Construction starts on South Omaha plaza project buoyed by $25M state grant

OMAHA — Construction work is to start this week to transform a familiar parking lot along South Omaha’s historic business district into a multimillion-dollar “La Plaza de la Raza” park and tourism generator.

The action comes as the City of Omaha solidifies plans for what is believed to be the first city-owned public parking garage in the area. Alternative parking was needed to replace spots lost when new amenities rise on the plaza site, on the west side of the South 24th Street corridor at N Street.

“This represents one of the most significant public investments South Omaha has seen in decades, and it reflects the voices, culture and future of this community,” said Cesar Garcia, executive director of Canopy South, which focuses on neighborhood improvement.

Canopy South, a lead nonprofit partner on the $25 million redevelopment venture, announced that construction work began Monday on the future plaza envisioned as a new heart of South Omaha activity. Fences and construction barricades were up around the site when a reporter visited.

Featured elements planned — including an amphitheater, stage, playground areas, open lawn shaded family gathering and signature art — are expected to dramatically change the plaza that for decades has been largely a concrete slab, providing parking for area businesses and drawing day laborers.

It came alive as a town square and community gathering spot for certain occasions such as the annual Cinco de Mayo celebration. 

Post-pandemic momentum

Redevelopment of the space, while discussed since the early 2000s, gained momentum when federal American Rescue Plan Act funds became available to counter negative effects of the COVID-19 pandemic.

In January 2024, state officials awarded the plaza makeover and related corridor improvements $25 million, one of the largest chunks of the $235 million North and South Omaha Recovery Grant program overseen by the Nebraska Department of Economic Development.

Earlier, Douglas County and the City of Omaha each committed $500,000 to the plaza project.

Shortly before the May 2025 mayoral election, then-Mayor Jean Stothert and other elected officials joined business leaders and community groups at the plaza for a dedication event and progress report of the plaza project. At the time representatives said construction was expected to begin that fall. It did not.

Part of the delay was securing a parking replacement plan, South Omaha representatives said.

Marco Floreani, an economic development aide to Mayor John Ewing Jr., said the city has acquired a surface parking lot at 23rd and N Streets where a multi-level parking garage with up to 300 stalls is poised to rise, more than the spaces currently at the plaza site. Retail and commercial space is to wrap around the street level of the new facility to help boost pedestrian activity.

Construction is to begin this winter on the parking garage, in a lot the city purchased from a private property owner next to Our Lady of Guadalupe Church. 

Floreani said there will be windows of free parking available, likely two hour spans. 

The total cost of the parking garage is still uncertain, he said. The North-South grant is expected to provide about $12 million of infrastructure cost, Floreani said. The city is looking at various bond mechanisms to finance construction, and he said that daily and monthly parking fees should cover those debt payments.

In addition to making up for stalls lost in the 24th and N Streets plaza conversion, the new garage could help alleviate congestion on the 24th Street business corridor, Floreani said. 

‘On the map’

According to a Canopy South media statement, it has been working the past year with RDG Planning and Design, the City of Omaha and other partners to refine the design and advance preconstruction efforts with Kiewit.

Marcos Mora of the Latino Economic Development Council, one of the partners on the plaza project, called it a “long journey.” When completed — the latest projection for the plaza opening is fall 2027 — he expects the South Omaha commercial district to be more prominent “on the map” for tourism, shoppers and diners.

“Projects like this strengthen the foundation of our city,” said Ewing. “By investing in thoughtful design and community-driven spaces, we’re supporting local businesses, creating opportunity and building a place for families.”

“South 24th Street has always been a place where business and community intersect, and this investment strengthens both,” said Yesenia Peck, president of the Nebraska Hispanic Chamber of Commerce.

Garcia said shopper and business parking spaces lost as plaza construction moves forward will be replaced by a temporary lot while garage construction is underway. That temporary arrangement is to be made public soon.

He expects the future plaza to encourage people to live, work and invest in the area.

“This is another public space at the heart of our community that will bring families together and create opportunity for neighbors to connect,” Garcia said. “It will foster a safe and more vibrant community.”