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Kraus-Anderson - Leading Construction & Real Estate Services, Sustainable Projects, Community Involvement

Founded: 1897
Headquarters: 501 South Eighth Street Minneapolis, MN 55404 USA
Phone: 612-332-7281
Number of employees: 500
Website: www.krausanderson.com

Overview

Kraus-Anderson was founded in 1897, they envisioned creating a leading construction company that would serve the Midwest region of the United States. Over its 125+ year history, Kraus-Anderson has evolved into a diverse organization providing a wide range of services in construction, real estate development, property management, and insurance.

The company’s headquarters is located in Minneapolis, Minnesota, with regional offices in Madison, Wisconsin, and Bemidji, Rochester, and Duluth in Minnesota. Throughout its history, Kraus-Anderson has remained a family-owned business, with the Engelsma family taking the helm in 1937. The company’s commitment to its core values of integrity, commitment, teamwork, and innovation has enabled it to navigate the various challenges and market fluctuations over the years.

Services

Kraus-Anderson offers a broad spectrum of services, encompassing several aspects of the construction and real estate industries. These services are designed to provide clients with a seamless, end-to-end experience throughout the lifecycle of their projects.

Construction Management: Kraus-Anderson’s construction management services include pre-construction planning, cost estimation, scheduling, project administration, and quality control. The company’s construction management team is well-equipped to handle projects of various sizes and complexities, from small renovations to large-scale developments.

Design-Build: As a design-build service provider, Kraus-Anderson offers a streamlined approach to project delivery. The company manages both the design and construction aspects of a project, ensuring that communication, collaboration, and coordination are maintained throughout the process.

Real Estate Development: Kraus-Anderson’s real estate development services encompass site selection, financial analysis, entitlements, and design and construction coordination. The company focuses on a variety of asset classes, including commercial, residential, mixed-use, and public projects.

Property Management: Through its property management services, Kraus-Anderson oversees the daily operations of various types of real estate assets. Services include tenant relations, lease administration, financial reporting, and maintenance and repair management.

Insurance: Kraus-Anderson Insurance is an independent agency offering a range of commercial insurance products and services. The agency specializes in construction, real estate, and manufacturing industries, offering tailored insurance solutions to meet the specific needs of each client.

Projects

The following is a selection of notable projects completed by the company in various sectors.

Education Sector:

A. University of Minnesota Athletes Village: Completed in 2018, this $166 million project included the construction of three new buildings for academic, leadership, and nutrition centers, as well as indoor and outdoor practice facilities.

B. Eden Prairie High School: Completed in 2020, this $97 million renovation and expansion project involved 300,000 square feet of new construction, including a 600-seat performing arts center, a new pool, and additional classroom spaces.

Healthcare Sector:

A. Mercy Hospital – Unity Campus: In 2017, Kraus-Anderson completed a $65 million project that involved the expansion and renovation of the Mercy Hospital’s Unity Campus in Fridley, Minnesota. The project included a new emergency department, intensive care unit, and mental health unit.

B. Sanford Health Broadway Clinic: Completed in 2016, this $12 million project in Alexandria, Minnesota, involved the construction of a 57,000-square-foot medical office building, housing family medicine, pediatrics, and obstetrics/gynecology services.

C. Allina Health Mercy Hospital Mother Baby Center: Completed in 2016, this project involved the construction of a new, 62,000-square-foot mother-baby center in Coon Rapids, Minnesota. The facility provides comprehensive care for mothers and babies, featuring private birthing suites, postpartum rooms, and a neonatal intensive care unit (NICU).

D. Fairview Health Services Clinic: In 2017, Kraus-Anderson completed the construction of a new 42,000-square-foot clinic in Blaine, Minnesota. The facility offers a wide range of services, including family medicine, pediatrics, physical therapy, and imaging services.

E. CentraCare Health Long Prairie Hospital and Clinic: This 2017 project involved the construction of a new 65,000-square-foot hospital and clinic in Long Prairie, Minnesota. The facility includes an emergency department, inpatient care, surgical suites, and outpatient services.

F. Sanford Health Moorhead Campus: Completed in 2015, this $12 million project in Moorhead, Minnesota, involved the construction of a new 49,000-square-foot medical center, housing primary care, urgent care, and specialty services.

