Centennial Lakes Plaza, a 198,217-square-foot retail center at 7501 France Ave. S. in Edina, Minnesota, is for sale.
Centennial Lakes Plaza, a suburban Minneapolis shopping center located in a well-established retail corridor, is on the market.
The owner, an institutional real estate investor, is shopping the 198,217-square-foot center at 7501 France Ave. S. in Edina, an affluent suburb just south and west of Minneapolis. Centennial Lakes Plaza currently is 97.8 percent leased and anchored by a Whole Foods grocery store. Other tenants include HomeGoods, Office Depot and Starbucks.
Cushman & Wakefield, the commercial real estate brokerage chosen to market the 29-year-old retail center, hopes to fetch $70 million. If so, it would best the sale of Calhoun Square in the Uptown area of Minneapolis, which is of similar vintage and size and also located in the midst of a vibrant retail district.
Calhoun Square last traded in 2014, when Minneapolis’ Ackerberg Group bought the property from BlackRock Realty for $69.5 million, according to CoStar data. A sale price of $70 million would be significantly more than TA Realty paid for Centennial Lakes Plaza, which it bought in 2006 for $48.7 million, and more than 40 percent higher than the market value assigned by Hennepin County: $49.1 million for taxes payable in 2019.
A premium is worthy given the center’s healthy tenant roster and location, said Leah Maurer, a Cushman & Wakefield broker in Minneapolis who is working on the sale.
Centennial Lakes Plaza is on France Avenue, a well-established retail corridor with two other major malls, The Galleria and Southdale Center, that is bounded on all sides by major highways and interstates. The area has the Twin Cities’ second-highest daytime population, with a density of about 120,000 from 9 a.m. to 5 p.m.
The center is also uniquely positioned in that it is part of a 100-acre development, also named Centennial Lakes, that was on the forefront of the live-work-play ethos that is de rigeur today.
When Minneapolis’ United Properties spearheaded construction, from 1988 to 2000, Centennial Lakes Plaza was one of the first structures to be built. Today the overall development includes housing, a five-building business park, and medical center. A 24-acre park with a network of ponds and canals are used for paddle boating in summer and ice skating and Norwegian sleigh rides during winter.
CORRECTION: An earlier version of this story named Boston-based TA Realty as the owner of Centennial Lakes Plaza.