Minneapolis continues to attract more apartment construction

Construction will officially begin next week on Third North, a new 266,000-square-foot apartment complex at 800 N. 3rd St. in downtown Minneapolis.

The developer is Schafer Richardson Inc., the general contractor is Kraus-Anderson, and UrbanWorks Architecture designed the $39 million, six-story complex that has 204 apartments and two levels of underground parking. The project is expected to wrap up by December 2013.

The complex will include a weight and fitness equipment room, a fitness studio, a conference and computer center, a bike shop, a dog run, pet grooming room and a community lounge opening to a courtyard.

Some units will feature granite countertops, fireplaces and private balconies. The outside courtyard will feature a pool, spa, fire pit, lawn game area, built-in grilling stations and LED lighting.

In Minneapolis, the rental market remains tight -- the average vacancy rate was 1.8 percent. In fact, Minneapolis continues to add more housing units than any other community in the Twin Cities metro area.

That's why 937 apartment units are under construction in downtown Minneapolis alone. An additional 2,300 units have been approved and another 790 proposed.