Some rather ordinary industrial buildings just north of downtown Minneapolis are about to get an attractive new neighbor.
Commercial corridor to get Danish makeover
Construction of the sleek new Coloplast complex begins next week near downtown Minneapolis.
By SUSAN FEYDER, Star Tribune
Construction begins next week on the North American headquarters for Coloplast, a Danish medical technology firm that arrived in Minneapolis in 2006 when it acquired Mentor Corporation's urology division. The deal included the $5.8 million purchase of Mentor's campus on West River Road.
Two outdated buildings already have been demolished to make way for a redeveloped campus that will consist of three buildings totaling about 180,000 square feet. But Coloplast and city officials say the project's significance goes beyond the buildings' scale.
For Coloplast, the development is an important step in establishing its presence in the United States and Canada, according to Jan Frederiksen, president of the Danish company's North American operations. The Minneapolis site will be one of three global innovation centers along with others in Denmark and France.
More than 300 people will work at the new headquarters when it's completed early next year, including about 140 positions transferred from other Coloplast and former Mentor operations. To make room for future expansion as a headquarters and research facility on the 5-acre site, Coloplast moved about 100 manufacturing employees to leased facilities in Vadnais Heights. It also decided to keep a skin care products division at its current location in North Mankato.
Coloplast, which develops and makes urology, continence care and wound care products, has had U.S. offices for more than 20 years but in several different locations. Most will be centralized in the new Minneapolis facilities, including operations transferred from Santa Barbara, Calif., and Marietta, Ga.
Revitalize the corridor
For Minneapolis, the project is a significant step in a long-term effort to revitalize the commercial corridor on the North Side. Not only are the new facilities a corporate headquarters, but one in medical technology, an industry with strong growth and well-paid jobs that make it one of the most sought-after employers by communities.
"There was definitely competition for this project," said Mike Christenson, director of Minneapolis' community and economic planning department. Frederiksen said that despite already owning the West River Road property, Coloplast looked at several other Twin Cities locations before deciding to redevelop the Minneapolis site.
Coloplast was persuaded in part by some financial incentives, including $2.9 million in tax increment financing. But Frederiksen said that wasn't the major factor in the company's decision.
"We have roots here on West River Road," said Frederiksen, referring to Mentor's 36-year history on the site. The central location, close to downtown and the medical community at the University of Minnesota, was a significant advantage, he said.
Surrounded by a scrap yard, a metal finishing business and a company that manufactures washers and fasteners, the new Coloplast complex -- a collection of sleek, glass-walled buildings -- might seem out of place.
But Frederiksen said his company sees plenty of long-term potential for the site. "It's a beautiful location," he said, looking out of his office window at the unobstructed view of the Mississippi River. "We think we can be the first of many businesses to eventually locate here."
The $40 million development includes a new five-story office building that will house sales, marketing and other administrative operations. Another new two-story structure will link the office building to an existing manufacturing building that will be extensively remodeled.
The two-story link building will house research and new product development, with facilities that will include a cadaver lab and training rooms for doctors. Beyond providing a physical link between structures, the building is designed to encourage collaboration among employees from all departments.
Danish influences
The buildings will have plenty of flexible space that can be reconfigured for meetings and special projects. That feature was a high priority for Coloplast and one that generally reflects Danish business practices, according to Mark Houge, a senior vice president at United Properties, which is overseeing the development. Another Danish influence will be the buildings' "equal access" design, with no separate executive levels or amenities.
Houge said Coloplast wanted the buildings to have much more natural light than what's typically found in U.S. properties, where businesses haven't been as geared as much as those in Europe to conserving energy. The new headquarters is being designed to meet Leadership in Energy and Environmental Design (LEED) standards, with some construction materials recycled from the demolished buildings and energy-saving features such as a white roof that reflects heat.
Susan Feyder • 612-673-1723
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SUSAN FEYDER, Star Tribune
Data from Zillow and the Minneapolis Area Realtors tell the story of last year’s housing market in the Twin Cities and beyond. Upper-bracket buyers spent freely in cities like Edina and Minnetonka Beach, while everyone else dealt with high mortgage rates and few listings.