PCCP, LLC has provided a $43.1 million senior loan to Provident Real Estate Ventures, LLC for the renovation and repositioning of Mayo Clinic Square, a 217,354-square-foot mixed-use project in the heart of downtown Minneapolis, formerly known as Block E.
Located at 600 Hennepin Ave. near 1st Avenue North, the property was originally developed in 2001 as a mixed-use shopping and entertainment center. It is now undergoing aggressive renovation to the exterior façade, interior atrium and skyway-level entrance. Several new restaurant spaces are also being added.
Early this year, Mayo Clinic announced that it would open a sports medicine facility in partnership with the Minnesota Timberwolves and Lynx Ownership group. The facility will focus on sports medicine, enhanced athletic training, rehabilitation and physical therapy. The sports medicine facility is anticipated to open in the fourth quarter of 2014. Additionally, the Timberwolves have signed a long-term lease to use the property as its corporate office and state-of-the-art practice and training facility.
“This loan represents a compelling opportunity to fund the renovation of a well-located mixed-use project in the heart of downtown Minneapolis,” said Jim Galovan, managing director with PCCP, LLC.
Other tenants at the property include several national brand restaurants. The property also features a parking deck and billboard space.