Office Landlord Becomes First REIT To Raise Money Through Israeli Bonds
KBS Strategic Opportunity, a non-traded REIT, has filed paperwork to become the first US REIT to tap into the booming Israeli bond market. Forming a new subsidiary, the company looks to raise between $100M and $150M.
The REIT plans to use the money to fund operations, buy new assets and upgrade existing ones, CoStar reports. If there's anything left over after that, the company says it could "acquire holdings of assets to be transferred into partners."
As of Q3 last year, the KBS SOR portfolio—mostly offices, residences and investment properties—included 20 properties with 47 buildings, totaling 4.74M rentable SF at a $1.5B value.
Its biggest asset is Manhattan's 110 William St, a 928k SF Class-A office building, which it picked up in April '14 for $261M. (It's since appreciated to $405.7M, according to the filing docs.) [CoStar]
