LPM Apartments - (376' - 36 Stories)

Downtown - North Loop - Mill District - Elliot Park - Loring Park
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Nick
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Re: LPM Apartments - (376' - 36 Stories)

Postby Nick » April 8th, 2015, 9:36 pm

I live on the 20th floor of a building a couple blocks to the south--you can see that the units are physically empty, I'm not just counting lights at night.

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Re: LPM Apartments - (376' - 36 Stories)

Postby seanrichardryan » April 8th, 2015, 9:44 pm

The few apartments that are actually occupied have a bunch of crap up against the windows; as most the residents discover that curved glass walls do not easily take Billy Bookcases from IKEA.
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Re: LPM Apartments - (376' - 36 Stories)

Postby Lancestar2 » April 8th, 2015, 9:52 pm

Thanks for those update! Keep us informed as to how it is progressing. Maybe if these reports start to sound more promising we will see more development happening in Loring Park again! ...either way I'd be willing to chip-in a buck twenty five for some brand name Jell-O for all yawl's hands on reporting. :D

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Re: LPM Apartments - (376' - 36 Stories)

Postby IllogicalJake » April 8th, 2015, 9:55 pm

Nick wrote:I live on the 20th floor of a building a couple blocks to the south--you can see that the units are physically empty, I'm not just counting lights at night.
Oh I totally believe that. Just saying that having that having the lights on for empty apartments/hotel rooms/offices/whatever isn't uncommon.

Even the Audubon Society has a recommended percentage of lights kept on.

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Re: LPM Apartments - (376' - 36 Stories)

Postby John » April 10th, 2015, 8:26 am

The high vacancy rate of LPM is partially due to the developer overestimating the demographics of wealthy people wanting to rent in this city. They also may be a little late in the game. It will be interesting to see how the high end 4Marq and Latitude45 projects perform when they open. If they struggle with high vacancies, the era the apartment boom is on its way out...

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Re: LPM Apartments - (376' - 36 Stories)

Postby twincitizen » April 10th, 2015, 8:45 am

John wrote:The high vacancy rate of LPM is partially due to the developer overestimating the demographics of wealthy people wanting to rent in this LOCATION
FTFY
John wrote:It will be interesting to see how the high end 4Marq and Latitude45 projects perform when they open. If they struggle with high vacancies, the era the apartment boom is on its way out...
And if 4Marq and Latitude do lease ok (likely not at the breakneck pace of 222 or Nic on 5th, but you know, normal*), I think we can refer back to this conversation a few pages ago about how LPM kinda whiffed on location: https://forum.streets.mn/viewtopic.php?f=13& ... 400#p79561

*I remember reading somewhere that the expected lease-up period for a new building was something like 12-18 months, but these are all very large (and expensive) buildings with 250-350 units, so I'd guess 18-24 months to be a reasonable time frame to reach full occupancy.

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Re: LPM Apartments - (376' - 36 Stories)

Postby John » April 10th, 2015, 11:26 am

twincitizen wrote:
John wrote:The high vacancy rate of LPM is partially due to the developer overestimating the demographics of wealthy people wanting to rent in this LOCATION
The location is great if you want a spectacular view of downtown etc from the upper floors. There's a better demand for that and those apartments have leased. But I agree with you about location with the lower levels. You can get an similar apartment in The North Loop or Uptown for somewhat less money.

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Re: LPM Apartments - (376' - 36 Stories)

Postby bapster2006 » April 10th, 2015, 2:40 pm


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Postby Didier » April 10th, 2015, 6:07 pm

In a way, the building still isn't complete until the retail tenants move in. The attached brewery and diner are pretty big amenities in an area without a lot.

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Re: LPM Apartments - (376' - 36 Stories)

Postby grant1simons2 » April 20th, 2015, 3:09 pm

It's confirmed! Eggy's is heading to Minneapolis for their second location. I feel honored actually. It will also include its own patio!

http://www.bizjournals.com/twincities/n ... econd.html

(includes pictures, being designed by a Chicago firm)

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Re: LPM Apartments - (376' - 36 Stories)

Postby Avian » April 21st, 2015, 8:34 am

Eggy's in Chicago is only open from 7:30 am - 3 pm. Pretty limited hours. I wonder if the LPM location will be open longer to compete with the Nicollet Diner down the block and around the corner. Similar menus too.

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Re: LPM Apartments - (376' - 36 Stories)

Postby Silophant » April 21st, 2015, 8:56 am

I think it would have to be open into the evening, right? I don't see a lunch-only restaurant surviving that far from the CBD. (I realize its only a few blocks, but there's various options that you'd have to walk past to get there.)

