|CityPlace Tower in West Palm Beach|
W.R. Berkley Corporation acquired the CityPlace Tower at 525 Okeechobee Blvd. in West Palm Beach, FL from KBS REIT II, Inc. for $150 million, or about $507 per square foot.
The 18-story, 295,933-square-foot, 5-Star office was built in 2008 on 1.2 acres in the West Palm Beach CBD submarket, at the northwest corner of Quadrille Blvd., less than three miles from the Palm Beach Airport.
The property marks the southern entrance to the City Place mixed-use project, combining 623,000 square feet of lifestyle amenities and restaurants. Built to hurricane code standards, the tower features security, valet, concierge, banking, and 860 parking spaces. It is LEED Silver certified and received an Energy Star label for operating efficiency.
At the time of sale, the asset was 94 percent leased.
The buyer financed the acquisition in-part with the assumption of roughly $71 million in existing debt held by Metropolitan Life Insurance Co.
Eastdil Secured represented the seller, while the buyer handled the acquisition in-house.
KBS, a public, non-traded real estate investment trust based in Newport Beach, CA acquired the asset in April 2011 for $126.5 million ($427 pSF). Eastdil Secured brokered this prior sale as well. See CoStar COMPS #2084842.
"City Place Tower is a recently developed asset that benefits from its high-quality construction and its location in an established mixed-use project in West Palm Beach," said Allen Aldridge, senior vice president and market leader with KBS. "This was a solid asset in KBS REIT II’s portfolio and we believe it made for an attractive investment to numerous buyers throughout this process."
Please see CoStar COMPS #3098149 for additional information on this transaction.