Tempus Realty Partners has acquired Excelsior Crossings, a two-building Class A office campus in Hopkins, Minnesota, for $66 million.
The property totals 546,548 square feet and is 98% leased. It is located along the I-394 corridor in the Twin Cities office market.
U.S. Bank fully occupies one of the two buildings and accounts for 54% of the campus’s total square footage.
The second building houses four additional tenants, with each using the property as a global or regional headquarters: Element Fleet Management Corporation, Digi International, Michael Foods and Sovos Compliance.
The two seven-story buildings are LEED Gold certified and sit on more than 20 acres centered around a lake.
Amenities include covered parking, heated sidewalks, a fitness center and cafeteria. More than $1.4 million of capital improvements have recently been completed at the property.
Tempus said the combination of high occupancy, credit-quality tenants and the acquisition basis created an opportunity to gain exposure to a segment of the Class A office market it believes is recovering.
The transaction expands Tempus Realty Partners’ national portfolio of office and industrial properties.
Founded in 2016, the Little Rock, Arkansas-based real estate investment firm has acquired more than $1.2 billion of property across 26 states.
KEY QUOTES:
“Excelsior Crossings is a true institutional campus, and it shows the moment you walk in. From the lake and courtyard at its center to the fitness center, cafeteria, and heated sidewalks that keep the campus functioning through a Minnesota winter, every detail here was built for tenants to stay long term.”
Isaac Smith, Partner of Acquisitions at Tempus Realty Partners
“Excelsior Crossings is an impressive, well-located asset with a roster of credit-rated tenants, and our attractive basis positions investors for strong upside. We’re excited about this opportunity, and we believe it capitalizes on the strong, niche recovery we’re seeing across Class A office.”
Clay Ramey, Partner and Vice President of Capital Markets at Tempus Realty Partners
