Eden Prairie council approves preliminary plat for Nexus Innovation Center, directs development agreement

The Eden Prairie City Council on Feb. 4 unanimously approved a preliminary plat and early land-alteration permit for the Nexus Innovation Center, a redevelopment of the former American Family Insurance campus that will create two industrial buildings on a 14.35-acre site.

The action directs staff to prepare a development agreement that incorporates planning commission and staff recommendations and authorizes an early land-alteration permit subject to the conditions in the permit. Council members voted aye on a motion by Council Member Mark Freiberg; the motion was seconded (second not named in the record) and passed unanimously.

The council’s vote clears the way for the developer, Endeavor Development, to demolish the existing three-building office campus and construct two industrial buildings: one of about 92,000 square feet that the applicant says will be fully occupied by H.M. Craig, a locally based backup power solutions provider, and a speculative building of about 82,000 square feet. Joe Bergman, senior representative for Endeavor Development, told the council, “they will occupy in full the larger building.”

Planning staff told the council the planning commission had unanimously recommended approval at its January meeting. The developer presented exterior elevations and sustainability measures that will be included in the project: recycling of demolished building materials, EV charging infrastructure, solar panels on the speculative building, low-VOC materials and Energy Star appliances in tenant build-outs, and participation in Excel’s EDA program. The applicant also described a secured parking area requested by the tenant because of prior vandalism at its existing facility; the proposed fencing product is a Trex composite made from recycled wood and plastic.

Council members and staff discussed utilities for the site. City staff explained that Minnetonka will provide sanitary and water utilities and do billing and maintenance under a longstanding arrangement. “Minnetonka does all the billing and they do the maintenance on those water and sewer mains,” a city staff member said, referencing a 1977 agreement that governs service for the parcel.

There were no members of the public who addressed the council during the Nexus public hearing. After discussion of the project’s sustainability features and the secured parking, Council Member Freiberg moved to close the public hearing and adopt the resolution approving the preliminary plat; the motion passed on a unanimous voice vote.

With the vote, staff will prepare a development agreement incorporating the staff and planning commission conditions; the council also authorized issuance of an early land-alteration permit as requested by the developer and subject to permit conditions.

The council and applicant expressed optimism the speculative building would lease quickly; no tenant was announced for the smaller building. The developer said Minnetonka has provided comments that have been addressed and that the buildings are intended as a gateway to that portion of the city.