Finding access to fresh, healthy food options can be a challenge for people in North Minneapolis. The area is considered one of the worst food deserts in the country. Several grocery stores have closed over the years, leaving just one currently owned by a major brand. And while you’ll find several fast-food places along West Broadway, sit-down restaurants are harder to come by.  

City, state and nonprofit leaders have worked for years to find creative solutions to the North side’s food desert challenges. The Northside Economic Opportunity Network – or NEON – believes its solution could be a gamechanger for healthy food access, job creation and economic growth.  

In October 2024, NEON broke ground on a $20 million food incubator project entitled Collective Kitchens. The 24,000 square foot commercial kitchen facility will provide food-based business owners and entrepreneurs space to create, test, promote and sell their products. 

Sunrise Banks provided New Markets Tax Credit allocation for the building. Phillip Conley, Jr., Marketing and Communications Director for NEON, says Collective Kitchens will provide clients easier entry into the food industry.  

“When you think about the opportunities around it, it’s not just a commercial kitchen, but it is a huge opportunity for innovation,” he says.  

History of Supporting Entrepreneurs  

Founded in 2006, NEON’s mission is to help mid to low-income entrepreneurs become sustainable and build generational wealth. It does this through training programs, curated marketplaces, workshops and community conversations.  

“We encounter individuals who have great talent, but don’t necessarily know how to run a business,” says Conley, Jr.. “We get in the trenches, walk hand in hand with our clients, helping them understand the business acumen and standards.” 

Sunrise Banks employees have coached NEON clients on business banking essentials, applying for small business loans and other financial necessities. NEON provides these services for free, and they’re often tailored to individual clients.  

“We make sure that we have a huge presence in North Minneapolis, specifically at community events so individuals know that we are a community resource,” says Conley, Jr..

Vision for Collective Kitchens 

Collective Kitchens will feature private and shared commercial kitchen space, a food research laboratory, classrooms, and a sit-down food hall. It will also have a walk-up window to order grab and go items, such as salads, juices and sandwiches. NEON plans to bring in experts from Minnesota food companies like General Mills and Cargill to help mentor their clients.

Conley, Jr. says Collective Kitchens will be able to work with up to 280 entrepreneurs at a time. He expects those spots to fill fast.  

“Even though we’re building this grand establishment, there’s still going to be a waiting list because the food industry is so competitive,” he says.  

Collective Kitchens will also help create up to 265 full-time jobs at NEON and 261 construction jobs. Conley, Jr. says every dollar spent there will provide an economic return of just over $28 for North Minneapolis.  

Support from Sunrise Banks  

Sunrise Banks provided New Markets Tax Credit (NMTC) allocation for Collective Kitchens. This type of tax credit helps attract private investments for projects in low-to moderate income communities. Mary Stoick, senior vice president and director of tax credit lending, says NMTC is a perfect fit for projects like Collective Kitchens.  

”This will bring much-needed jobs to North Minneapolis. These are jobs that are accessible to low-income residents, pay living wages with benefits, and provide training and growth opportunities across a variety of businesses,” Stoick says. “This is a critical project for the community we’re proud to support.”  

Conley, Jr. says NEON appreciates having a genuine, authentic relationship with Stoick.  

“It is fantastic to know that we have had a sole person to lean on, to direct our questions to, even to brainstorm and figure out how we can expand our relationship,” he says. “That has been a phenomenal experience.” 

Conley, Jr. and the NEON team hope Collective Kitchens and other efforts to increase food access will transform North Minneapolis. Stoick says she’s excited to see that transformation.  

“The work that NEON does every day to meaningfully lift up the community is inspiring,” she says. “This project is an opportunity for Sunrise Banks to participate in that work and use our tools, like NMTCs, to make North Minneapolis a thriving, healthy community.”  

About Sunrise Banks 

Sunrise Banks is no ordinary bank; we strive to be a place where money and values meet for our customers and our communities. We do this by prioritizing social responsibility, community impact and environmental sustainability alongside our essential financial products and services. Visit sunrisebanks.com to learn more.  

About the New Markets Tax Credit Program at Sunrise Banks 

As a Community Development Financial Institution (CDFI) devoted to financial and lending equity, Sunrise Banks has participated in the federal New Markets Tax Credit (NMTC) program since 2009. Visit sunrisebanks.com/nmtc to learn how the program sparks economic development.  

Member FDIC.

This article originally appeared in the Minneapolis/St. Paul Business Journal.