Non-Traded REIT Renews Lease With Major Tenant
KBS Strategic Opportunity REIT has signed a new lease, renting an increased amount of space to Reed Group at Westmoor Center in Westminster, Colorado.
Through its products and services, Reed Group assists organizations in addressing FMLA, ADA, state and local regulatory leaves, workers’ compensation, short- and long-term disability, and more.
As a non-traded REIT that specializes in acquiring a diverse portfolio of opportunistic investments in discounted debt and distressed equity assets, KBS Strategic Opportunity REIT acquired Westmoor Center in June 2013 for a purchase price of $86 million.
The new lease will increase Reed Group’s presence in the six-building Class A office campus by giving them a majority of the 97,000 square-foot Building 4, a two-story building within the park.
Located in Denver’s Northwest office market, Westmoor Center is close to U.S. 36 and approximately halfway between Denver and Boulder. While the REIT has made improvements to all of the buildings in Westmoor Center, it plans to renovate the lobby of Building 4 and build out the business center, which contains four conference rooms.
Westmoor Center features a variety of amenities, such as an on-site deli, showers and lockers in every building, enclosed bike shelters, open trails, the West View Recreation Center, and a golf course.
“As we continue to make improvements to Westmoor Center, we believe we’ll attract and retain more top tier companies like Reed Group,” said KBS Senior VP Shep Wainwright. “The tenants see the value in an amenity-rich environment.”
“Amenities at Westmoor Center have been designed—often around direct tenant suggestion—to provide a platform for corporate tenants to attract and retain talent. We believe these amenities have made Westmoor Center a popular choice for large companies like Reed Group,” commented Austin Fairbourn of CBRE, Inc., who represented KBS Strategic Opportunity REIT in the lease.
Formed in 2008, KBS Strategic Opportunity REIT closed its initial public offering in 2012.
As of June 30, 2014, the company owned 13 office properties, one office campus consisting of nine office buildings, one office portfolio consisting of four office buildings and 43 acres of undeveloped land. It also owned one office portfolio consisting of three office properties, one retail property, two apartment properties, two investments in undeveloped land encompassing an aggregate of 1,670 acres, one first mortgage loan, and two investments in unconsolidated joint ventures.
