CINCINNATI — U.S. Bank has sold its downtown office building at 425 Walnut near Fountain Square, a move that’s likely to increase vacancy rates in Cincinnati’s central business district.
Atlanta-based Crescent Investment Group purchased the 27-story office tower on April 30, according to a statement provided to WCPO 9 on Friday. The bank plans to lease “a significant portion” of its current space and might relocate office jobs to a facility at Lunken Airport.
“We have a long history in Cincinnati and are proud to be part of the downtown community,” wrote US Bank spokesman Jeff Shelman. “As part of our work to ensure our office space is meeting employee, customer and business needs while maintaining efficient use of our real estate footprint, we have decided to sell U.S. Bank Tower. There are no job reductions associated with this transaction.”
In a separate email to bank employees, Chief Transformation Officer Mark Runkel said the new owners have agreed to keep the bank’s name on the building and make new investments in the property.
“We will work with local leaders to determine the best long-term use of our space in the Cincinnati market,” Runkel wrote. “Some team members might move into new spaces in the Walnut Street building or be reassigned to other nearby buildings. We expect the new owner will invest in building improvements to enhance the overall experience of those who remain at the location.”
Crescent Investment Group could not be reached for comment.
U.S. Bank’s downsizing at 425 Walnut continues a trend that has left downtown with more than 1 million square feet of empty office space in six buildings that are less than 70% full, as the WCPO 9 I-Team reported in December. Building owners have tried to fill empty space by converting buildings to residential or hotel uses, while office tenants leave older buildings for smaller spaces in properties with amenities that entice remote workers to return to the office.
That trend also impacted the U.S. Bank building in January, when Taft Law announced plans to relocate to Great American Tower by the end of 2025. Taft will fill space vacated by MassMutual Ascend, which relocated to the GE building at The Banks in 2022.
It isn’t clear how the U.S. Bank downsizing and Taft’s departure will impacted the vacancy rate of the 562,000-square-foot building. But a leasing brochure for the property indicates the building currently has only 46,000 square feet available, which means it’s more than 97% full.
