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1222 posts categorized "Construction news"

April 14, 2015

New barbecue place is cooking in southwest Rochester

The smoke signals say that a new flavor is on the way for southwest Rochester.

Dickey's Barbecue Pit is slated to fill the remaining 2,000-square-feet of the new Aspen Dental building at 1300 Salem Road SW in front of the TJ Maxx Plaza, says franchise oDickeysaspenwner Josh Laber.

Dickey's is a quick casual chain known for its smoked meats and Texas-style barbecue. The Dallas, Texas-based restaurant firm has about 470 restaurants in U.S. with eight in Minnesota.

"We're hoping to be able to open the doors by mid-summer," said Laber.

He'll be ready to launch "his second career" as soon as he wraps up his current one with the Rochester Police Dept. Laber has served as a Rochester police officer for the past nine years. He's slated to work his last shift as an officer this week.

While Rochester does already have several barbecue choices with Roscoe's, John Hardy's and Famous Dave's, the Labers believe Dickey's brings something new to the mix.

"My wife and I (Natashya) have been looking for something for the past few years. We always thought something was missing," he said. "Dickey's serves up good slow cooked meat at a fast pace that's good for the lunch crowd and for dinner."

Now the Labers and their five children cooking up a new restaurant, which will have its own drive-through window. They estimate that they'll need about 20 employees to staff the new Dickey's.

Expect to see Josh Laber at Dickey's as the owner and operator. Natashya Laber will continue to teach at John Marshall High School. Laber said he knows he has a lot of work ahead of him, but at least it will now be for his own business.

The Aspen Dental building is owned by Rochester's Forsons Investments, which also owns the TJ Maxx Plaza.

April 10, 2015

Bank is gearing up to open 2nd Rochester branch

Manufacturers Bank & Trust Co. expects to open its second Rochester branch soon.

Construction crew are busy working on revamping the former America's Mattress building at 4408 U.S. 52 N.W.

"We hope to be in there at least by the end of May, if not before," said Tom Heepke, the bank's community president.

MBTbranchMBT will lease the 2,800-square-foot building from Rochester developer Jeff Brown. Mike Haley of Braasch Commercial Real Estate handled the deal.

The Forest City, Iowa-based bank opened its first Rochester branch at 2020 Second St. S.W. in 2012. That branch will remain open. Heepke said MBT's Rochester business has just grown beyond the one branch.

"This new one will also be a full branch, but it will also have a drive-up window. We're pretty excited about that," he said.

Heepke estimates that the new branch could potentially have five on staff. It will be managed by Andy Mai.

America's Mattress moved out of the building earlier this year to join the Furniture Superstore Factory Outlet in the former Menards store building at 5150 U.S. 52 North.

April 09, 2015

Future downtown Rochester eatery starting to hire staff

Rochester's latest Italian restaurant is starting to heat up by opening a hiring office in the empty Paine Furniture building.

The Nova Restaurant Group, led by Chef Scott Foster and Pat Woodring, is crafting its latest downtown Rochester eatery to be calledTerzhiringsign1 Terza on the ground floor of the new H3 Plaza building. They are also cooking up La Vetta, a rooftop lounge and club on seventh floor of the building.

Foster and Woodring are also the creative forces behind the nearby Pescara and Chester’s Kitchen & Bar.
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Terza is not expected to be ready to open until after Memorial Day, though a pre-opening dinner is rumored to scheduled for late May. In preparation, Nova has launched a major hiring campaign in the Paine building across Broadway from the H3 Plaza.

They are interviewing job candidates as sous chefs, line chefs and servers. The office is open from 10 a.m. to 5 p.m. through the week and noon to 4 p.m. on Saturday.

Woodring and Foster are known for their top shelf employees. They say the goal is to hire people with the "hospitality gene" and then train them well. Prior to opening of Chester's, they spent an estimated $50,000 to $60,000 on training.

