A Dutch health care giant is the latest company to line up space in the One Discovery Square complex in downtown Rochester.

Royal Philips, an Amsterdam-based firm that works in a variety of health care markets such as medical devices and services, confirmed today that it plans to open a Med City office in the recently opened 89,000-square-foot One Discovery Square complex, on the corner of Fourth Street and Second Avenue Southwest.

“We are looking for close collaboration and proximity to customers, partners, academic institutions and other leaders in the space, who can help us drive innovation in health technology,” stated Philips North America’s Public Relations Director Silvie Casanova in an email. “As part of this strategy, Philips can confirm that we will be opening a new research space by the end of the year at One Discovery Square, in Rochester, MN, enabling the Mayo Clinic and Philips to further secure collaboration and innovative research.”

As a sign of the deal, Mayo Clinic CEO Dr. Gianrico Farrugia recently presented a painting of the One Discovery Square center to Philips CEO Frans van Houten.

“Royal Philips and Mayo Clinic are joining forces to advance research in medical imaging technology aimed at improving imaging effectiveness and the experience for patients around the world," stated Mayo Director of Media Relations Karl Oestreich by email following Phililps' confirmation. "This is another step toward making southeastern Minnesota a hub for biomedical activity.”

Minneapolis-based M.A. Mortenson developed the new One Discovery Square center on land owned by Mayo Clinic.

“Philips’ tenancy in One Discovery Square is an affirmation of the promise of Discovery Square itself. Acting as home to small companies and big ones, One Discovery Square — and its progeny — is enabling new levels of collaboration between and among Mayo Clinic, its commercial partners, educational institutions and many others,” stated Mortenson project manager Jeremy Jacobs in an email.

Specific details about Philips’ plans for One Discovery Square, such as what work will be done there or how many employees will be based there, are not known yet.

Philips does have a long history of working with Mayo Clinic and its related companies.

In 2018, Philips acquired VitalHealth, “a population health management company” co-founded by Mayo Clinic.

It’s also a partner working with Rochester-based Ambient Clinical Analytics, a Mayo Clinic-backed software firm created by local medical researchers and Al Berning.

This is the latest tenant announced for the high-profile center built as part of the Destination Medical Center initiative.

Mayo Clinic will anchor the building by leasing 30,000 square feet spread over the upper levels of the four-story complex.

Space on the first floor is committed to Epic Systems of Wisconsin.

Epic Systems is known for its electronic health records platform, which it recently installed at all of Mayo Clinic’s sites for an estimated $1 billion.

Epic also owns a data center in Rochester, which it purchased from Mayo Clinic.

While it hasn’t been officially announced, building permits also show a joint partnership between Mayo Clinic and a Chinese firm called WuXi Diagnostics is taking space on the third floor.

A local coffee shop, Café Steam @ Discovery Square, is also brewing up a location within One Discovery Square.

The University of Minnesota Rochester has also signed up for two educational spaces in the complex.

An “Active learning classroom and collaborative space” will occupy 3,800 square feet on the first floor. “Wet” labs will be located on the third floor in a 5,583-square-foot spot.

One Discovery Square represents the first seedling in the what city officials and Mayo Clinic leaders hope will blossom into a 16-block “hub for bio-medicine, research and technology innovation.”

The Discovery Square sub-district is part of the ambitious DMC initiative that is transforming Rochester’s downtown.

“The announcement by Philips to open a new research space in One Discovery Square in the Destination Medical Center district is inspiring. Philips is a multinational leader in health technology with an extraordinarily diverse portfolio,” stated DMC Economic Development Agency Executive Director Lisa Clarke in an email.

For Philips, this new Rochester work space is part of its collaborative strategy.

“This is one of several recent moves to be closer to our partners and innovation hubs, including our original decision to move our Philips Innovation Center and North America Headquarters to Cambridge, to move our business enabling functions to downtown Nashville, where we have created a center of expertise, and moving part of our Sleep and Respiratory business to the downtown Pittsburgh’s Center of Excellence hub at Bakery Square,” wrote Philips’ Casanova.

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Business Reporter

Jeff has worked at newspapers as a reporter, columnist, editor, photographer and copy editor since 1992. He started at the Post Bulletin in 1999. Kiger is the PB's business reporter and writes a daily column, "Heard on the Street."