MPG Office Trust Inc. has entered into an agreement with an affiliate of Overseas Union Enterprise Ltd. to sell U.S. Bank Tower and Westlawn Garage, each located in Downtown Los Angeles, for $367.5 million.
The property is 1,018 ft. tall—the tallest building in California. It has 1.4 million sq. ft. of space on 72 floors.
“U.S. Bank Tower is a well-positioned building that we expect to appeal to a broad base of both local and international office tenants operating in California,” OUE Executive Chairman Stephen Riady said in the statement.
The property is currently 56 percent occupied.
The transaction is scheduled to close on June 28, 2013, following the expiration of the tax protection period on June 27, 2013. The buyer has made a non-refundable deposit in the amount of $7.5 million. The transaction is subject to customary closing conditions. Net proceeds from the transaction are estimated to be approximately $103 million and will be available for general corporate purposes, including potential loan rebalancing in connection with the refinancing of the MPG’s upcoming 2013 debt maturities.
