NEW YORK CITY — SL Green Realty Corp (NYSE: SLG) has received $296 million in financing for three of the REIT’s New York-based assets.
The assets include a Class A office building at 800 Third Ave. in Manhattan; Jericho Plaza, a 662,000-square-foot, two-property complex in Jericho on Long Island; and 719 Seventh Ave. in Times Square, which will eventually serve as a prime retail flagship location.
The office building received a new 10-year, $177 million refinancing of its mortgage loan. The property is situated in the Grand Central submarket. It is currently 96 percent occupied.
Jericho Plaza received a two-year, floating-rate mortgage to recapitalize the property. The initial funding was about $75 million, with a total expected funding of $100 million. Proceeds will partially be used for a capital improvement plan that includes lobby and elevator cab renovations, the addition of a conference facility and landscaping upgrades.
The Times Square project received a two-year, $44 million loan. The proceeds will be used for construction of 10,000 square feet of retail space, as well as extensive LED signage. SL Green expects that construction will be completed before the 2016 holiday season.
“The successful completion of these transactions provides evidence that liquidity continues to be available for high-quality borrowers,” says Andrew Mathias, SL Green’s president. “The refinancings of 800 Third and Jericho represent another stride in our effort to extend the term of secured debt maturities, reduce cost and generate incremental proceeds, while the construction financing secured at 719 Seventh speaks to SL Green’s ability to recognize value and lock in low borrowing rates for a property set to benefit from its prime retail location.”
SL Green is a REIT focused on acquiring and managing commercial real estate in New York City. The company claims to be the largest office landlord in the city.
The company’s stock closed at $87.32 per share on Friday, Feb. 19, down from $124.42 one year prior.