Target has paid a hefty price tag to exit its Minneapolis offices early.

The retail giant’s exit underscores the challenges facing Minneapolis in recent years. From protests and corporate culture clashes to fraud scandals and disputes over federal immigration enforcement, the city has struggled to maintain downtown stability.

Target’s lease at the 51-story City Center was originally set to run through 2031, but the company opted to pay $110 million to terminate it early. Much of the space had gone unused following the COVID-19 pandemic as Target transitioned to remote work. Attempts to sublet the offices were largely unsuccessful.

Last summer, the company returned its largest corporate division to the office three days per week, consolidating operations in other buildings near its Nicollet Mall headquarters. Despite these efforts, Target ultimately decided that the lease was unsustainable.

City Center is currently owned by Samsung, which purchased the property for $320 million in 2018, when downtown Minneapolis was still considered a stable investment. The pandemic and subsequent economic shifts, combined with corporate and activist pressures, have dramatically changed that outlook.

Target’s departure serves as a high-profile example of how major corporations are reassessing urban office investments in the post-pandemic era, particularly in cities experiencing political and social turbulence.