MSP acquires Maple Grove site for medical office building
Eagan-based MSP Commercial has closed on the site of a future medical office building in Maple Grove, an emerging hub for health care-related development.
MSP Commercial paid $2 million for the 3.9-acre site framed by Niagara Lane, Maple Grove Parkway and 105th Avenue North, according to a certificate of real estate value made public Wednesday. The seller is Lynde & McLeod Inc. of Maple Grove.
Rising at the site will be the 42,000-square-foot North Grove Medical Building. Developed by MSP Commercial and designed by Pope Architects, the two-story building will offer space for “multiple occupants,” according to a project narrative.
The project is “fully entitled,” Maple Grove Planning Manager Peter Vickerman said Wednesday.
Steve Miller, vice president of acquisitions and asset management with MSP Commercial, said the construction timeline is subject to leasing activity. A marketing brochure from Colliers says available space ranges from 4,000 to 42,000 square feet.
The location is appealing in part because of its proximity to Maple Grove Hospital, Miller said. Another plus, he said, is the overall growth and activity in Maple Grove, especially in the health care sector.
North Grove Medical Building will be MSP Commercial’s second medical office location in the city. The first, which opened in 2018, is a 22,982-square-foot multitenant medical office ambulatory surgery center at 9645 Grove Circle N.
Interventional Spine and Pain Physicians and Minneapolis Clinic of Neurology are tenants in the existing building, which is just west of the hospital.
The projects are contributing to Maple Grove’s reputation as a go-to place for health-related businesses and development.
A Maple Grove economic development brochure boasts that the city is home to “several industry leaders and startups in the areas of medical device, bioscience, pharmaceuticals and support services,” and is a key contributor to “Medical Alley,” touted as the “world’s No. 1 health technology cluster for innovation.”
Projects of note include Minnesota Health Village. Developed by Ryan Cos., Minnesota Health Village is bringing housing, offices, and medical office space to a site adjacent to the Maple Grove Hospital campus.
Based on current pre-leasing activity, construction of a multitenant medical office building at Minnesota Health Village is expected to begin next year, according to Ryan Cos.
The hospital itself is also in growth mode.
A year ago, North Memorial Health CEO Kevin Croston unveiled plans for a $191 million expansion of Maple Grove Hospital. Croston told the Maple Grove City Council in September 2021 that the 144-bed hospital is top in the state for, among other things, deliveries of babies.
Croston said at the time that the hospital is busy overall. For example, when it opened 12 years ago, Maple Grove Hospital was set up for 25,000 visits a year and is now getting 45,000 to 50,000 visits per year, he said at the time.
Miller said, “It seems like the hospital is doing well, which adds to the vibrancy in the area. It’s a big magnet or draw for other health care users to be near the hospital.”