KBS Closes on 300 N. LaSalle
July 30, 2010 | Staff Writer | Print Article | Email this Article
KBS Real Estate Investment Trust II (KBS REIT II) has closed on the purchase of the 300 North LaSalle office building in Chicago. The purchase of the 1.3 million-square-foot, 60-story central business district tower ranks as one of the country’s largest commercial real estate transactions in 2010.
The transaction increases the commercial real estate acquired by KBS-affiliated companies so far this year to more than 3.5 million square feet, including signature properties in Dallas, St. Louis, San Diego, Portland, Ore., and Herndon, Va., near Washington, D.C.
The 93-percent leased Class AAA tower was completed in March 2009 by the Hines organization. Tenants include Kirkland & Ellis, LLP, Chicago’s largest law firm with approximately 1,500 lawyers practicing worldwide, which occupies 687,857 square feet; the management consulting firm Boston Consulting Group, which leases 124,253 square feet; the local private-equity firm GTCR Golder Rauner, LLC; international insurance group Aviva; and law firm Quarles & Brady, LLP.
“This high-quality property, with its strong tenant credit and long-term leases, fits perfectly within our investment parameters to provide long-term cash-flow stability,” explained Rodney Richerson, president of KBS Realty Advisors’ Central Region, in a statement. “It qualifies as one of the newest and highest-quality properties built in the U.S. in recent years.”
“The building’s features, unmatched view corridors and LaSalle Street address resulted in a rapid lease-up even during the economic downturn,” added Bill Rogalla, KBS Realty Advisors senior vice president and director of acquisitions for the Central Region. “We expect the building’s Class AAA-quality and environmental attributes to contribute to significant tenant retention over the long term.”
Designed by Pickard Chilton, the LEED Gold certified building features a richly articulated glass and stainless steel facade that maximizes daylight and minimizes solar heat gain, and a half-acre sunlit waterfront public garden with direct access to the river’s edge. Other green technologies incorporated into the property include a river water cooling system, superior indoor air quality via UV emitters and HEPA filtration, and a 50-percent green roof. Onsite amenities include a conference center overlooking the Chicago River, fitness center, premium steakhouse, riverfront café and underground parking.
Glenn Whitmore, Jamie Fink and Jeff Bramson of the New York and Chicago offices of Holiday Fenoglio Fowler represented the seller in the acquisition, which closed July 29, 2010. Mike Kavanau, also with the Chicago office of Holiday Fenoglio Fowler, assisted with the placement of financing for the acquisition.
Tags | 300 North LaSalle, Chicago, KBS Real Estate, Office, sale
