BPG Properties has acquired Interchange Office Park, a prominent piece of Twin Cities commercial property, for $86 million ( €67 million). It plans to pump $10 million into improving the common areas of the 936,000 square foot complex and change the property’s name to Metropoint, the Center for Business.
The move represents BPG’s entry into the Minneapolis market. The firm already has a presence in the Midwest via investments in Chicago, St. Louis, Indianapolis, Kansas City, Cleveland, Columbus, Cincinnati and Detroit, in addition to other investments around the country.
In addition to overhauling the public spaces, BPG has retained Minneapolis-based architects Shea Inc. to develop a master plan for the redevelopment, which will include landscaping, elevator and HVAC upgrades, tenant suite improvements, additional fitness and conference centers, improved dining facilities and convenience retail.
“Our intention is to have Metropoint quickly become the premier choice for tenants looking for well located office space in a high-quality, amenity-rich business campus,” Joseph Neverauskas, head of BPG’s Midwest office, said in a statement.
BPG Investments Partnership VII has total commitments of $550 million and is the real estate investment manager for Phildelphia-based Berwind Property Group, which is its lead investor.
The office park, which consists of four buildings spread over 20 acres, sits at the northwest corner of the intersection of two major highways Interstate 394 and Highway 169, directly across from the world headquarters of General Mills. Major tenants include Wells Fargo, Prudential Financial, Epicor, Allianz Life Insurance and Corporate Benefit Services of America.
Locally-based Northstar Partners has been tapped to take over the leasing, while Cushman & Wakefield’s Minnesota arm will handle on-site property management.