Macy’s sells Minneapolis store

The final clearance sale is already underway at Macy’s store in downtown Minneapolis.



Macy’s Inc. has officially completed the sale of its Minneapolis property to 601W Companies for $59 million in cash. The store is expected to close this spring.



The department store retailer will record a gain for the property of approximately $47 million in first quarter 2017. The gain was originally anticipated and included in 2017 earnings guidance previously provided by the company.



601W Companies is planning a major mixed-use redevelopment for the historic building, which is located at 700 Nicollet Mall.



“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. “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.”



The original location opened as a Dayton’s store in 1902 and was expanded several times until 1945. The store was renamed as Marshall Field’s in 2001. Marshall Field’s was acquired by The May Department Stores Company in 2004 which, in turn, was acquired by Macy’s, Inc. in 2005. The Marshall Field’s nameplate was changed to Macy’s in September 2006.