urbanMSP

Target still has/had 8 years on there lease there. They have leased about 70% of the office space in that building. Over all this is awful news for the city

Well 1m sq. feet of office space can now be filled by...something. Maybe we'll see more creative re-use of this space like we've seen before with more AirBnB/investor apartments. In the meantime I'd tap the breaks on the grand mass-transit plans because this won't be the only large downtown company doing something like this *hint* Wells Fargo *hint*

^Yeah, now that the hometown favorite has dropped the bomb, there’s plenty of cover for the others to do so.

Wells fargo owns there two new buildings so those will stay full.
But this is just the first big move. Thats a massive amount of office space to hit the market all at once. The short term impact on downtown will be pretty large.

Well 1m sq. feet of office space can now be filled by...something. Maybe we'll see more creative re-use of this space like we've seen before with more AirBnB/investor apartments. In the meantime I'd tap the breaks on the grand mass-transit plans because this won't be the only large downtown company doing something like this *hint* Wells Fargo *hint*

If you are referring the the blue line extension I doubt that would happen as it is basically a door to door service to connect the two Target campuses. They have been a pretty large lobbying support of the extension for that reason I would guess.

Wasn't there talk pre-pandemic of Target vacating (either partially or fully) its City Center space? Between their HQ and the Brooklyn Park location, they have a ton of space. Kinda feels like this was inevitable, pandemic or not.

Not that I know of they still have 8 years left on there lease

There's been talk of them vacating City Center since I worked in their City Center offices fifteen years ago, right around the time the Brooklyn Park campus was built. This has been a long, long time coming. The main thing preventing it was departments wanting to be downtown, since everything was focused around in-person collaboration and work for so long. But things are different now.

This will be a great opportunity to an a condo conversation. I'm not sure what floors Target occupies, but think about the views.

Convert the entire building to residential.

Long term this might not be so bad. I can see if/when the demand for in person office space increases Target may be looking at building another tower on the Let it Be site, thus owning all of their office space and having it all centralized around the current HQ. Now if they sell that site, I would start to get more concerned.

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This will be a great opportunity to an a condo conversation. I'm not sure what floors Target occupies, but think about the views.

Convert the entire building to residential.

Except for the deep floor plates, but yes I thought of this too and I would concider purchasing there!

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I do think this was coming eventually covid or not but its still a blow. I know in my office in the burbs we had tons of open desk space that was never used. I wonder then what they expect for there everyday in office workforce to be vs pre covid.

Looking for silver linings, at least this trend would allow the city to go very drastic with future street reconstruction projects downtown. If the office population isn't going to recover, then give the streets back to non-motorized users.

What I don't get is that most offices are being reconfigured to give more space to employees. Why would Target stop using 1 million square feet of office space, but still pay the lease on it?

Pure speculation, but could it be possible that they already found another tenant to sub-lease that space?

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How do we know for sure they will keep paying the lease? Maybe they can pay a fee to break it early.

I hope the owners consider reconfiguring the building. I'm guessing 1 million square feet of older office space downtown is gonna be hard to lease in the post-covid market. Keep/upgrade some office space, add condos/apartments (affordable), maybe add a coworking space.

How do we know for sure they will keep paying the lease? Maybe they can pay a fee to break it early.

Either way, they can afford it. Target owns most of their real estate, City Center was an anomaly. It was also disconnected by a couple of blocks from their other buildings.

How do we know for sure they will keep paying the lease? Maybe they can pay a fee to break it early.

Either way, they can afford it. Target owns most of their real estate, City Center was an anomaly. It was also disconnected by a couple of blocks from their other buildings.

This is exactly why I am not overly concerned about the long term impact of this. Like I said above, if Target starts selling off their assets, that is when we should really be concerned.

Does anyone know when they leased up the tower on the Target store block? Originally when that was built, I don't think Target had any space in that building, so we also might be seeing the final shift to get everyone on that end of Nicollet Mall.

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I believe they got much of it after Oracle bought Retek and moved them into their building, though it wasn't all at once (Ryan Companies used to have a floor it it too for their HQ).