Edina-based Endeavor Development will team with a California real estate investment company to develop two new buildings in Maple Grove’s Arbor Lakes Business Park.
Endeavor on Tuesday announced the joint venture with Los Angeles-based PCCP, LLC for the development of two Class A business park buildings totaling more than 443,000 square feet. It would be the second phase of development at Arbor Lakes Business Park, located near the confluence of Interstate 694 and I-494 in northern Hennepin County.
“This second phase of Arbor Lakes Business Park is a prime development site within the most active industrial submarket of the Minneapolis-St. Paul region has experienced low vacancy and high levels of demand over the past several quarters,” said Josh Budish, principal of Endeavor Development, in a statement provided by the company.
Indianapolis-based Duke Realty Corp. developed phase one of Arbor Lakes Business Park, two buildings totaling about 540,000 square feet. Phase one has been fully leased ever since Duke announced the signing of New Orleans-based Sensiva Health to a 53,000-square-foot lease in April.
Endeavor intends to construct two nearly identical buildings for phase two of the business park, each measuring around 222,000 square feet and featuring 32-foot clear heights. The Maple Grove City Council approved plans for the first of the two buildings earlier this year.
Endeavor projects a June 2022 opening for that first building, with the second following in the fall of 2023. The second building still requires city approval.
The 22-acre site of the planned development is currently owned by Tiller Corp. of Maple Grove, according to county property records. There’s no state record of a recent sale. The county pegs the market value of the parcel at just shy of $4.9 million.
The capital markets team from the local office of real estate services firm JLL arranged the joint venture. That team is led by senior managing directors David Berglund and Colin Ryan.
Leasing for Arbor Lakes Business Park phase two will be led by Dan Swartz of CBRE, according to ot Endeavor.
