X

Thank you for sharing!

Your article was successfully shared with the contacts you provided.

MINNEAPOLIS-The IDS Center is about halfway toward fulfilling its goal of filling a 600,000-sf hole that is being created by the departure of its namesake tenant, American Express Financial Advisors (formerly, IDS) and Target Corp.

The first new tenant, Merchant & Gould, a large Minneapolis law firm, moved into 94,000-sf of space at the IDS Center this month, says Corey Whitbeck, a leasing agent for RREEF, which manages the property. Meanwhile, Decision Systems, which develops software for banks, finance companies and others, recently signed a lease for 113,000-sf at the 1 million-sf office building.

Several smaller deals are nearing completion as well, but Whitbeck says he couldn’t disclose the identities of the propective tenants until the deals were signed. Law firm Briggs & Morgan recently renewed its lease at the building, and plans to move to 70,000-sf of new space in the next year or so.

The leasing success comes despite several new major office projects under construction in downtown Minneapolis.

“It’s certainly a competitive market, but so far we’ve seen no significant declines in rental rates,and no panic as was predicted by some of the brokers representing tenants,” Whitbeck says.

What’s more, his firm hasn’t had to offer up naming rights to find big tenants. At one point, the building’s owners had thought of offering naming rights as an incentive for a major new tenant, but now they plan to stick with the name IDS Center. “We have no intentions of changing the name,” Whitbeck says.

American Express Financial Advisors is in the process of moving its headquarters to new 1 million-sf, $125-million American Express Financial Center on Second Avenue between 7th and 8th Streets, developed by Minneapolis-based Opus Corp. By the end of the year, the financial services company will have vacated 400,000-sf, with another 120,000-sf under lease at the IDS Center until August 2002.

Target Corp. will leave some 70,000-sf of space at IDS late next year when it moves to its new 1.2 million-sf headquarters tower being developed by Minneapolis-based Ryan Cos. on the northeast corner of 11th Street and Nicollet Mall in Downtown Minneapolis.

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM digital member, you’ll receive:

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 1 free article* every 30 days across the ALM subscription network
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?

 

GlobeSt

Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt
Live Chat

Copyright © 2021 ALM Media Properties, LLC. All Rights Reserved.