Onward Investors Acquires Ameriprise Financial Center to Transform Downtown Minneapolis

Onward Investors Acquires the Ameriprise Financial Center

On January 30, 2025, Onward Investors, a prominent alternative investment firm based in Minneapolis, announced a significant acquisition: the 31-story Ameriprise Financial Center situated in the heart of downtown Minneapolis. This vast building, spanning 960,000 square feet, has been the headquarters of Ameriprise Financial since its completion in 2000.

The Ameriprise Financial Center, located at 707 2nd Avenue South, is not just a towering structure; it boasts a strategic position within the Minneapolis skyway system. This prime location provides seamless access to key landmarks, such as the Minneapolis Club, Capella Tower, SPS Tower, and Baker Center. Additionally, it features a 4-story underground parking facility capable of accommodating over 300 vehicles, easily accessible from 3rd Avenue South.

With the acquisition, Onward Investors is actively considering various options for the property. The firm has expressed an interest in potentially converting all or parts of the building for uses beyond traditional office space. Jon Lanners, a Partner at Onward Investors, reflected on the purchase, stating, "The acquisition of the Ameriprise Financial Center underscores our commitment to actively participate in the revitalization of downtown Minneapolis. We believe that this is an opportune moment to invest in the future of the city, and we look forward to involving multiple stakeholders in the coming months as we reimagine this iconic asset in the Minneapolis skyline."

Onward Investors is not new to the real estate landscape. Established in 2011, the firm specializes in real estate-related investment opportunities, seeking to leverage market dislocations, particularly those arising from the aftermath of the Global Financial Crisis. The firm combines extensive expertise in asset classes with robust credit and equity investing capabilities, making it a significant player in the real estate market.

The acquisition of the Ameriprise Financial Center aligns with Onward's overarching strategy to contribute to the positive urban development of Minneapolis. As the downtown area continues to evolve post-pandemic, the firm aims to explore innovative redevelopment strategies that could integrate residential, retail, or mixed-use components into the building, thus drawing in more foot traffic and increasing overall activity within the downtown sector.

This move comes as various stakeholders within Minneapolis are eager to rejuvenate parts of the city that have seen a decline in occupancy and foot traffic. The ongoing transformation of workspace environments and the shift to hybrid work models have prompted property owners and investors alike to rethink how traditional office spaces should function in the future.

Onward Investors’ decision to acquire the Ameriprise Financial Center could serve as both a beacon of hope for economic recovery in downtown Minneapolis and a catalyst for other investment opportunities in the area. The firm’s vision for the property could inspire a broader shift in how urban environments are utilized, marrying office space with residential and communal areas.

In conclusion, the acquisition of the Ameriprise Financial Center by Onward Investors marks a pivotal moment for both the firm and the Minneapolis skyline. As plans unfold, the firm is poised to address the evolving needs of urban spaces while ensuring that the transformation of the Ameriprise center reflects not just architectural aesthetics, but also a dedication to community engagement and future resilience within the urban fabric of Minneapolis.