Agribusiness

Ulm Sweet Ulm receives $74,900 loan

NEW ULM - The New Ulm Economic Development Authority (EDA) approved a $74,900 commercial property rehab loan for Ulm Sweet Ulm, Tuesday.

Ulm Sweet Ulm is located at 203 N. Minnesota Street and is home to multiple businesses including Lykke Books, NU Brew Cafe, Healing Routine's Yoga, volunteer bicycle repair and nonprofit space.

The owners of the property, Brie and Nick Taralson would like to renovates the lower levels to create additional event and office space. In addition, the owners are looking to convert its freight elevator to a passenger elevator to provide ADA access to the lower level.

Brie Taralson said the building has good bones, but it needs a little investment. With the renovation the property could add additional office space and businesses beyond what is already in the store.

EDA Coordinator Heather Bregel said $74,900 is the full amount given for a commercial rehab loan and requires board approval. The term of the loan is 10 years at 2% interest.

EDA chairwoman Michelle Markgraf said she wanted to make sure the board was making strategic decisions when approving business loans.

Markgraf said the loan would benefit Ulm Sweet Ulm and any other businesses that moved into the property, but was not convince it would further economic development beyond the property.

Markgraf believed if they were going to spend $75,000 they needed to know how this would impact New Ulm's economy.

EDA coordinator Heather Bregel said "Improving those older downtown properties is in the city's best interest. We don't want those buildings following into disrepair."

EDA board member and City Councilor David Christian said he like that the owners were looking into converting the freight elevator into a passenger elevator.

Christian said when he was the former building inspector for New Ulm, the reason a lot of buildings could not be used is because they were no longer ADA compliant.

EDA board member Lindsay Henn agreed that if old buildings are not taken care of, they cannot attract new businesses and owners.

Board member and City Council president Andrea Boettger favored approving the loan to maintain the integrity of the property. She agreed with Markgraf that the EDA needed to look closely at the loans it approved, but this loan was for rehabbing commercial properties and that is exactly what the Taralson's planned to do with the money.

Bregel said the commercial rehab loan program was an existing program and Ulm Sweet Ulm met the criteria.

Boettger made the motion to approve the loan request with a second from Henn. It was unanimously approved by the board.