MoneyGram Tower, 1600 Tower Sold to NY Firm
Duke Realty Corporation has agreed to sell two St. Louis Park office buildings- the MoneyGram Tower and the 1600 Tower-as part of a $1.08 billion deal involving the sale of 82 buildings nationwide.
The Indianapolis-based property manager announced Thursday that it has sold the buildings to New York-based private equity firm Blackstone Group. In addition to the two local buildings, the sale includes Duke's wholly-owned office properties in the suburbs of Atlanta; Chicago; Columbus, Ohio; Dallas; and Orlando and Tampa, Florida-a portfolio that has combined square footage totaling 10.1 million.
Blackstone will assume leasing and property management responsibilities for the properties. The sale is expected to close December 1.
Duke Realty said that the sale is part of a strategic plan to reduce its investment in suburban office properties, primarily in Midwest markets. Meanwhile, the company plans to increase its industrial and medical office assets.
The MoneyGram Tower and the 1600 Tower-both located at Utica Avenue South in St. Louis Park-have square feet of 235,932 and 254,142, respectively. The two buildings are located close to the retail development Shops At West End, which is also owned and managed by Duke Realty.
The nine-story MoneyGram Tower overlooking the Interstate 394/Highway 100 interchange used to be the headquarters of MoneyGram International, a money transfer company that was among Minnesota's 50 largest public companies based on revenue. The company moved its headquarters to Dallas in November 2010.
Duke Realty Corporation is among Minnesota's 20 largest commercial property managers based on commercial space managed. The company managed 4.9 million square feet of commercial space in Minnesota as of April.