Interstate Development pays $4.7M for vacant Sealy plant

Description: Vacant 93,000-square-foot Tempur Sealy mattress factory, built in 1981 on 4.06 acres at 825 Transfer Road in St. Paul

Buyer: Transfer Industrial LLC, an entity of Interstate Development, Eden Prairie

Seller: Sealy Mattress Manufacturing Company LLC, Houston, Pennsylvania, an entity related to Tempur Sealy International Inc., Lexington, Kentucky

Purchase price: $4.7 million, with a $100,000 down payment and a new mortgage

Price per square foot: $50.54

The transaction: Eden Prairie-based Interstate Development has paid $4.7 million for a St. Paul mattress factory vacant since Kentucky-based Tempur Sealy International Inc. shut the doors last fall, eliminating about 100 jobs.

Now Interstate Principals Lonnie Provencher and Eric Simmer are looking for a tenant for the 93,000-square-foot industrial building at 825 Transfer Road in St. Paul.

“It’s a great location,” Simmer said of the 4.06-acre site about one-half mile north of University Avenue. The building has eight truck docks and up to 24 feet of clear height.

Sealy workers made mattresses in the plant from its opening in 1981 until its closing in 2018. Tempur Sealy makes and sells mattresses, foundations, pillows and other products under brands including Tempur, Tempur-Pedic, Sealy featuring Posturepedic Technology, and Stearns & Foster.

Interstate Development, formerly Interstate Partners, owns and/or manages approximately 2 million square feet of space, valued at $180 million, according to its website. The partners fund their investments with their own equity as well as through numerous relationships with institutional and individual investors.

Last sale: N/A, original owner

Date of deed: 7-24-19

ECRV released: 8-12-19