Minneapolis to Reopen Nicollet Avenue and Lake Street

The restored intersection will offer local businesses improved connectivity for housing and transit developments.

Updated on Oct. 29, 2026 in Openings & Closings

Isometric editorial illustration of a city street intersection with newly paved surfaces, representing urban development and restored infrastructure connectivity. — Minneapolis officials will reopen the intersection of Nicollet Avenue and Lake Street on November 24, ending a decades-long closure to support redevelopment. AI Illustration. Upload story photo >

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Minneapolis officials are set to reopen the intersection of Nicollet Avenue and Lake Street on November 24, 2026. This move marks the end of a decades-long closure once necessitated by the presence of a Kmart store on the site.

Why it matters

Reopening the street serves as the catalyst for a broader redevelopment effort aimed at integrating housing, green space, and public transit. For local business owners, the move aims to restore the area's connectivity after more than three years of vacancy at the corridor.

The intersection has sat vacant for more than 3 years following the demolition of a fire-damaged storefront, ending a closure that began in 1978. City officials are currently soliciting developer bids for the first phase of the New Nicollet project.

The players

Minneapolis

The municipal government overseeing the New Nicollet redevelopment and city infrastructure planning.

The details

Crews are currently finishing work on the corridor to restore traffic flow, a change that removes a major barrier to local development. The city is actively seeking developer proposals to build market-rate and affordable housing units along the newly opened path, signaling a transition from a long-term vacant site to a mixed-use district.

March 1978: The city demolished existing buildings to accommodate the construction of a Kmart store.
October 20, 2023: A fire at a vacant storefront at 5 a.m. led to a roof collapse, accelerating demolition.
November 24, 2026: Minneapolis officials target this date for the formal reopening of the street.

Market Landscape

The restoration of the street grid follows the broader New Nicollet project initiative designed to replace obsolete commercial footprints with modern density. It marks a significant shift from the 1970s-era urban planning model that prioritized large-footprint retail over street-level transit.

Operators in the area should monitor the project's phase-one developer selection as a signal for incoming density and foot traffic patterns. Those relying on local transit and thoroughfares should account for potential traffic flow shifts once the corridor opens on November 24, 2026.

The takeaway

The reopening of this corridor underscores a shift toward urban density as the city pivots away from its 1970s commercial footprint. Business owners should keep an eye on upcoming developer bids to anticipate the scale and timeline of the residential development slated for the site.

What happens next

City officials expect to select developers for the first phase of the New Nicollet project, which will include market-rate and affordable housing units.