Metro Shopping Plaza sold in $3.6 million deal. A $45 million development is planned
After months of speculation, a Memphis developer has purchased the Metro Shopping Plaza located on E.H. Crump Blvd. with plans for a major development.
T.J. Kebede confirmed Tuesday that his father, Fasil Kebede, purchased the property through Beruk Properties Inc. Fasil Kebede is the founder of Beruk Construction Inc., a general contractor in Tennessee and Mississippi, and has been involved with the construction and renovation of convenience stores, houses of worship and residential lots.
Now, the organization hopes to, after tearing down the shopping plaza, build around 100 apartment units, a 30,000 square-foot grocery store and other retail spaces. The current price tag for the whole development is $45 million. Beruk Properties is currently in talks with possible retail tenants, T.J. Kebede said.
“The whole reason for this development is to provide quality for that community, quality shopping, quality living and just an all-around nice property that will be right there fronting Crump, right by Downtown,” T.J. Kebede said. “They really need that.”
The plaza, which opened in 1970 and was once a hub of Black business, has fallen into disrepair as the neighborhood has experienced neglect. The property is included in the designated South Memphis/Soulsville tax-increment-financing area and has over the last year drawn the attention of not just Beruk Properties, but also Shelby County Government.
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In March, Shelby County commissioners rejected a plan to purchase the plaza for $3.5 million. At the time, Jeffrey Higgs, executive director of the South Memphis Renewal Community Development Corporation and LeMoyne-Owen Community Development Corporation, said he represented another possible buyer, one he would not identify.
T.J. Kebede confirmed Tuesday that Beruk Properties was the buyer working with Higgs. Beruk Properties spent $3.6 million to purchase the plaza, Kebede said.
The former owners were represented by Cathy Anderson of Crye-Leike Commercial.
But before the current building can be torn down and the new development built, the property’s current owners will begin the process of moving out.
The seller, Don and Ron Corp., also owns a beauty supply shop in the facility, which will have a closeout sale ending around September.
Angie Pak, daughter of former shopping center owner Don Pang, said it’s a bittersweet moment for her parents, who have spent 40 years in the South Memphis neighborhood, first with a corner grocery store and later with Angel Beauty Supply, but are now able to retire.
“My parents are leaving a legacy. They care about the community,” Pak said. “In selling (the property), it’s not just a sale, but our hope as a family is that these new buyers will bring life back to this part of the city.”
Katherine Burgess covers government and religion. She can be reached at katherine.burgess@commercialappeal.com or followed on Twitter @kathsburgess.
This article originally appeared on Memphis Commercial Appeal: Memphis Metro Shopping Plaza sold to Fasil Kebede for $3.6 million
