Roundhouse Buys 346-Unit Tower in Minneapolis
This is one of the largest Twin Cities multifamily sales in two years.
Roundhouse has purchased 270 Hennepin, a 346-unit community in Minneapolis, from a partnership between Diamond Realty Investments and Harlem Irving Co. JLL Capital Markets worked for the seller and also arranged a seven-year Freddie Mac acquisition load for the buyer. The building was 95 percent leased at the time of sale, according to JLL. The brokerage calls the deal one of the market’s largest multifamily transactions in more than two years.
Prior to this latest sale, 270 Hennepin was subject to a 2025, three-year loan from TPG Capital, in the amount of $70 million, according to Yardi Matrix data.
Completed in 2021, the 21-story tower spanning 271,115 square feet includes floorplans from studio to three-bedroom formats. The average unit size is 784 square feet. The property has 20,075 square feet of ground-floor retail leased to Puttery, a mini-golf and entertainment concept.
Amenities at the pet-friendly property include an indoor pool on the 19th floor, a fitness center, yoga studio, private dog run, rooftop patios and terraces, as well as a four-level heated underground car park with EV charging.
JLL Managing Director Josh Talberg, Director Joseph Peris and Analyst Jack Graveline led the team working on behalf of the sellers.
A new rental tower close to everything Minneapolis
Located at 270 Hennepin Ave., at the convergence of Central Minneapolis, the North Loop area and the Warehouse District, the community is in a highly walkable location, across the street from the local Four Seasons hotel and one block from a Whole Foods. The RBC Gateway, the headquarters of the U.S. branch of RBC Wealth Management, is also in the immediate area, with the Minneapolis Skyway System also easily accessible.
The Twin Cities continue to show strong fundamentals, in line with peer markets in the Midwest. Year-over-year, Minneapolis-St. Paul asking rents were up 2.1 percent as of September, outperforming the national 0.7 percent national average, according to a recent report. This placed the market in seventh spot across the country’s top 30 metros.
