Cincinnati Office Portfolio Trades for $78M – Commercial Property Executive
400 Oak St. and 2905 Vernon Place. Image courtesy of JLL
Azora Exan has acquired a pair of Cincinnati office buildings affiliated with Cincinnati Children’s Hospital from 90 North Real Estate. Public records show the two assets traded for a total of $78 million. JLL Capital Markets represented both the seller and buyer and arranged financing for Miami-based Exan.
According to the Hamilton Country recorder of deeds, the two properties, as well as a third, were subject to a $50 million loan issued in mid-January, issed by Abanca USA, also based in Miami. The third building, 401 E. University Ave., is located right next to the Children’s Hospital office campus.
The Class A office complex, which comprises 400 Oak St., known as Vernon Manor, and 2905 Vernon Place, also called Offices at Vernon Place, totals 303,130 square feet and is fully leased to Cincinnati Children’s Hospital Medical Center through 2032, with extension options for two five-year terms. The seven-story, 156,000-square-foot 400 Oak St. was originally built in 1924 as a luxury hotel. The property underwent renovations in 2011 after closing as a hotel in 2009. The 147,130-square-foot 2905 Vernon Place, which was completed in 2017, stands at four stories.
A JLL team including Senior Managing Directors Jaime Fink and Bruce Miller, alongside Senior Directors Sam DiFrancesca and Patrick Shields, advised 90 North. The JLL Capital Markets debt advisory team advising Exan on the debt financing was led by Senior Managing Director Keith Largay and Director Lucas Borges.
Fully leased Cincinnati office campus
Both properties are fully leased to the Cincinnati Children’s Hospital Medical Center for administrative functions and non-clinical uses and are situated near the hospital’s network of clinical campuses.
The buildings, located within the 65-acre Cincinnati Innovation District, are near the city’s central business district, as well as some 15 miles from Cincinnati/Northern Kentucky International Airport.
London and Chicago-based 90 North acquired the office duo for $75.3 million, in partnership with Kuwait’s KAMCO Investment Co., in 2018. The firm also owns the headquarters of Bon Secours Mercy Health’s headquarters in Cincinnati, which it recapitalized in a debt and equity deal in 2021.
