A unit of KBS Strategic Opportunity REIT Inc. closed on the purchase of the 428,627-square-foot City Tower office building from DOF II City Tower LLC in Orange, Calif., for $147.3 million, plus closing costs.
In connection, the unit secured a term-loan facility of up to $103.4 million, with City Tower serving as collateral.
At closing, $89.0 million of the loan was funded, with the balance available for future payouts.
The mortgage loan matures March 5, 2021, and includes two one-year extension options, subject to certain conditions.
The debt bears interest at a floating rate of 155 basis points over one-month London Interbank Offered Rate.
