601 Lex Gets $725M in Loans

NEW YORK CITY-As large loans become increasingly difficult to secure in the city’s competitive top-tier office market, Prudential Mortgage Capital, MetLife and New York Life collaborated to provide $725 million in total loan financing for Boston Properties’ 601 Lexington Ave. The lenders all worked in tandem to secure the 10-year, seven-month term fixed-rate loan for the 59-story, 1.6 million-square-foot class A tower located between 53^rd and 54^th Streets in Midtown Manhattan.

Under the terms of the deal, Prudential provided $200 million, MetLife supplied $375 million and New York Life chipped in $150 million toward the loan. “As the deal came together, we created a lender group and it grew from there,” says Sarah Teunis, director at Prudential Mortgage Capital, who tells GlobeSt.com that discussions took about a year to finalize. “The lenders worked together very collaboratively and everybody was actively involved with the entire process.”