Fraser has closed on the purchase of the long-vacant Slumberland store at 7801 S. Xerxes Ave in Bloomington and plans to turn the roughly 35,000-square-foot building into a regional hub for autism, mental-health and employment services. Construction and renovation work are slated to begin this month, with Fraser projecting the project will wrap in 2027. The acquisition brings a large, highly visible former retail shell back to active use after Slumberland moved to a nearby Southtown location in 2025.
Fraser's statement and plans
In a statement to Bring Me The News, Fraser President & CEO Diane S. Cross said, "Our new Bloomington location positions Fraser to provide even more quality services to our community." The organization says the site will house all Fraser Bloomington clinical services, along with career planning and employment services. The nonprofit added that construction, renovation, and remodeling will start this month and are expected to wrap up in 2027, per the announcement.
Financing and timeline
According to the City of Bloomington, Fraser sought host approval and consent to issue revenue bonds or other obligations to finance the acquisition, renovation and equipping of an approximately 35,000-square-foot facility at 7801 Xerxes Ave. The notice states the obligations would not be a charge against the city's general taxing power and estimated a peak financing need near $9 million.
Building history and size
According to Finance & Commerce, the Xerxes property is an early-1990s big-box building listed at roughly 34,600 square feet. The retailer vacated the space after moving to a larger spot at Southtown Shopping Center in 2025, as reported by the Minneapolis / St. Paul Business Journal.
About Fraser
Fraser traces its roots to a school founded in 1935 and today describes itself as a provider of autism, mental/behavioral health, disability, housing, education and employment supports across the lifespan, according to Fraser's website. The organization operates multiple clinical and community locations around the Twin Cities and says the Xerxes site will centralize its Bloomington services.
What comes next
Renovation and remodeling work are slated to begin this month with a 2027 completion target, the nonprofit said in its announcement. City documents emphasize that the financing structure will rely on Fraser's revenues rather than city taxes, and residents should expect permitting notices and public updates as work moves forward.
Local impact
The purchase reactivates a high-profile retail corner near I-494 and concentrates clinical and job-training programs under one roof for Bloomington residents. Neighbors and stakeholders will likely see contractor signs and permit postings in the coming weeks as the site is readied for its new life.
