The building's new mortgage was provided by a bank group led by DekaBank, and Helaba, and also includes PB Capital Corp., Westdeutsche ImmobilienBank and Modern Bank, the relase states. The JV will use the funds to complete the redevelopment and the continued lease-up of the property, along with providing residual cash proceeds to the partners.
The five-year financing is at a fixed rate of 6.64% and features two, one-year extension options. It enables the JV to retire the former $175-million mortgage.
In a statement, S.L. Green CEO Marc Holliday says the refi "provides fresh evidence that there is liquidity available for high-quality borrowers and office investments in Midtown." S.L. Green and its JV partners undertook a $72-million renovation of the 1950s office tower in 2007; the result has earned awards from BOMA.
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Paul Bubny
Paul Bubny is managing editor of Real Estate Forum and GlobeSt.com. He has been reporting on business since 1988 and on commercial real estate since 2007. He is based at ALM Real Estate Media Group's offices in New York City.