April 07, 2015

Rochester Orcas to build $4 million pool

The largest swim club in Minnesota is ready to dive off the blocks to start construction of a new $4 million warm-water pool in Rochester.  Vc9FyKd5

Rochester Swim Club Orcas has plans to build a center with a six-lane, 25-yard pool on four acres on the city's northeast side, said Orcas CEO Autumn Kappes. It will be comparable in size to the John Marshall High School swimming pool.

The Orcas facility will be built on empty land near 37th Street Northeast and East River Road. It's the field where the J&J Vegetable stand is usually set up in the summer.

The club hopes to break ground on the project in May, so it might be ready for use in October. That is about the same time the new Rochester Recreation/Senior Center project should be completed.

KappOrcas_Swim_Club_mediumes said the Orcas' competitive swim teams will continue to call the Recreation Center home. But while the Rec Center is a good fit for the teams, the Orcas cannot offer swim lessons there.

The new facility will be solely for swim lessons. That means it will have warm water temperatures of about 88 degrees versus the 77 degrees of the competitive pool at the rec center.

The new Orcas center will give the organization a home for its popular classes as well as the capability to expand its offerings. The club offers 10 classes a week, year-round. However, Kappes says the classes fill up right away, and the club often needs to turn people away.

"We've shuffled around to pools all over town for lessons. Right now, we're doing some in hotel pools," she said. "This will bring everybody together under one roof. We really need this."

The Orcas, which averages 225 swimmers in the lessons and 365 youth swimmers, has been saving for this project for several years. To help defray the costs, Kappes said the club will lease some gym space in the center to Triton Multisports, a Rochester triathlon training group. Rochester's Achieve Results Physical Therapy also will lease space in the center.

The new center will allow the Orcas to offer many more classes and possibly try some new programs. For example, Kappes is looking into grant opportunities to help fund lessons for kids who can't afford the cost. This new pool eliminates the rental fees involved in using other Rochester pools, which makes it easier to line up lesson scholarships. The Orcas also are mulling over the possibility of starting a water polo team.

"We have a whole list of ideas of how to use (the new pool)," she said.

March 10, 2015

Tinn's to double its Rochester footprint with 2 new shops

Rochester fans of Tinn's Grilled Philly Steak Subs soon will have twice as many places to get their favorite sandwiches.

Tinn's, originally founded by Tien Danh, is opening a shop next to Tonic across from Mayo Clinic's Saint Marys Hospital on Second Street and another one on North Broadway at the corner of First Street Northwest.

03092015tinnsalibabasTinn's General Manager Bounlot Singkeo says he hopes to have the Saint Marys location, which is next to Tonic, open possibly as soon as late May. This shop will be take-out only with no customer seating, he said.

"We saw an opportunity there. We have a lot of customers at Saint Marys," he said. "So we thought we'd give it a try."

Singkeo estimated the store could have about eight employees to staff it, when it opens.

The other Tinns shop is opening in the former Ali Baba Restaurant spot at 101 N. Broadway Ave. It's currently undergoing an extensive makeover.

If everything goes as expected, Singkeo estimated the Broadway restaurant could be ready to launch within three to four weeks. It will be a sit-down restaurant with seating for about 20, as well as take-out. It probably will have about eight to 10 employees to staff it, he said.

These two new Tinn's will complement the other two older locations at  3462 55th St. in the Northwest Plaza and in the First Avenue Food Court on the skyway level at 100 First Ave. SW. 

February 25, 2015

City to lease former Mayo Clinic space to Cardio3

This has been in the works for quite a while. It looks like it's now a done deal, at least on the city, RAEDI and DEED side.

We'll see what happens next. After following this for more than a decade, it will be interesting to see how it plays out. I'm particularly fascinated with how the China piece of this, including Medisun and Danny Wong, turns out.

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After amending its original lease, Belgium-based Cardio3 BioSciences is now finally cleared to take over the entire fifth floor C3BS_may_spotlightof Rochester's Minnesota BioBusiness Center.