G. Allina Health WestHealth Emergency Department Expansion: In 2018, Kraus-Anderson completed an expansion project for Allina Health WestHealth’s Emergency Department in Plymouth, Minnesota. The 18,000-square-foot expansion added 11 new exam rooms and an ambulance garage to the facility.

H. Essentia Health St. Joseph’s Medical Center: In 2018, the company completed a 22,000-square-foot expansion and renovation project for Essentia Health St. Joseph’s Medical Center in Brainerd, Minnesota. The project involved the expansion of the emergency department and other critical care areas, as well as the construction of a new helipad.

Commercial Sector:

A. Elliot Park Hotel: This boutique hotel in downtown Minneapolis was completed in 2018. The $42 million project features 168 guest rooms, meeting spaces, and a full-service restaurant.

B. The Larking: Completed in 2020, The Larking is a mixed-use development in downtown Minneapolis, featuring 16 stories with 341 residential units, retail spaces, and a parking structure.

C. T3 (Timber, Transit, Technology) Office Building: Completed in 2016, this innovative commercial project in Minneapolis, Minnesota, is the first modern, heavy timber office building in the United States. The seven-story, 220,000-square-foot building features office and retail spaces, as well as an outdoor plaza.

D. WaHu Student Housing: Completed in 2016, the WaHu student housing project is a mixed-use development near the University of Minnesota in Minneapolis. The 333-unit complex includes retail spaces, underground parking, a rooftop terrace, and a fitness center, providing a modern living experience for students.

E. The Maverick on 1st: Completed in 2021, this mixed-use development in Rochester, Minnesota, is part of the Destination Medical Center (DMC) initiative, a public-private partnership aimed at transforming Rochester into a global destination for health and wellness. The project features 154 residential units, ground-level retail space, and a parking structure.

F. The Lora Hotel: Completed in 2018, this boutique hotel in Stillwater, Minnesota, involved the transformation of a historic brewery building into a 40-room hotel with a restaurant, bar, and event spaces. The project carefully preserved the building’s original architectural features, blending history and modern amenities.

G. 2700 University: This mixed-use, transit-oriented development was completed in 2016, located along the Green Line light rail in St. Paul, Minnesota. The project features 248 apartments, 3,000 square feet of retail space, and amenities such as a fitness center, outdoor pool, and a public plaza.

Public Sector:

a. Minnesota Senate Building: Completed in 2015, this $89.5 million project in St. Paul, Minnesota, is a five-story, 293,000-square-foot office building that houses offices for the Minnesota Senate, committee hearing rooms, and other supporting spaces.

b. Hennepin County Webber Park Library: This $14.3 million project, completed in 2017, involved the construction of a new 16,000-square-foot library in Minneapolis, Minnesota. The library features a large meeting room, study rooms, a children’s area, and sustainable design elements.

Industrial Sector:

A. FedEx Ground Distribution Center: Completed in 2016, this $25 million project in Rogers, Minnesota, involved the construction of a 276,000-square-foot distribution center on a 45-acre site.

B. Arctic Cat Manufacturing Facility: In 2017, Kraus-Anderson completed a $26 million project in St. Cloud, Minnesota, which included the construction of a 56,000-square-foot expansion to the existing Arctic Cat manufacturing facility.

C. Marvin Windows and Doors: Completed in 2018, this project involved a 150,000-square-foot expansion of Marvin Windows and Doors’ manufacturing facility in Warroad, Minnesota. The expansion included additional production space, new office areas, and an employee training center.

D. Japs-Olson Company: In 2016, Kraus-Anderson completed a 191,000-square-foot expansion of the Japs-Olson Company’s commercial printing facility in St. Louis Park, Minnesota. The project involved the addition of a new pressroom, bindery, and warehouse space.

E. Lunds & Byerlys Distribution Center: Completed in 2017, this project involved the renovation and expansion of Lunds & Byerlys’ 385,000-square-foot distribution center in Hopkins, Minnesota. The project included improvements to the warehouse, cold storage, and office spaces.

F. Uponor North America: In 2018, Kraus-Anderson completed a 237,000-square-foot expansion of Uponor North America’s manufacturing facility in Apple Valley, Minnesota. The project involved the construction of a new warehouse, production area, and office spaces.

