The following article is the sole property of the Portland Business Journal and was written by Jon Bell. To visit the PBJ website and read the original article, go HERE.

The entity that is buying the Macy’s portion of the iconic downtown Meier & Frank Building is one that already has a foothold in the Rose City.

Business Journal sources have identified the buyer as KBS, on behalf of a sovereign wealth investor, which will pay $54 million for five floors in the building.

Macy’s is closing the downtown store in the spring. The real estate deal is expected to close by the end of the fourth quarter.

KBS also owns the Commonwealth Building in downtown Portland, which it acquired for $69 million back in July. KBS made that purchase on behalf of its KBS Growth & Income REIT.

Based out of Newport Beach, California, KBS is among the largest office owners in the world, according to its web site. It owns properties across the U.S. Other holdings in Oregon include ADP Plaza in Portland and the Triangle Corporate Park III in Tigard.

Talk among commercial brokers in the area has long suggested that the downtown Macy’s space is being eyeballed for creative office, which is in high demand downtown.

“That’s a good guess,” one local broker said. “What else is it going to be? It’s not going to be a Home Depot.”

Messages left with media contacts for KBS were not immediately returned.