Target pays $110M to exit its downtown Minneapolis tower lease

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Target pays to break a major lease

Target paid nearly $110 million to end a downtown Minneapolis office lease early. The space sits in the City Center tower, a longtime Target address. The tower is now being prepared for sale.

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A lease deal built for a different world

City Center opened in 1983, and Target was one of its original tenants. Target renewed its lease again in 2015, back when downtown office demand looked steady. Then the pandemic changed how companies use space.

Target’s 2021 downsizing became an early local signal of that shift. The company kept paying rent while many desks stayed empty. The buyout makes the break official instead of temporary.

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Nearly a million square feet went dark

Target’s City Center footprint was close to one million square feet. After the move out, much of that space sat empty and quiet. The company even tried to sublease it to other tenants.

Only one major subtenant landed, the law firm Fox Rothschild. It took roughly 40,000 square feet in 2022, leaving most of the space still open. That gap shows how rare a tenant of Target’s size is.

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Meet the tower in the middle of downtown

City Center’s main tower rises 51 stories at 33 South 6th Street. It holds about 1.6 million square feet of office space, plus a retail mall and parking. The building is attached to a Marriott hotel under separate ownership…

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