State Agency to Help Fund New Apartments

City News April 14, 2025

The Minnesota Housing Agency recently selected a project in Albert Lea for $15.1 million in funding from state and federal programs. The funding will go toward a private developer’s plan to build 60 apartments at the Blazing Star Landing for low- to moderate-income residents. The new apartment building is estimated to cost $24 million to build and would be located south of the new Kwik Trip as show in the aerial photo above.

Minnesota Housing is providing a total of $191 million toward housing projects across the state in order to create and preserve affordable housing for community health, strength and equity.

The development would help fill a critical need for housing and help the city grow in population. As Albert Lea’s Comprehensive Plan states in the housing section, “A diverse housing stock with access to open space and essential goods and services is vital to a healthy, sustainable, and resilient community. The future growth and success of Albert Lea are dependent on resident access to quality and affordable housing.” The plan outlines goals for filling Albert Lea’s housing needs, including expanding housing choices and maintaining affordability.