In 1966, nationwide discount retail chain Kmart constructed a store on the property at 7501 Hickman Road in Urbandale. Real estate records show the property was purchased in 2002 by Signature Real Commercial Estate through 7501 LLC.

Kmart and Sears, Roebuck & Co. merged in 2005, forming Sears Holdings Corp. In fall 2018 Sears Holdings filed for bankruptcy. In April 2018, four months before the struggling retailer filed for bankruptcy, dozens of Kmart stores across the county were closed, including the one at 7501 Hickman Road.

The property has sat unused since then.

In recent months, Signature Commercial has worked with the city of Urbandale on putting a new front facade on the building and amending the property’s planned unit development zoning, Andy Hodges, senior vice president of Signature Commercial, wrote in an email.

According to the city of Urbandale, about $1.25 million in facade and site improvements have been done to the property.

DealPoint Merrill LLC, a California company that owns and operates value-added retail shopping center conversions and self-storage properties, recently approached Signature Commercial about acquiring the property, Hodges wrote. He wrote that the California company plans on developing an interior-controlled self-storage facility on the property.

According to real estate records, DPM Urbandale Self Storage LLC, located in Woodland Hills, Calif., bought the 11.7-acre parcel from 7501 LLC in a transaction that was recorded on Oct. 29.

The California group paid $4 million for the property, that in 2019 was valued at $2.7 million.
The parcel, which also includes 7555 73rd St., includes a 111,472-square-foot building that had been occupied by Kmart. The building is in below normal condition, according to the Polk County assessor.

“We see the sale/purchase [of the site] as a good sign for the corridor and for additional future development,” wrote Aaron DeJong in an email. “Having an out-of-state buyer acquire the [property] … shows the area has potential for future growth.”

In other real estate transactions:

JDSO Inc., based in Grimes, paid D.R.A. Properties LC $3.3 million for property at 1587 N.E. 67th Place in Polk County, records show. The 3-acre parcel includes a 48,068-square-foot warehouse constructed in 2019. The property is valued at $2 million. The transaction was recorded on Oct. 30.

SGMA Enterprises LLC paid D.R.A. Properties LC $1.47 million for property at 6166 N.E. Industry Drive in Polk County, records show. The 2.6-acre parcel includes an 18,000-square-foot warehouse constructed in 2016. The property is valued at $934,00. The transaction was recorded on Oct. 30.