Stillwater, Minnesota, renowned for its historic charm and scenic beauty along the St. Croix River, is experiencing notable economic and community development. This article delves into the city’s current economic landscape, housing market trends, and initiatives aimed at fostering growth and sustainability.
Economic Development and Community Initiatives
In February 2026, Stillwater welcomed Jason Zimmerman as the new Community Development Director. Zimmerman is spearheading the Comprehensive Plan, a strategic framework set to guide the city’s development over the next two decades. This plan emphasizes sustainable growth, economic vitality, and community engagement.
The city has also established the Stillwater Economic Development Authority (EDA) to enhance economic development efforts. The EDA focuses on analyzing economic needs, facilitating site assembly, and exploring public financing options for development projects. This collaborative approach aims to strengthen the local business environment and attract new enterprises.
Housing Market Trends
Stillwater’s housing market reflects a dynamic environment. As of May 2026, the median listing price for homes was $495,000, with a median sold price of $450,000. The market has seen a 13.04% increase in median days on the market year-over-year, indicating a slightly slower pace in home sales. Despite this, the city remains a seller’s market, with homes selling at approximately the asking price on average.
Rental properties are also in demand, with a median rent of $2,550 per month. The city’s housing stock includes 132 homes for sale and 9 rental properties, suggesting a moderate supply to meet the needs of residents and newcomers.
Support for Local Businesses
Stillwater’s commitment to its business community is evident through various initiatives. The city collaborates with the Washington County Community Development Agency to assist local businesses with site selection and offers financial resources such as Tax Increment Financing and the Minnesota Investment Fund. These programs aim to support viable projects with unique economic development needs.
Community events also play a significant role in supporting local businesses. For instance, the World Snow Celebration, held annually in January, attracts over 50,000 visitors to downtown Stillwater. This event not only showcases international snow sculptures but also boosts the local economy by filling hotels and driving traffic to shops and restaurants.
Demographic Insights
With a projected population of 19,361 in 2026, Stillwater maintains a stable community size. The median household income stands at $105,853, and the median age is 42.5 years. The city’s educational attainment is notable, with 50.85% of adults holding a bachelor’s degree or higher, reflecting a well-educated workforce.
Looking Ahead
As Stillwater continues to evolve, the city’s leadership and community stakeholders remain dedicated to fostering a vibrant and sustainable economic environment. Through strategic planning, support for local businesses, and community engagement, Stillwater is poised to maintain its unique charm while embracing future growth opportunities.