Manhattan’s biggest office realtor SL Green has taken out a $1.25 billion construction loan for its much heralded renovation of the complex One Madison Avenue. Such an immense amount of new debt can be taken as a statement of confidence on the part of both SL Green and its creditors hat New York businesses will soon rebound from the Corona Virus recession.
Rents for office, retail and residential spaces plummeted in New York City due to the Covid-19 crisis.
National Pension Service of Korea and Hines are partnered with SL Green on the project. The loans come from Wells Fargo, TD Bank, Goldman Sachs, Bank of America, Deutsche Bank and Axos Bank.
Located adjacent to Madison Square Park between Park and Madison Avenues and East 23rd and East 24th Streets, One Madison Avenue will anchor the Midtown South office market as its premier tower.
First built in 1893 to designs by Napoleon Le Brun & Sons, One Madison Avenue was one of the city’s largest office buildings, spanning the full block between Park and Madison Avenues and East 23rd and East 24th Streets. In 1909 the building gained its famed clock tower (now a separate building) which was for a time the tallest building in the world. When completed, the campus was an international sensation in the architectural community, for its rapid construction as well as its soaring design.
SL Green and its partners have now begun construction of the 1.4 million-square-foot 27-floor office tower. It will have a 15,000 square foot food market, a 50,000 square foot gym and a park in the sky. There will also be 9,000 square feet of open access space and an adjacent atrium.
Over 33,000 square feet of outdoor space directly overlooking Madison Square Park located on floors 10 and 11, overlooking Madison Square Park’s canopy, is described as a private park in the sky.
The company boasts that One Madison is designed to provide the healthiest workspace in New York City and that every attention has been given to the quality of air, natural sunlight and other factors to provide the best possible environment.
Today we are proudly moving forward with the construction of Manhattan’s future, #OneMadisonAvenue, following the completion of a $1.25B loan to advance construction. Ready. Set. Build. pic.twitter.com/Sp9EVNg0Jw
— SL Green (@SLGreen) November 16, 2020
“Our commitment and belief in New York City is unwavering,” said Marc Holliday, Chairman and Chief Executive Officer of SL Green. “We are proud to be bringing an important new office development to Midtown South that we are confident will attract the top companies and talent. Despite the headwinds presented by current and temporary challenges, we remain focused on boosting the New York City economy by creating thousands of construction jobs and bringing a new, best-in-class office tower to the highly sought-after Flatiron/Midtown South submarket for the first time in a decade.”