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Following a successful pilot last year, the City of Minneapolis today announced the expansion of its Vibrant Storefronts initiative in year two – providing a total of $752,879 for eight local artists and creative entrepreneurs bringing culture and creativity to vacant retail spaces across Minneapolis.

Vibrant Storefronts brings artists and arts organizations together with property owners by subsidizing rental costs for two years. This provides opportunities for local artists and creative entrepreneurs to strengthen their business models and engage the public through their art with the goal of fostering creativity, enhancing vibrancy, and promoting sustainability in Minneapolis.

“What do you do with an empty storefront? You could let it sit. You could wait for the right tenant. Or—if you’re Minneapolis—you hand it over to artists, and watch it come to life.” said Mayor Jacob Frey. “That’s what we’re doing with our Vibrant Storefronts Initiative – and with this expanded investment, we’re helping local artists and organizations bring their talent to the streets of Minneapolis—from Loring Park to Uptown. These aren’t just art spaces—they’re proof of what happens when a city believes in its creative people and backs them with real support.”

This year’s roster of Vibrant Storefronts awardees includes Evergreen Audio, Modern Day Me, Grainline, Strange Loop Laboratory, Center for People and Craft, Zoma House, True North Studios x Curioso Coffee, and Cruise.

The Vibrant Storefronts pilot initiative was a recommendation that came out of Mayor Jacob Frey’s Vibrant Downtown Storefronts Workgroup and is part of the City’s comprehensive plan, Minneapolis 2040. Mayor Frey allocated and the City Council approved $250,000 in the City’s 2024 budget to launch the initiative. 

“The Vibrant Storefronts initiative launched last year in Loring Park and has been an incredible contribution to a neighborhood with a long history of creativity,” said Ward 7 Council Member Katie Cashman.” I am thrilled that not only is this program continuing in 2026, but it is expanding to the Uptown and Downtown areas. The Vibrant Storefronts have received nothing but positive responses, and I am so excited to see what our artists do next for Ward 7, and the City as a whole!”

“The Vibrant Storefronts initiative is truly a meaningful and visible way that the city is directly investing in our collective creative future,” said Ben Johnson, Arts & Cultural Affairs Director for the City of Minneapolis. “Minneapolis is a city of artists, and we believe that this investment will reignite community cohesion, drive innovation, and bring new creative focus on historically-beloved areas of our city.”

In its inaugural year, the Arts & Culture Vibrant Storefronts fund awarded $224,202 to subsidize rental costs for five creative entrepreneurs in the Harmon Place Historic District. A vibrant array of community-centered events and creative initiatives took place through the work of the initial five awardees. These included grand openings, open-mic nights, live art and fashion shows, concerts and more. This year, the program will continue in Harmon Place and Loring Park while also expanding to 1st Ave North as well as into Uptown at Hennepin Ave. and West Lake Street. Each will feature dynamic quarterly programming, transforming vacancy to vibrancy in Minneapolis.

2025 Awardees and their project locations:  

• Evergreen Audio at 300 1st Ave. North –   Evergreen Audio will encourage community participation by offering access to professional-grade audio creative tools and performance spaces and recording studios through free or low-cost events. 

• Modern Day Me at 401 1st Ave. North –   Moder Day Me (MDM) plans to expand their existing programming, using the space to bring people together through creativity, creating a vibrant hub for connection, celebration, and collective growth. 

• Grainline at 1621 Hennepin Ave – Grainline is both a storefront and a workroom for garment development. Their goal is to cultivate an ecosystem that platforms artistically crafted goods, the skill of garment development, and the knowledge on how to make a successful and financially viable career within the fashion industry.  

• Strange Loop Projects at 1629 Hennepin Ave – Strange Loop Laboratory programming will offer diverse performing arts experiences anchored by an evening length immersive dance-theater production. This show will engage audiences of up to 75, inviting them to explore the entire space and reflect on the deeper meaning of human connection as the action unfolds around them. 

• Center for People and Craft at 519 Oak Grove Street – Center for People and Craft, a new folk school will operate as a community-based education hub offering hands-on classes in traditional folks taught by artisans living in our community. The classes will include woodworking, fiber arts, herbalism, storytelling, and folk music, and will be rooted in cultural heritage, ecological sustainability, and accessible skill-building for learners of all ages.  

• Zoma House at 1426 West Lake Street –  Zoma House is a newly imagined multidisciplinary creative space brought to life by the efforts of 3 Black-led arts organizations in the Twin Cities: ZOMA Studios, NEO Narrative, and The Heartcraft Collective. ZOMA House will have a storefront with a rotating selection of products from local artists and our principal collaborators.  

• True North Studios x Curioso Coffee Bar at 3001 Hennepin Ave – True North Studios x Curioso Coffee Bar will provide a space for guests to explore art, joy, coffee, and connection in a delightful and welcoming environment. The studio will be run by ARTrageous Adventures, in partnership with Lucent Blue Events + Design, which will cater to families and adults (from Gen Z to Baby-Boomers) as well as to local visual artists, musicians, creators, and makers. It will offer classes, birthday parties, workshops and a wealth of other resources to fuel the local creative and entrepreneurial community.  

• Cruise at 3008 Hennepin Suite B – Cruise is a hybrid contemporary art space and multipurpose retail gallery that reflects a “Third Coast” perspective connecting Minneapolis to other cities along the Mississippi River and the Upper Midwest to the Great Lakes more broadly. Exhibitions are the backdrop for experiential art making. Cruise’s “art gym” model provides arts-and-crafts much like a fitness center. This increasingly common business model de-emphasizes traditional fine arts mastery and emphasizes skill sharing and social connection.