G. Polaris Industries: In 2015, Kraus-Anderson completed a 475,000-square-foot expansion of Polaris Industries’ manufacturing facility in Roseau, Minnesota. The project included additional manufacturing space, a research and development center, and office areas.

H. Geringhoff Manufacturing: Completed in 2012, this project involved the renovation of a 110,000-square-foot facility in St. Cloud, Minnesota, to serve as Geringhoff Manufacturing’s North American headquarters and production facility. The project included the installation of new equipment, utilities, and infrastructure.

Partnerships

Throughout its history, Kraus-Anderson has formed strategic partnerships with various organizations and businesses to strengthen its service offerings and expand its reach. Some of these partnerships include:

Collaboration with architects, engineers, and subcontractors: Kraus-Anderson often collaborates with various design and construction professionals to ensure the successful delivery of projects. This collaborative approach has allowed the company to develop long-lasting relationships with industry partners, fostering a network of expertise and resources that ultimately benefits clients.

Educational and Healthcare Institutions: Kraus-Anderson has established partnerships with numerous educational and healthcare institutions, contributing to the construction and renovation of schools, universities, hospitals, and clinics. These partnerships have allowed the company to gain valuable insights into the specific needs and challenges of these sectors, enhancing its ability to deliver tailored solutions.

Public-Private Partnerships (P3): Kraus-Anderson has been involved in public-private partnership projects, working closely with government agencies and private entities to develop and construct public facilities, infrastructure, and mixed-use developments. These P3 projects often require close coordination among various stakeholders, and Kraus-Anderson’s experience in this area has proven valuable in ensuring the successful delivery of such complex projects.

Non-profit Organizations: Kraus-Anderson has also partnered with various non-profit organizations, contributing to the development of community-focused projects such as affordable housing, recreational centers, and cultural institutions. These partnerships have enabled the company to give back to the communities in which it operates, while also gaining valuable insights into the unique challenges associated with non-profit projects.

Awards and Recognition

Kraus-Anderson’s commitment to excellence in construction and real estate services has earned the company numerous awards and recognition over the years. Some of the most notable accolades include:

Engineering News-Record (ENR) Rankings: Kraus-Anderson has consistently ranked among the top contractors in the United States by the Engineering News-Record. In 2021, the company ranked #66 on ENR’s list of Top 400 Contractors and #38 on the list of Top 100 Construction Management-at-Risk Firms.

Associated General Contractors (AGC) Awards: The company has received multiple awards from the Associated General Contractors of America for its construction projects. These awards recognize Kraus-Anderson’s commitment to safety, quality, and innovation in the construction industry.

NAIOP Awards of Excellence: Kraus-Anderson has been recognized by the National Association of Industrial and Office Properties (NAIOP) for its real estate development projects. The company has received multiple Awards of Excellence for various projects in the commercial, industrial, and mixed-use sectors.

Minnesota Business Magazine’s Community Impact Awards: Kraus-Anderson has been a recipient of the Minnesota Business Magazine’s Community Impact Awards, which honor businesses and organizations that make a positive impact on their communities through job creation, economic development, and community involvement.

Minneapolis/St. Paul Business Journal’s Best in Real Estate Awards: The company has also received multiple Best in Real Estate Awards from the Minneapolis/St. Paul Business Journal, recognizing its achievements in real estate development and property management.

Growth and Expansion

Kraus-Anderson has experienced significant growth and expansion throughout its history, driven by its commitment to excellence in construction and real estate services. While it is not possible to provide a complete account of the company’s growth and expansion, the following information, illustrates key milestones and achievements that have contributed to Kraus-Anderson’s success:

Geographic Expansion: From its beginnings in Minnesota, Kraus-Anderson has expanded its operations to serve clients throughout the United States. The company currently has regional offices in Minnesota, North Dakota, and Wisconsin, with projects spanning various states. This geographic expansion has enabled Kraus-Anderson to diversify its client base and gain valuable experience in different markets.

Service Diversification: Kraus-Anderson has grown from a primarily construction-focused company to a diversified organization offering a range of services, including real estate development, property management, and insurance services. This diversification has allowed the company to better serve its clients by providing comprehensive, end-to-end solutions for their construction and real estate needs.

