Downtown Minneapolis Office Market

Downtown - North Loop - Mill District - Elliot Park - Loring Park
QuietBlue
Target Field
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Re: Downtown Minneapolis Office Market

Postby QuietBlue » September 15th, 2020, 7:19 am

Doesn't hurt that there are plenty of Delta flights between MSP and ATL too.

SurlyLHT
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Re: Downtown Minneapolis Office Market

Postby SurlyLHT » September 15th, 2020, 11:39 am

If they had wanted to they could have built a new campus on their current site, but went the easier route of leasing space throughout the country. Are Downtown locations and leases more flexible and therefore advantageous than these Corporate Campuses when an employer wants to look for something new? You can lease some space and over time adjust your space requirements as your businesses changes. I know some employers also lease different spaces within a Downtown area for different departments. Especially taking IT and putting them in a tech oriented space when space gets tight.

twincitizen
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Re: Downtown Minneapolis Office Market

Postby twincitizen » September 15th, 2020, 12:04 pm

In addition to being where the CEO lives, it speaks to the strength/momentum of Downtown Minneapolis that they came here instead of Downtown St. Paul, which has plenty of available office space at lower lease rates. Deluxe started in St. Paul (presumably downtown...it was the early 20th Century), and Shoreview is very much an "east metro" burb (well, north metro geographically, but it's basically Greater Roseville which has much stronger historic ties to St. Paul than Minneapolis). If this HQ move was happening a decade ago or more, I'd put even money they would've ended up in St. Paul, probably with generous incentives (see St. Paul-Travelers, etc.). It doesn't sound like they even considered St. Paul, otherwise we probably would've heard something about it, since apparently there were some type of state incentives involved.

HKM
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Re: Downtown Minneapolis Office Market

Postby HKM » September 15th, 2020, 4:03 pm

Seems like Sandy Springs/Georgia probably gave them a pile of tax breaks to land that facility, for what it's worth.
This could be the case, but Deluxe views itself more as a fintech company, and that industry is certainly Atlanta-centric so they'd need a big presence there regardless.

MNdible
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Re: Downtown Minneapolis Office Market

Postby MNdible » September 15th, 2020, 4:06 pm

Pretty sure fintech is just a made up thing, right?

Silophant
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Re: Downtown Minneapolis Office Market

Postby Silophant » September 15th, 2020, 8:34 pm

I was more referring to what it meant, if anything, that their Atlanta office ended up in the suburbs instead of downtown. Though, for what it's worth, the Sandy Springs office is going to be a few floors of an existing tower close to a MARTA station. So even though it's in the burbs, it's a pretty big departure from Shoreview.

SurlyLHT
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Re: Downtown Minneapolis Office Market

Postby SurlyLHT » September 22nd, 2020, 3:18 pm

Looks like they're in North Loop right now. Be nice to keep them Downtown and see them grab more space.

Minneapolis-based health insurance company raises another $500M, bringing total to $1.5B
https://www.startribune.com/minneapolis ... 572492091/

contrast
Nicollet Mall
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Re: Downtown Minneapolis Office Market

Postby contrast » September 22nd, 2020, 9:41 pm

RE: Deluxe- I'm not convinced any of this is good for Minneapolis. A company headquartered here, selling its corporate campus, moving 550+ employees to a leased location; meanwhile in the same week announcing the addition of 700 employees in Atlanta metro where they already have 200 employees.

https://www.ajc.com/news/atlanta-news/d ... 45SLPNUEE/

Silophant
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Re: Downtown Minneapolis Office Market

Postby Silophant » September 22nd, 2020, 9:50 pm

Looks like they're in North Loop right now. Be nice to keep them Downtown and see them grab more space.

Minneapolis-based health insurance company raises another $500M, bringing total to $1.5B
https://www.startribune.com/minneapolis ... 572492091/
Every time they come up in the news, I'm surprised at how big/valuable of a company they are for how small their office seems to be. This is the building they're in, and there's several other office users in there, in addition to the retail on the first floor. I don't know if they've got remote workers all over the place, or if it just doesn't take many people to do what they do, or both.

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VacantLuxuries
US Bank Plaza
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Re: Downtown Minneapolis Office Market

Postby VacantLuxuries » September 23rd, 2020, 12:57 am

It's easy to take in big profits when you're in the middle man business.

