Foundation commits up to $15 million to downtown St. Paul redevelopment

The Saint Paul & Minnesota Foundation has committed up to $15 million to support redevelopment efforts in the city’s downtown core. Photo: Becca Gilbuena

The Saint Paul & Minnesota Foundation is committing up to $15 million to help redevelop downtown St. Paul, adding another major philanthropic partner to an effort aimed at addressing vacant and distressed properties.

The foundation announced the investment Tuesday in partnership with the Saint Paul Downtown Development Corporation, a real estate subsidiary of the Saint Paul Downtown Alliance. The commitment follows $30 million in funding from Securian Financial and the Bush Foundation, which launched the Saint Paul Downtown Investment Fund in November 2025.

The new investment comes as city leaders, businesses and nonprofit organizations work to reshape downtown amid persistent office vacancies and changes in how people use the city center.

The redevelopment effort has attracted more than $1 billion in public and private investment over the past two years, according to the foundation.

“We are investing in downtown Saint Paul because we believe in its future and in the role a strong capital city plays in the economic vitality of our state,” Chanda Smith Baker, president and CEO of the Saint Paul & Minnesota Foundation, said in a statement. “This moment calls for both optimism and investment.”

The foundation's money will be dispersed through several avenues, including the Downtown Investment Fund, direct investments in downtown properties and the foundation's community investment portfolios.

The Saint Paul Downtown Development Corporation, or SPDDC, has used the initial $30 million from Securian and the Bush Foundation to acquire and stabilize distressed properties that have contributed to downtown's vacancy problem.

Properties already under the corporation's control include the U.S. Bank Center and Alliance Bank Center.

The foundation said its goal is not simply to fill vacant office space but to help create a downtown with more residents, inclusive economic development, places for people to gather and a stronger economic base for Minnesota.

“When a section of our downtown goes dark, it is not only an economic problem,” Shannon O'Leary, chief investment officer of the foundation, said in a statement. “Residents route around it. Visitors leave right after the show. Shift workers lose hours. Lighting downtown back up is what makes it safe, vibrant and a terrific place to live.”

The latest commitment comes as St. Paul continues to grapple with how to adapt its downtown to post-pandemic changes in office use, while balancing economic development with the need for a more active and livable area.