McDonald’s eyes Milaca Junction

McDonalds building

The Golden Arches could be standing proud at the Milaca Junction by year’s end.
A proposed three-way land deal between the Milaca Land Company, the city of Milaca, and Land & Lease Development, LLC may to result in the building of a free-standing McDonald’s restaurant on the northwest corner of the Milaca Junction development.
The restaurant will be west of the Holiday/Subway building in the southeast corner of the highways 169 and 23 intersection.
The deal, in the works for about a month, comes after another attempt to locate a McDonald’s on the north side of Highway 23, north of Dairy Queen, didn’t materialize.
Here’s how the deal breaks down.
Land & Lease Development has an agreement to purchase the former Barbara Jean’s restaurant property. Barbara Jean’s was formerly an Embers restaurant and MJ’s before that.
Land & Lease Development will turn over part of the property north of the restaurant over to the city of Milaca, which will then extend Fifth Street Southeast from 10th Avenue Southeast toward Highway 169.
The city owns two lots immediately east of northbound Highway 169 exit ramp that stretch from Highway 23 to the north and the area of the Milaca Municipal Liquor Store to the south. Currently the two lots are landlocked. Extending Fifth Street Southeast will give vehicle access to the property.
The north lot, adjacent to highways 169 and 23, will be acquired by Land & Lease Development for the construction of McDonald’s. The city of Milaca will have an opportunity to market for sale a property that previously there was no access to..
The city is currently unaware of Land & Lease Development’s plans for the former Barbara Jean’s site.
On Thursday, March 20, the city and Land & Lease Development entered into a memorandum of understanding that will prohibit the city from dealing with other developers while the memorandum is in force.
One of the stipulations is that Land & Lease Development will install sewer and water lines that will service both the McDonald’s property and the remaining city lot. Land & Lease Development will pay all legal, engineering and other consulting costs incurred by the city.
Land & Lease Development will replat the properties in question and work with the city to rearrange the lots in the development, City Manager Greg Lerud said.
That’s a process that could take five to six months to complete. Under that time line, construction could begin in early fall.
Members of the Milaca City Council didn’t share many comments on the negotiations, but Mayor Pete Pedersen said in reference to the memorandum of understanding, “It looks pretty good.”

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