KBS Strategic Opportunity REIT II Terminates Advisory Agreement with KBS Capital Advisors

October 1, 2019 | SEC

On October 1, 2019, the independent directors of the board of directors of KBS Strategic Opportunity REIT II, Inc. delivered a notice to KBS Capital Advisors LLC terminating the advisory agreement between the Company and KBS Capital Advisors dated as of September 26, 2019.

Pursuant to the Advisory Agreement, KBS Capital Advisors managed the Company’s affairs on a day-to-day basis. Upon termination of the Advisory Agreement, which will become effective on October 31, 2019, KBS Capital Advisors will cease to serve as the Company’s advisor or have any advisory responsibility to the Company. After termination, KBS Capital Advisors will have an obligation to cooperate with the Company in making an orderly transition of the advisory function and will be entitled to receive all amounts then accrued and owing KBS Capital Advisors.

The Board intends to hire Pacific Oak Capital Advisors LLC (“Pacific Oak”) as the Company’s new external advisor, effective as of November 1, 2019, pursuant to a new advisory agreement expected to be on substantially the same terms in effect for KBS Capital Advisors under the prior Advisory Agreement. Pacific Oak is part of a group of companies formed, owned and managed by Keith D. Hall, the Company’s Chief Executive Officer and one of its directors, and Peter McMillan III, the Company’s Chairman of the Board and President and one of its directors.

Source:  SEC