Minneapolis to Begin Lyndale Avenue Redesign in 2028

The upcoming road project in South Minneapolis is scheduled to last between two and three years.

Updated on Oct. 26, 2026 in Openings & Closings

Isometric editorial illustration of safety cones on an asphalt road, depicting urban infrastructure planning and construction policy. — Minneapolis city officials are preparing to launch a multi-year reconstruction of Lyndale Avenue in 2028, aiming to minimize economic disruption to local businesses. AI Illustration. Upload story photo >

Live Poll

Should local governments financially compensate small businesses for revenue losses caused by public road construction?

The city of Minneapolis is preparing for a multi-year redesign of Lyndale Avenue scheduled to begin in 2028. Officials aim to shorten the project timeline by extending daily construction hours to limit disruption.

Why it matters

Local businesses previously faced significant revenue losses during the 18-month Hennepin Avenue reconstruction. City leadership is currently addressing fiscal constraints that have previously hampered efforts to provide financial compensation for construction-related losses.

A proposed $900,000 budget amendment for business loans was not disbursed by the city due to a lack of clear guidelines. Previous infrastructure work saw LITT Pinball Bar record a 15-19% decline in monthly sales from April to October 2023.

The players

Aisha Chughtai

She is a Minneapolis City Councilmember who proposed a budget amendment intended to support businesses impacted by infrastructure work.

Aurin Chowdhury

She serves as a Minneapolis City Councilmember and co-sponsored the legislative effort to secure business loan funding.

Katie Jones

She is a state representative working to identify potential state grant funding for businesses affected by city construction projects.

Elizabeth Shaffer

She is a Minneapolis City Councilmember who highlighted the fiscal challenges preventing the city from compensating businesses for revenue losses.

LITT Pinball Bar

This is a local establishment in Minneapolis that reported significant sales declines during past nearby infrastructure reconstruction.

The details

State representative Katie Jones is identifying potential funding through a grant program administered by the Department of Employment and Economic Development. While local councilmembers previously introduced proposals to support business owners, fiscal challenges have limited the city's capacity to offer direct compensation for revenue losses.

April to October 2023: LITT Pinball Bar experienced a 15-19% sales decline.
2024 and 2025: Hennepin Avenue underwent 18 months of reconstruction.
2024: Councilmembers introduced a $900,000 business loan budget amendment.
2028: Lyndale Avenue construction is slated to begin.

Market Landscape

The city's approach to the upcoming construction mirrors the economic fallout seen during the 2024-2025 Hennepin Avenue reconstruction project. This latest proposal attempts to refine the execution of urban infrastructure development to mitigate the trend of revenue loss experienced by established local vendors.

Residents and customers in South Minneapolis should anticipate potential access changes near Lyndale Avenue starting in 2028. While state officials explore grant opportunities, business owners face continued uncertainty regarding potential financial relief for construction-related revenue losses.

The takeaway

Business owners in areas slated for major road construction should proactively track state-level grant programs as local city funding remains limited. Establishing a clear communication channel with city council representatives early can help firms voice concerns before project timelines are finalized.