BPG Announces Acquisition and Redevelopment of Interchange Office Park in Minneapolis
New ownership renames 936,000 SF property Metropoint, The Center for Business and plans major capital improvements
- BPG Properties, Ltd. (BPG), the real estate investment manager for Berwind Property Group, Ltd. and other major institutional investors, announced today the acquisition of Interchange Office Park, one of the Twin Cities' most recognized commercial properties, renaming it Metropoint, The Center for Business. BPG plans to invest more than $10 million in common-area capital improvements to the 936,856 SF four-building office complex. The $86 million purchase represents BPG's first investment in the Minneapolis metro area. The purchase was made on behalf of BPG Investment Partnership VII, L.P., a fully discretionary private equity fund with total equity commitments of $550 million. Thomas Holtz and Steven Buss of CB Richard Ellis represented the seller in the transaction.
BPG has engaged Minneapolis-based Shea Inc. to develop a master plan for the redevelopment which will include elevator and HVAC upgrades, refurbished public spaces, improved tenant suites, significant new amenities including new fitness and conference centers, upgraded dining facilities, a broad range of convenience retail, as well as new landscaping and park signage.
"A hallmark of BPG is the company's ability to significantly enhance the properties it purchases," said Joseph I. Neverauskas, senior vice president and head of the company's Midwest regional office. "Metropoint's current and prospective tenants will see immediate, positive changes resulting from BPG's signature, hands-on approach," he added. "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. Our vision includes creating a high-energy, efficient working environment in which businesses will flourish."
Effective immediately BPG has retained a new local leasing and management team. Cushman & Wakefield of Minnesota, Inc. will head on-site property management while Northstar Partners, an independently owned and operating member of the Cushman & Wakefield Alliance, is assuming leasing responsibilities. Jill Rasmussen, Gordon Hampson and Jason Butterfield of Northstar have been named its exclusive leasing team.
Clint Miller, president of Northstar Partners, noted that BPG's proposed capital improvement plans are indicative of recent real estate trends. "Today's desired workplace is communicative and collaborative and offers lifestyle as well as business enhancements. BPG's planned upgrades fit right in with those desires, and will bring many sought-after amenities and a new energy to this extraordinarily well-located property."
Metropoint occupies the northwest corner of the intersection of Interstate 394 and Highway 169 and is directly across from the world headquarters of General Mills Inc. in St. Louis Park, Minn. The property consists of four office buildings set on 20 acres. The complex includes a 20-story tower, one 10-story and two eight-story buildings, significant park land, and parking for more than 3,460 cars. Metropoint is currently 75 percent leased. Major tenants include Wells Fargo, Prudential Financial, Epicor, Allianz Life Insurance Company and Corporate Benefit Services of America.
About BPG Properties, Ltd.
BPG Properties, Ltd., the real estate investment manager for Berwind Property Group, Ltd. and other major institutional investors, is a Philadelphia-based privately held real estate investment firm. BPG's portfolio consists of over 20 million square feet of office, retail, student housing, hotel and industrial properties and approximately 22,000 apartment units in more than 90 communities located throughout the United States. In the Midwest affiliates of BPG own and operate properties in Chicago, St. Louis, Indianapolis, Kansas City, Cleveland, Columbus, Cincinnati and Detroit. For more information, please visit the company's Web site at www.bpgltd.com
For additional information on BPG Properties, Ltd., please contact:
Holly Reynolds, vice president, 215-575-2363
For additional information on BPG Properties, Ltd., in the Midwest please contact:
Joseph I. Neverauskas, senior vice president, 312-427-8740
For additional information on Metropoint, The Center for Business, please contact:
Brant G. Glomb, vice president, 312-673-3593 or
Kelly C. Gibbel, senior asset manager, 312-994-6380