Rochester, MN (KROC AM News) - A longtime downtown Rochester building may soon vanish.

The former Michaels Restaurant along Broadway closed in 2014 after being purchased by local businessman Gus Chafoulias. He later teamed up with Harbor Bay Real Estate of Chicago. The two are currently developing the new Hilton Hotel across the street from the Michaels site.

They have also announced plans for a 255 unit apartment building, a 155 room hotel and more than 60,000 square feet of retail space at the Michaels site. No timetable was given.

The two are now asking the City Council to allow the demolition of the Michaels building while also preserving the right to seek a tax increment district for the site at a future date.

photo by Jeannine Sidla Hadley
photo by Jeannine Sidla Hadley

The restaurant is in the area where the developers want to make a skyway connection between the new Hilton and the University Square building, which is also owned by Chafoulias. City officials expect plans for the skyway to be finalized by next year, which is when the new hotel is scheduled to open.

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