Related, Oxford Land $349M Loan for 50 Hudson Yards

Related Companies and Oxford Properties Group have secured a $348.8M construction loan for the 1,000-foot-tall office tower which will opening later this year at 50 Hudson Yards.

Wells Fargo is providing what’s being called a “rehab” construction loan, since this is the second loan covering the cost of building 50 Hudson Yards.

In 2017, a consortium of banks including Wells Fargo, Deutsche Bank, Banks of China, HSBC and Sumitomo Mitsui provided a $1.5B senior construction loan for 50 Hudson Yards.

Tenants at the 58-story tower will include BlackRock and Meta, which this month disclosed it is consolidating its office footprint in the city at two sites, 50 Hudson Yards and the Farley Post office. The social media giant formerly known as Facebook announced it is terminating a 200K SF lease at 225 Park Ave.

Truist Financial announced last month that it is leasing 100K SF at 50 Hudson Yards, relocating from 711 Fifth Ave, formerly known as the Coca-Cola building.

The estimated $4B cost of building the glass-sheathed tower translates into $1,407 per square foot, which puts the building within reach of the top of the list of the most expensive skyscrapers ever built in NYC.

One World Trade Center currently wears the most-expensive crown with a completion cost of about $3.8B, but that building had some additional costs that make it unique: after the 9/11 attack destroyed the Twin Towers, the developers were persuaded to sheath the first 10 floors of One World Trade in a fortress or reinforced concrete.

If you want a metric for how much the cost of building skyscrapers in the Big Apple have skyrocketed since the Empire State Building became the world’s tallest tower in 1931, consider this: the price tag for King Kong’s favorite perch was a mere $41M.

[Okay, that’s 1931 dollars in the Great Depression, but they also put buildings up a lot faster then: Empire State was completed in less than a year—the steel beams, which were shipped directly by rail to 34^th St. from the mill in PA, were still warm from the blast furnaces when they were riveted them into place.]

Spanning an entire city block and encompassing 2.9M SF, 50 Hudson Yards will be NYC’s fourth largest commercial office tower. With large floorplates and extra-large windows throughout, the tower will be flooded with natural light, offering multiple dedicated lobbies and large amenity-laden sky lobbies.

Designed by Foster + Partners, 50 Hudson Yards will have direct access to the No. 7 Subway station and entrances on Hudson Park & Boulevard and 10th Avenue, as well as both 33rd and 34th Streets.