One of KC's Largest Office Buildings Changes Hands

KANSAS CITY, MO-Two Pershing Square, one of Kansas City’s largest multi-tenant office buildings, has been sold to a pension fund advised by TA Associates Realty. The building, which is nearly completely occupied, has more than 514,000 sf of space.

The property was sold by Trizec-Hahn Corp. It was the last holding in Kansas City for the Toronto-based company. Four years ago, the same pension fund purchased the sister building, One Pershing Square at 2301 Main St. Blue Cross and Blue Shield of Kansas City lease more than 160,000 sf in One Pershing Square and more than 120,000 sf in Two Pershing Square. Other large tenants in Two Pershing Square include the Blackwell Sanders Peper Martin law firm, which occupies 122,000 sf; HealthNet preferred provider organization, with 87,000 sf; and Birch Telecom Inc., with approximately 75,000 sf.

Two Pershing Square is located in an up-and-coming district. The Freight House District, just north of Science City at Union Station, is fast becoming home to art galleries and trendy restaurants. Crown Center, a couple of blocks south, is also undergoing change. A new office building recently opened at 23rd and McGee streets and the law firm of Shook Hardy & Bacon plans to build a high-rise office building in Crown Center within the next three years. All together, there is nearly 3 million sf of office space in the Crown Center area. The occupancy rate for class A properties is about 97%.