Published June 12, 2025

Teardowns in the Twin Cities: What Buyers and Builders Need to Know Before You Build New

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Written by Fatima Joyce Tresvalles

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                   From Edina to Minnetonka, teardown-rebuild projects are transforming Twin Cities neighborhoods. These high-demand areas offer prime locations, mature trees, and proximity to schools and lakes, making them attractive for custom home buyers and savvy developers alike. But behind the appeal of new construction lies a network of zoning regulations, environmental constraints, and sustainability concerns.

                   Whether you're a buyer dreaming of a forever home or a builder exploring your next project, here's a detailed guide on navigating the teardown landscape in these areas.



🌳 The Strictest Cities: Edina, Minnetonka & Minneapolis

Cities like Edina, Minnetonka, and Minneapolis have some of the most rigorous oversight for teardowns. These municipalities are committed to preserving neighborhood character, managing natural resources, and ensuring new homes blend seamlessly with existing structures.

Key regulations include:

  • Tree Preservation: Legacy or mature trees are often protected. Removal may require a detailed plan, and you might be required to hold funds in escrow until replacement trees are planted.
  • Arborist Audits: Arborists are frequently required to inspect tree conditions pre- and post-construction.
  • Design Compatibility: Height, footprint, and roofline must align with adjacent properties. Cities like Edina enforce strict design reviews, limiting variances.
Ignoring these can result in delays, extra costs, or even permit denial.


⚡️ Patio, Driveway & Hardscape Coverage

Hardscape features are limited to minimize environmental impact. Cities are capping the percentage of impervious surface to manage stormwater runoff.

This includes:

  • Maximum square footage for patios, walkways, and driveways

  • Mandatory use of permeable materials in some areas

  • Impact fees or design changes if thresholds are exceeded

Plan ahead! overages can require costly redesigns or stormwater mitigation measures.



🚰 Watershed Rules, Rain Gardens & High Water Table Sites

Proximity to lakes, creeks, or wetlands triggers extra environmental scrutiny. Watershed districts enforce additional requirements to protect water quality and manage stormwater.

Expect to address:

  • Rain gardens or infiltration basins

  • Erosion control measures

  • Underground drainage systems


Additionally, high water tables or existing utility pipelines can increase construction complexity. A geotechnical soil report and utility mapping are crucial in the due diligence phase. Builders may need to implement shoring systems to stabilize soil during excavation especially in urban lots with tight setbacks.


♻️ Site Sustainability & Material Reuse
Better Futures Minnesota Deconstruction Program


Teardowns can be environmentally responsible. Instead of full demolition, many homeowners now opt for deconstruction to salvage usable building materials.


Better Futures Minnesota is a leader in this space. They:

  • Deconstruct homes to recover floors, cabinetry, appliances, and framing
  • Reduce landfill waste
  • Provide clients with federal and state tax credits for donated materials
It’s a win-win for the environment and your budget. Plus, buyers appreciate homes that come with a sustainability story.


🏠 Site Suitability & Shoring Requirements

Before committing to a teardown lot, it's vital to understand whether it's buildable and sustainable in the long term. Lot shape, slope, subsoil conditions, and utility access can all impact the cost and feasibility of construction.
Key factors include:
  • Soil conditions (sandy vs. clay)

  • Slope and drainage

  • Proximity to neighboring homes (which can trigger mandatory shoring during excavation)

  • Presence of underground pipelines or easements

Municipalities may require structural shoring when digging near property lines, roads, or utility lines. Failure to plan for these site complexities can delay your project and drive up costs.
 

🤝 Our Partnership: Hammer Group x McDonald Construction

Design by Fatima Joyce Tresvalles


At Hammer Group, we guide buyers through the teardown process, from property search to move-in day. Our partnership with McDonald Construction Partners gives clients a strategic advantage:

  • Pre-purchase lot evaluations

  • Custom design and city code compliance

  • Full permitting and construction coordination

Together, we streamline teardown-to-build workflows and ensure that your new home is perfectly suited for your lot, your family, and your future.


✅ Ready to Build Smarter?

Teardowns are an exciting way to build custom in established neighborhoods. With the right team and knowledge, you can avoid surprises and create a home that enhances your lifestyle—and your investment.
Let us help you design smarter, build better, and live where it matters most.
 

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