WASHINGTON, DC–A source tells us that Piedmont REIT's binding contract to sell Two Independence Square to a consortium of South Korean buyers including KTB Asset Management is closing. The REIT announced earlier this year that the 579,733-square foot property had been contracted to sell for a gross $360 million.
KTB Investment & Securities, Meritz Securities and Kiwoom Securities will kick in money to participate as equity investors with Meritz providing half of the amount, according to a report in the Korean Economic Daily.
The nine-story building serves as a headquarters for NASA, which will continue to lease the building for the next decade.
Piedmont REIT plans to use the proceeds from the sale to pay down its line of credit and pay off a $140 million, 5.76% mortgage, which is eligible for prepayment without penalty in August, according to comments made during the REIT's recent earnings call.
A request for comment was not immediately returned by Piedmont REIT in time for publication.
WASHINGTON, DC–A source tells us that Piedmont REIT's binding contract to sell Two Independence Square to a consortium of South Korean buyers including KTB Asset Management is closing. The REIT announced earlier this year that the 579,733-square foot property had been contracted to sell for a gross $360 million.
KTB Investment & Securities, Meritz Securities and Kiwoom Securities will kick in money to participate as equity investors with Meritz providing half of the amount, according to a report in the Korean Economic Daily.
The nine-story building serves as a headquarters for NASA, which will continue to lease the building for the next decade.
Piedmont REIT plans to use the proceeds from the sale to pay down its line of credit and pay off a $140 million, 5.76% mortgage, which is eligible for prepayment without penalty in August, according to comments made during the REIT's recent earnings call.
A request for comment was not immediately returned by Piedmont REIT in time for publication.
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Erika Morphy
Erika Morphy has been writing about commercial real estate at GlobeSt.com for more than ten years, covering the capital markets, the Mid-Atlantic region and national topics. She's a nerd so favorite examples of the former include accounting standards, Basel III and what Congress is brewing.
