GDSNY Secures $90M Green Loan at 1245 Broadway

Corem AB and GDS Development have closed a $90 million loan on their trophy office tower at 1245 Broadway with German bank Deutsche Pfandbriefbank AG (pbb), one of Europe’s leading real estate financing institutions. Newmark’s Debt & Structured Finance team secured the loan on behalf of ownership. The low-leverage take-out facility will include financing current and future tenant fit-outs for the 200,000-square-foot tower in NoMad.

1245 Broadway is a 23-story Class-A office building at the corner of 31st Street and Broadway in NoMAD. Designed by Owings & Merrill and developed by GDSNY, the building features architectural cast-in-place concrete, large triple-glazed windows, a private club, food and beverage catering to tenant floors and panoramic views of the city. The building has received LEED-Gold certification and offers the latest touchless technology and air quality.

The financing qualifies as pbb’s first Green Loan in the United States, having launched the product in this region at the start of the year. With Green Loans, pbb finances for its customers the purchase or recapitalization of commercial properties that meet strict environmental criteria and investments in the sustainability of existing properties. For this purpose, the bank has developed a proprietary scoring model that considers ten criteria in the three categories “energy efficiency,” building certification” and “other sustainability factors.” 1245 Broadway scored high in all categories.

Notable tenants include A24 Films, the TV production company 101 Studios (owner of the Yellowstone franchise), international gaming designers Avalanche Studios, global digital advertising firm GumGum and Wonderview Studios, a film and TV production company.