LOUISVILLE, KY-KBS Real Estate Investment Trust, through an indirect wholly-owned subsidiary, has paid $115 million for the National City Tower here. The company funded the purchase of the 40-story building with a $69 million mortgage loan.
The building is 96% leased to 22 tenants, such as PNC Bank, Humana and the law firms Greenebaum Doll & McDonald, and Dinsmore & Shohl LLP. The tower, sold by Meridian Realty Group, is in the city’s Main Street Corridor.
Bill Rogalla, SVP and director of acquisitions for the central region for KBS, said the firm expects to retain a strong tenant base. “Clearly one of downtown Louisville’s few truly iconic office towers, National City Tower represents another landmark asset for the KBS REIT II portfolio,” he said in a statement.
The building was known as First National Tower after its signature tenant, First National Bank, as was renamed National City Tower when First National was acquired by National City Bank. The property is at 101 S. Fifth St., bounded by Fourth, Fifth, Market and Main streets.
He said the building is the first Kentucky property for the company. KBS-affiliated companies have added more than 6.2 million square feet of commercial real estate in 2010, including the 31-story Granite Tower in Denver for $149 million and the 60-story 300 N. LaSalle building for $655 million in Chicago.
© Touchpoint Markets, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to asset-and-logo-licensing@alm.com. For more inforrmation visit Asset & Logo Licensing.