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Top spots to watch in 2023
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Top spots to watch in 2023


Jan. 9, 2023

Throw a dart at a map of Sioux Falls and it wouldn’t be hard to hit a spot positioned for some kind of improvement or building in the year ahead.

But some corners are particularly primed for business activity in 2023. Here are our top spots to watch:

81st Street and Minnesota Avenue

Don’t judge the typical pace of development by the area around 85th Street and Minnesota Avenue — because it’s not normal. This area filled in especially fast once major businesses, including Walmart and Schulte Subaru, committed to large pieces of land, and it hasn’t stopped since. In 2022, this spot saw the opening of the city’s newest McDonald’s, as well as multiple retailers.

Now, watch development inch a bit to the north, where Landscape Garden Centers was located before it moved south of town.

That northwest side of 81st Street and Minnesota Avenue is ready for building this year, with multiple options for retail or office use. One two-story office building is under construction, and more announcements could follow throughout the year.

Eighth Street and the railroad

There are multiple intersections downtown that could make the list. And a couple likely will next year as major projects move forward. But for now, let’s watch East Eighth Street and the railroad. This is where one of the few remaining pieces of rail yard land exists. Directly east of 8th & Railroad Center, it offers intriguing options for redevelopment.

For now, it’s leased parking, but that’s done soon, plus there are other buildings in the area with plans for new uses.

69th Street and Louise Avenue

It has been off the list for a couple of years, but we’re bringing this spot back with a bet more activity might be on the way.

Avera recently reported it’s finishing off the top floor of Avera Specialty Hospital to accommodate demand, and there’s a lot of land left to develop.

The financial picture for health care is brightening just a bit, so we’ll see if 2023 brings more building announcements here. Regardless, there are 12 new pickleball courts ready for play this year.

Sanford Sports Complex

There’s a lot of activity underway at the Sanford Sports Complex — and more could be coming. It will be a year of construction for the Sanford Virtual Care Center, scheduled to open in 2024, and Dakota State University’s cybersecurity research center, which likely is a 2025 opening.

But this year also will bring more regular activity to the area with the first full season for Sanford Diamonds, the 10 turfed fields built for baseball and softball in 2022. A new Comfort Inn & Suites also is scheduled to open this year.

So watch the remaining land at the complex for more announcements. Expect at least one more hotel, along with potential residential and other complementary uses.

Sanford often maximizes its capacity at the Pentagon, for instance, and other facilities such as the Scheels IcePlex and Huether Family Match Pointe have long-range plans to expand.

Tallgrass Avenue from 69th to 85th streets

The announcement of an interchange moving ahead at 85th Street, after years of working through the process with state and federal officials, is going to drive additional interest in development here for years.

Look for it to start around Tallgrass Avenue, where multiple apartment projects already are in varying stages of construction and commercial lots are on the market. There’s also an effort among surrounding landowners to put a comprehensive development plan together for the area as the interchange begins design and construction, so look for that in the year ahead.

Design for the interchange is expected to be done by midyear, and after that it’s a two-year construction project.

69th Street and Cliff Avenue

We put this on last year’s list and saw multiple retail developments come to fruition adjacent to the new Stadium Crossing apartments. The coming year will bring lots of openings, including a new B&G Milkyway, Starbucks and Year Round Brown, plus new retailers to the market Cookie Co. and Gloss Nails. We also just announced a new Casey’s General Stores site here.

But there’s more land left, so look for some future announcements as more retail fills in this increasingly popular corner.

10th Street and Fairfax Avenue

We know what you’re thinking: 10th and Fairfax? But stick with us on this.

In 2022, the state of South Dakota issued a request for proposals to relocate its office at 811 E. 10th St., which houses the Department of Labor and Regulation and other state offices. Assuming a deal comes together, that opens up a unique opportunity to redevelop land near a city park and adjacent to downtown.

Plus, this area will house the new Barb Iverson Skate Plaza before the end of the year.

Construction on the 30,000-square-foot skateboard park is scheduled to start this year and be done by sometime this fall.

Strong development pipeline mixed with economic unknowns drives Sioux Falls into 2023

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