Downtown Minneapolis building values dropping, homeowners could pay the price

Building values in downtown Minneapolis continue to drop, and homeowners could pay the price.

New downtown data shows commercial building values dropped again this year, down 14% from 2025, and now more than 45% lower than in 2021.

“What that means is every renter, every homeowner, every small business building owner outside of downtown is making up for that with their property tax,” said City Council member Michael Rainville, who covers part of downtown.

“I had to take a loan out to cover this year’s property tax bill, so that was kind of painful,” said homeowner Janet Lenius. “It’s not homeowners’ fault that the businesses are leaving downtown.”

Rainville says with the city’s budget season soon, he’ll be looking to tighten.

“When we talk about cuts, everything’s on the table,” Rainville said, adding long-term goals remain top of mind.

“To revitalize downtown, we have to do what worked in the past, as well...