United Properties who is developing the new Gateway Tower in downtown Minneapolis is working to replace both the residential partner and hotel partner for the 30-40 story building. The $161 million development proposal is located on a key downtown site.
The tower which is planned to be built on the Nicollet Hotel Block, located between Hennepin Avenue and Nicollet Mall north o the Minneapolis Central Library. The project’s original housing partner was Bloomington based StuartCo., who decided that they were uncomfortable building out 300 market-rate apartments in today’s cooling downtown market.
“Right now we’re not looking to do any more market-rate rental housing in the Twin Cities area,” said Nolan, whose firm owns and manages more than 5,000 units in the Twin Cities. “There are others that think we can absorb more. We’re not in that group at all … I hope I’m wrong.”
United Properties is in discussions with an unidentified condo developer that would put about 125 condos in the tower, Katter said.