Downtown Minneapolis shows signs of growth
In the heart of downtown Minneapolis, The Dayton’s Project preserves its history through design details while attracting new tenants through its state-of-the-art renovations.
On Tuesday, ownership group 601 W. Companies announced that Prudential Financial would be its newest tenant. The Fortune 500 company will join Ernst and Young, Unilever and Uncommon Retail in the 1.2 million square foot building.
“We’re as busy here as we’ve ever been,” said Jim Montez, vice president of Transwestern. He represented the ownership group in the transaction. “We do more showings in a week than we’ve ever done.”
He told 5 EYEWITNESS NEWS that Prudential is expected to move in early next year with a few hundred staff.
“For a company like Prudential that’s been in the suburbs that’s committed to coming downtown, that’s huge for the city, that’s huge for our project,” Montez said. “With this lease, I think we’re going to have 100,000 square feet, so about 10% leased and we have at least that much stuff we’re working on right now. I think when we sit down in a year, we may not be 100% complete, but we will be on the right track.
Earlier this month, Danish company MedTrace held a ribbon cutting at its new US headquarters at the IDS Center in downtown Minneapolis.
Sherman Associates also announced in September that it had acquired an entire city block at the southwest corner of South Washington Ave. and 3rd Ave. S. It plans to construct three buildings comprising apartments, retail and restaurant space, as well as the potential for offices. , according to the company.
“We continue to see this trend over the past several months, which I think is a very good sign as we emerge from the pandemic,” said Steve Cramer, CEO of the Minneapolis Downtown Council.
The latest data from Downtown Council shows that 55% of downtown office workers now go to the office at some point during the week, Cramer said. He expects that percentage to increase in post-Labor Day numbers.
“Overall, across all of the metrics that measure the performance of our downtown economy, we are seeing substantial progress this year,” Cramer said.
He welcomes the addition of Prudential to Nicollet Mall.
“It’s definitely great news for downtown,” Cramer said.
The pandemic has slowed the progress of the Dayton project, according to Montez. He told us that they have adapted their space and approach to attracting new tenants following the challenges of the past two years.
“There had been a pre-pandemic trend of more people per square foot,” Montez said. “Now that we’re coming out of it, we’re saying people need a little more space, they need a room to get away from it all.”
The renovated building now includes a library, gym, winter lounge and gathering space, as well as a rooftop terrace.
“It’s a place if you’re trying to get your people back to the office for sure,” he said. “But it’s also how to attract new talent, how to keep the talent you have.”