Industry Recognition and Rankings: As the company has grown, it has consistently been recognized for its achievements and performance within the construction and real estate industries. For example, Kraus-Anderson has consistently ranked among the top contractors in the United States by the Engineering News-Record (ENR). In 2021, the company ranked #66 on ENR’s list of Top 400 Contractors and #38 on the list of Top 100 Construction Management-at-Risk Firms.

Portfolio Expansion: Over the years, Kraus-Anderson has significantly expanded its project portfolio, completing projects across various sectors, including education, healthcare, commercial, public, and industrial. This growth in the company’s portfolio demonstrates its ability to adapt to changing market demands and successfully manage projects of varying scales and complexities.

Employee Growth: Kraus-Anderson’s growth and expansion have also been accompanied by an increase in its employee base. The company currently employs over 700 professionals, including project managers, estimators, superintendents, and other skilled professionals. This growth in personnel has allowed Kraus-Anderson to better serve its clients and manage an increasing number of projects.

Sustainability and Green Building Practices

Kraus-Anderson is committed to incorporating sustainability and green building practices into its projects, recognizing the importance of environmentally responsible construction and development. The following information highlights the company’s focus on sustainability and green building practices:

LEED-Certified Projects: Kraus-Anderson has completed numerous projects that have achieved LEED (Leadership in Energy and Environmental Design) certification, a widely recognized green building rating system developed by the U.S. Green Building Council (USGBC). LEED certification demonstrates that a building meets high standards for energy efficiency, water conservation, indoor environmental quality, and other sustainability metrics. Some examples of Kraus-Anderson’s LEED-certified projects include:

A. The T3 Office Building in Minneapolis, Minnesota, achieved LEED Gold certification.
B. The Kraus-Anderson Headquarters in Minneapolis, Minnesota, was designed to meet LEED certification standards.

Green Building Training and Expertise: Kraus-Anderson ensures that its employees have the necessary knowledge and skills to implement green building practices. The company employs LEED Accredited Professionals (APs) who have demonstrated their expertise in sustainable building strategies and practices. These professionals guide the project teams in incorporating sustainable features and pursuing LEED certification for their projects.

Sustainable Construction Practices: Kraus-Anderson is committed to integrating sustainable construction practices in its projects, such as recycling construction waste, using locally sourced materials, and implementing energy-efficient building systems. These practices not only minimize the environmental impact of the construction process but also result in long-term cost savings for building owners and occupants.

Energy Efficiency: The company focuses on incorporating energy-efficient technologies and design strategies in its projects to reduce energy consumption and greenhouse gas emissions. This includes installing high-performance building envelopes, energy-efficient HVAC and lighting systems, and renewable energy sources, such as solar panels.

Water Conservation: Kraus-Anderson recognizes the importance of water conservation and incorporates water-saving features in its projects, such as low-flow fixtures, water-efficient landscaping, and rainwater harvesting systems.

Indoor Environmental Quality: The company is committed to creating healthy indoor environments in its projects by using low-emitting materials, providing adequate ventilation, and incorporating natural daylight and views. These measures contribute to improved occupant health and well-being.

Company Values and Culture

Kraus-Anderson has a strong company culture that emphasizes its values and fosters a collaborative, inclusive, and growth-oriented work environment. The following information highlights the key aspects of the company’s values and culture:

Core Values: Kraus-Anderson has established a set of core values that guide its employees and shape the company culture. These values include:

A. Integrity: The company emphasizes honesty, transparency, and ethical behavior in all aspects of its business, fostering trust with clients, partners, and employees.
B. Collaboration: Kraus-Anderson believes in the power of teamwork and collaboration to achieve the best possible outcomes for its projects and clients. The company encourages open communication and the sharing of ideas and expertise among its employees.
C. Commitment: The company is dedicated to delivering exceptional service and results for its clients, maintaining a strong focus on quality, safety, and innovation.
D. Community: Kraus-Anderson is committed to giving back to the communities in which it operates, partnering with non-profit organizations and supporting community-focused projects.

