Franklin Synergy Bank has purchased the building housing its headquarters near downtown Franklin. The bank had previously leased the building from an LLC based in Chicago.
In early February, Franklin Synergy paid $37 million for the building at 722 Columbia Avenue. Franklin Synergy CFO Chris Black said the bank had a first right of refusal agreement with the previous landowners. The owners recently decided to sell and Black said it was a good opportunity for the bank.
“It was just normal course of analyzing the market, the situation, the impact on our company financially and otherwise,” he said. “We thought it was a very good transaction to make.”
The Chicago LLC bought the Franklin Synergy headquarters building for $31.8 million in January 2019 from a company connected to Franklin Synergy board members Henry Brockman and David Kemp.
When the company connected to Brockman and Kemp owned they building, it leased the space to the bank. A third party review determined that the lease rates where competitive.
Black said the purchase isn’t related to the recent proposed merger with Nashville-based FirstBank. FirstBank is still planning on creating an operations center and a mortgage headquarters in the Franklin Synergy Headquarters.