August 24th, 2026

The first post-COVID office building bargain is paying off at downtown Minneapolis’ LaSalle Plaza

BY: KATIE GALIOTO

The Minnesota Star Tribune

August 24th, 2026

Parcelle Organics rendering

Minneapolis-based Hempel Real Estate beat leasing targets three years early.

When Josh Krsnak started looking at downtown Minneapolis’ LaSalle Plaza in 2022, the market for office buildings was bleak.

 

But the CEO of Minneapolis-based Hempel Real Estate knew he could get a bargain on the 30-story tower, which was about two-thirds full. If Krsnak could fill another 140,000 square feet of office space over the next six years, bumping occupancy to 83%, he believed he would meet his financial targets.

 

When the $46 million deal closed in the summer of 2023, the property at 800 LaSalle Av. became one of the Twin Cities’ first high-profile office buildings to change hands after the pandemic. Though Hempel got a massive discount, acquiring the property for half its estimated tax value at the time, success was far from guaranteed in a downtown grappling with remote work and public safety concerns.

 

Continue reading: startribune.com