Centerspace Finalizes Sale of Five St. Cloud Communities for $124 Million

Centerspace, a prominent name in the real estate sector, has announced the completion of a significant transaction involving five communities in St. Cloud, Minnesota. This deal, valued at $124 million, encompasses a total of 832 homes and marks the company's exit from the St. Cloud market.

The strategic decision to sell these properties aligns with Centerspace's broader initiatives outlined earlier in June 2025, aimed at repositioning the company's portfolio. The funds generated from this sale are set to be utilized to reduce financial leverage and cater to various corporate requirements. Centerspace's CEO, Anne Olson, spoke about how this move is part of a greater strategy to enhance the quality and diversification of the properties they oversee.

In conjunction with this sale, Centerspace has ongoing plans to sell an additional seven communities in Minneapolis, which is expected to conclude in the fourth quarter of 2025.

Olson expressed optimism regarding this transaction, stating, "Combined with our recent acquisitions in Salt Lake City and Fort Collins, this transaction activity improves the quality and diversification of our communities while demonstrating the compelling value our portfolio offers." This reflects Centerspace's commitment to creating and managing high-quality living spaces across various markets.

As Centerspace navigates through potential future sales activities, it is keenly focused on using the capital wisely, which could involve further reducing debt, investing in enhancing current properties, conducting share buybacks, or returning value to shareholders via dividends. Olson articulated a strong vision for the company's future, emphasizing the importance of recognizing the inherent value of the Centerspace brand.

The St. Cloud portfolio sale was executed with the assistance of CBRE, a key player in the commercial real estate brokerage industry, ensuring a smooth and efficient transaction.

Founded in 1970, Centerspace is devoted to offering excellent apartments while upholding integrity and community service. Presently, they manage 68 communities comprising a total of 12,941 homes spread across states like Colorado, Minnesota, Montana, Nebraska, North Dakota, South Dakota, and Utah. The company has been recognized as a top workplace for six consecutive years, as acknowledged by the Minneapolis Star Tribune in 2025.

As it advances, Centerspace remains attuned to the market dynamics and is poised to make informed decisions that enhance its portfolio while delivering value to its stakeholders. This sale is merely a part of a larger vision aimed at solidifying Centerspace's position in the competitive real estate market, while also attending to the varying needs of its residents. For more insights into Centerspace and its initiatives, visit www.centerspacehomes.com.