Fairbridge Properties sold a 261,805-square-foot flex industrial/research and development facility at 8840-8880 Evergreen Boulevard in Coon Rapids, Minnesota.
Through improved physical and financial efficiencies of the asset, Fairbridge realized an internal rate of return of 75 percent.
Occupied by longtime tenants Honeywell Aerospace and MEDRAD, the facility now benefits from a number of physical improvements that Fairbridge made since assuming ownership in 2013. These include repainting the entire exterior of the building, replacing the windows, resurfacing 296,384 square feet of the parking lot, retrofitting the parking lot lighting, replacing a number of RTU HVAC units, and implementing an ongoing yearly preventative roof maintenance program.
Only 13 miles from downtown Minneapolis, the property is located next to a regional mall as well as multiple shops and restaurants. To capitalize on its desirable location and the market’s low vacancy rate, last July Fairbridge unveiled plans to develop an additional 86,764-square-foot research and development facility, built-to-suit, on the same property.
Fairbridge sold this facility as part of a 1031 exchange, and the company is in the process of identifying a new investment to complete the exchange.
The property was managed for Fairbridge Properties by Tim Jackson at Colliers International in Minneapolis-St. Paul.