400 Block Howard Street Redevelopment Project

Revitalizing Downtown Hibbing, One Block at a Time

The 400 Block Redevelopment Project is a bold initiative led by the Hibbing Economic Development Authority (HEDA) to enhance the vibrancy to the heart of downtown Hibbing. This project focuses on the remediation and demolition of deteriorated properties — including three dilapidated buildings and a vacant lot — along Howard Street, the city’s main corridor.

HEDA and the City of Hibbing are preparing this site to be “shovel-ready” for redevelopment by a private partner. The goal: a new, vibrant mixed-use development that reflects the community’s vision for a modern, accessible, and economically active downtown.

Why This Project?

In 2022, the Hibbing Chamber of Commerce’s Business Retention and Expansion (BR&E) Committee surveyed local businesses about the downtown district. The results were clear:

Strengths: Central location, high visibility, and walkability.
Challenges: Limited parking, deteriorated/vacant buildings, and inadequate snow removal.
Recommendations: Improve parking, incentivize redevelopment, and enhance downtown aesthetics.

A follow-up 2023 building assessment by HEDA and Arrowhead Economic Opportunity Agency (AEOA) found:

152 buildings assessed in the downtown corridor
72 classified as substandard or dilapidated (47%)
Total Estimated Market Value (EMV): $21.7 million

These findings highlighted an urgent need for reinvestment and action.

Timeline of Progress

Fall 2023: HEDA hired a redevelopment consultant and completed title work, engineering surveys, appraisals, and an environmental site assessment. Funding sources and redevelopment best practices were also reviewed.
Grant/Loan Programs Established: HEDA launched programs to support downtown revitalization, with a focus on the 400 Block.
Developer Interest: An initial developer was engaged, and demolition estimates were received to prepare the site for construction.
Property Acquisition: HEDA purchased the following properties to allow for redevelopment of the 400 block:
- 416 Howard Street: former Ace Hardware Building
- 410 & 412 Howard Street: former Flower Basket and Bar 412
- 408 Howard Street: vacant lot where Brickyard once was
- 402 Howard Street: former Teske Building
Demolition: HEDA has secured grant funding from Mn Department of Employment and Economic Development and the Dept. of Iron Range Resources and Rehabilitation to assist with the cost of demolishing the buildings to produce a shovel-ready site for the chosen developer. The Request for Bids for the demolition of the 400 block (including a bid alternative for 507 E. Howard St. in collaboration with St. Louis County) was approved at the Aug. 11 meeting.
Developer chosen: HEDA approved a Preliminary Development Agreement with Rebound Partners at its Aug. 11 meeting. Find it here.
Advertisement for bid for demolition: Posted Sept. 15. Find it by clicking here.
Firefighters take advantage of rare downtown training opportunity
Demolition schedule

What’s Coming

Mixed-Use Vision: The site is ideally located — just steps from the library, shops, restaurants, banks, and more. Plans include:

Street-level commercial space
Upper-level housing units
Off-street parking for the development

A 2023 housing study by Maxfield Research & Consulting shows demand for 1,200+ new housing units in Hibbing by 2035. The redevelopment addresses this need while restoring commercial vitality.

The project also aligns with:

The City’s 2018 Comprehensive Plan
The 2023 Strategic Plan
The Planning and Zoning Commission’s recommendations

Because the site lies within the East Howard Street Commercial District (a registered historic district), all development will follow historic preservation design guidelines — maintaining the historic streetscape while bringing new life to an underused block.

Economic Impact

Prior to purchase by HEDA, the properties contributed just $8,148 in annual property taxes. After redevelopment, the site is projected to generate additional property taxes, the exact amount will be determined by the project scope and design.

Through the Redevelopment Program and compliance with Tax Increment Financing (TIF) requirements, this project is positioned to yield maximum return for the community.

What’s New?

HEDA has selected Rebound Partners to Lead $24.3 Million Mixed-Use Housing and Retail Project during a special meeting on July 29. See the proposal here: The Iron Exchange at 400 – Forged in the Past, Designed for the Future

The new, four-story development will transform an entire city block into a vibrant, walkable downtown community with:

56 market-rate housing units designed for the workforce
17,000 square feet of street-level retail space.
110 underground parking stalls, plus surface and alternative parking options
Fitness center, community room, and patio for resident use

While the financing is still coming together, this development is planned to break ground in late spring/early summer of 2026, with completion projected in 2027.

Offering 1-3 bedroom units, these market-rate apartments will target workforce and middle-income residents and help fill that identified gap in local housing stock.

Rebound Partners proposal aligns with the city’s 2018 Comprehensive Plan and the council’s 2023 Strategic plan.

What's Next?

HEDA members approved the bid documents and official Request For Proposals (RFPs) for demolition of the 400 block of Howard Street at its Aug. 11 meeting. The demolition phase is being led by LHB and is anticipated to get underway this fall. The RPF is now posted here.

HEDA has secured grant funding from Minnesota Department of Employment and Economic Development (DEED) and the Department of Iron Range Resources and Rehabilitation (IRRR) to assist with the cost of demolishing the buildings to produce a shovel-ready site for Rebound Partners.

Once the RFP is awarded and finalized, demolition would get underway this fall and construction would begin — marking a new chapter for downtown Hibbing.

Stay Informed

Check back here for updates on the developer selection, project design, and construction timeline.