CBRE Arranges $33.27 Million Sale of 249K-SF Industrial Logistics Center in Twin Cities’ North Metro Area

CBRE has arranged the sale of Gateway Interstate Logistics Center, a 249,740-square-foot industrial facility in Arden Hills, to St. Louis-based Altus Properties for $33.27 million.

Judd Welliver, Michael Caprile, Ryan Bain, Zachary Graham, Bentley Smith, Joseph Horrigan and Victoria Gomez with CBRE National Partners represented the seller, Indianapolis-based Scannell Properties, in the transaction.

Located at 4200 W. Round Lake Road, the property was built in 2022 and is fully occupied by Colder Products Company and Delkor Systems Inc. The facility features 24.7% office finish, 28-foot clear heights, a surface lot with 363 parking spaces, an ESFR sprinkler system and heavy power.

“Gateway Interstate’s high-quality tenants and long-term durable cash flow drew interest from a variety of institutional investors,” said CBRE’s Welliver. “The property’s net operating income and the submarket’s high barrier to entry amid limited new supply resulted in a successful exit for the seller and a strong investment for the new owners.”

Situated in the northeast corner of the I-694 and I-35 West interchange, the property is well suited for last-mile delivery to accommodate the metro’s large millennial population. The facility offers tenants quick access to multiple major transportation arteries, retail amenities and services providers, and an abundant labor force.

The Minneapolis metro’s industrial sales volume totaled $235 million in the third quarter of 2023, according to CBRE Research. The quarter’s sales were predominantly for warehouse properties representing 54% of the total sales volume.