BofA Considering Sale of Boston Tower to Boston Properties
Bank of America (NYSE:BAC) has reportedly entered a tentative deal to sell its 37-floor skyscraper, Boston Tower, to Boston Properties (NYSE:BXP) for $600 million.
The news comes 11 days after The Boston Globe first reported BofA was considering selling the landmark building, which is located in Boston’s Financial District.
On Tuesday, the Globe cited people close to the matter and provided more specifics about the tentative transaction.
The move seems to be an effort by the bank, which has struggled under mounds of legal costs related to faulty mortgage-back securities its Countrywide arm sold to investors at the height of the housing collapse, to streamline its business, save costs and raise capital.
While a spokeswoman would not comment on this specific deal, she told the Globe that the company is considering selling buildings across the country.
In January, the bank said it would vacate the 26-story “Superman” building in Providence, where it has been located since it bought Fleet eight years ago. Two weeks ago, it announced plans to sell three high-rise buildings in New York and Charlotte, N.C., where it is headquartered.
The spokeswoman said a sale would not impact local employees because Bank of America would lease space back from the new owner.
Well-known for a bulge above its base, Boston Tower is the city’s sixth tallest building. Built in 1971 and serving for decades as the headquarters of Bank of Boston and its successor FleetBoston before being acquired by BofA, it has become a symbol of Boston’s strength in financial services.
Boston Properties, a real estate investment trust based in its namesake city, owns 53 buildings in the area, including the two tallest and more well-known office towers in Boston: the John Hancock Tower and the Prudential building.