{"id":180411,"date":"2026-03-31T02:15:53","date_gmt":"2026-03-31T02:15:53","guid":{"rendered":"https:\/\/www.newsbeep.com\/us-ny\/180411\/"},"modified":"2026-03-31T02:15:53","modified_gmt":"2026-03-31T02:15:53","slug":"top-manhattan-office-tower-lands-1-65-billion-loan-despite-sector-slump","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/us-ny\/180411\/","title":{"rendered":"Top Manhattan Office Tower Lands $1.65 Billion Loan Despite Sector Slump"},"content":{"rendered":"<p class=\"font-claude-response-body break-words whitespace-normal leading-[1.7]\">One Madison Avenue has secured a $1.65 billion refinancing \u2014 the largest U.S. office CMBS deal in the past 12 months \u2014 as lenders signal they are still willing to back fully leased, prime assets even as much of the office market struggles to attract capital.<\/p>\n<p>The financing replaces a previous $1.25 billion construction loan tied to the redevelopment of the property and was priced at a spread of 181 basis points over U.S. Treasurys, resulting in an all-in rate of 5.81%. <a href=\"https:\/\/slgreen.com\/\" rel=\"nofollow noopener\" target=\"_blank\">SL Green Realty Corp.<\/a>, which owns the asset, was represented in the transaction by Newmark\u2019s debt and structured finance team.<\/p>\n<p>The refinancing comes as capital markets for office assets remain uneven, with investor appetite largely concentrated in high-quality, well-leased properties in prime urban locations. The scale and pricing of the One Madison Avenue deal suggest that, despite broader headwinds in the office sector, lenders and institutional investors are still willing to deploy significant capital into top-tier assets with strong tenancy and long-term positioning.<\/p>\n<p>Fully Leased, Fully Reimagined<\/p>\n<p>Located in Manhattan, One Madison Avenue has undergone a major repositioning that combines a restored historic base with a newly constructed 550,000-square-foot tower. The building is fully leased to a mix of technology, financial services and artificial intelligence tenants, including IBM, Franklin Templeton, Palo Alto Networks, FanDuel, Sigma Computing and Harvey AI.<\/p>\n<p>The property\u2019s full occupancy and tenant mix reflect a broader shift in leasing demand toward modern, amenity-rich buildings capable of supporting hybrid work and attracting talent. Features such as full outside air systems, natural light and hospitality-oriented shared spaces have become increasingly central to new office developments competing for high-credit tenants.<\/p>\n<p>According to Newmark Research, demand for premium office space continues to outpace supply in key gateway markets. Direct availability in Manhattan trophy assets fell to 3.7% by the end of 2025, highlighting a widening gap between top-performing buildings and the rest of the office market.<\/p>\n<p>The One Madison Avenue refinancing underscores this bifurcation, with capital flowing toward a relatively narrow segment of high-performing assets even as older or less competitive office properties face rising vacancies and refinancing challenges.<\/p>\n<p>The refinancing comes amid a broader wave of capital flows into high-quality office assets. In a comparable transaction last year, the <a href=\"https:\/\/constructionreviewonline.com\/new-yorks-first-post-pandemic-mega-office-tower-secures-2-45b-as-deloitte-commits-to-hudson-yards\/\" rel=\"nofollow noopener\" target=\"_blank\">72-story tower at 70 Hudson Yards<\/a> completed a $2.45 billion capital stack, with its final tranche of debt financing secured in January 2025.<\/p>\n<p><img loading=\"lazy\" decoding=\"async\" class=\"alignnone  wp-image-263765\" src=\"https:\/\/www.newsbeep.com\/us-ny\/wp-content\/uploads\/2026\/03\/download-33-1.jpg\" alt=\"\" width=\"269\" height=\"404\"\/><\/p>\n<p>FACTSHEET: One Madison Avenue Refinancing\u00a0Arranged by<a href=\"https:\/\/www.nmrk.com\/\" rel=\"nofollow noopener\" target=\"_blank\"> Newmark Group, Inc.<\/a><br \/>\nTransaction Overview<\/p>\n<p>Deal: $1.65 billion refinancing of One Madison Avenue, Manhattan<br \/>\nReplaces prior $1.25 billion construction facility<br \/>\nLargest U.S. office CMBS issuance in the past 12 months<br \/>\nPricing: 181 bps spread over U.S. Treasury index; all-in rate of 5.81%<\/p>\n<p>Newmark Team<\/p>\n<p>Jordan Roeschlaub, Co-President, Debt &amp; Structured Finance<br \/>\nNick Scribani, Vice Chairman<br \/>\nRicky Braha, Senior Managing Director<br \/>\nRepresented owner: SL Green Realty Corp.<\/p>\n<p>Asset Profile<\/p>\n<p>Location: Adjacent to Madison Square Park, Midtown Manhattan<br \/>\nStructure: Restored historic podium + newly constructed 550,000 sq ft tower<br \/>\nOccupancy: 100% leased<br \/>\nTenants: IBM, Franklin Templeton, Palo Alto Networks, FanDuel, Sigma Computing, Harvey AI \u2014 spanning technology, AI and financial services<\/p>\n<p>Asset Features<\/p>\n<p>100% outside air systems<br \/>\nExpansive natural light throughout<br \/>\nHospitality-driven shared spaces<br \/>\nCurated retail offerings<\/p>\n<p>Market Context\u00a0(Newmark Research)<\/p>\n<p>Tenant demand increasingly concentrated in top-tier, gateway market assets<br \/>\nManhattan trophy office direct availability fell to just\u00a03.7%\u00a0by end of 2025<br \/>\nInstitutional investors actively pursuing high-quality office with strong tenancy and long-term relevance<\/p>\n<p>Project Team<\/p>\n<p>Developer \/ Owner: SL Green Realty Corp.<br \/>\nDevelopment Partner: Hines<br \/>\nInvestment Partner: National Pension Service of Korea<br \/>\nLead Architect: Kohn Pedersen Fox Associates<br \/>\nInterior Design \/ Workplace: Vocon<br \/>\nAmenity &amp; Interior Design: Rockwell Group<br \/>\nGeneral Contractor \/ Construction Manager: AECOM Tishman<br \/>\nStructural Engineer: Severud Associates<br \/>\nMEP Engineer: Jaros, Baum &amp; Bolles<br \/>\nCivil Engineer: Langan Engineering<br \/>\nSustainability Consultant: Vidaris<br \/>\nVertical Transportation: Schindler Group<br \/>\nAcoustics Consultant: Cerami &amp; Associates<br \/>\nWind Engineering: RWDI<\/p>\n","protected":false},"excerpt":{"rendered":"One Madison Avenue has secured a $1.65 billion refinancing \u2014 the largest U.S. office CMBS deal in the&hellip;\n","protected":false},"author":2,"featured_media":180412,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[35],"tags":[75,84,83,9,24,63],"class_list":["post-180411","post","type-post","status-publish","format-standard","has-post-thumbnail","category-manhattan","tag-manhattan","tag-manhattan-headlines","tag-manhattan-news","tag-new-york","tag-new-york-city","tag-nyc"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/posts\/180411","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/comments?post=180411"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/posts\/180411\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/media\/180412"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/media?parent=180411"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/categories?post=180411"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/tags?post=180411"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}