In December, the Rochester City Council originally approved a five-year agreement with Cardio3 for the 14,963-square-feet of space to use as a prototype manufacturing facility. However, the company then asked for "an early termination provision" in the lease.

The deal is being driven by the city, Rochester Area Economic Development Inc., Mayo Clinic and the Minnesota Department of Employment and Economic Development to make Rochester more attractive to Cardio3, so that the company will build a major manufacturing plant here.

This is the second phase of deal funded by $1.2 million from the city of Rochester's economic development sales tax fund. The first phase was developing little more than 5,000 square feet of unused space on the third floor of the BioBusiness Center to build a special manufacturing lab for Cardio3.

Mayo Clinic and Cardio3 have collaborated for years on the cardiopoiesis technology the company uses to repair patients' hearts by re-programming their own stem cells to regenerate cardiac tissue. Mayo Clinic owned 2.96 percent of the company as of Jan. 21. It's also managing a clinical trial for Cardio3.
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On Wednesday, city council members voted to add an early termination provision to the deal that allows Cardio3 to end the five-year lease after just two years in the space. That provision kicks in only if Cardio3 decides to "construct or lease a larger production facility in Rochester" or the clinical trial on its regenerative heart treatment is not successful.

To leave early, Cardio3 will need to notify the city six months ahead of time. Under the modified lease, the earliest that the regenerative medicine firm could pull out is April 30, 2017. Cardio3 would need to pay the city $269,334 if it did leave earlier than five years. That amount equals about one year of base rent.

If Cardio3 does leave before its lease is up, all of the city-funded fixed equipment and improvements will become the city of Rochester's property. The city agreed in the lease to pay for $600,000 in equipment and improvements to the space.

The final version of the lease calls for Cardio3 to pay a rent of $18 per square foot or $22,444.50 a month.

Mayo Clinic, which leases the fourth through eighth floors of the BioBusiness Center, moved its employees out of the fifth floor earlier this year. At one point, Mayo Clinic Global Products' corporate accounts had offices on the fifth floor.

In earlier discussions about this project, RAEDI estimated that Cardio3 will need 30 to 50 employees to staff the proposed prototype manufacturing facility on the fifth floor.

The ultimate goal of this project is to convince Cardio3 to build a 100,000-square-foot manufacturing facility with 350 employees in Rochester. That's what Cardio3 anticipates it will need if the Federal Drug Administration gives it a green light to take its stem cell treatment to market.

RAEDI President Gary Smith calls it "the big enchilada."

February 19, 2015

Forager Brewing Co. on tap for Kutzky neighborhood

Here's some from my article today about a proposed brewery/coffee house/wood fired pizza shop and local market.

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A new project promises to bring a small batch brewery, wood fired pizzas, a coffee shop and more to Rochester's Kutzky neighborhood by this summer.

Foragersketch1The plan is to transform 5,000-square-feet of the former Good Food Store building at 1005 Sixth Street NW into The Kutzky Market. Spearheaded by majority owner Annie Henderson, the concept is to bring together a coffee shop, brewery/restaurant, a leasable commercial kitchen, and a local retail market.

"With everything going on with DMC (Destination Medical Center initiative) and the hype around downtown, we decided to look in the core neighborhoods," said Henderson. "We wanted it to be something community based and neighborhood based, but still walkable from a lot of people's houses."

The building has been empty since the Good Food Store closed in 2013 and merged with the People's Food Cooperative in downtown Rochester.

Kutzky Market has a lot of permits and construction yet to get through before it becomes a reality. She estimates it should be ready to open sometime this summer. Some interior demolition has already started and the hope is for construction to start in earnest in March.

The main piece of this new project is Forager Brewing Co. as well as its daytime counterpart, Kutzky Coffee. Head brewer and part owner Austin Jevne will run Forager, where he will produce small batches of beer using local ingredients. The name of the brewer comes from the fact that many of the ingredients that Jevne uses are foraged from the southeastern Minnesota countryside.

