Convention Center Committee Meeting - September 5, 2025
Present: Katlyn Balstad, Charley Johnson, Mallari Ackerman, Clare Hughes, Joe Raso, Kent Kolstad, Emma McIntyre, Taylor Snelling, Denise Kolpack, Tim Mahoney, Dave Piepkorn, Shannon Full, Michelle Turnberg.
Absent: John Strand.
Others Present: Jim Gilmour, Assistant City Attorney Erik Johnson, Michael Redlinger, Susan Thompson.
The Fargo Convention Center Committee held its third meeting to hear presentations on proposals for the Convention Center.
Hempel Real Estate's Presentation
The first presentation was from Hempel Real Estate, with Rick McKelvey speaking remotely. He was joined by his team members Amy Wagamon of Tushe Montgomery Architects, Heidi Wilcox of First Call Hospitality, Trent Johnson of PCL Construction and Terry Stroh of TL Stroh Architects. All members of the team have a connection to Fargo, having lived there for at least four years.
The team presented two potential sites for the Convention Center:
• West Acres Site: A nearly 18-acre site on I-29, which is the most traveled point in North Dakota. The proposal includes space for the Convention Center, hotel and restaurant, with room for expansion and additional development parcels. The site is considered ideal due to its size, visibility and access to more than 50 hotels and 150 restaurants within a five-minute drive. This location is also in a new market tax credit tract and a low to moderate income (LMI) zone, which would be beneficial for financing. The design includes parking under the hotel and a two-story pre-function space.
• 901 40th Street South Site: This site is just under 12 acres and is located about half a mile north of the West Acres site. It is considered a traditional urban infill site, with housing and commercial uses directly adjacent. The plan includes a 110,000 square foot Convention Center with a 50,000 square foot ballroom and a 172-key hotel. This site also falls within the same new market tax credit tract and LMI zone as the West Acres site. The proposal focuses on creating public green space and a large plaza adjacent to the Convention Center.
Questions and Answers
Committee members asked several questions regarding the proposals:
• Breakout Rooms: Terry Stroh clarified that the West Acres site has about 7,000 to 8,000 square feet of meeting rooms, with the possibility of adding more in the future.
• Land Cost: Mr. McKelvey stated that the land value would be part of the total development cost.
• Management Model: Heidi Wilcox of First Call Hospitality explained their management model, which would include a team of at least six people focused on sales, operations and food/beverage. The model would empower a system for long-term bookings.
• Food and Beverage: The team stated that while they would share some kitchen components between the restaurant and Convention Center, they would likely invite outside entities to operate the Convention Center kitchen, but this detail is yet to be determined.
• Financing: Mr. McKelvey mentioned that financial partnerships with the City, such as TIF, are possible but would need to be evaluated during a later phase. The new market tax credits are not yet secured.
• Design: The team has not yet finalized the design to reflect a visual representation of Fargo, as the project is still in its early stages.
Christianson Companies Presentation
The team's proposal is for the Fargo Lakeside Convention Center, located at the southwest corner of 52nd Avenue and 45th Street South.
The presentation began with introductions of the team members and their roles: Tanner Brandt and Chris Mack (Christensen Companies): Project developers; Toby Peters (VenuWorks): Venue management; Michael Winters and John Sabinash (Zimmerman Architectural Studios, Inc.): Architectural design; and Charles Johnson (Johnson Consulting): Financial and Strategic Planning.
Christensen Companies, formerly PACE’s Lodging Corporation, was founded in 1993 and has experience in developing and operating hotels and other asset classes. The company owns and operates five hotels in North Dakota and they have an agreement with Marriott to attach an AC Hotel to the Convention Center. The proposed site is just under 300 acres and is called "The Farmstead.” It has direct access to 52nd Avenue and 45th Street, which connects to I-29 and I-94. The location is also near other amenities and is intended to support surrounding businesses.
