Rendering courtesy of Gensler
The former headquarters of the YMCA of the Greater Twin Cities in northeast Minneapolis has been sold and will be renovated to market to creative office users.
Minneapolis-based real estate brokerage Assembly announced this week that it helped facilitate the sale of the former YMCA offices on the corner of E. Hennepin Avenue and 22nd Avenue SE.
Hyde Development purchased the 30,000-square-foot building for close to $2.3 million last month.
"We have always been trying to get into northeast because it's the next up-and-coming neighborhood," said Paul Hyde, co-founder of Hyde Development.
While location is ideal, the building itself could use some work, Hyde said.
"It looks kind of like a bad 1990s office," he said.
Hyde plans to investment nearly $1 million to renovate the building and expose original features like timber columns and brick walls. The building will get a new lobby, restrooms, and facade. It's being marketed as the "Nordost Exchange." "Nordost" is Norwegian for "northeast." The interior design will have a minimalist, Scandinavian style.
"Northeast Minneapolis as a whole is an exciting market," said Matt Elder, associate director for the Minneapolis office of Newmark Knight Frank, who helped represent Hyde in the sale. "It is no longer just breweries, restaurants, and entertainment that the neighborhood offers, but now employers are looking to locate there in order to attract and retain the top talent in the workforce."
Elder also pointed to the office's free parking as another asset.
The YMCA had owned the building for 15 years before it moved to Gaviidae Common in downtown earlier this year. The $30 million project included a new fitness center in addition to offices for 400 YMCA employees.
The Nordost Exchange will be Hyde's third brick-and-timber, creative office. It also owns buildings in Uptown and the North Loop.
Scott Anderson and Merrie Sjogren of Assembly represented the YMCA in the sale and Elder and Steve Shepherd of Newmark Knight Frank represented Hyde Development.
