Published On: Thu, Jul 9th, 2015

RFR Defaults on $100 Million Lever House Mortgage

Ground lease rent is scheduled to increase threefold in 2023

Aby-Rosen-and-Lever-House

 

Aby Rosen’s RFR Realty defaulted on the mortgage for Lever House, its prized Midtown office tower, after it was unable to refinance its mortgage over concerns that the ground lease rent is scheduled to triple in 2023. RFR has been unable to refinance its $100 million mortgage, which expired in March. The main issue is that according to the terms of the developer’s ground lease with the Korein family, the yearly rent will more than triple to $20 million in 2023, up from $6 million that it is currently paying, Crain’s reported…. READ MORE

The Real Deal , by Tess Hofmann

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