Oct. 19, 2021

The city of Sioux Falls is recommending a four-story building with commercial space and more than 150 apartments be built on the site of a downtown parking lot.

The city-owned lot is a half-acre site at 400 S. First Ave. on the southern edge of downtown south of 12th Street. The city earlier this year identified it as a potential redevelopment site and opened up a competitive process as it sought to maximize its downtown surface lots.

A proposal from Sioux Falls-based Green Acre Cos. and Lloyd Cos., which includes 5,000 square feet of first-floor commercial space, 120 underground parking spaces and adjacent street parking in addition to at least 150 apartments, was selected by the city as the one that best met the goals of the 2025 Downtown Plan to increase density, connectivity and walkability, Lloyd said in a statement.

Koch Hazard Architects

The city brought the opportunity to purchase the lot forward after determining there is ample opportunity for public parking at other nearby sites.

Three proposals were received.

“We were pleased with the interest we received for this opportunity. The Green Acre and Lloyd project was chosen to move forward because it provided the most density and scale for the site,” said Jeff Eckhoff, the city’s director of planning and development services.

“The 12th Street corridor has really developed in the last few years, and this project will contribute to that growth and help connect other housing projects in that area to the heart of downtown. These new individuals and families will generate more activity for the surrounding businesses and add to the growing vibrancy of that neighborhood.”

Green Acre was formed in 2010 by Josh Aberson and Byron Schafersman. It started with residential real estate, which is still a business line, but added Green Acre Development, focusing on infill development and doing projects in Des Moines. The headquarters is in Shriver Square in downtown Sioux Falls.

“We’re honored to build on the momentum for downtown as a whole and specifically this up-and-coming area of the city,” Aberson said in a statement.

“We have a passion for downtown and are excited to be offering a design that focuses on traditional materials with some unique, modern applications to draw additional interest in the project. You can expect to see spaces for multiple murals, reflecting the artistic vibe of the area and our commitment to supporting local artists.”

Lloyd will serve as co-developer, general contractor and property manager for the project, which has not been named.

“Multifamily occupancy across the city continues to set records, but downtown residential units are especially in demand,” said Luke Jessen, Lloyd’s senior director of development.

“As more retailers and office users commit to urban spaces, the need for housing downtown will only continue to grow.”

This project is unique in that it focuses on smaller units, with significant community space, he added.

“Whether you’re working from home or hosting guests, there is ample amenity space, including an elevated central courtyard/patio space, workstations scattered throughout the property, as well as a community room for gatherings,” Jessen said.

Retail will be focused along First Avenue to accent the 12th Street Pedestrian Plaza connecting the property to Phillips Avenue and to continue the First Avenue retail activity created by the Great Outdoor Store, Stogeez/Bin201 and Nyberg’s Ace Hardware.

“Retailers are finding growing success in this part of downtown, and we want to offer more space for that to continue, as well as on-site retail our residents will enjoy,” Aberson said.

“We fully believe this project fulfills the city’s long-term vision for downtown and look forward to the formal approval process.”

Selling the property will require City Council approval. Assuming that occurs, Koch Hazard Architects will be finalizing design with the goal of beginning construction in the summer of 2022 and opening for residents in the first quarter of 2023.