Real Estate Transaction: Northwest Athletic Club

Property: 11 Northwast Racquet, Swim and HEalth Clubs based in various locations in the suburban areas. The company operates eight multi-purpose facilities which include swimmming pools, aerobic and cardiovascular facilities , tennis and other racquet courts, weight training and other facilities. The company also operates four tennis-only facilities. *see table below for property details*

Buyer: Starmark NW Realty LLC c/o Club Sports International

Seller: Northwest Racquet & Swim Health Club

Source: Finance and Commerce

Sale Date: March 6, 1997

Sale Price: $56,949,000 including $1,000,000 paid Personal Propetry

Unit Price: $44.82/sq. ft.

Net Rentable Area: NA

Gross Building Area: 1,270,535 sq. ft.

Zoning: NA

Utilities: NA

Topography and Soil: NA

Visibility and Access: *see table below*

Age: *see table below*

Land Size: *see table below*

Property	Address	City	Year Built	Gross Building Area	Land Size
1	6701 W. 78th St.	Bloomington	1973	105,342	308,196
2	1001 W. 98th St.	Bloomington	1978	97,400	379,680
3	4001 Lake Breeze Ave.	Brooklyn Center	1986	107,958	435,734
4	1460 Burnhaven Dr.	Burnsville	1980	174,551	631,184
5	6233 Baker Rd.	Eden Prairie	1987	169,719	55,390
6	6950 Xerxes Ave S.	Edina	1966	35,272	68,012
7	7300 Bush Lake Rd.	Edina	1971	55,868	174,281
8	1200 E. Moore Lake Dr.	Fridley	1991	216,434	602,700
9	1201 S. Ford Rd.	Minnetonka	1971	53,811	100,219
10	5525 Cedar Lake Rd.	St. Louis Park	1973	225,222	454,469
11	1621 Vernon Ave. S.	St. Louis Park	1976	28,958	154,424

Remarks: The buyer is a Denver health club, Club Sports International, and two private funds. The existing Arena Club in downtown Minneapolis is not part of the real estate transfer. Approximately $7.5 million was paid for the business value and other fees in addition to the stated purchase price. The existing revenue in the clubs is reportedly $40 million annually. Annual membership at time of the sale was approximately 44,000 members. The sale was reportedly transacted to satisfy a large bank debt. The total sale price has not yet been allocated among the individual properties.

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