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The Albert Lea City Council on Monday approved subdividing a parcel at the corner of East Main Street and Blake Avenue to accommodate for the potential construction of an Aldi grocery store. 

City Manager Ian Rigg acknowledged during the council work session that the grocer was looking to build on the site, which is on the northeast side of the intersection and south of the strip mall containing Dollar Tree, GameStop and Sherwin-Williams, among other stores. He said it is in the company’s plans to build near Walmart stores.

“I know some people would have loved to have seen it somewhere else in the community as a way to reduce food deserts or create more options for people to get to a grocery store easier … but we can only do so much in trying to force the issue,” he said. 

Aldi in February on its website announced plans to open more than 225 new stores in 2025 as part of the next phase of its five-year national growth strategy, including an expansion of its established footprint in the Northeast and Midwest regions. The discount supermarket chain, one of America’s fastest-growing retailers, is known for its simplicity, efficiency and low prices.  

The company has previously owned property in Albert Lea. 

For this project, the property being considered is on 10 acres of land privately owned by the William G. Dress Irrevocable Trust and Jeffrey G. Dress Irrevocable Trust that is known as the Dress Addition.

The approved plat subdivides the parcel into a smaller parcel to meet the needs of the developer. It also designates an additional 27 feet of city property to Blake Avenue as public-right-of-way, which will accommodate the future Blazing Star Trail extension.  

The Tribune has reached out to Aldi and ISG Inc., the engineering firm that prepared the plat, but has not received confirmation back about potential plans.  

The city and Albert Lea Economic Development Agency have been working to bring in another grocery store to the area since the closure of Marketplace Foods in 2020. 

In other action, the council:

• Accepted the bid for the construction of 370 feet of Eberhart Street and utilities on the Blazing Star Landing. The project also includes the construction of a stormwater pond. 

Rigg said the city had received five bids for the project, with the low bid coming from Jensen Excavating for about $802,000. The engineer’s estimate was $860,000.

Contracts will be signed once development and purchase agreements for Block 1, Lot 1 are complete in the northeast corner of the property, the city manager said.

• Ordered the advertisement of bids for the city neighborhood improvement project for 2025. 

The project includes bituminous mill and overlay in the Crossroads Boulevard area and a portion of Lake Chapeau Drive, as well as the bituminous surface part of S.E. Marshall Street. 

Specifically, the project includes Lake Chapeau Drive from City Arena to the west end; Crossroads Boulevard from Highway 65 to the south end; Betha Larson Lane from Crossroads Boulevard to the east end; Ross Drive from Crossroads Boulevard to Betha Larson Lane; Kram Avenue from Betha Larson Lane to the north end; and S.E. Marshall Street from Prospect Avenue to Interstate 35. 

• Ordered the advertisement of bids for the 2025 state aid street overlay project on Garfield Avenue from Fairlane Terrace to Richway Drive. As part of the project the council passed a resolution designating no parking on the west side of Garfield Avenue in the stretch of the project. 

City Engineer Steven Jahnke said the action is a formality as there has technically already not been parking on that side of the street, though city staff has not been able to find if a council resolution was ever approved for the designation. 

• Ordered the advertisement of bids for the 11th Street reconstruction project from Margaretha Avenue to the east end. The project includes complete removal and replacement of the pavement, curb and gutter, sanitary sewer, storm sewer and watermain.

Project cost is estimated at about $531,000. 

• Approved an agreement with Houston County regarding Federal Aviation Administration Airport Improvement non-primary entitlement funds. 

• Authorized contracts for fire protection and emergency services with Albert Lea and Pickerel Lake townships for 2025. 

The city also will receive $18,507 from Albert Lea Township for services provided in 2024 and about $3,140 from Pickerel Lake Township for services in the same period.

• Appointed Jennifer Levisen to the Heritage Preservation Commission.