3 Firms Bid on Vikes Stadium Parking; Stakes High for Ryan
Locally based developers Ryan Companies US, Inc., Basant Kharbanda, and Vedi Associates, Inc., on Monday submitted proposals to develop facilities for 2,500 parking spaces next to the new Vikings stadium in downtown Minneapolis.
The firms submitted proposals to the Minnesota Sports Facilities Authority (MFSA), the state-appointed leader of the project, for facilities at a site that includes part of the Metrodome as well as additional adjacent land. The proposals were due Monday.
The MSFA, which had issued a request for such proposals, specified that a parking ramp with at least 2,000 parking spaces must be located within one block of the stadium and must provide skyway or tunnel access. Additionally, at least 500 spaces must be within two blocks of the stadium and be accessible via a dedicated walkway on Vikings game days.
While financial terms of the project were not disclosed, the developer that’s chosen will be required to provide performance and payment bonds for the construction of the parking facilities and must be financially capable of covering any proposed operational obligations.
The addition of Kharbanda’s and Vedi’s proposals have increased the stakes for Ryan. Last week, Rick Collins, vice president of development for Ryan, along with Minneapolis Mayor R.T. Rybak, announced plans for a $400 million redevelopment of a five-block area in Minneapolis’ Downtown East neighborhood, near where the new Vikings stadium will be built. The proposed site currently comprises surface parking lots and the Star Tribune headquarters. Ryan’s development proposal includes two, 20-story, 1.16 million square foot office towers, a 1,328-stall, skyway-connected parking structure, 40,000 square feet of retail space, and 300 apartments.
In order to secure the site and begin development, Ryan must win the parking facilities contract from the MSFA, in addition to receiving Minneapolis City Council approval and finding a corporate tenant to sign on to occupy the office space.
The MSFA plans to review the parking facilities proposals this week. While a precise construction start date has not yet been determined, construction is expected to begin in the fourth quarter of this year. MSFA has determined that a “substantial” portion of the project must be completed by July 1, 2016, in advance of the 2016 NFL season.
Minneapolis-based Ryan Companies, a commercial real estate development firm, is among Minnesota’s 25 largest private companies based on revenue. It reported $775 million in revenue for the fiscal year that ended March 31, 2013. The firm is also among the 10 largest commercial developers in Minnesota based on square feet developed within the state within the past five years. Ryan operates out of 10 offices in Minnesota, Iowa, Wisconsin, Illinois, Florida, Texas, Arizona, and California.
Basant Kharbanda is a real estate developer and the president of family-owned, Minneapolis-based Timeshare Systems, Inc. Kharbanda owns several downtown properties, including The 1010 Building located at 1010 7th St. in Minneapolis.
Minneapolis-based architecture, engineering, and parking restoration firm Vedi Associates, Inc., has developed several parking facilities, including two ramps in Minneapolis.