NEW YORK — SL Green Realty Corp., together with an institutional investor advised by J.P. Morgan Global Alternatives, has completed the refinancing of 919 Third Avenue, a premier 1.5 million square foot Class A office building located in Midtown Manhattan.
The new $500.0 million mortgage loan bears interest at a rate of 250 basis points over Term SOFR, which the partnership has swapped to a fixed rate of 6.11%, has a 3-year term, with two, one-year extension options, and was provided by an international and domestic lending group co-led by Aareal Capital Corporation and Credit Agricole Corporate and Investment Bank.
“We are pleased to have secured this refinancing for 919 Third Avenue, which reaffirms the liquidity in the market for high quality assets with high quality sponsors,” said Harrison Sitomer, Chief Investment Officer of SL Green. “The deep relationships we have with financial institutions around the world coupled with the caliber of our portfolio and operating platform give us confidence in our ability to continue to execute in the capital markets, notwithstanding current credit market conditions.”
“919 Third Avenue is an ideal candidate for refinancing given the preeminent asset quality, core tenant base and respected sponsorship,” said Doug Traynor, CEO of Aareal Capital Corporation.
“In a moment in time where relationships and credibility matter, we are happy to act as the Green Structuring Agent on a transaction of this quality for a partner with a strong commitment to sustainability like SL Green,” said Attila Coach, Head of Real Estate, Lodging and Gaming for the Americas of Credit Agricole Corporate and Investment Bank.
Designed by the architecture firm Skidmore, Owings & Merrill, 919 Third Avenue has a commanding presence within the Midtown East neighborhood. The 1.5 million-square-foot, 47-story tower was completed in 1970. The building was designed to accommodate an existing NYC landmark, the famed restaurant and saloon, P.J. Clarke’s. 919 Third Avenue is 80 percent leased and home to several notable tenants such as Bloomberg L.P, Shulte Roth & Zabel LLP, and Mintz, Levin, Cohn, Ferris, Glovsky and Popeo, P.C.
James Millon, Tom Traynor and Mark Finan of CBRE advised on the transaction.
