Dealmaker: SL Green Completes $3B One Vanderbilt Avenue Refinancing

SL Green Realty Corp. New York, received $3 billion to refinance One Vanderbilt Avenue in Midtown Manhattan.

The 10-year fixed-rate loan was securitized in a single-asset, single-borrower agented commercial mortgage-backed securities transaction.

Wells Fargo Bank N.A. and Goldman Sachs Bank USA led a consortium of financial institutions that included Bank of America N.A., Bank of China, Bank of Montreal, Deutsche Bank, JP Morgan Chase Bank, N.A., Barclays Capital Real Estate Inc. and Citi. Chatham Financial, Kennett Square, Pa., advised SL Green on the transaction.

The new, 2.85 percent financing replaced a $1.75 billion construction facility with a $1.54 billion outstanding balance at payoff.

Robert Rosenberg, Managing Director at Wells Fargo, said the bank served as lead lender for the construction financing as well as for the new loan. He called the loan the largest ever fixed-rate CMBS financing secured by a single asset. “The CMBS financing was well oversubscribed,” he said.

A joint venture between SL Green, National Pension Service of Korea and Hines Interests LP owns One Vanderbilt Avenue. Located at Vanderbilt Avenue and 42nd Street, it stands immediately west of Grand Central Station.

Standing 1,401 feet tall, the 1.7 million-square-foot One Vanderbilt serves as headquarters for several finance, technology, law and real estate firms. It is currently 89 percent leased to tenants including TD Securities, The Carlyle Group, law firms Greenberg Traurig and McDermott Will & Emery, publicly traded real estate investment trust MFA Financial Inc., and real estate capital markets advisors Hodges Ward Elliott and Walker & Dunlop LLC.

As of March 31, real estate investment trust SL Green Realty Corp. held interests in 84 buildings totaling 37.8 million square feet.