Stillwater, Minnesota, renowned for its historic charm and scenic beauty along the St. Croix River, is also a hub of economic activity. The city’s economy is characterized by a diverse mix of industries, including healthcare, retail, manufacturing, and tourism.
Key Industries Driving Stillwater’s Economy
Healthcare and social assistance lead employment sectors, engaging approximately 1,559 residents. Retail trade and manufacturing follow closely, employing 1,072 and 1,040 individuals, respectively. These industries provide a stable foundation for the local economy.
Tourism and Hospitality: A Cornerstone of Local Business
Tourism significantly contributes to Stillwater’s economic vitality. The historic downtown area, with its boutique shops, diverse dining options, and events along the St. Croix River, attracts visitors year-round. This sector accounts for a substantial portion of local business activity, particularly in the downtown district.
Community Development Initiatives
In 2021, the Stillwater City Council established the Stillwater Economic Development Authority (EDA) to enhance economic development tools, facilitate site assembly, and support public financing of development projects. The EDA collaborates closely with the local business community to foster growth and innovation.
Recently, Jason Zimmerman was appointed as the new Community Development Director. Zimmerman is actively working on the Comprehensive Plan, aiming to guide Stillwater’s development efforts for the next two decades. His focus includes continuing projects initiated by his predecessors and introducing new initiatives to support the city’s growth.
Housing Market Trends
Stillwater’s housing market reflects its economic dynamics. As of April 2026, the median listing price is approximately $449,950, with 116 homes available for sale. The median rent stands at $2,550 per month. These figures indicate a balanced market, offering opportunities for both buyers and renters.
Looking Ahead
Stillwater’s economic landscape is a testament to the city’s ability to honor its rich history while embracing growth and innovation. Through strategic development initiatives and a supportive community, Stillwater continues to thrive as a vibrant place to live, work, and visit.