270 Hennepin

Jones Lang LaSalle Americas, Inc. (“JLL”), as the exclusive advisor, is pleased to present the offering of 270 Hennepin (the “Property”), a newly constructed, 346-unit, 21-story ultra-luxury multi-housing community in the coveted North Loop of Minneapolis. The property is immediately adjacent to Four Seasons, Whole Foods, and RBC Gateway – a breathtaking mixed-use building home to the U.S. headquarters of RBC Wealth Management.

270 Hennepin is situated in the heart of the vibrant and walkable North Loop neighborhood. This area is known for its remarkable adaptive reuse projects that have transformed early 20th-century factories and warehouses into nationally acclaimed establishments. Ideally located at the meeting point between the North Loop and the Gateway District, residents of 270 Hennepin are just steps away from award-winning restaurants, fashionable boutiques, bustling taprooms, and professional sports, making it one of the most sought-after living experiences in the Upper Midwest.

The city itself has made a remarkable comeback, supported by its resilient fundamentals, a multitude of Fortune 500 companies, top-tier education and healthcare institutions, a steady climate with 10,000+ lakes, a balanced budget, and a thriving economy. Minneapolis has consistently ranked at the top of RentCafe's Rental Activity ranking since Q4 of 2023, achieving the #1 spot in the latest June report. It also boasts the highest year-over-year rent growth among major US cities. In addition, Downtown Minneapolis has experienced the strongest recovery in North America over the past year.

A masterpiece of architectural excellence, 270 Hennepin was crafted with utmost precision and attention to detail using components that are truly irreplaceable today. This 100% union-built concrete type-1 construction asset features a comprehensive amenity package, including an indoor spa pool, expansive fitness center, yoga studio, work-from-home lounge, private dog run, pet spa, rooftop patio, heated underground parking, a butterfly MX video entry system, and The Puttery - an immersive mini-golf restaurant and retail experience located on the ground-level.

These factors make the North Loop an appealing destination for affluent professionals. Over the past decade, thousands of high-earning residents have chosen to call this neighborhood home, despite limited land availability and housing supply. The average income in the area stands at $154,000, and the population has grown 114% over the past decade. Today, the North Loop has firmly established itself as Minnesota’s premier urban living experience, and this trend is only accelerating, fueling unprecedented demand in one of the tightest housing submarkets in the entire country.

The strong momentum is clearly evident at the asset level. Currently, 270 Hennepin showcases an impressive 97% occupancy rate, and recent lease signings have generated an average net effective increase of nearly 10%, but still approximately 50% below what the rents would need to be at in order to build this same asset new today. This emphasizes the high barriers to entry in this neighborhood and underscores the significant rent growth potential for a premier asset like 270 Hennepin moving forward.

The property is being offered without any existing debt and is attractively priced well below its replacement cost. JLL invites offers from qualified investors who are interested in this prime urban core investment, with the anticipated closing date set for Q4.