10 West End now 64% leased with the Radisson agreement
The brand new 10 West End office building is one of the more expensive places to rent office space on the metro. But although the building opened in January, it is already 64% leased.
In the latest agreement, Radisson Hotel Group Americas signed a long-term lease for 36,000 square feet of space. Radisson, currently based in Minnetonka, will move to 10 West End in St. Louis Park in January 2022.
Mike Honsa, manager of the Minneapolis office of Houston-based Transwestern Real Estate Services, represented the owner in the case. Honsa said interest in the building remains strong from other potential tenants.
The net rental rate at 10 West End is $ 28 per square foot, a premium price for office space.
“It achieves some of the highest net rents in the Twin Cities,” Honsa said.
As businesses around the world reassess and finalize post-pandemic return-to-work plans, office workers are busier again.
“What’s interesting is that small to mid-size users are really stepping out of the woods these days,” Honsa said. “This 5,000 to 12,000 foot user is very active in this market right now.”
The building’s website presents it as “The New Urban”. Located near the intersection of I-394 and Freeway 100, 10 West End is just 5 minutes west of downtown Minneapolis. One of the main selling points is that the building is brand new with high-end amenities, including a rooftop terrace.
Six other companies have already leased premises at 10 West End: Two Harbors Investment Corp., Aerotek, CarVal Investors, HDR, Blackburn Investment Management and Charlie & Co. Design Ltd.
10 West End is an 11-story, 343,000 square foot building. The property is the first speculative Class A office project to be built in the West / 394 submarket in over 20 years.
The project was developed by Ryan Companies US Inc., based in Minneapolis, and the Excelsior Group, based in St. Louis Park. The developers have rolled the dice on a speculative project – “specification” in commercial real estate parlance – given the relatively low vacancy rates for Class A office space in the Western Suburbs submarket.
Home design firm Charlie & Co. left North Loop in downtown Minneapolis earlier this year to lease space at 10 West End. Founding Director Charlie Simmons said Twin Cities Affairs that he was fed up with the security concerns and lack of political response in downtown Minneapolis.
After touring 10 West End, Simmons didn’t look back.
“It’s perfect: a beautiful, brand new building, very cool design, tons of amenities,” Simmons said. TCB of 10 West End. “We were sold after touring.”