Peavey Roundabout


This project is constructing a roundabout at the Peavey Road/Highway 41 intersection in 2023.

The roundabout will provide safer access to Peavey Road and the new Oak Ridge Commons site, which includes Costco. The roundabout will also allow for better traffic flow on Highway 41.


  • Utility work began in March 
  • A closure of Highway 41 for up to 3 months will start Monday, June 19, weather and schedule permitting 
  • Expected to be completed in Fall

Peavey Roundabout Schedule

Travel Impacts

June 19 thru late summer 2023

  • Highway 41 closed between Hazeltine Blvd and just north of Peavey Rd
    • Detour: Pioneer Trail, Audubon Rd, and Lyman Blvd
    • Click on detour map to view larger image
    • Peavey Road Highway 41 Detour Map
  • Pondview businesses along Highway 41 will have access from the north during construction

MnDOT Highway 41 Resurfacing: Pioneer Trail to Hwy 5

To learn more about Highway 41 pavement resurfacing between Pioneer Trail and Highway 5, visit the MnDOT project website

About Oak Ridge Commons

Oak Ridge Commons is a private development on the former site of the Oak Ridge Hotel and Conference Center. The site will have apartments and a Costco. The site will offer connections to the existing regional public trail and parks system and easy access to destinations in Chaska and surrounding communities.

Construction began in fall 2022. Once complete, the development will include:

  • A Costco that will include a liquor store and gas station with ample parking (779 spaces). The Costco is scheduled to open in spring 2024.
  • Springs at McKnight Lake: 280 market-rate apartments that are built in a townhome style. These will be spread across 14 buildings. The first units are anticipated to be available in late fall 2023.
  • Oak Ridge Hotel & Conference Center: currently for sale. There is not a buyer yet, but the developer is actively marketing the space.

Review the planning steps this project went through.

Oak Ridge Commons site map, Springs at McKnight Lake Apartments, Costco, Oak Ridge Hotel