Old National Bancorp Closes $69 Million Sale Leaseback on HQ Campus in IN

SEC Edgar Database - December 22, 2006

Old National Bancorp (the 'Company') and its subsidiaries, Old National Bank and Old National Realty Company, Inc. has entered into a sale leaseback of three office buildings located in Evansville, Indiana. SunTrust Equity Funding, LLC is the sole member of each Buyer. The purchase price is $69,366,525 for the property located at One Main Street, Evansville Indiana (which serves as the Company's headquarters), $2,817,397 for the property located at 123 Main Street, Evansville, Indiana, and $6,797,600 for the property located at 101-105 NW 4th Street, Evansville, Indiana.

The closing of the sale of the Property occurred on December 21, 2006. Under each of the Lease Agreements, Old National Bank has the right at its option to extend the term of the lease for four additional successive terms of five years each, upon specified terms and conditions.

Old National Bank is obligated to pay (on a monthly basis) base rent in the aggregate annual amount of $6,550,469 (8.29% of the purchase price)to the Buyers under the Lease Agreements through December 31, 2029; no rent is payable for the final two years of the initial 25-year term. For financial reporting purposes, the rent will be expensed ratably over the 25-year term at an annual rate of $6,026,431 (7.63% of the purchase price.) Sphere: Related Content