Olathe is making strides on a project to overhaul the Santa Fe interchange over Interstate 35, most recently approving a new batch of land to acquire.
The Olathe City Council last week unanimously approved an ordinance that authorizes the city to use eminent domain to acquire property across 16 more tracts of land.
The city also confirmed that demolition will soon begin on several tracts of land the city already acquired. As of October, Olathe is working to hire a contractor to demolish the empty buildings acquired by eminent domain.
While demolition finishes up in early 2026, the city will begin utility relocations which will last through the first half of 2027. Construction for the interchange and corridor improvements will tentatively begin at the end of that year.
About the project
The I-35 and Santa Fe Corridor Improvements project is the largest of its kind to ever happen in Olathe, according to city officials. The city first began looking into possible updates to the area in 2019.
The redesigned interchange will become a single-point urban interchange, or SPUI — the same design used at I-35 and 87th Street in Lenexa. These types of interchanges allow left-turning traffic to move simultaneously through one central signal, offering more room for large vehicles and smoother movement through the intersection.
The goal is a safer interchange with less traffic congestion.
“We know our residents want and need a faster, safer route through the heart of our city,” Mayor John Bacon previously said of the project.
Other plans for the I-35/Santa Fe project include:
- Adding auxiliary lanes on I-35 between 119th Street and Santa Fe
- Repaving of I-35 through that same stretch
- Widespread upgrades to the Santa Fe corridor between Ridgeview Road and Mur-Len Road, like rerouting Rogers Road to cross under Santa Fe
- Expansion of the Old Highway 56 bridge flyover to two lanes in order to lessen congestion onto Mahaffie Street
The project’s estimated cost is almost $200 million. The Kansas Department of Transportation is funding about 80% of the project. Olathe is using bonds to fund the remaining $40 million.
What is eminent domain?
Eminent domain is the legal process that allows government entities to acquire private property for public projects, as long as the owners receive fair compensation.
City Attorney Ron Shaver laid out the process at a city council meeting in April. According to Shaver, the city notifies property owners through the mail that their land will be used for a public project. It then attempts to negotiate a sale with the owners and makes a formal offer. In most cases, Olathe also offers payments to help the businesses or homeowners relocate. This process, called condemnation, goes through the court system.
The newest batch of tracts are all partial takings, meaning Olathe will only take narrow strips of land or easements near buildings rather than full parcels. Some of the easements will be temporary for construction access, while others will be permanent for utilities or drainage.
Prior use of eminent domain
Since Olathe began acquiring land for the I-35/Santa Fe project in 2024, several longtime businesses have closed or relocated.
In February of this year, The Double Nickel Bar & Grill, which was located just southeast of I-35 and Santa Fe Street, shut its doors after 30 years. The owner said she had hoped to relocate the business to elsewhere in Olathe, but wasn’t able to find an affordable option.
“We don’t have an option, we gotta go,” owner Mary Armstrong told the Post at the time. “There’s nothing affordable right now.”
In March, Toni’s Italian Restaurant closed its Olathe location, the owners citing the interchange project as “entirely” the reason for their decision. The restaurant still has a location in Shawnee, which opened in December 2024.
Other businesses have opted to relocate. Bikes for the Likes of Us moved to downtown Olathe in December 2024 after 10 years on Santa Fe Street. Owner Darby Pool said the coming corridor upgrades — combined with downtown’s revitalization — influenced the move.
The city also acquired the land owned by Erv’s Vacuums. The vacuum repair shop moved a mile and a half west of its original location, staying on Santa Fe Street.
In total, the project requires 89 tracts of land, including 14 full property acquisitions that have already been completed. Negotiations for those and 30 partial tracts are finished. After the 16 tracts approved in the most recent ordinance, the city still needs to acquire 29 additional tracts.
Permanent easements are for things like utilities, drainage, sewer and waterline easements. Temporary easements are used only for the construction process for grading or space for equipment storage.
