DMC reports $155 million in private investment for 2021
Private investment in the Destination Medical Center project rose 8 percent in 2021 to $155.3 million, according to an annual report filed with the Minnesota Department of Employment and Economic Development.
The total includes $110.6 million in investment from Mayo Clinic and an additional $44.7 million in non-Mayo private investment.
Notable Mayo expenditures included the start of construction on the Kellen Building, an ongoing renovation of the Plummer Building library, and the “continued modernization” of the St. Marys campus.
In a memo to the DMC Corporation Board, Mayo officials said they continue to take a conservative approach when calculating DMC-eligible capital expenditures, adding that its total investment in capital projects and equipment in Rochester last year was more than $340 million.
As for non-Mayo investment, noteworthy projects included the Bryk on Broadway affordable housing development and the Two Discovery Square building. DMC also listed millions of dollars in smaller private projects, such as sign replacements, roof repairs, and office remodels.
“These have not been the easiest couple of years to do any kind of investment in any community — and between Mayo and the private investment, I think it’s remarkable that in 2021 we had this level of investment in the community,” said Pamela Wheelock, DMCC board treasurer. “I am not sure what the future will bring, particularly in these uncertain days we are in right now, but this is something to really pause and recognize.”
In all, private investment in DMC is now at $1.3 billion since the start of the initiative, including $762 million from Mayo. As part of the 20-year plan, Mayo has pledged to invest $3.5 billion in Rochester with the goal of leveraging an additional $2 billion in new private investment.
If the 2021 report is approved by the state, it will trigger the release of $29.2 million in state infrastructure aid. The original DMC legislation calls for $410.6 million in state funds to be used for public infrastructure expenses, with a maximum of $30 million flowing to the city each year.
Sean Baker is a Rochester journalist and the founder of Med City Beat.
