Hastings Lands $55,300 Grant for Block 28 Gateway Project

Hastings Lands $55,300 Grant for Block 28 Gateway Project

February 16, 2026|3 min read|By South Metro Scoop

Big news for downtown Hastings.

The city just secured a $55,300 grant from the Metropolitan Council's Tax Base Revitalization Account to continue environmental investigation work on Block 28 — also known as the Gateway project. HEDRA approved the grant agreement at this week's meeting.

What the Money Pays For

This grant covers the next phase of environmental work on the property. That includes:

  • A Phase 2 environmental site assessment (soil testing, drilling, and sampling)
  • Writing a remediation action plan if one is needed
  • Writing an asbestos abatement plan (parts of the property are known to have asbestos)

The consulting firm GZA Geo Environmental — the same group that did the Phase 1 assessment — will handle the work.

What Will It Cost Hastings?

Almost nothing. The city's out-of-pocket cost could be around $2,000 if the project hits its full budget.

Here's why: The money Hastings already spent on the Phase 1 assessment (paid for by a Dakota County grant) counted as matching funds for this new grant. The TBRA program requires up to a 25% match — and Dakota County's earlier grant covered that requirement.

Smart stacking of grants by city staff.

What Is Block 28?

Block 28 is a key redevelopment site in downtown Hastings that the city has been working to prepare for future development. Before anyone can build on it, the city needs to know exactly what's in the ground and what needs to be cleaned up.

The Phase 1 assessment identified potential concerns. This Phase 2 work will determine what's actually there and what it would take to address it. At the end of this process, the city will have a clear picture of what the site needs — and what it would cost to get it development-ready.

Timeline

Economic Development Coordinator Alex Menke said the Phase 2 work should be completed in a matter of months once the Met Council signs off on the grant agreement. The goal is to have results and a response action plan by late summer , and no later than the end of the year.

The Bigger Picture

This isn't just about testing soil. As discussed at the last HEDRA meeting, the city is moving toward finding a developer and signing a preliminary development agreement for Block 28 this year.

The environmental work is the last major hurdle before that can happen. Once the city knows what remediation is needed and what it costs, they can market the site with confidence.

Combined with the 375-home Pleasant Valley Farms development and other projects in the pipeline, Hastings is making real moves on development heading into 2026.

HEDRA Commissioner congratulated staff on securing the grant — and rightfully so. Getting $55,000 in state funding with minimal local cost is a win for city council and taxpayers.

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