Jevne the brewer and Henderson the visionary were connected by the owners of the Thirsty Belgium bar, where Jevne worked.

"It's kind of a perfect match," she said. "Austin already had that name (Forager) in mind. We thought it was a really cool name and now it's become a big part of our identity.

The conversation started about mid-January and now about month later, Kutzky Market is moving ahead.

Forager will also be a full restaurant with a focus on local, seasonal ingredients. A large wood-fired oven will be used for many of Chef Jordan Bell's dishes, including pizzas. Bell comes to Forager from the popular Nosh Bar & Restaurant in Lake City.

Another owner, Rochester architect Adam Ferrari describes Forager as "the Farmer's Market approach to beer making and pizza."

During the day, the restaurant space will serve as the Kutzky Coffee shop.

Henderson's vision also includes The Kitchen, a commercial kitchen available for lease.

"Say you want to make things to sell at the Farmer's Market. You could lease the Kitchen for that and you could also sell your things in our retail market," she said.

The Kutzky Market will focus on locally created goods, including foods created by Chef Bell.

And then there's the artistic piece. Henderson is very active with various downtown Rochester groups, including the C4 art salon, so she intends to have periodic artists-in-residence as well as three walls for the display of local art.

Forager will also feature a piece of Rochester history. The group purchased the bar from Pappageorge Taverna at the recent auction of the furnishing, art and equipment from Michaels restaurant.

"This is a marriage of all of these different fun, entrepreneurial uses under one roof," said Ferrari of the whole project.

February 05, 2015

Change coming to Investors Financial building under new owners

Change is on the way for a prominent corner in northwest Rochester.

The 38-year-old Investors Financial building at 12 Elton Hills Dr. NW sold for $875,000 in Jan. 19. It was purchased by John and Cindy Benike's Corner Square LLC, of Mazeppa.

InvestorsThe seller was 12 Elton Hills LLC, owned by Wayne Trahms and Cheryl Chapman. Trahms is the president of Investors Financial. Trahms originally purchased it from Norwest Bank in 1991.

The buzz is the new owners have plans for the site, though the details are still being worked out.

Seven commercial tenants already have moved or are moving out of the 9,700-square-foot building at the corner of Elton Hills and North Broadway. It should be mostly empty by the end of February.

That building has housed a variety of tenants over the years, including Century 21 Alpha Realty, Pro Ex Photo & Portrait and, of course, Investors Financial.

Investors Financial, the building's namesake, plans to move 1530 Greenview Dr. SW later this month, according to office manager Linda Sample. Its new home is in the Midway Office Plaza attached to the Kahler Apache hotel, formerly known as the Ramada Hotel and Conference Center.

Sample says the five-person team hopes to be up and running in the Greenview office at least by Feb. 19.

As for the Benikes' plans for the Elton Hills building, it sounds like everything is in the early stages. However, the word on the street is that they're planning to renovate the building, possibly for a future tenant.

I'll keep an eye on this to see what happens next.

January 27, 2015

Mayo looks to attract more patients from China

To take advantage of the rapidly growing medical tourism market, Mayo Clinic has deepened its relationship with a Hong Kong firm to bring more Chinese patients to Rochester.

Medisun Holdings Ltd. announced Monday it has signed a collaLogoborative deal to "Ensure efficient referral of patients" to Mayo Clinic. The agreement also calls for Mayo Clinic "to provide health care consulting services to aid Medisun’s work" in Hong Kong and mainland China.

This will allow Mayo Clinic to enlarge its patient pipeline from China. It has added a Web page in Mandarin Chinese and has hired interpreters, the article notes. The Wall Street Journal recently reported increasing numbers of Chinese residents are going overseas "in search of treatment that is either unavailable or ineffective in China."
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Mikel Prieto, medical director of Mayo Clinic's international office, told the Wall Street Journal that "China, probably of all countries, is the one where we see the greatest growth right now."

