Alia Tower - 200 Central - 483' / 40 Stories

[trigonalmayhem]

That site is next to two full surface blocks of parking, so it's not as if we couldn't have that housing marginally down the road. I'd prefer those go than old buildings that add character to the area. And hey, I acknowledged that my opinion was unpopular, so I'm fine being in the minority on this one.

Ownership is everything and those lots are owned by general mills and used for employee parking. Until the r&d facility there is shut down and moved they're pretty unlikely to give those up.

[mattaudio]

Maybe they can keep the R&D facility, but get out of the parking business. My neighbor across the alley worked there until recently, and she drives. Because they provide free parking.

[Wedgeguy]

IF GM wants to make quarterly projections, they may soon have to sell to get the return rates they need for the executive bonuses. GM's sales have been a bit flat or decreasing the last few years. Read an article about GM reformulating a bunch of their food to get rid of trans fats, artificial colors, and flavoring that they feel are the cause of some of their sales decline as more young people are wanting to eat healthier. They are skipping GM's core product lines that make them most of their profits so they can eat healthier.

[TroyGBiv]

My understanding from Gen Mills employees is that R and D facility was there historically because of the mills a block away. They have been consolidating staff on the Golden Valley Campus and this may be a more logical liquidation for their bottom line. If those blocks are valuable enough they may decide to make changes.

[min-chi-cbus]

IF GM wants to make quarterly projections, they may soon have to sell to get the return rates they need for the executive bonuses. GM's sales have been a bit flat or decreasing the last few years. Read an article about GM reformulating a bunch of their food to get rid of trans fats, artificial colors, and flavoring that they feel are the cause of some of their sales decline as more young people are wanting to eat healthier. They are skipping GM's core product lines that make them most of their profits so they can eat healthier.

Maybe this was meant to be skin deep but I don't think GM is going to raise any significant amounts of money to move the needle (so to speak) by selling a lot or two. This is a double-digit multi-billion-dollar company we're talking about. It'd take at least $100M to make any significant impact on earnings......I'd think. But I like your positive thinking! And hey, you never know.

[trigonalmayhem]

My understanding from Gen Mills employees is that R and D facility was there historically because of the mills a block away. They have been consolidating staff on the Golden Valley Campus and this may be a more logical liquidation for their bottom line. If those blocks are valuable enough they may decide to make changes.

I may have worked there many years ago and there were whispers about it even then, but the fact is there's already a ton of sunk costs in that facility and it will take a pretty big expansion of the gv facility to handle all the stuff that goes on there. Considering how they've been doing lately I can't imagine they're too keen on that kind of capital expenditure right now, especially for r&d which has always taken a back seat to marketing there.

Also it's there because it was the old Pillsbury r&d facility that went with when Pillsbury was sold to general mills a while back.

[grant1simons2]

http://finance-commerce.com/2015/09/ala ... ial-tower/

Eyeing a 2016 construction start. Frey said in the most recent Niebna meeting that the first renderings were more so massing images than the actual proposed design, but we could see something very similar. And yes Humphreys and Partners are the architects.

[mattaudio]

I may have worked there many years ago and there were whispers about it even then, but the fact is there's already a ton of sunk costs in that facility and it will take a pretty big expansion of the gv facility to handle all the stuff that goes on there..

Maybe they could start by selling off part of their block-o-surface-parking?

[mnmike]

There have been more recent renderings than the original massing models the biz journal keeps showing...I wonder why they keep going back to the original massing models? Remember, we saw the renderings with the tower called "skyline" I think it was?

Yes, here it is...rendering at 35 floors.

https://imgur.com/80EWPE6

[twincitizen]

We should have started a betting pool a year ago if this was going to wind up condos or apartments. I'll take a peek at the full F&C article over lunch and see if they finally reveal that decision (which was supposed to be publicly announced like last December)

[grant1simons2]

It'll be condos, that was pretty much confirmed by Jacob Frey at the Niebna meeting also

[twincitizen]

You're awfully confident. The unit numbers thrown around in the F&C article didn't exactly inspire confidence that it'll be condos. (one figure said >300 units)
I would agree that it sounds like Alatus really wants to built some condos. But as we've learned through recent MinnPost articles, it is really, really difficult to pull off. Kudos to Alatus if they can make it happen. I'm pulling for them.

My skepticism all along is that they could have been taking reservations for months if they had simply announced that it was condos. Why the 9 month delay in simply announcing it? We've heard in the past that condo buildings often don't break ground until they have a certain percentage pre-sold. And here they're talking about breaking ground in the spring...

Either way, the most positive note in the article was that it would be 35 stories or maybe more, and not any less. They sounded quite confident on that point.

[grant1simons2]

Well I did hear directly from Frey that they'd be condos, so I guess there could be a change of mind, but currently that's where they stand.

[Silophant]

I don't disbelieve that Frey said that, but remember the reveal meeting for the Nicollet Gateway? What Frey is thinking and what the developer is thinking aren't necessarily congruent.

[Wedgeguy]

I don't know how you sell units when no one know that you are planning to build them. Unless the brokers and agents know and have access to floor plans and such, how can you presell? How can you gage the market? Makes no sense to say you might and then turn around an leave those wanting condos high and dry.

[grant1simons2]

Notes from tonight's Marcy-Holmes Land Use meeting :

They are currently working with 40 stories and really like the slim look that it brings with it. 3 story base with 10.5k sq ft of retail space. 3 stories below and 2 above for parking. Gave my opinion to Bob Lux and the architects (who is currently ESG, but Humphrey's might come in too) that future re-use of top 2 stories of parking as office would be great to see, they are going to be using flat ramp style. The amount of parking is really to draw people in from the suburbs. Has a very pre-church argument Nyes redevelopment look to it, with angled walls and varying corners. Zipper type balconies moving up. The base is ugly right now, at least in my opinion, and I really hope they can improve that. Currently a blank wall as you're coming in on Central, that's probably there for a future sign. Also the pent house unit seems very out of place, it's just a big box in the corner. Obligation with the city for $500k for art. Restaurant is very interested in taking lease, that includes owner of Eastside. Soulcycle is also interested in a space here. Still planning on meeting with the CoW sometime in November. Mr. Lux said the current plan is for condos, adding, "but you never know, things like that could change".

Side note: Existing ramp is an interest for a future potential project

Double side note: Owner of CPM (no, they are not going to manage the tower) and Bob Lux both confirmed that the General Mills lot is going up for sale soon.

[Munch'n]

Underground parking... good. 40 stories... great. Condos.... amazing. 10.5k retail?... home run.

Everything sounds good except the design, the most important piece...

[min-chi-cbus]

Thanks Grant for the inside scoop!

[bapster2006]

Great info Grant. Thanks a lot! I'll be looking forward to seeing the latest design.

[TroyGBiv]

I had heard this from Gen Mills people before - I am really glad that this is coming up. Those dead parking lots are killing St. Anthony Main... Hopefully it becomes a larger coordinated development. They are some of the last few lots in that area that could have taller buildings. This could really help rescue St. Anthony Main...

"Double side note: Owner of CPM (no, they are not going to manage the tower) and Bob Lux both confirmed that the General Mills lot is going up for sale soon."