Bank of America to sell Hearst Tower, Fifth Third Center

Bank of America plans to sell the Hearst Tower.

Adam O’Daniel Finance Editor – Charlotte Business Journal

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plans to sell the iconic 47-story Hearst Tower in uptown Charlotte and lease back the space it uses in that building, the bank confirmed Wednesday, as it cuts costs at nearly every level of the company.

Charlotte-based BofA also will sell the 30-story Fifth Third Center and lease back space it uses there. The buildings are located on opposite sides of Tryon Street, between Fifth and Sixth streets. A third building in New York, 222 S. Broadway will also be sold. That structure is a former Merrill Lynch property.

The Charlotte Business Journal first reported in October that the buildings were being prepared for a sale. They are among the 10 largest office towers in Charlotte.

The Hearst Tower, completed in 2002, has 970,000 square feet of space and is Charlotte’s third-largest building. The Fifth Third Center, completed in 1997, has more than 666,000 square feet and is the city’s ninth-largest tower.

A BofA trading floor in the Hearst Tower is one of the largest in North America at three stories tall. For several years it buzzed with activity at BofA built a large capital markets presence in Charlotte. However, many of those jobs have shifted to Manhattan in recent years as BofA combined operations with Merrill Lynch.

The recently-renamed Fifth Third Center now houses a regional headquarters for Fifth Third Bank, although BofA maintains some offices there. A Fifth Third bank branch will open in the lobby later this year.

BofA declines to comment on how far along it is in the sales process or if a buyer has already been lined up.

“As our headquarters city, Bank of America has a long history in Charlotte and we expect to maintain a significant presence for years to come,” spokeswoman Kelli Raulerson says in a statement. “Real estate ownership is not a core business for Bank of America; therefore we made the decision to sell our interest in both the Hearst Tower and the Fifth Third Center. After the sale, we will continue to lease space in these properties and there will be no impact to employees.”

Adam O’Daniel covers banking and entrepreneurs for the Charlotte Business Journal.

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