers. I realize this flies in the face of the assumption that people will migrate to public transit, bicycles and walking. I think the verdict is in on that. This has been the plan for a number of years and has not succeeded.

I brought my big idea up with Mayor Jacob Frey and my council member, Linea Palmisano. She does not represent Uptown, but she does respond to constituents. She asked me if I really thought free parking would restore Uptown. I think it matters a lot, but no, I cannot say parking will alone revitalize Uptown. I would say that first, an atmosphere of safety is on top. Second would be multiple businesses that people want to patronize as it was in Uptown’s glory days. Third would be something as mundane as parking.

Yes, it should be no surprise I think rebuilding the Minneapolis Police Department is foundational to safety in Uptown and the entire city. However, people and a reason to visit are key. When I walked into the Fifth Precinct on day one, I was shown a model for the Midtown Greenway, then under development. My first thought was how, with only five or so points of access for squad cars, ambulances and fire trucks, are we supposed to patrol and maintain safety? The answer was people. When there is sustained use in numbers, by regular people going about their lives, criminals are uncomfortable and it tends to remain safe.

Aside from safety, incentivizing businesses is not my area of expertise. Minneapolis has traditionally been known as a difficult place to establish a business due to initial and ongoing red tape. Last year some members of the City Council proposed to ease regulation of street food vendors. I think a similar commitment of council support for brick-and-mortar small business would go a long way to restoring the livability of Minneapolis and easing that property tax burden.

Gregory Hestness, of Minneapolis, is retired. He was chief of the University of Minnesota Police Department and deputy chief of the Minneapolis Police Department.

about the writer

about the writer

Gregory Hestness

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