For the second year in a row, all three bond rating agencies have assigned the highest credit rating possible to the City of Minneapolis. The AAA rating by S&P Global, Fitch Ratings and Moody’s is yet another sign that the state of the City’s finances, credit standing and revenue recovery is on solid footing.

Mayor Jacob Frey highlighted the AAA ratings during his 2026 budget address, during which he outlined a disciplined, long-term vision for the City brought to life through durable investments in vital programs and infrastructure – all supported by a sturdy fiscal foundation and growth outlook exemplified in these bond ratings.

“AAA ratings from all three major credit agencies send a crystal-clear message: Minneapolis is strong, stable and well-managed,” said Mayor Jacob Frey. “These ratings don’t just happen — they’re earned through years of thoughtful stewardship, smart budgeting and a commitment to delivering core services for our residents. That kind of fiscal strength means we can invest in our city’s future while keeping costs low for taxpayers.”

The AAA ratings affirm Minneapolis’ position at the center of a strong and diverse regional economy, low long-term liability and a sound financial profile. In fact, only a handful of cities and towns across the country maintain the top ratings for several years in a row. The City plans to take bids for the $141 million bond issue on August 20.

The City has “very stable operations supported by strong financial management practices that include multiyear budgeting and long-term capital planning,” pulled from Moody’s report. Fitch reports a “high level of budgetary flexibility” and healthy general fund reserves.

“These ratings validate our budget resilience and robust financial standing,” said City CFO Dushani Dye. “Year after year, we remain confident in our reserves and plans to manage the City’s finances.”

Minneapolis Mayor Jacob Frey delivered his 2026 Budget Address in front of Council Members, City leaders, and community and business partners. The mayor’s proposed budget reflects a disciplined, long-term vision for a city “built to last,” with investments in programs and infrastructure that strengthen Minneapolis for decades to come.

Mayor Frey’s budget proposal emphasizes protecting core services, supporting the City’s workforce, and continuing to deliver on Minneapolis priorities: affordable housing, modernized public safety, climate and public health investments, inclusive economic growth, and downtown vitality.

Simply sustaining the City’s current operations would have increased the 2026 property tax levy by 13% -- far too much for residents to shoulder. City staff identified savings and cuts that reduced the projected levy increase by 40%, bringing it down from 13% to 7.8%.

The mayor’s $2 billion proposed budget includes:

• $23 million in smart savings
• No layoffs
• No interruptions to core City services
• Maintained fiscal reserves to withstand potential federal funding instability

“Great cities aren’t accidents—they are built to last,” said Mayor Frey. “This budget makes disciplined choices to keep Minneapolis strong for the long term. We’re protecting the services residents rely on, investing in programs that work, and building a city that our kids and grandkids will be proud to call home.”

Community safety and police recruitment

• Supports recruitment to continue rebuilding the MPD, now at more than 600 officers and the most diverse force in city history.
• Prioritizes a full-spectrum public safety system with police, fire, EMS, civilian responders, and violence prevention efforts working together.
• Fully funds compliance with the federal consent decree and state settlement agreement, including two new positions in the Implementation Unit.
• Sustains 24/7 Behavioral Crisis Response (BCR) services and community-led violence prevention initiatives.
• Advances key public safety capital projects, including the modernization of the 4th Precinct and the Public Safety Training and Wellness Center.

Affordable housing and homelessness response

• Continues the Stable Homes Stable Schools program, keeping thousands of Minneapolis students and families stably housed.
• Sustains investments in the Affordable Housing Trust Fund and the Minneapolis Public Housing Authority, putting more apartments and homes to own in reach of more residents.
• Dedicates $1 million for homelessness response, to ensure shelters can operate safe, dignified, and supportive spaces for unsheltered neighbors.

Climate action and public health

• Advances the Climate Legacy Initiative (CLI), including investments in cleaner energy, green infrastructure, and waste reduction.
• Supports the Zero Waste Plan to move toward the City’s 2030 waste diversion goals.
• Uses opioid settlement funds to launch a Mobile Medical Unit, expand access to Narcan vending machines, and support hospital-based intervention programs for overdose survivors.

Economic inclusion and downtown vitality

• Supports the Ownership and Opportunity Fund, helping Black, brown, and immigrant entrepreneurs build lasting wealth by owning their businesses and properties.
• Funds Vibrant Downtown Storefronts and Nicollet Mall activation, keeping downtown lively and welcoming for residents, workers, and visitors.
• Invests in cultural and commercial districts, including Uptown and Lake Street, through technical assistance and small business support programs.
• Provides dance programming in schools, downtown, and at the Cowles Center, which is slated to reopen next year under new operator Arts Nest/Zenon Dance Company.
• Continues outreach and services for vulnerable communities, including immigrants and refugees.

Good governance and fiscal discipline

• Generates $23 million in savings through vacancy management, scaling back nonessential spending, and prioritizing proven programs.
• Protects City jobs, avoiding layoffs, and maintains the City’s AAA bond rating, saving taxpayers millions through lower borrowing costs.
• Budgets responsibly to prepare for potential federal funding reductions amid continued uncertainty in Washington.

“This budget invests in homes that are stable, streets that are safe, neighborhoods that succeed, and a city government that keeps its promises,” Frey said. “We’ve done the hard work to make sure Minneapolis is strong today and built to last for tomorrow.”

The full text of Mayor Frey’s speech as prepared for delivery is attached, and you can watch the mayor’s full address on the City’s YouTube page.