Rebuilding O Street: How Lincoln’s Largest Downtown Infrastructure Project Will Shape the Future

For anyone who has driven through downtown Lincoln recently, it’s impossible to miss the work taking place along O Street. Orange cones, construction crews, temporary lane closures, and heavy equipment signal one of the most significant infrastructure investments the city has seen in decades.
On a recent episode of In the CRE Vault with Mike and Marc, we sat down with two key leaders behind the project: Elizabeth Elliott, Director of Transportation and Utilities for the City of Lincoln, and Tony Potthoff, President of Constructors Lincoln Inc., the contractor selected to perform the work.
Together, they provided an inside look at the massive O Street Rehabilitation Project and what it means for businesses, residents, and visitors throughout Lincoln.
A Once-in-a-Generation Investment
According to project leaders, it has been nearly 50 years since this section of O Street underwent a major restoration effort of this scale.
As Lincoln’s primary east-west corridor through downtown, O Street serves as much more than a city street. It is a critical transportation route, a federal highway, and the connection point between several of Lincoln’s most important districts, including Downtown, the Haymarket, Telegraph District, and the University of Nebraska-Lincoln.
“This really is the backbone of downtown Lincoln,” Elliott explained during the podcast.
The project is designed not only to repair aging infrastructure but also to create a more walkable, attractive, and connected downtown environment for future generations.
More Than Just a Road Project
While many people see the work as a street reconstruction project, the scope extends far beyond pavement.
- Major improvements include:
- Replacement of a 70-year-old water main
- Streetscape enhancements
- Utility upgrades
- Sidewalk improvements
- Improved pedestrian accessibility
- Preservation of historic roadway features
- Long-term infrastructure modernization
Replacing the aging water main is one of the most critical components of the project. City officials noted that the new infrastructure will provide more reliable water service for businesses and properties throughout the corridor for decades to come.
Although temporary water interruptions will occasionally be necessary, most shutoffs are expected to last only a few hours.
Minimizing Impacts to Businesses
One of the primary concerns voiced by downtown property owners and business operators is how construction may affect day-to-day operations. Both Elliott and Potthoff emphasized that communication has been a top priority from the beginning.
Project teams are actively coordinating with business owners to schedule water shutoffs, sidewalk closures, and other disruptions during non-peak operating hours whenever possible.
Construction is being completed in phases, and street closures are generally limited to periods when active work is taking place.
“We understand businesses need access and predictability,” Potthoff noted. “Our goal is to work alongside them throughout the process.”
A Collaborative Effort
Projects of this magnitude require extensive coordination among numerous organizations.
Because O Street is also part of a federal highway system, the City of Lincoln has partnered closely with the Nebraska Department of Transportation throughout planning and construction.
Additional collaboration includes:
- City of Lincoln Transportation and Utilities
- Urban Development Department
- Downtown Lincoln Association
- Constructors Lincoln Inc.
- Multiple engineering and consulting teams
- Approximately 10 to 12 specialized subcontractors
Many of the workers involved in the project are local contractors and tradespeople, creating a strong community connection throughout the construction process.
Keeping the Public Informed
Recognizing the impact construction can have on the community, project leaders have made public communication a central component of the effort.
The project team hosts weekly community meetings where residents, property owners, and business operators can ask questions, receive updates, and learn about upcoming construction activities.
As an added bonus, attendees can enjoy free coffee while staying informed.
The streamlined communication process helps ensure stakeholders know what work is coming, how long it may last, and what impacts to expect.
Looking Ahead
Current projections indicate construction will continue through September or October of 2027.
While the timeline is significant, project leaders expressed confidence in the schedule and emphasized that the long-term benefits will far outweigh the temporary inconveniences.
When completed, the revitalized O Street corridor will improve transportation, enhance walkability, support downtown businesses, and strengthen connections between Lincoln’s key districts.
For a city that continues to invest in its future, the O Street Rehabilitation Project represents far more than road construction—it’s an investment in the long-term vitality of downtown Lincoln.
To hear the full conversation with Elizabeth Elliott and Tony Potthoff, listen to this episode of In the CRE Vault with Mike and Marc.