As construction continues on the Penn & American redevelopment project in Bloomington, Minn., the mixed-use development reached the 40-percent-leased mark in late April thanks to the additon of two restaurants to its retail portion.
United Properties recently signed the fast-casual restaurants Moe’s Southwest Grill and Which Wich Superior Sandwiches as part of the first phase of the Penn & American redevelopment, a $45 million project that will include 234 rental units and more than 14,000 square feet of retail.
United Properties and StuartCo, along with the Bloomington Housing and Redevelopment Authority and the city of Bloomington, are working together on the project.
Brandon Champeau, development manager for United Properties, told Minnesota Real Estate Journal that the Penn & American project is expected to open Aug. 1 at the southeast corner of Penn Avenue and American Boulevard.
Selling the benefits of the property — which Champeau says include a strong location at a busy intersection in Bloomington and proximity to office workers eager for nearby retail and residential options — has become easier now that United Properties can show possible tenants actual buildings rising from the site.
This is especially true for a project the size of the Penn & American redevelopment, one that features everything from housing and retail to underground parking.
“We have had interest in this project for years. We’ve been marketing it since 2005. But it’s been pretty obvious that it’s much easier to market new development and construction when you can actually see new buildings in front of you,” Champeau said.
Moe’s Southwest Grill will open a 2,600-square-foot fast-casual restaurant that will be the chain’s first in Minnesota. The Atlanta-based chain is known for its made-to-order burritos, salads and quesadillas. It plans to bring five new restaurants to the Minneapolis area within the next three years.
Lonnie Pierce of Meridian Real Estate Group represented Moe’s, while landlord United Properties was represented by Jim Larson and Peter Armbrust, both with Cushman & Wakefield/NorthMarq.
Which Wich signed a lease for 1,800 square feet, which will be its fourth location in the Minneapolis/St. Paul area. The Dallas-based restaurant chain was represented by Jen Helm while landlord United Properties was represented again by Larson and Armbrust.