The Minneapolis design center International Market Square has been sold for nearly $29 million.
The facility, which has more than 100 design showrooms and galleries, was sold last week to a partnership that includes Minneapolis-based Eagle Ridge Partners as well as an unnamed family office and a group of local investors.
The sale includes the complex’s approximately 374,000 square feet of commercial space, the upper three levels of the adjacent parking ramp and two nearby surface parking lots, according to a news release. The group paid just under $85 per square foot.
The International Market Square, located off the corner of Glenwood Avenue and W. Lyndale Avenue N. near Interstate 94, also has condos, but those were not included in the acquisition.
The development was built in 1905 as six separate buildings and served as the headquarters for union suit maker Munsingwear Inc. for 80 years before it was renovated and became International Market Square. The complex currently features a large atrium that connects the individual buildings. The complex is also listed on the National Register of Historic Places.
The property is 94 percent occupied with mostly designers, but D’Amico runs its catering business out of the complex.
“The acquisition is a long-term investment strategy for the partnership, which recognizes the historical significance of the asset and will continue to operate the property predominantly as a destination for design and design-related firms,” Eagle Ridge said in a release.
The group plans to upgrade the complex with enhancements of its common area amenities to “help generate new energy throughout the building and create brand awareness for both tenants and the landlord as development continues along the Glenwood Corridor,” according to the release.
Milwaukee-based Greywolf Partners will continue to co-manage the property along with Eagle Ridge.
International Market Square was purchased from a group of tenant-in-common investors managed by Greywolf Partners. Tom O’Brien of Cushman & Wakefield/NorthMarq negotiated the sale on behalf of the sellers. Kristin Myhre, Caroline Gagne and Shannon Van Gemert of Eagle Ridge Partners represented the buyers.