Opus Group Sells Minneapolis Office Building
The property previously served as a Target campus.
Real Capital Solutions has paid $34 million for 3701 Wayzata Blvd., a 309,000-square-foot office building in Minneapolis, Minneapolis/St. Paul Business Journal first reported. The Opus Group sold the asset.
The building, which originally served as Prudential’s headquarters campus, previously traded in December 2018. The Opus Group acquired it from Target, according to Yardi Matrix, for $22.1 million.
The giant retailer used to occupy the 10-story building, also previously known as The Target West, before deciding to move its operations to Brooklyn Park, a suburb within the same metro. After that, Opus implemented a renovation and repositioning plan that finished in 2019. At the time of the current sale, the property was 99 percent leased, with tenants including Tactile Medical, Regis and MOBE.
READ ALSO: At Midyear, CRE Finance Is Stable Amid Volatility
The 1953-completed building is within Minneapolis’ Urban West End neighborhood, close to Interstate 394 and The Shops at West End. Central Minneapolis is within 4 miles away.
The Class A property has floorplates averaging 20,570 square feet and 1,315 parking spaces. Amenities include conference facilities, a fitness center, golf simulator and a café, as well as an outdoor patio.
CBRE Executive Vice Presidents Ryan Watts and Thomas Holtz, Senior Vice President Harrison Wagenseil and Investment Sales Manager Cynthia Fenn were part of the team that represented the seller, according to Minneapolis/St. Paul Business Journal.
Twin Cities office prices remain below national average
Twin Cities’ office investment volume year-to-date as of April clocked in at $377 million, according to a Yardi Matrix office report. Assets in the market traded for $177 per square foot on average, well below the $214 national average, but above nearby Chicago ($107 per square foot).
At the beginning of the year, Onward Investors acquired Ameriprise Financial Center, a 31-story office building within Minneapolis’ central business district. The property traded for just $6.3 million, a nearly 97 percent discount from its previous sale price in 2016.
You must be logged in to post a comment.