HKM
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Re: Downtown Minneapolis Office Market

Postby HKM » September 23rd, 2020, 7:11 am

RE: Deluxe- I'm not convinced any of this is good for Minneapolis. A company headquartered here, selling its corporate campus, moving 550+ employees to a leased location; meanwhile in the same week announcing the addition of 700 employees in Atlanta metro where they already have 200 employees.

https://www.ajc.com/news/atlanta-news/d ... 45SLPNUEE/
I think the fact that they're keeping a decent number of employees in MN is a good thing. The fintech/payments industry (and it's associated software talent) is extremely concentrated in the Atlanta area. If it were say, Nashville I would have much different feelings about it.

alexschief
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Re: Downtown Minneapolis Office Market

Postby alexschief » September 23rd, 2020, 7:21 am

I tried at one point to understand what made Bright Health's model so special, and I'm not sure I fully understood it. They are an insurer, and they keep a really tight grip on their network, and try to more actively manage the health of their clients? Is that correct?

uptownbro
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Re: Downtown Minneapolis Office Market

Postby uptownbro » September 23rd, 2020, 7:48 am

From what I know they only have 500-600 employees total but they also tripled there revenue to over 1.2 billion in 12 months. They must be doing something right. Either way its nice to see a rapidly growing start up here. I would guess at some point they will need to either take up more floors or move to a larger space.

SurlyLHT
Foshay Tower
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Re: Downtown Minneapolis Office Market

Postby SurlyLHT » September 23rd, 2020, 10:10 am

We have several healthcare oriented organizations like this, including Zipnosis. If we can get a few here maybe we can attract larger employers like Optum and etc to buy space or additional space. We just need to recover from the unrest and COVID.

uptownbro
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Re: Downtown Minneapolis Office Market

Postby uptownbro » September 23rd, 2020, 11:06 am

Correct there are a handful of these companies all within a few blocks of each other. I wonder if north loop green is targeting these companies (or some of the local tech startups) with the office part of that development.

uptownbro
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Re: Downtown Minneapolis Office Market

Postby uptownbro » October 5th, 2020, 10:15 am

https://www.bizjournals.com/twincities/ ... s_headline

This is really bad news if it happens

SurlyLHT
Foshay Tower
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Re: Downtown Minneapolis Office Market

Postby SurlyLHT » October 5th, 2020, 11:01 am

https://www.bizjournals.com/twincities/ ... s_headline

This is really bad news if it happens
Contact your city officials then. We need a unified promise of safety and a plan, not vagueness and unproven solutions. People have $$$ invested in our city and the city is losing their trust.

grrdanko
Nicollet Mall
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Re: Downtown Minneapolis Office Market

Postby grrdanko » October 5th, 2020, 12:00 pm

https://www.bizjournals.com/twincities/ ... s_headline

This is really bad news if it happens
I hate to say it but US Bankcorp Center is going to not be an attractive address as long as their front door is a hangout.

There has been a ton of trouble on Nicollet between 8th and 9th this year. There is constant fighting, drug dealing, panhandling and general antisocial behavior in front of that building all day long. A murder suspect shot himself at their front door a few weeks ago as the police were trying to apprehend him. The people who say they feel unsafe downtown are talking about this location. The rest of the CBD has been pretty calm all summer.

I'm the first to say people's perception of crime does not match reality. I walk down Nicollet Mall on a daily basis. But, if I were a person in charge of office locations for a company I wouldn't choose this location right now. I wouldn't subject my staff to harassment at the front door every day.

uptownbro
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Re: Downtown Minneapolis Office Market

Postby uptownbro » October 5th, 2020, 12:13 pm

I agree that people's perception of crime does not match reality in the CBD. The last time I walked Nicollet mall it seemed there was a much larger law enforcement and deed presence in this area especially in front of the US bank center. The last time I looked they had the building gated from the public to stop it from being a hangout. I read that all as the city trying to show companies they are trying. The story points to this and it being warmly received by the buildings tenants so I am hopeful.

Mdcastle
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Re: Downtown Minneapolis Office Market

Postby Mdcastle » October 5th, 2020, 12:19 pm

Looks like they're in North Loop right now. Be nice to keep them Downtown and see them grab more space.

Minneapolis-based health insurance company raises another $500M, bringing total to $1.5B
https://www.startribune.com/minneapolis ... 572492091/
Every time they come up in the news, I'm surprised at how big/valuable of a company they are for how small their office seems to be. This is the building they're in, and there's several other office users in there, in addition to the retail on the first floor. I don't know if they've got remote workers all over the place, or if it just doesn't take many people to do what they do, or both.
Health insurance has moved to be essentially all paperless in the past 15 years. You need a skeleton crew in an office to open correspondence, keep the servers running, and shuffle legal papers, but you can process claims on a thin client in your home office. You can answer the phone in your home office.


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