NEW YORK CITY-Just before the new year hit, publicly-traded REIT Vornado Realty Trust completed a refinancing of 11 Penn Plaza for $330 million on Dec. 28, the company said in a prepared statement on Jan. 3. The 23-story, 1.1-million-square-foot office building located in the center of Manhattan’s Penn Plaza district received a seven-year loan from HSBC Holdings PLC, according to data from Real Capital Analytics.
Vornado says the loan bears interest at LIBOR plus 2.35%, today 2.64%. In addition, the loan amortizes based on a 30-year schedule beginning in the fourth year. The REIT has realized net proceeds of approximately $126 million after repaying the existing loan on the property and closing costs.
Originally built in 1923, the building occupies the East Side of Seventh Avenue between 31st and 32nd Streets. It is 97% occupied, with major tenants like Macy’s Corporate and Rainbow Media Holdings Inc.
A Vornado spokesman did not return a phone call to GlobeSt.com for this article.
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