KBS Growth & Income REIT to Buy Historic Chicago Office Property for $44 Million

KBS Growth & Income REIT Inc., a publicly registered non-traded real estate investment trust, signed an agreement to purchase 213 W. Institute Place in Chicago, Illinois for $43.5 million plus closing costs, according to a filing with the Securities and Exchange Commission.

Built in 1908 and renovated earlier this year, the 7-story Class A office building totals 157,000 square feet and sits on approximately 0.5 acres of land. The property is approximately 91 percent leased to 38 tenants with an average remaining lease term of five years.

The REIT paid a $1.5 million earnest money deposit to purchase the property and intends to fund the purchase with proceeds from its terminated private and public offerings and from an existing term loan from an unaffiliated lender.

KBS Growth & Income REIT terminated its public offering, effective June 30th, to prepare for and market an online private offering to accredited investors.

KBS Growth & Income REIT was formed in January 2015 and has raised a combined $84.7 million in its private and public offerings, the latter of which commenced in April 2016. The company currently owns three properties with an investment cost of $136.8 million, according to Summit Investment Research.

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