MISSOULA — The recommendations of a task force created by the city will guide the redevelopment of several city parcels, and it may prompt the city to reconsider its goals for at least two properties, as they may be too lofty.
Missoula Mayor Andrea Davis on Wednesday detailed the city's plans to redevelop roughly 45 acres held under its trust. The task force, which includes 11 members with expertise ranging from finance to housing, developed a list of strategies to aid in that process.
“We want to treat these as interconnected properties requiring coordinated redevelopment rather than isolated transactions,” said Davis. “This is an opportunity for holistic thinking. Not every site can serve every goal.”
The city acquired the properties in a number of ways. Some were purchased with the approval of City Council, while one was gifted to the city for the purpose of redevelopment.
But Davis said past plans created for several parcels were overly complicated, hindering interest by the private sector to deliver on the city's goals. The new evaluation tools developed by the task force include the right use in the right place, consideration of time limits, market demand and public benefits, among others.
Davis added that “time kills deals.”
“The idea is that we're not sitting on lands poised for redevelopment. We need to get them activated,” Davis said. “We want to balance speed with stewardship. Redevelopment should move with purpose while still honoring long-term plans.”
Redevelopment Plans
Under the city's new approach, a number of parcels should move toward redevelopment this year. Among them, the city plans to close on the sale of the Riverfront Triangle “very shortly.”
The buyers, Averill Hospitality, plan to begin construction in 2027. Current plans call for a destination hotel with a large conference center. The city will extend utilities across Orange Street to serve the parcel, along with several others that sit nearby.
“This is an anchor project that will nudge the properties next door toward redevelopment,” Davis said.
The project includes a number of public benefits, including an extended river trail and a public terrace overlooking the water. The sale of the property will also invest $4 million into the city's Affordable Housing Trust Fund.
Once the hotel opens, it will also contribute to the trust fund, Davis said.
“The developer of this property has voluntarily offered to put a program in place where 1% of their gross proceeds will be contributed to the Affordable Housing Trust Fund over 10 years, or up to $3 million,” Davis said. “We're really hoping that will encourage other private developers to do the same. This is a great opportunity for us to try something new.”
The city is also nearing the final design of a 1.5-acre park for its Midtown Commons property, located near Southgate Mall.
The city purchased the entire 13-acre parcel for $5.8 million in late 2024. Redevelopment will include a blend of housing options, retail and other uses, including the requested park.
“What we've heard over and over from folks is that it isn't the size of the park, but the amenities that are included in that park,” Davis said, adding that Phase 1 is slated for 2026.
The city also expects to approve sale documents this spring while working on a number of development agreements. A portion of the property is already platted, and housing construction isn't far away, Davis said.
Progress also continues at the MRL Triangle, located on Johnson Street. Deconstruction of the old emergency shelter should be completed soon and a master plan for site redevelopment has builders interested.
Current plans call for roughly 250 housing units and 6,500 square feet of commercial space.
“As we think about plans for these parcels, we need to really consider what's actually feasible – what's happening in the market today and what do we think we can accomplish to meet these goals,” Davis said. “The great news is that we have a developer interested that we're currently meeting with. They believe they can deliver on this concept.”
Challenges
While some parcels move toward redevelopment, other properties held by the city remain challenged. Among them, the city was gifted the old library block in the downtown District nearly a decade ago, but despite efforts to redevelop the property, nothing has come to fruition.
Davis said it's one example of the city being too prescriptive with its plans – something noted by the task force.
“We had high aspirations and we overly prescribed what we wanted to see on this property,” Davis said. “The developers attempted to deliver on that mandate. But they couldn't deliver on what we asked them to without substantial public subsidies, which didn't really warrant the public benefit we wanted to see.”
The contract with the city's chosen developer, Edlen & Co/deChase Miksis, expired at the end of 2025. Davis said the city will reconsider how it will redevelop the parcel.
“We'll revisit this parcel in the second quarter of 2026,” she said.
The Sleepy Inn property located on West Broadway also remains vacant. The city purchased the property for $1.1 million to serve as a quarantine shelter during the pandemic with plans to sell and redevelop the property once it passed.
The initial listing price was $890,000 and plans for the parcel were detailed in the Envision West Broadway project, which called for a mixed-use building. But the site is small and has proven difficult to redevelop.
“The restrictions placed on the site as a result of that plan are too prescriptive and the parcel has not sold,” Davis said. “There have been offers made on this property that don't meet our vision. The goals for this property need to be reevaluated.”