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Re: LPM Apartments - (376' - 36 Stories)

Postby twincitizen » April 21st, 2015, 10:59 am

Lots (most?) of breakfast-focused diners are only open until 2 or 3pm. Egg & I, Al's, Hot Plate, Colossal Cafe, Our Kitchen, etc. I would say this is actually the norm for breakfast-centric places.

HOWEVER, it does say this in that article Grant linked, which suggests they may stay open later:
Once open, Eggy’s will offer an all-day breakfast menu, sandwiches and burgers, as well as a coffee and pastry bar. The restaurant will serve a lineup of craft beers and specialty cocktails.
And don't feel too honored Grant - Eggy's is owned by Magellan themselves. We're not getting the 2nd location of some exclusive Chicago-only restaurant here. We're getting a breakfast joint that Magellan puts in their own buildings (when they can't find other tenants?)

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Re: LPM Apartments - (376' - 36 Stories)

Postby grant1simons2 » April 21st, 2015, 11:04 am

I guess that's the pessimistic view on this topic.

E: To be I clear I'm talking about the not being able to find other tenants part. In a growing neighborhood with new restaurants popping up you really think Magellan is doing this because they couldn't find anyone else? No. It's because they can make even more money themselves off of their own diner.

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Re: LPM Apartments - (376' - 36 Stories)

Postby twincitizen » April 21st, 2015, 11:13 am

I hear you, but are a lot of big residential developers in the business of running restaurants? (i.e. the most volatile business category) I'd venture that it is very uncommon.

Of course no one can know for sure what the actual reasoning is. And that brewery is leasing an awful lot of space for their needs - 12,000 sf(!!). Either LPM dropped their asking price significantly, or there's something else going on there.

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Re: LPM Apartments - (376' - 36 Stories)

Postby kirby96 » April 21st, 2015, 11:18 am

twincitizen wrote:And don't feel too honored Grant - Eggy's is owned by Magellan themselves. We're not getting the 2nd location of some exclusive Chicago-only restaurant here. We're getting a breakfast joint that Magellan puts in their own buildings (when they can't find other tenants?)
I'm with you on this one. Something about a breakfast place called 'Eggy's' owned by a developer and put into their own buildings in Chicago and again in Minneapolis just feels a bit too '19th Hole' at the country club or 'Fiesta!' taco bar at the corporate cafeteria to me...

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Re: LPM Apartments - (376' - 36 Stories)

Postby Wedgeguy » April 21st, 2015, 11:24 am

grant1simons2 wrote:I guess that's the pessimistic view on this topic.

E: To be I clear I'm talking about the not being able to find other tenants part. In a growing neighborhood with new restaurants popping up you really think Magellan is doing this because they couldn't find anyone else? No. It's because they can make even more money themselves off of their own diner.
I'll say they are doing a better job at getting retail opened up than Opus has and they have the prime location!! They have had 8 months, plus the time when they were working to land tenants before construction was complete. So in a years+ time they have not done a very strong job with marketing this space.

With the success of Loring Kitchen and the restaurants on Nicollet, I see Eggy as doing well once they get open and established. There is a dense population base in that area to support these businesses. I congratulate Magellan for doing what they had to do to get cash flow working in the retail area. The side effect, it may also make it easier to rent apartments when there is something open on the ground floor.

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Re: LPM Apartments - (376' - 36 Stories)

Postby Avian » April 21st, 2015, 2:16 pm

Wedgeguy wrote: I'll say they are doing a better job at getting retail opened up than Opus has and they have the prime location!! They have had 8 months, plus the time when they were working to land tenants before construction was complete. So in a years+ time they have not done a very strong job with marketing this space.

...
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Re: LPM Apartments - (376' - 36 Stories)

Postby Lancestar2 » April 24th, 2015, 11:38 pm

grant1simons2 wrote:I guess that's the pessimistic view on this topic.

E: To be I clear I'm talking about the not being able to find other tenants part. In a growing neighborhood with new restaurants popping up you really think Magellan is doing this because they couldn't find anyone else? No. It's because they can make even more money themselves off of their own diner.

riiiight... Building $118 Million dollar building to open a diner and sell $2.00 breakfast items at $5.99 is where the REAL money is at.... ;)

it's a shady ploy to encourage rentals, then when they sell the building and time comes to renew the lease I'm sure they will close up shop if it happens to be losing money, which it surely will be. A 150,000 business set up cost to increase the value 1% on LPM would mean well worth the investment, that's provided the day to day expenses are at least somewhat breaking even.

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Re: LPM Apartments - (376' - 36 Stories)

Postby xandrex » April 25th, 2015, 5:05 pm

Why assume they can't do well? Places that sell cheap breakfast can make boatloads of cash if they get the volume. No reason to believe they can't...plenty of restaurants in the area are hopping.


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