BURNSVILLE, MINN. — Sterling Organization has received a $7 million loan for the refinancing of Burnsville Market, a 137,396-square-foot retail centered anchored by Cub Foods in Burnsville. The property is situated on 16 acres at 1750 County Road 42 West. Chris Drew, Nat Scarmazzi, Matthew McCormack and Jules Sherwood of HFF arranged the three-year, fixed-rate bridge loan with RGA Reinsurance Co. Loan proceeds will be used to implement the borrower’s redevelopment plans.
EAGAN, MINN. — An affiliate of Group RMC has acquired the 10-building Grand Oak Business Park in Eagan, a suburb of Minneapolis. The purchase price was not disclosed. The office buildings total 550,224 square feet. The 98-acre campus features outdoor amenity areas and trails. Ryan Watts, Sonja Dusil, Judd Welliver and Tom Holtz of CBRE represented the seller, an affiliate of Equus Capital Partners Ltd. This is the first acquisition in the Minneapolis market for Group RMC.
ST. PAUL, MINN. — The Opus Group has completed an 86,632-square-foot industrial building located within the St. Paul Port Authority’s Beacon Bluff Business Center. Terracon Consultants Inc., a multi-disciplinary engineering consulting firm, will occupy 15,300 square feet of the building. The facility features a clear height of 24 feet and both warehouse and office space. Todd Hanson and Jason Sell of Cushman & Wakefield are marketing the property for lease. The Beacon Bluff Business Center is an office and industrial development situated on nearly 40 acres.
WEST ST. PAUL, MINN. — Dougherty Mortgage LLC has provided a $20.9 million HUD-insured loan for the construction of Darts Senior Apartments, a 172-unit affordable seniors housing property in West St. Paul. All units will be restricted to persons age 62 and older who earn up to 60 percent of the area median income. Dougherty arranged the 40-year loan on behalf of the borrower, WSP Senior Housing I LLLP. In addition to the HUD-insured first mortgage, the project will receive equity from the sale of low-income housing tax credits and funds from the Dakota County Community Development Agency Housing Opportunities Enhancement program. Dougherty & Co. LLC also underwrote tax-exempt bonds for the development, which is expected to open in summer 2020.
COON RAPIDS, MINN. — Hanley Investment Group Real Estate Advisors has brokered the sale of a new single-tenant building occupied by Raising Cane’s Chicken Fingers in Coon Rapids for $5 million. The 2,780-square-foot building is located at 13001 Round Lake Blvd. Raising Cane’s has a new 15-year lease term. Jeff Lefko and Bill Asher of Hanley represented the seller, OneCore Global. Mehdi Star of Colliers International represented the buyer, a San Francisco-based private investor. The sales price represents a cap rate of 6 percent. This was the highest-priced Raising Cane’s to trade in the Midwest, according to Hanley.
WOODBURY, MINN. — Inland Retail Property Fund LP has purchased the fully leased retail component of the CityPlace mixed-use project in Woodbury, located about 20 miles east of Minneapolis. Whole Foods Market anchors the retail center. Amy Sands, Clinton Mitchell, Daniel Finkle and Jules Sherwood of HFF represented the seller, Elion Partners, which redeveloped the former State Farm regional corporate headquarters into CityPlace. The 184,711-square-foot retail portion of the project was completed in 2016 and 2017. In addition to Whole Foods, tenants include Nordstrom Rack, Sierra Trading Post, La-Z-Boy Furniture, Sur La Table, Verizon Wireless, Cycle Bar and Potbelly Sandwich Works. Timothy Joyce, Elliott Throne and Jason Bond of HFF arranged a 10-year, fixed-rate acquisition loan through Guardian Life Insurance Company of America.
BLOOMINGTON, MINN. — Altus Properties has acquired the Minnesota Center office building in Bloomington for an undisclosed price. The property is 97 percent occupied. Amenities include an on-site deli and conference center along with newly renovated lobbies and common areas. Ryan Watts, Judd Welliver, Sonja Dusil and Tom Holtz of CBRE represented the seller, Minnesota Center JV LLC.
ROCHESTER, MINN. — Merchants Capital has arranged $19.7 million in development financing for Technology Park Apartments, a 164-unit affordable housing community in Rochester. Freddie Mac provided the 10-year loan, which was its first-ever non-LIHTC forward commitment loan. The interest rate was locked at the closing of the construction loan. Forty percent of the property will be priced affordably for individuals earning an annual income of $40,000 or 60 percent of the area median income, while 35 percent will be set aside for individuals earning about $55,000 per year. The remaining units will be priced slightly below the current market value. The Greater Minnesota Housing Fund also contributed $3.4 million for the development. The monthly rent is expected to be $1,150 for a two-bedroom unit. Real Estate Equities was the borrower.
MAPLE GROVE, MINN. — The Opus Group has broken ground on a 204,000-square-foot industrial building in Maple Grove. The project, known as Arbor Lakes Corporate Center, is a collaboration between Opus and Inland Development Partners. The 13-acre site will first undergo environmental remediation to fully remove existing landfill and environmental pollutants from the former disposal and waste transfer site. The building will feature a clear height of 28 feet, 32 docks and two drive-in doors. Construction is slated for completion in late 2019. Chris Hickok and Dan Larew of JLL will market the property for lease.
ROCHESTER, MINN. — Monarch Investment & Management LLC has acquired The Gates of Rochester, a 413-unit apartment property in Rochester. The purchase price was not disclosed. Built in 1973 and situated on 22 acres, the property features 42 buildings. Keith Collins, Abe Appert, Ted Abramson and Ike Hoffman of CBRE represented the seller, Rochester Village Investors LLC.
