KBS Real Estate Investment Trust II Sells Office Building
September 30, 2020 | SEC
As of June 30, 2020, KBS Real Estate Investment Trust II, Inc. (“KBSII”) owned four office properties and an office campus consisting of three office buildings (“Corporate Technology Centre”). On September 25, 2020, the Company completed the sale of one office building in Corporate Technology Centre containing 76,410 rentable square feet. The property was sold for $38.3 million, or $30.2 million net of credits given to the purchaser primarily for outstanding tenant improvements, before third-party closing costs of approximately $0.7 million, and excluding disposition fees payable to the Advisor.
On March 5, 2020, shareholders of KBSII approved a plan of complete liquidation and dissolution of the Company. The plan was to provide liquidity to the Company’s shareholders by selling the Company’s assets, paying its debts and distributing the net proceeds from liquidation to the Company’s stockholders.
When the plan of liquidation was approved, KBSII estimated that, if the Company is able to successfully implement the plan of liquidation, the amount of cash that its stockholders would receive for each share of the Company’s common stock that they then held could range between approximately $3.40 and $3.83 per share.
Pursuant to this plan, on March 5, 2020, the Company’s board of directors authorized an initial liquidating distribution in the amount of $0.75 per share of common stock to the Company’s stockholders of record as of the close of business on March 5, 2020. In connection with the authorization of this distribution, on March 5, 2020, the Company’s board of directors approved an updated estimated value per share of the Company’s common stock of $2.87, effective March 5, 2020.
On July 31, 2020, the Company’s board of directors authorized a second liquidating distribution in the amount of $0.25 per share of common stock to the Company’s stockholders of record as of the close of business on August 3, 2020. The second liquidating distribution was funded from proceeds from the sale of two office buildings in Corporate Technology Centre, 100 Headquarters and 200 Holger. The Company also updated its estimated value per share of the Company’s common stock to $2.41 per share, effective August 7, 2020, to reflect the impact of the payment of the second liquidating distribution.
Source: SEC
