Dan Gilbert company buys shops at Tower City

Posted at 9:49 AM, Mar 23, 2016
and last updated 2016-03-23 15:43:43-04

Dan Gilbert's real estate firm has acquired the shopping mall at Tower City Center, the Detroit-based company announced Wednesday.

Bedrock Real Estate Services bought the Avenue shops from Forest City Enterprises.

The final sale price was valued at $56.5 million.

The sale included the 366,000-square-foot retail center at Tower City as well as 3,000 parking spaces. The retail center is comprised of more than 100 retailers and restaurants as well as an 11-screen movie theater. 

“Over the past decade or so, we have continued to increase our investments and commitment to the long-term future of downtown Cleveland," said said Dan Gilbert, Founder and Chairman of Quicken Loans, Founding Partner of Bedrock Real Estate and majority owner of the Cleveland Cavaliers. 

"We're pleased to complete this disposition as we continue to focus our portfolio on core products and markets, and use proceeds to further reduce debt," said David J. LaRue, Forest City president and CEO. "Tower City Center was one of Forest City's first major urban, mixed-use redevelopment projects and still stands today as an example of the power of transformational real estate to improve and energize the urban environment." 

When Gilbert opened his Horseshoe Casino in Cleveland's Higbee Building it was through a long term lease, he later bought the building. He also owns the Ritz Carlton which connects to the casino through Tower City.