Architect Michael Winters, who has designed over 36 convention centers, discussed his design philosophy, which focuses on rooting each building in the local culture, history and environment to create a "sense of place.” The proposed Fargo Lakeside Convention Center is inspired by the confluence of the Union Pacific Railroad and the Red River.
The design features a single-story layout to eliminate the need for stairs and elevators. It includes a separate registration area from the pre-function space to avoid chaos. All meeting spaces are connected to the kitchen and back-of-house areas via dedicated service corridors. The site offers expansion capabilities for a potential Phase 2, which would allow the facility to host two separate, simultaneous events.
Toby Peters from VenuWorks, an employee-owned national venue management company, stated their mission is to maximize successful events for the communities they serve. Their services include finance, operations, sales, marketing and food/beverage. The company has a "Midwest approach" and manages similar venues across the country. They have experience working with municipalities, including Grand Forks, and have a proven track record of creating successful events such as the "Crop Expo.”
Charles Johnson highlighted his role in developing a plan that minimizes risk for the City, which will own the Convention Center. He noted that the City's identified budget of $37 to $41 million would make it difficult to afford the full 50,000 square feet proposed in other studies.
The team's two-phase model aims to deliver a building that is affordable within the budget. Their Phase 1 proposal includes 27,000 square feet of net rentable space, which can handle 94% of the events projected in the HVS market study.
Mr. Johnson also discussed potential funding options, such as using a Tax Increment Financing (TIF) district in the surrounding area to help fund future expansion. The entire 296-acre site, called the Farmstead, could generate $300 to $400 million in taxable development to help pay for renovations or expansions.
Finance Director Susan Thompson clarified that the $37 to $41 million budget estimate from Baker Tilly was based on a conservative 20-year model, not the full 25 years. She said a 25-year model with high growth could potentially raise the total funding to $44.475 million.
Questions and Answers
• Longevity: Commissioner Piepkorn asked if Convention Centers typically need to be renovated or expanded every 10 to 15 years, Michael Winters confirmed this is often the case, as markets and user needs change over time.
• Limited Service Hotel: In response to a question from Clare Hughes inquiring about the decision to propose a limited-service AC Marriott, Mr. Brandt explained that while it would have a restaurant, it wouldn't be integrated with the Convention Center. The hotel, he said, is intended to work in conjunction with the proposed entertainment district, which will offer additional restaurants within walking distance.
• Land Ownership: In response to a question from Mayor Mahoney asking if the model could be bigger if the Convention Center were built on City-owned land, Mr. Brandt said that while it could, the City would also miss out on the potential tax revenue from the hotel and other developments on that land.
• Naming Rights: The team confirmed that the venue could offer naming rights, which could provide significant additional funding. The proposed name, "Lakeside Convention Center," was chosen specifically to allow a sponsor's name to be added easily.
• Cost Per Square Foot: The cost per square foot discussed was for construction only and did not include land costs.
• TIF Districts: Jim Gilmour addressed the use of Tax Increment Financing (TIF) and Payment in Lieu of Taxes (PILOT). He stated that in North Dakota, a TIF district requires an area to be "blighted" or "underdeveloped.” He suggested the only two proposals with that potential are the Savers and Brewhalla sites. The Christensen proposal's site on 52nd Avenue is not considered blighted or underdeveloped, so it would likely not qualify for a TIF district under current state law; however, the Downtown site is already in a TIF district.
Mr. Johnson said the Committee will not meet next week, but will return in two weeks, on September 19th, to discuss the results. The scoring period, he said, will be approximately one and a half weeks, with scores due by Wednesday, September 17th.
The Committee decided not to guarantee that they will automatically select the top three proposals based on the initial scores, as they want to allow for a full discussion and consideration of all factors.
Tanner Smedshammer from the Finance Department explained the scoring process using the online platform, Bonfire and provided a paper copy for convenience. He noted that the proposals and associated documents are available online for review. The scoring criteria are based on a predetermined RFP. Commissioners will score each of the nine proposals on a scale of 0 to 5, with comments required for each score.
The meeting was adjourned at 2:52 p.m.