Employee Development: The company places a high priority on employee development, offering opportunities for training, professional growth, and career advancement. This focus on employee development helps to attract and retain top talent and fosters a culture of continuous learning and improvement.

Safety: Kraus-Anderson is dedicated to maintaining a safe work environment for its employees and partners, emphasizing the importance of safety in its projects and operations. The company has implemented comprehensive safety programs, training, and resources to help prevent accidents and ensure the well-being of its employees.

Diversity and Inclusion: The company recognizes the value of diversity and inclusion in its workforce, actively promoting a culture that is welcoming and supportive of all employees. Kraus-Anderson is committed to providing equal opportunities for all employees, regardless of their background, and fostering a work environment that values the unique perspectives and experiences of each individual.

Employee Recognition and Engagement: Kraus-Anderson understands the importance of recognizing and celebrating the achievements and contributions of its employees. The company hosts various events, award programs, and initiatives to engage and appreciate its employees, reinforcing a culture of collaboration and teamwork.

Community Involvement

Kraus-Anderson is committed to being an active and responsible member of the communities in which it operates, with a strong focus on community involvement and giving back. The following information highlights the company’s community involvement efforts:

Kraus-Anderson Community Foundation: Established in 2002, the Kraus-Anderson Community Foundation is a non-profit organization that supports various charitable initiatives and organizations. The foundation primarily focuses on supporting education, health, and human services within the communities where Kraus-Anderson employees live and work.

Corporate Giving: Kraus-Anderson supports numerous non-profit organizations through financial contributions, in-kind donations, and volunteer efforts. Some of the organizations the company has partnered with include the American Cancer Society, Habitat for Humanity, the Boys & Girls Clubs, and the Special Olympics.

Employee Volunteerism: The company encourages its employees to volunteer their time and skills to support community-focused initiatives and organizations. Kraus-Anderson organizes volunteer events and provides employees with opportunities to give back to their communities in meaningful ways.

Sponsorships and Partnerships: Kraus-Anderson actively sponsors and partners with various community events, organizations, and initiatives, demonstrating its commitment to supporting local communities. These sponsorships and partnerships not only provide financial support but also help to raise awareness and generate public interest in the causes and organizations the company supports.

Community-Focused Projects: The company has been involved in numerous construction projects that directly benefit local communities, such as schools, community centers, and affordable housing developments. These projects have a lasting impact on the communities they serve, improving the quality of life for residents and providing essential services and resources.

Kraus-Anderson demonstrates a strong commitment to community involvement through its Kraus-Anderson Community Foundation, corporate giving, employee volunteerism, sponsorships and partnerships, and community-focused projects. These efforts reflect the company’s dedication to being a responsible and engaged corporate citizen, actively supporting the communities in which it operates and contributing to their overall well-being and success.

In conclusion Kraus-Anderson has built a reputable legacy over its 125+ year history, providing high-quality construction, real estate development, property management, and insurance services. As a family-owned business, the company has maintained a strong commitment to its core values, enabling it to successfully navigate various market challenges and establish long-lasting partnerships with clients and industry professionals.

With a proven track record of success and numerous awards and recognitions, Kraus-Anderson continues to be a leader in the construction and real estate industries. The company’s strategic partnerships, diverse service offerings, and commitment to excellence ensure that it remains well-positioned to serve clients and communities for years to come.

Disclaimer: Please note that the names and positions of employees mentioned may be subject to change, as individuals may move to different roles or organizations. While we make every effort to keep our information accurate and up-to-date, we cannot guarantee that all employee details are current or complete. We encourage you to verify the identity and positions of any individual mentioned and check their Linkedin Profile before taking any action based on their role.

Employees

Bruce Engelsma – CEO

Dennis Diessner – President at Kraus-Anderson Insurance

Pete Diessner – President, Kraus-Anderson Realty and Development

Al Gerhardt – President & Chief Operating Officer

Leslie Greves – Executive Vice President Human Resources

Jonathon Diessner – Executive Vice President

Rich Jacobson – Executive Vice President/Chief Operating Officer

Wayne Gray – Senior Vice President of Finance

Tim Asgrimson – Chief Financial Officer

Bradley Engelsma – Associate General Counsel

John Haydon – VP of Marketing and Business Development

Mary Kaeding – Manager Marketing Communication

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