Photo courtesy of Lauren Deutz David Schooff talked about the plans for development of Block Eleven. A total of three buildings are planned on the downtown block. Two will be mixed-use, with commercial space at street level and apartments on the upper floors.

MARSHALL — The corner of Main Street and College Drive is one of the busiest places in Marshall’s downtown, but for years there’s been a lot of empty space nearby. That’s going to change this summer, as construction on the first phase of a mixed-use development kicks off.

On Tuesday, representatives of developers Coldwell Banker Commercial Fisher Group and the city of Marshall held a groundbreaking ceremony for a new 39-unit apartment building on “Block Eleven” downtown.

“It’s really exciting,” said Cate DeBates, vice president of CBC Fisher Group.

DeBates and CBC Fisher Group co-owner and President David Schooff said the project was a good fit for downtown, and would put apartment residents within walking distance of a variety of amenities.

The city has been working for years to acquire vacant properties on Block Eleven — the same downtown block where the Varsity Pub is located — and prepare the lots for future development.

“This has been a long, long time in the planning, and it’s good to see,” said Marshall Mayor Bob Byrnes. As far back as the city’s 1996 comprehensive plan, anchor development had been identified as something downtown needed, he said.

There were originally nine different properties in the development area.

“All those properties were in transition,” Byrnes said. Over the years, the city acquired and cleared the lots to make it easier for redevelopment.

In April, the Marshall City Council approved a Tax Increment Financing district to help the CBC Fisher Group pay for acquisition of the Block Eleven property, as well as costs like ground and utilities work, and off-street parking.

“The city is great to work with,” DeBates said of the project. “Everyone wants to see the economic development downtown.”

CBC Fisher Group has completed similar mixed-use projects in Le Sueur and Mankato. DeBates said the redevelopment of a downtown mall in Le Sueur was a catalyst for the group’s interest in development projects in smaller communities. Besides Block Eleven, the developers have multi-use building projects planned in cities like St. Peter and Redwood Falls.

The Marshall development will be keeping the Block Eleven name. Schooff said they had considered some other ideas, but the city’s name for the block stood out as unique.

“We kind of liked the name of it,” he said.

Ultimately, developers plan to construct a total of three new buildings, with a mix of commercial or office space and apartments. There will be a total of 39 one- and two-bedroom apartments in the first building, which will be available at market rates, Schooff said.

“The city had a study that showed the need for all types of housing,” including market-rate rentals, Byrnes said.

The first Block Eleven building, near the corner of West Lyon Street and North First Street, will likely be finished sometime this winter or spring, Schooff said.