Related Co. and Oxford Properties Group's 10 Hudson Yards building in Manhattan has landed a roughly $1.4 billion refinancing deal.
The deal is tied to L'Oreal USA renewing its lease at the property, according to a report from Bloomberg, citing people familiar with the situation. A group of lenders led by Goldman Sachs and Wells Fargo provided the loan. JLL was the advisor on the deal.
The 10 Hudson Yards skyscraper, which serves as L'Oreal headquarters, also has a tenant roster of SAP SE, Tapestry Inc. and Boston Consulting Group.
The move from Related and Oxford comes as the two are partnering on building another skyscraper at the nearby 70 Hudson Yards. In January, the two closed on $2.45 billion in financing that included a $1.6 billion construction loan. The 1.4 million square foot planned tower will serve as Deloitte's new US headquarters once finished, with the British multinational professional network signing an 800,000 square foot lease at the site.
The 10 Hudson Yards property sits at the northwest corner of 30th Street and 10th Avenue. The 1.8 million square foot building offers column-free interiors, floor-to-ceiling windows and views of the Hudson River. Also, the property stands 895 feet tall.
Overall, it was a steady first quarter for Manhattan's office sector. JLL reported that the nearly nine million square feet in signings was on par with the 9.1 million square feet posted in the same period a year ago. That came as vacancy dropped by 220 basis points to 13.5 percent, with the CRE firm admitting that tenants were forced to concede on the quality of their location.
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