ROCHESTER, MINN. — Ruth’s Chris Steak House is opening at the Kahler Grand Hotel in Rochester. The location marks the second in Minnesota for Ruth’s Chris following one in downtown Minneapolis. The 7,800-square-foot restaurant will feature outdoor seating, a full bar and private dining area. Kraus-Anderson Construction has begun demolition of the Grand Grill in the hotel lobby to make way for Ruth’s Chris. Construction of the steakhouse is scheduled to begin late this summer and be completed in early 2024. Kahler Hospitality Group recently renovated the 600-room hotel. The four-year renovation project was one of the most extensive renovations ever completed at the hotel, which was originally constructed in 1921. Darci Fenske of Paramark Real Estate Services represented Kahler Hospitality Group in the lease with Ruth’s Chris.
MINNEAPOLIS — Lupe Development Partners and Wall Cos. are moving forward with the development of Snelling Yards, a campus of both senior living and affordable housing. The latest plans call for a 90-unit affordable housing community with mostly three- and four-bedroom units. The project is a joint venture with Ecumen, whose adjacent affordable seniors housing development, The Hillock, is now fully leased. Once the affordable housing building is completed, the two properties will be joined by a green common space and outdoor playground. Lupe and Wall received $900,000 in funding through Hennepin County’s Affordable Housing Incentive Fund. The project site is a former City of Minneapolis Public Works storage area. Construction is expected to begin next year.
ROCHESTER, MINN. — Kraus-Anderson has completed construction of Bryk on Broadway, a 180-unit affordable housing community in Rochester’s Destination Medical Center (DMC) district. Local developers, led by Dirk Erickson, own the property. Designed by ISG architects, the project features 7,500 square feet of commercial and retail space on the ground floor as well as 140 climate-controlled parking stalls. Of the 180 units, 54 are restricted to those who earn up to 50 percent of the area median income (AMI), 18 are restricted at 60 percent of AMI and 108 are reserved for 80 percent of AMI. The top floor features a speakeasy-inspired lounge with views of the city. Amenities include a fitness center, storage units, bike storage and landscaped areas. In 2021, the Rochester City Council approved $2.2 million in tax-increment financing to help with project costs. The developers also received $2.2 million in DMC infrastructure funds in the form of a forgivable loan.
EDEN PRAIRIE, MINN. — Three new restaurants are opening at Eden Prairie Center, a 1.4 million-square-foot shopping mall in the Twin Cities suburb of Eden Prairie. A dual concept Japanese cuisine restaurant, Gyu Mai Japanese BBQ and Ichiddo Ramen, will occupy 7,996 square feet. The space will be divided to operate the two separate concepts. At the Japanese barbecue restaurant, guests will cook meats and vegetables on personal grills installed on the tables. The other portion is a noodle restaurant that serves authentic ramen noodle soups as well as other Japanese specialties in a counter-service environment. Completion is slated for December. Where’s the Flour?, a gluten-free fast-food restaurant, is slated to open this summer in the food court. The tenant, which is relocating from Blaine, Minn., offers an extensive selection of gluten-free breaded and fried comfort foods. Café Viola is opening an Italian coffee kiosk this month. The café will offer barista-made specialties and nitro cold brew made exclusively from beans from Lavazza, a brand that has been roasting and grinding espresso beans in Italy for over 120 years. Café Viola will also serve pastries and ready-to-eat prepared foods. Opened in 1976, Eden Prairie Center is home to more than …
Hunter Hotel Advisors Brokers Sale of Four-Property Hotel Portfolio in Suburban Chicago, Minneapolis
CHICAGO AND MINNEAPOLIS — Hunter Hotel Advisors has brokered the sale of a four-property hotel portfolio totaling 467 rooms in suburban Chicago and Minneapolis for an undisclosed price. Marquee Hospitality and Endeavor Hotels Inc. purchased the portfolio from Summit Hotel Properties. Spencer Davidson of Hunter represented the seller. The portfolio includes the Hilton Garden Inn Eden Prairie, Holiday Inn Express & Suites Minneapolis Minnetonka, Hyatt Place Chicago Lombard Oak Brook and Hyatt Place Chicago Hoffman Estates.
MINNEAPOLIS — Ryan Cos. US Inc. has topped out construction of Fourth & Park, a 25-story apartment building located one block west of U.S. Bank Stadium in downtown Minneapolis. Ryan is developing Fourth & Park in partnership with Weidner Apartment Homes. The project will include 350 apartment units, 100 parking stalls, a sixth-floor green roof and a rooftop pool deck. The project is now less than a year away from being move-in ready. Fourth & Park is part of Downtown East, a five-block redevelopment project that started in 2014. Ryan partnered with the City of Minneapolis, Minnesota Sports Facilities Authority, the Star Tribune and Wells Fargo to redevelop the neighborhood. The $708 million project includes 1.2 million square feet of office space across two 17-story towers for Wells Fargo, a 200-unit mid-rise apartment complex, multi-tenant office building, 4.2-acre public green space, hotel, parking ramp and skyways.
BLOOMINGTON, MINN. — Midloch Investment Partners and Fountain Real Estate Capital have sold a 218,899-square-foot, last-mile industrial facility in the Minneapolis suburb of Bloomington for $15.4 million. Buligo Capital purchased the asset, which is located at 9231 Penn Ave. South. Midloch and Fountain acquired the property in January 2022 for $11.2 million, and invested in capital improvements to enhance leasing. Colin Ryan and Dave Berglund of JLL brokered the sale. Last-mile facilities are located close to urban areas and assist with the distribution of goods to consumers or retailers.
LE SUEUR, MINN. — Kraus-Anderson has broken ground on a new $40.4 million elementary school for Le Sueur-Henderson Public Schools. In August 2022, voters approved a $39.9 million referendum to fund the new school. The project will be built adjacent to the high school and will be located at 901 Ferry St. in Le Sueur, about 57 miles southwest of Minneapolis. Designed by ATS&R Planners, Architects and Engineers, the two-story, 113,090-square-foot school will serve grades K-5. Plans call for classrooms, labs, a music room, kid’s club, cafeteria, administrative offices, nurse’s area, 30,000-square-foot field house, three-court gymnasium and 6,000-square-foot storm shelter. There will also be secure entry, a parking lot, bus drop-off and two playgrounds. Completion is slated for August 2024.
BURNSVILLE, MINN. — Marcus & Millichap has arranged the $8.6 million sale of the Best Western Premier Nicollet Inn, a 131-room hotel in the Minneapolis suburb of Burnsville. Located at 14201 Nicollet Ave., the property features a full-service restaurant. With an occupancy rate of 42.3 percent and an average daily rate of $119.62, the hotel’s revenue per available room was $50.60 as of year-end 2022. Jake Erickson, Joseph Ferguson, Jared Plamann and Jon Ruzicka of Marcus & Millichap represented the seller, a limited liability company. The team also secured and represented the buyer, a fund manager.
MAPLE GROVE, MINN. — Davis has opened Maple Grove Specialty Center, a 44,000-square-foot medical office building in the Minneapolis suburb of Maple Grove. MNGI Digestive is the anchor tenant and occupies the 22,000-square-foot second floor. The property will also be home to Minnesota Oncology, which leased the entire first floor. In addition to serving as developer, Davis owns the building and provides property management and leasing services. The project team included Minneapolis-based Synergy Architecture Studio and Plymouth, Minn.-based Timco Construction Inc.