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Market-rate townhomes could come to the former Faith United Methodist Church property in West St. Paul.
What: The church held their last service at 1530 Oakdale Avenue on May 12 and moved to Inver Grove Heights. They are in the process of finalizing the sale of their West St. Paul property to M/I Homes for a reported $1.5 million.
The plan: M/I Homes, the same company building the Thompson Square townhome development across the street, has a preliminary plan for 42 units. The City of West St. Paul is facilitating the sale with a development agreement coming before the Economic Development Authority (EDA) next week.
Costs: The city is potentially paying up to $380,000 to cover various costs, $350,000 of which would be recouped through property taxes over three years and the remainder would be paid through EDA funds. That’s the worst case scenario, and City Manager Nate Burkett thinks the city’s portion will be much less.
- Up to $250,000 if the project does not receive the full $250,000 Dakota County redevelopment grant.
- Up to $100,000 if the project has fewer than 42 units, at a rate of $25,000 per unit with a floor of 38 units.
- Up to $30,000 to cover a gap in utilities and insurance.
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Why: “It takes four acres that generated no tax capacity and turns it into $110,000 in tax revenue per year,” Burkett said. “It benefits the entire city by spreading property taxes out over a larger base.” The units across the street are selling as soon as they’re completed, so demand is strong.
Timeline: The development agreement stipulates a construction starting date no later than May 31, 2025 and completion before the end of 2026. M/I Homes will submit formal plans for approval later this summer.
Other options: The EDA met in a closed session in February to consider purchasing the church property. It didn’t fit the Council’s goals for a community center space, but they were willing to buy it to help encourage redevelopment—though that didn’t turn out to be necessary.
History: Faith United Methodist Church moved to West St. Paul in 1964 from the West Side.
June 24, 2024 Update: Neighborhood Meeting
There will be a meeting about this proposed development on Thursday, June 27 from 6:30-7:30 p.m. at Wentworth Library.
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West St. Paul Reader 
I am glad that the units across the street are selling as soon as their sold. It would be a travesty if they were selling before or after they were sold 🙂
Fixed that, thanks.
The Seniors in W. St. Paul need 1 level townhouses! Not 3 levels