Blue Cross Blue Shield of Minnesota’s Eagan HQ Sells for $60.7M
Blue Cross Blue Shield of Minnesota’s Eagan headquarters has been sold for $60.7 million, but the health insurer isn’t going anywhere: The company will continue to lease the space long-term.
Commercial real estate firm Colliers announced Tuesday the sale of two Class A suburban office buildings — River Park I and II — both occupied entirely by Blue Cross. The properties went on the market in April.
The sale comes after Blue Cross announced last year that, like plenty of other corporate tenants, it would downsize its office space as it shifted to a hybrid work model.
But “there is still plenty of liquidity for long term leased office properties with high quality tenants,” said Peter Loehrer, senior associate with Colliers, in a statement. “This transaction can be used as a ‘north star’ for landlords who are negotiating renewals for the large office users in their portfolios.”
The deal closed on Monday, according to a press release from seller Net Lease Office Properties. The real estate management company still owns three properties leased to Blue Cross.
The buildings are located at 3400 Yankee Drive and 1800 Yankee Doodle Road. Dakota County records show the properties were evaluated this year at a combined value of $25.7 million.
The press release names Arsenault Holdings, LLC, a Colorado real estate firm, as the buyer. The company is connected to Real Capital Solutions, another Colorado-based company with $1.5 billion in assets under management and led by CEO Marcel Arsenault.
Loehrer, John McCarthy, Kyle Delsarosby, and Lydia Turczyn of Colliers’s Twin Cities office represented the seller in the deal.
