III.2. Depot Update; Imihy Bean
CITY OF HOPKINS
Memorandum
To: Honorable Mayor and Council Members
Mike Mornson, City Manager
From: PeggySue Imihy Bean, AICP, Special Projects and Initiatives Manager
Date: March 4, 2024
Subject: Depot Update
_____________________________________________________________________
PURPOSE
To provide an update on the changes at the Depot Coffeehouse since Spring 2023.
INFORMATION
For 25 years, the City of Hopkins with its partners, the Hopkins School District, Three
Rivers Parks District (TRPD) and the City of Minnetonka have operated a Youth Advisory
Board and coffee shop at the Depot building, owned initially by Hennepin Co. Railroad
Authority and currently owned by the Met Council, located at 9451 Excelsior Boulevard.
The partners each financially contribute to the YAB program, with Minnetonka re-affirming
their commitment to join young adult program through a joint powers agreement signed
in 2023 which funds this work and the Hopkins-Minnetonka ACE Program. However,
even with contributions from other partners, since 2019 the coffee house operations at
the Depot not been financially stable due to a number of factors including Highway 169
construction, METRO Green Line Extension Construction and the COVID-19 Pandemic.
This has led to a reduction in staffing, which ultimately led to the closure of coffee
operations.
The building is still routinely used for YAB programming and events, and students in the
community in addition to bikers who utilize the TRPD trail network desire greater access
to the building. Staff initially planned to lease out coffee shop operations to a business
through a Request for Services (RFS) process, however of the four proposals received
both the first and second choice candidates ultimately decided after review of Depot
financials that a coffee shop was not viable. Other interested parties were either too
inexperienced or proposed an incompatible use for the other needs in the space.
Given this, city Staff have worked together with the Art Center to propose a solution which
would include expanding Art Center programming into the Depot. This would provide
rentable space and staffing at the Depot, allow for regular hours for YAB programming
and events, create standard hours for youth come hang out in the space as well as
provide trailhead access, and generate revenue and/or community benefit through music
events and movie nights. The City would completely discontinue any coffee operations
and shift the focus of the venue to arts and young adult programming.
Administration
Tonight, staff will share in more detail what updated operations at the Depot will look like
as well as an overview of the proposed budget. Staff estimates that the Depot could be
back to opening by early spring.
FUTURE ACTION
Staff will share more information regarding the exact details of reopening with the Council
over the next few months.