Melissa Goodwin, Mayo Clinic's manager of global referrals, told China's Caixin Media this summer the number of Chinese people going to Mayo has climbed to 200 in 2013. That's up from just 30 in 2008 and 100 in 2012. She estimated that number would reach 400 by the end of 2014. 

H3-treesDetails of the new Medisun/Mayo Clinic arrangement still are being hammered out, according to Dr. Jason Zhang, of Medisun.

Zhang did confirm that a $1 million office being built in Titan Development and Investments's new H3 Plaza complex on South Broadway will house Medisun's Rochester operations. It's being built under the name Alphaomega Healthcare, though Zhang said he expects it to eventually change to Medisun.

He explained the office will be used to support Chinese patients traveling to Rochester for treatment.

"The medical service will be provided by Mayo, and everything else will be provided by Medisun," Zhang said.

The Medisun office is expected to open in March or April in the west corner of H3 Plaza at 300 S. Broadway, he said. The office will occupy parts of the second and third floors of the seven-story complex, which is being developed by Titan's Andy and Gus Chafoulias.

“Consulting with Mayo Clinic, and leveraging Medisun’s top-quality medical institutions in Hong Kong … Medisun’s experienced medical team will facilitate access to Mayo Clinic’s world-class model of care in order to provide patients in China and Asia with superior medical services,” Medisun's Chairman Danny Wong said in Monday's announcement.
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Wong visited Rochester this summer in connection to his company's investment in Cardio3 Biosciences. Cardio3, a Belgium company with deep business and scientific ties with Mayo Clinic, is negotiating a lease deal with the City of Rochester for the fifth floor of the Minnesota Biobusiness Center.

While in Rochester, Wong had his photo taken at the clinic with local leaders, including Gus Chafoulias and Mayo's Lisa Clarke, who leads the Destination Medical Center initiative.

Wong recently showed his interest in Rochester by buying two large estates here. On Oct. 31, he bought an estate at 2515 Crest Lane SW for $1.4 million. Wong followed that up by buying a Pill Hill house at 615 10 Ave. SW for $1.31 million.

Options abound for one of Rochester's oldest storefronts

While many are speculating about the future of a 129-year-old building in the heart of Rochester's downtown, the owners say they haven't locked down a plan yet.

549b9e10ed075.imageThe long-empty former Paine Furniture store at 313 S. Broadway was purchased by local developers Hal Henderson and Grant Michelitz in November. The deal also included the attached 309 S. Broadway building now occupied by Big Brad's bar on Broadway.

Some renovation work and installation of new windows is being done on the second floor, said Henderson. They also hope to build a skyway across the alley to connect the Paine building to the 318 Commons building, also owned by Henderson and Michelitz.

The University of Minnesota Rochester leases space in the 318 Commons building for student housing, office space and classrooms. A connecting skyway could make the second floor of Paine building attractive to UMR.

"We do foresee space crunches in our growth plan prior to the development of the future campus," said Jay Hesley, assistant vice chancellor for institutional advancement. While no decisions have been made, Hesley acknowledged the university had looked at the second floor of the Paine building.

"We've certainly explored all of the different opportunities that are available, and that was certainly one of them on the list," he said.

Henderson said there have been preliminary talks with UMR officials about the Paine building. He also said an option is to demolish the Paine complex and put up a building that would be a sibling to 318 Commons.

"I do have more real estate on that block," he said. "In the future, we may have a plan that we may try to unveil or look at pretty seriously." Henderson owns the adjacent Cafe Steam at 315 S. Broadway and the Canvas & Chardonnay building at 317 S. Broadway. "It all depends on what transpires in the next three to six months" with Destination Medical Center and the university's plans, he said. "I think right now, everyone is still leaving their options open."