SL Green and its joint venture partners, the National Pension Service of Korea and Hines, have closed on a $1.25 billion construction loan for One Madison Avenue. Wells Fargo, TD Bank, Goldman Sachs, Bank of America, Deutsche Bank and Axos Bank are among the lenders.
The facility, which SL Green says is New York City's largest office construction financing in 2020, has a term of up to six years and bears interest at a floating interest rate of 3.35% over LIBOR, with the ability to reduce the spread to as low as 2.50% upon achieving certain leasing and completion milestones.
With financing in place, construction will now begin on the 1.4 million-square-foot development that will encompass a full block and reach 27 stories. One Madison Avenue is in the Midtown South submarket, located next to Madison Square Park between Park and Madison Avenues and East 23rd and East 24th Streets.
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Erika Morphy
Erika Morphy has been writing about commercial real estate at GlobeSt.com for more than ten years, covering the capital markets, the Mid-Atlantic region and national topics. She's a nerd so favorite examples of the former include accounting standards, Basel III and what Congress is brewing.
