Former Downtown Rochester Hot Spot Facing Demolition
Rochester, MN (KROC AM News) - A building in downtown Rochester that was a hot spot for locals and visitors for decades until it closed several years ago may soon disappear.
The City Council Monday approved the planned demolition of the former Michael’s restaurant building, located at 15 Broadway Ave S., as part of an apparent plan to redevelop the site.
The city has been told the roof of the building is failing.
The property is owned by BGD5 Development, which is headed by Andy Chafoulias. He has indicated plans are in the works for a project at the site and public funds may be sought. His father Gus Chafoulias bought the site in 2014 and closed the restaurant. At the time, he teamed up with a Chicago firm and in 2018 announced plans for a 255 unit apartment building, a 155 room hotel and more than 60,000 square feet of retail space at the site. He died in 2020 and those plans were later shelved.
The site may qualify for tax increment funds.
The city council approved a request for demolition in 2018 but nothing happened and the agreement that included possible TIF money expired. Although the council approved the new agreement, it does not bind the city to authorize the use of TIF money for redevelopment of the site.