Northern Stacks
» Industry: Commercial Property
» Location: Fridley, MN
» Total System Size (DC): 542.84kW DC / 396kW AC
» Trio: (259.8kW DC / 186kW AC)
» Certified Power #1: (199.52kW DC / 150.0kW AC)
» Certified Power #2: (83.52kW DC / 60.0kW AC)
Client Introduction
Northern Stacks is a multi-building industrial park in Fridley, Minnesota, developed through a partnership between Hyde Development and Mortenson Properties. Built on a former brownfield site, the redevelopment has transformed the area into a thriving business park that brings new life and opportunity to the community. This landmark project launched the partnership between Hyde and Mortenson Properties, who have since collaborated on the development and acquisition of an industrial portfolio spanning over 7 million square feet across multiple markets.
Project Background
With a strong track record of redeveloping brownfield sites into vibrant commercial spaces, Hyde Development understood the challenges and opportunities of this project. Partnering with Mortenson Properties, as the investor partner, and Mortenson, as the general contractor, made it possible to bring this ambitious redevelopment to life.
Hyde and Mortenson Properties are the long-term owners of the development, which has experienced strong tenant demand for space in the location, less than 10 miles north of downtown Minneapolis. Adding solar energy was a natural next step in their commitment to sustainability.
“Incorporating solar into a project delivers value on multiple fronts,” said Mike Wardwell of Hyde Development. “For owners, it reduces long-term operating costs and enhances property value. Cities see it as a commitment to sustainability, which strengthens community support and aligns with environmental goals. Tenants benefit from lower energy expenses and the appeal of working in a green, forward-thinking space. On challenging sites like brownfields, these advantages often help secure critical funding, where sustainability is a key component.”
Installing solar on commercial properties can be challenging because owners typically bear the upfront costs, while the long-term energy savings are realized by tenants who pay the utility bills. In industrial real estate, this is commonly known as the “split-incentive barrier” and often results in hesitation from both sides when deploying sustainable investments.
To address this barrier, Hyde and Mortenson Properties introduced a white-glove solution that returned tenants’ utility meters back into landlord ownership so that they could deploy capital into rooftop solar arrays that deliver energy at discounted rates while passing through utility savings to each tenant. This solution includes an advanced energy monitoring system to validate savings while empowering tenants with increased transparency.
“It became clear that tenants didn’t have the time or desire to sign up for, review, or negotiate lengthy power purchase agreements,” said Ilya Krasnoyarov of Mortenson Properties. “Ultimately, we discovered a solution to the split-incentive barrier that better aligned everyone’s interests.”
Hyde and Mortenson Properties’ willingness to try something new positioned them as early adopters in a model that benefits everyone—owners, tenants, and the community.
Cedar Creek’s Approach
Cedar Creek Energy partnered with Hyde and Mortenson Properties to design and install rooftop solar systems that make renewable energy simple and accessible for tenants.
The systems total 543 kW and generate approximately 624,000 kWh of energy annually. Mortenson Properties and Hyde receive the utility bills and then bill tenants for their share of solar-generated power at a discounted rate. This model allows the owners to monetize rooftop space, receive tax credits, and offer tenants lower energy costs while increasing property value and supporting sustainability goals.
“This project requires an ownership group that’s fully aligned on values and strategy,” said Wardwell. “It’s not easy to pull off, but it’s worth it. By owning the solar and passing those benefits on to our tenants, we’re delivering real savings while doing what’s right for the long term.”
The project serves as a pilot for a new approach to bringing solar to industrial real estate, one that Hyde and Mortenson Properties hope to replicate across Minnesota and beyond.
Results and Impact
The solar systems at Northern Stacks are expected to offset much of each tenant’s on-site energy use, lowering power bills and improving building efficiency.
“We’re trying to reinvent how commercial real estate is done by making it sustainable while delivering value to tenants,” said Krasnoyarov, Director of Renewable Investments at Mortenson Properties. “These solar arrays show that Hyde and Mortenson Properties are taking a leadership stance by not waiting for the problems to solve themselves.”
“As green buildings continue to gain value, more commercial properties are beginning to function like their own utilities by generating power onsite and billing tenants for energy use alongside rent,” said Rick Tisdale, Project Engineer and Developer at Cedar Creek Energy. “Solar delivers both financial returns and practical benefits for owners while enhancing the property’s appeal to sustainability-minded tenants.”
As the project’s impact has grown, its leadership in sustainability has gained recognition in the local community. Northern Stacks was presented with the City of Fridley’s inaugural 2025 Sustainable Fridley Award. Hyde Development and Mortenson Properties were selected by the City’s Environmental Quality and Energy Commission in recognition of their significant contribution to Fridley’s environmental goals.
Closing Statement
Cedar Creek Energy is proud to partner with developers like Hyde Development and Mortenson Properties who are leading the way in sustainable commercial real estate. Contact us today to learn how your organization can use solar to reduce costs and add long-term value to your properties.
