UnitedHealth Buys Former ADC Campus for Optum HQ
Late last week, UnitedHealth Group, Inc., closed on its acquisition of the former headquarters of ADC Telecommunications, Inc.-a 450,000-square-foot complex in Eden Prairie that will serve as the new home base for its Optum health services businesses.
The complex is located at 13625 Technology Drive and sits on 89 acres. UnitedHealth spokesman Brian Kane declined to disclose the financial details of the transaction, but Hennepin County property records show that the assessed value is $44 million.
At least some of Optum's 4,500 Twin Cities-area employees will move to the complex, which has a 1,500-person capacity, in the coming months. Optum employees now work in various locations across the Twin Cities, Kane said.
Optum is one of UnitedHealth Group's two business platforms. It includes three health services businesses-OptumHealth, OptumInsight (which used to be Ingenix), and OptumRx (which used to be Prescription Solutions).
UnitedHealth Group in April announced plans to unify its three services businesses under the Optum brand name.
“Optum is a new company in many respects,” Kane told Twin Cities Business on Monday. “This'll be our first headquarters. We believe that the Eden Prairie campus provides an ideal, collaborative environment for three health-care leaders to come together to serve our clients with our full range of capabilities and innovations.”
Kane added that the campus is “well located” and close to other UnitedHealth Group locations. OptumHealth, for example, is based in Golden Valley.
The complex's former occupant, ADC Telecommunications, was bought by Tyco Electronics in December for $1.25 billion.
Kane said it hasn't yet been determined which Optum employees will move into the new space and precisely when. But Tyco's employees are now out of the building.
Optum's three businesses together employ more than 30,000 workers and serve more than 60 million people.
Minnetonka-based UnitedHealth Group is Minnesota's largest public company based on its revenue, which totaled $94.2 billion in 2010. With 11,500 employees in the state, it's also among Minnesota's 15-largest employers.