Demolition begins on part of Southtown Shopping Center; mall's future unclear

What's happening: Demolition has begun on the vacant former Herberger's and Toys R Us buildings on the west side of the property. The rest of the retail center, including T.J. Maxx and Kohl's, will remain open, according to longtime owner Kraus-Anderson, which is based in Minneapolis.

The intrigue: Kraus-Anderson has not said what it's planning to do with the land once the stores are gone. Demolishing the buildings, which the city deemed "structurally substandard," opens the door for public subsidies from the city, the Star Tribune reported last fall.

• Bloomington Port Authority assistant administrator Jason Schmidt told Axios that KA has thrown out some conceptual ideas of what they could do, but said there are no available plans available for public review.
• If the developer's plans meet the city's goals for the area, which include density and better public spaces, then city could assist financially, he said.

Flashback: Both stores have sat vacant for several years. Hy-Vee had been planning a massive store to replace them, but the West Des Moines-based grocer halted its Twin Cities expansions plans in 2022.