NORFOLK, Va. — Norfolk's Economic Development Authority announced it has sold a redeveloped office building located at the old Military Circle Mall.
The fully-leased 824 Office Building has been sold to MPB for $20 million, the city announced Thursday.
It's quite a turnaround for the property, which was once the mall's JCPenney department store. The EDA bought the building for $2.3 million in 2014 and redeveloped into a 200,000 square-foot modern office space.
The EDA says that as part of the sale, the buyer will work with them to enable a successful redevelopment of the mall property and help create a mixed-use district in the corridor.
"The sale of the 824 Office Building to MPB is another critical development as we lay the groundwork for the transformation of this emerging corridor," Norfolk Mayor Kenny Alexander said in a news release.
The sale comes after the city bought the remainder of the mall -- currently named the Gallery at Military Circle -- for $11 million back in May. The EDA also purchased the neighboring, dilapidated former Doubletree Hotel for $2.4 million.
According to the city, the most recent property assessment for the mall site was $41.1 million.
"This sale provides the EDA with additional liquidity, places the property back on the tax rolls, and will continue to support the City’s efforts to redevelop this corridor bringing new jobs and quality new development while increasing the City’s tax base," said EDA Executive Director Jared Chalk. "We will continue to be aggressive in our redevelopment efforts of this important area."