With new restaurant, housing, Canistota positions for growth, joins Sioux Metro Growth Alliance

Aug. 19, 2025

This piece is sponsored by Sioux Metro Growth Alliance.

The community of Canistota has become part of Sioux Metro Growth Alliance.

The McCook County town is now the newest municipality to join the regional economic development association dedicated to advancing the interests of rural and suburban communities in the Sioux Falls metro area.

“We’re excited to become more connected to Canistota’s city and volunteer leadership as they take advantage of significant momentum and potential in their community,” said Tyler Tordsen, CEO of Sioux Metro Growth Alliance.

“We see opportunity to provide additional resources and best practices that will allow Canistota to effectively plan and manage growth.”

Canistota, a community of about 650 people, benefits from a combination of location, diverse industry and residential growth, said Matt Anderson, president of the Canistota Development Corporation and City Council president.

“In the last three years, there’s been more progress and change than I can remember,” he said. “It’s a great community in a great location — 4 miles from the interstate, 4 miles from Highway 42, which becomes 12th Street in Sioux Falls, and kind of right between Sioux Falls and Mitchell.”

It also draws from nearby Lake Vermillion State Recreation Area.

“That brings campers along with visitors to the steakhouse, and a lot of people who live there come to our school and do things in town,” Anderson said.

One of the newest additions actually goes back as far as the late 1800s: a bar and restaurant in the historic building at 208 W. Main St.

Owners Jeff Merrill and Ryan Ortman fully renovated the space into Barn & Barrel earlier this year.

“There’s been quite a bit of activity going on in Canistota, which is great,” said Merrill, who graduated from high school there before growing his real estate career in Sioux Falls.

“Real estate-wise, it can be hard to find a house here because when they come on the market, they usually jump off the market fairly quick.”

With Barn & Barrel, the owners hope to provide a space for the community to gather — as well as draw people from the broader metro area and even tourists off the interstate. So far, it’s working, they said.

“We gave it a huge face-lift, completely redid the building, and it’s been awesome,” Merrill said.

“It’s outdone my projections, and it’s not just the community. We’ve had great success with employees and with people coming from Madison and Sioux Falls and other small towns in the area, and we’ve even seen people from Texas and Pennsylvania.”

The menu’s most popular items so far have been homemade pizza, steak tips and a unique take on nachos with pulled pork and baked beans.

The restaurant is designed to be family-friendly, with a barn door separating the dining area from the bar.

“I think we’ve had at least six bands here already, and another is coming, so we’re trying to do a lot of live entertainment, and the community has really responded to that,” Merrill said.

Hours are 11 a.m. to 11 p.m. Sunday through Thursday and 11 a.m. to 2 a.m. Friday and Saturday.

The restaurant also is seeing guests from Canistota’s longtime Ortman Clinic, a family-owned chiropractic clinic that draws patients nationwide and even globally to town.

“That’s kind of what’s put us on the map,” Anderson said. “Because of it, we have multiple hotels in town and a new one being built.”

There’s more housing ahead.

The City Council recently approved a tax increment financing district to convert a former horse pasture in the middle of town into a dozen new home lots.

“There have been multiple new houses built in the last few years, so that’s been good to see,” Anderson said.

Community leaders hope to use their new relationship with Sioux Metro Growth Alliance in multiple ways, he said.

“We’re hoping to use their planning skills and resources to facilitate different avenues of growth as far as commercial, including defining our Main Street district, as well as use the networking they offer,” Anderson said.

“Being this close to Sioux Falls, it makes sense to take advantage of becoming part of what a group like this offers.”

Want to learn more about the benefits of Sioux Metro Growth Alliance? Start by visiting here, or email tylert@siouxmetro.com.

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With new restaurant, housing, Canistota positions for growth, joins Sioux Metro Growth Alliance

“In the last three years, there’s been more progress and change than I can remember.” Now, Canistota is taking another step to support its growth.

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