City Office REIT, Inc. announced that it has completed the first closing in the sale of its Phoenix portfolio for gross sale proceeds of $266 million. The sale represents six of the Company’s seven properties located in Phoenix. The Company’s Pima Center property continues to be under contract at a $30 million gross sales price. Pima Center is expected to close at a later date, subject to the Company obtaining certain approvals related to the property’s ground lease.
The sale transaction was previously announced in a press release and in a filing made by the Company on Form 8-K on July 24, 2025. The completion of this first closing of the Phoenix portfolio satisfies a closing condition in the merger agreement, dated July 23, 2025, between the Company and MCME Carell Holdings, LP and MCME Carell Merger Sub, LLC (the “Merger Agreement,” and the merger contemplated thereby, the “Transaction”) requiring the sale of certain Phoenix properties as more thoroughly described in the filing made by the Company on Form 8-K on July 24, 2025.
