Allison Sharkey, Executive Director, Lake Street Council

In an interview with Invest:, Allison Sharkey, executive director of the Lake Street Council, discussed the thriving landscape for small businesses. She outlined initiatives underway to drive economic growth through funding, marketing, and cultural events, and how the council is working to support entrepreneurship to enhance the street’s vibrancy.

Reflecting on the past year, what have been the main highlights and key milestones for Lake Street Council?

2024 was a period of stability for both the Lake Street Council and Lake Street itself. To provide some context, Lake Street is the longest street in Minneapolis and has more businesses than any other street in the state. It is particularly marked by its diversity, having been shaped by successive waves of immigration over the years. The area features a predominantly immigrant corridor in the middle and a more upscale neighborhood on the west end near the lakes.

The past five years have been a period of tremendous change, especially since Lake Street was significantly impacted by the social unrest and property destruction that occurred after the murder of George Floyd. The initial years following these events were focused on recovery, reflection, and addressing personal trauma. Despite these challenges, it was remarkable that most of the small, family-operated businesses were able to reopen and resume operations. The core value guiding the recovery has been to address Minneapolis’ racial disparities by creating increased opportunities for Black entrepreneurs and other entrepreneurs of color to own commercial property. Last year we helped several entrepreneurs make progress on their plans to move from renting to ownership.  

What are the main attractions that make Lake Street an ideal place to live, work, play, and do business in? 

Lake Street is uniquely bookended by water and nature. On one end, there is a beautiful lake where people can enjoy activities like boat rides at sunset or walks during the warmer months. On the other end, the Mississippi River flows right past the street, offering opportunities for canoeing and kayaking. These natural attractions provide a striking contrast to the busy, diverse environment of the street itself.

Lake Street is known for its “mom and pop” businesses, many of which are immigrant-owned. It offers a wide array of unique, family-operated establishments that you would not find anywhere else. Food is a major attraction, with people coming to enjoy affordable restaurants and spending time with friends and family. This vibrant mix of nature, culture, and business makes Lake Street a special place.

How is progress coming along with all the recovery, redevelopment and renovation efforts that are taking place on Lake Street?

Overall, recovery has gone much better than expected, especially for the family-owned businesses. However, it has been more challenging in Uptown, on the west end of Lake Street. On the upscale end of the corridor near the lake, many national chain businesses, including an Apple Store and high-end clothing retailers, disappeared in 2020 due to the pandemic and civil unrest. These businesses have not returned, and the area is undergoing a significant transformation. In their place, small, family-owned businesses, many of which are African-American-owned, have emerged. These include restaurants, salons, health and wellness services, and smaller retail boutiques. This shift represents a dramatic change in the area’s identity.

What impact and effect are Lake Street Council’s grant programs and funding opportunities having on local business and economic development?

The impact has been tremendous. Many business owners have expressed gratitude, stating that the Lake Street Council was the first to provide help during the difficult times of 2020. In some cases, our assistance was the only help they received. This was made possible by donations from 65,000 people worldwide who stepped up to support the area. However, these grants are no longer as readily available, and large government programs to support businesses through COVID-19 have ended. Businesses now need to transition to self-sufficiency, which is challenging given that customer behavior has changed significantly, with many opting for online shopping. Businesses are being encouraged to rethink their strategies and create experiences that draw people out of their homes.

What active measures is Lake Street Council implementing to attract business, investment, and tourism to the area?

We secured an $8 million investment from the state government, which is being allocated to various initiatives. A significant portion is being used for a $1 million marketing campaign to attract people to the area. This campaign targets both new visitors and residents who may need an extra incentive to explore the neighborhood. Additionally, we are supporting small businesses with their own marketing efforts by pairing them with culturally competent local marketing firms to enhance their online presence.

We are also investing in art and events on Lake Street. Over 100 murals already exist on the street, and we are funding the creation of many more. This spring is featuring a variety of events and community-based initiatives, including the installation of an ice-skating rink and a sauna on a vacant lot. These efforts aim to create a vibrant and engaging atmosphere on the street.

To what extent does Lake Street Council work with city and county elected officials to promote tourism and business in the area?

We work closely with the local government to provide funding for emerging developers, particularly entrepreneurs of color. These are often individuals who have always rented commercial space and are now looking to purchase property but lack generational wealth. By partnering with the city, we offer subsidies as well as free predevelopment advising to help make property ownership possible. This is one of the key ways we support economic development and create opportunities for long-term stability.

What are the main challenges when it comes to attracting business, investment, and tourism to Lake Street, and how are you working to address these challenges?

Perception of public safety is a major challenge, as many businesses cite it as their top concern. While most people have not experienced any incidents personally, the area has a reputation that can deter visitors. These issues are difficult to solve, but we are taking steps to address them. For example, we recently partnered with the city to open a public safety center where residents can report concerns and receive assistance. This center is staffed to intervene in situations like mental health crises and help individuals find long-term solutions.

What will be the main priorities for the Lake Street Council over the next two to three years?

Several real estate redevelopment projects are underway. Over a dozen buildings, housing over a hundred businesses and nonprofits, were burned down in 2020, and while some were rebuilt quickly, others are still in the process due to the challenges faced by entrepreneurs new to property development. These projects take time but are progressing. One exciting development near my office is a project by the Neighborhood Development Center. They are creating a shared facility for entrepreneurs entering their second stage of growth. This space will provide access to shared technology and manufacturing facilities, helping businesses scale and distribute their products. It will focus on supporting Black entrepreneurs, addressing the disparities in Minneapolis. I hope that in two years, we will celebrate the grand opening of several innovative projects like this one.