Starting, Relocating, or Expanding a Business in the North Metro?
Three experts in business, financing, and real estate offer their insight on the North Metro market.
Lori Higgins, METRONORTH CHAMBER | Mike Mulrooney, CMDC BUSINESS FINANCING | Marty Fisher, PREMIER COMMERCIAL PROPERTIES
It’s true that the Twin Cities North Metro has been argued as a business growth area on the verge of a boom as well as a slow rising, sleeping beauty compared to other Minnesota areas like the south metro. The area was hit hard during the economic downturn; however, every storm cloud has a silver lining. “For businesses looking to start, relocate, or expand their companies, the silver lining is this… Cities in the North Metro offer lower property taxes, more incentives to business owners, and lower lease rates from landlords for office, retail, and industrial space,” says Marty Fisher of Premier Commercial Properties.
Fisher says, “Along with giants like Target, Baxter International, Olympus Surgical, the North Metro has been known for its high concentration of industrial businesses, like precision manufacturers and other manufacturing companies. It is also home to small businesses like plumbers, electricians, and home builders.” Fisher notes, “The area offers many good buys for retail, office and manufacturing space as well as land for development although the inventory has been slowly and quietly shrinking.”
Lori Higgins, President of MetroNorth Chamber of Commerce says, “The North Metro has been a hidden jewel. Many people do not realize the impact of businesses in the area like the National Sports Center and new curling facility, which are economic engines that bring thousands of people from around the world during signature events, which add millions of dollars to our local economy.”
Highway 610 Last Leg Completion Will Greatly Impact Growth in the North Metro
After 25 years, city officials hail it as critical to business development in the area. When the extension of the last leg of Hwy 610 from CR 81 to I-94 is completed in late 2016, the North Metro’s “Crosstown” highway will run more than 18 miles from I-94 in the west to I-35W at Shoreview in the east. It will carry 50,000 vehicles a day.
The impact that this highway will have on business growth is unprecedented. We expect to see rapid development of industrial, retail, and residential businesses interested in locating and expanding in the North Metro. Construction is slated to start Fall 2014.
Star Cities Offering Incentives to Businesses
Fisher states, “Cities like Brooklyn Park, Blaine, and Coon Rapids have made it their focus to provide incentives to the "right" users and bringing good paying jobs to their cities. Brooklyn Park successfully worked with Target to expand their data center operations. They are also working with Ryan Companies to focus on medical related users over a 200-acre swath paralleling Highway 610.”
“The cities of Blaine and Coon Rapids partnered with MetroNorth Chamber of Commerce,” states Higgins, “when we launched quarterly Business Councils to engage businesses, city, and the Chamber in a platform that brings together the right people to talk about topics that affect business and economic growth in these cities.” Higgins continues, “The business councils strengthen businesses and the cities through mutual advocacy, education, and information.”
Financing Options for Businesses in the North Metro
The low interest rates coupled with low property taxes in the North Metro and the willingness of the Feds to loan SBA 504 money at 10 percent down makes it an ideal time to start, move, or expand in the North Metro before interest rates and property taxes rise, which will likely happen with the next year after Highway 610 is completed.
“Businesses that need financing to purchase buildings, land, and equipment can utilize the SBA 504 Loan/REAL Program,” says Mike Mulrooney, President of CMDC Business Financing in Andover, an SBA certified lender. “Business owners also have access to specialized financing tools through local communities and economic development organizations in addition to SBA and commercial loans from area banks and SBA lenders. Multiple business loan products are available that are tailored for growing Minnesota companies.”
So Is the North Metro a Bombshell or Sleeping Beauty?
Our answer, the North Metro Twin Cities area is waking up and it will start to see some major activity with the completion of Hwy 610. If you’re considering starting, relocating, or expanding your business in the North Metro now is the time to begin planning. Contact any one of our contributors for help or questions.
Contributors to North Metro Market Insight:
MetroNorth Chamber of Commerce | Lori Higgins, President
CMDC Business Financing | Mike Mulrooney, President
Premier Commercial Properties | Marty Fisher, Broker & Partner
The MetroNorth Chamber of Commerce is a member-based business organization representing over 650 businesses in the North Metro area. Dedicated to bringing people together to build relationships among businesses and communities that as a result, impacts economic development and encourage businesses to stay and grow.
The MetroNorth Chamber is a valuable resource for new and existing businesses to grow and prosper.
For more information about MetroNorth Chamber of Commerce, visit www.metronorthchamber.org
CMDC works with business owners considering start-up, relocation, or expansion. We outline all private and public financing options, in addition to SBA loans. We can connect businesses with bank lenders, federal programs like the US Small Business Administration, as well as state and local government financing and incentive programs.
As an SBA Premier Certified Lender (PCLP), CMDC is authorized to provide SBA 504 loans and other SBA and business financing programs throughout Minnesota.
To learn more about SBA and business loan financing with CMDC, visit www.cmdcbusinessloans.com.
Premier Commercial Properties in Ramsey, MN specializes in retail, office, warehouse, and industrial real estate in the Minneapolis North Metro area. Our team of real estate professionals brings a unique blend of expertise to your project whether you need to buy, sell, or lease a building or if you require other commercial brokerage services, investment real estate, asset management, consulting, or property management. Call us - we're here to help! 763.862.2005
To search for space available or to sell or lease properties with Premier Commercial Properties, visit premiercommercialproperties.com
Cities in the North Metro Minneapolis Area:
Spring Lake Park
Posted: April 2014