SL Green ups debt by $63M at office tower in Grand Central

SL Green Realty through the entity SLG 100 Park LLC as borrower signed a refi loan with lender Aareal Capital valued at $423 million for the office building (O4) at 100 Park Avenue in Grand Central, Manhattan. This is a $63 million supplemental loan, on top of an existing $360 million refinance obtained in 2021.
The deal closed on December 5, 2024 and was recorded on December 9, 2024. The prior lender was Aareal Capital which held debt that had an original loan amount of $360 million.The property has 778,203 square feet of built space according to a PincusCo analysis of city data. The loan price per built square foot is $543 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 SL Green Realty was Andrew S. Levine.

Prior sales and revenue

The 778,203-square-foot property generated revenue of $57.7 million or $74 per square foot, according to the most recent income and expense figures.

The property

The office building in Grand Central has 778,203 square feet of built space according to a PincusCo analysis of city data. The parcel has frontage of 197 feet and is 230 feet deep with a total lot size of 37,196 square feet. The lot is irregular. The zoning is C5-3 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 $297.6 million. The most recent loan totaled $360 million and was provided by Aareal Capital on December 23, 2020.

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 $6,840 in OATH penalties in the last year.

Development

On the lot, there is one active major alteration construction project, M00674334, for a 28,021 square-foot B building. The project was submitted by Roger Merriman with plans filed February 22, 2022 and permitted March 6, 2022.

The neighborhood

In Grand Central, The majority, or 83 percent of the 44.4 million square feet of commercial built space are office buildings, with hotel buildings next occupying 8 percent of the space. In sales, Grand Central has the 10th highest sale turnover among other neighborhoods in the city with $1.1 billion in sales volume in the last two years. For development, Grand Central is the 6th most active neighborhood among other neighborhoods. It had 5.8 million square feet of commercial and multi-family construction under development in the last two years, which represents 13 percent of the neighborhood’s built space. There were three 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 10 of the 19 commercial properties representing 2,365,691 square feet of the 2,731,781 square feet. The largest owner is Sl Green Realty, followed by Rfr Holding and then Eretz Group.
There are no active new building construction projects on this tax block.

The majority, or 94 percent of the 2.7 million square feet of built space are office buildings, with hotel buildings next occupying 5 percent of the space.

The borrower

The PincusCo database currently indicates that Sl Green Realty owned at least 35 commercial properties with 892 residential units in New York City with 17,903,750 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 17,903,750 square feet of built space are office properties, with elevator properties next occupying 4 percent of the space. They are all located in Manhattan.

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