The selling price on the Macy's store in downtown Minneapolis was $59 million in cash.
Macy's Inc. said Wednesday it completed the sale to 601W Cos., a New York real estate investment firm. The longtime department store location on Nicollet Mall will be redeveloped into office and retail space after it closes this month.
"As a part of our overall real estate strategy, Macy's has been investigating the best possible use for this property, especially given the large amount of unproductive and unused space on the upper floors," said Jeff Kantor, Macy's chief stores officer, in a statement. "We have talked with a wide variety of partners in pursuit of a plan that would create the most value for the company and the community, and are pleased that the new owner intends to invest substantial capital to repurpose the building."
In January, Macy's publicized it plans to close the store and almost 70 other locations across the country after it reported weak sales.
The store's closure in late March will signal the end to more than a century-long history of department stores at the site at 700 Nicollet Mall that many Minnesotans still nostalgically remember from its time as a Dayton's department store.
The property was rebranded as Marshall Field's in 2001 and Macy's in 2006.
Currently, Macy's has been using only about half of the 1 million square feet of the three buildings that make up the property.
601W Cos. has not provided details about the renovations of the store though it has met with city representatives. The complex reportedly has significant asbestos issues that would need to be remediated before construction could begin.