RXR, Apollo, SL Green sign $575.3M construction loan for 5 Times Square resi conversion

RXR Realty, Apollo Global Management, and SL Green Realty through the entity RXR 5TS Owner LLC as borrower signed a rehab construction loan with lender Corebridge Financial through the entity Corebridge Institutional Investmants (U.S.), LLC valued at $575.3 million for the conversion of the office building (O4) at 5 Times Square, with an alternate address of 592 Seventh Avenue, just south of Times Square in the Garment District, Manhattan.
The deal closed on June 9, 2025 and was recorded on June 24, 2025. The prior lender was Morgan Stanley and Apollo Global Management who continue to hold debt that has an original loan amount of $700 million.

The property has 1,100,000 square feet of built space according to a PincusCo analysis of city data. The loan price per built square foot is $523 per the PincusCo analysis. (The price per square foot analysis is the transaction price divided by square feet as reported in public records and assumes no air rights have been sold.)
The signatory for RXR Realty , Apollo Global Management , and SL Green Realty was Jeffrey Horowitz . This is a rehab construction loan for the development of approximately 1,250 apartments, according to a city and state government press release. The latest DOB plans show 927 under job M01157068. This new construction loan is on top of $400 million held by Morgan Stanley and $300 million by Apollo Global Management, both from 2022.

Prior sales and revenue

The 1,100,000-square-foot property generated revenue of $83.9 million or $76 per square foot, according to the most recent income and expense figures.

The property

The office building in Garment District has 1,100,000 square feet of built space according to a PincusCo analysis of city data. The parcel has frontage of 197 feet and is 150 feet deep with a total lot size of 27,156 square feet. The lot is irregular. The zoning is C6-7 which allows for up to 15 times floor area ratio (FAR) for commercial and up to 10 times FAR for residential with inclusionary housing. The city-designated market value for the property in 2022 is $481.8 million. The most recent loan totaled $10 million and was provided by Morgan Stanley on April 9, 2024.

Violations and lawsuits

There were no lawsuits or bankruptcies filed against the property for the past 24 months. In addition, according to city public data, the property has received $3,750 in ECB penalties in the last year.

Development

For the tax lot building, it received its initial certificate of occupancy on June 3, 2016. On the lot, there are three active new building construction projects and major alteration projects with initial costs more than $5 million, totaling 2,371,702 square feet. The largest, M00764160, is a major alteration project for a 977,616 square-foot E building submitted by Nicholas Mather with plans filed December 12, 2022 and permitted January 12, 2023. The second largest, M00920212, is a major alteration project for a 977,616 square-foot E building submitted by Nicholas Mather with plans filed August 29, 2023 and permitted January 2, 2024.

The neighborhood

In Garment District, The majority, or 69 percent of the 52.3 million square feet of commercial built space are office buildings, with hotel buildings next occupying 13 percent of the space. In sales, Garment District has the 9th highest sale turnover among other neighborhoods in the city with $1.2 billion in sales volume in the last two years. For development, Garment District is the 5th most active neighborhood among other neighborhoods. It had 9.4 million square feet of commercial and multi-family construction under development in the last two years, which represents 18 percent of the neighborhood’s built space. There were four pre-foreclosure suit filed among other office buildings in the past 12 months.

The block

On this tax block, PincusCo has identified the owners of three of the eight commercial properties representing 1,635,659 square feet of the 2,224,201 square feet. The largest owner is Rxr Realty, followed by Yellowstone Real Estate Investments and then Newbond Holdings.
There are no active new building construction projects on this tax block.

The majority, or 69 percent of the 1.9 million square feet of built space are office buildings, with specialty buildings next occupying 15 percent of the space.

The borrower

The PincusCo database currently indicates that SL Green Realty owned at least 36 commercial properties with 892 residential units in New York City with 18,006,928 square feet and a city-determined market value of $7.7 billion. (Market value is typically about 50% of actual value.) Within the portfolio, the bulk, or 93 percent of the 18,006,928 square feet of built space are office properties, with elevator properties next occupying 4 percent of the space. They are all located in Manhattan.
The PincusCo database currently indicates that RXR Realty owned at least 21 commercial properties with 1,000 residential units in New York City with 8,954,095 square feet and a city-determined market value of $2.9 billion. (Market value is typically about 50% of actual value.) Within the portfolio, the bulk, or 88 percent of the 8,954,095 square feet of built space are office properties, with D3 properties next occupying 5 percent of the space. The bulk, or 79 percent of the built space, is in Manhattan, with Brooklyn next at 16 percent of the space.
The PincusCo database currently indicates that Apollo Global Management owned at least four commercial properties with 591 residential units in New York City with 1,400,359 square feet and a city-determined market value of $554.6 million. (Market value is typically about 50% of actual value.) Within the portfolio, the bulk, or 79 percent of the 1,400,359 square feet of built space are office properties, with hotel properties next occupying 21 percent of the space. They are all located in Manhattan.

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