SL Green and Mori Trust refinance 245 Park Ave. with $2B loan at 6.52%

SL Green Realty and a U.S. affiliate of Mori Trust have secured a $2 billion, five-year single-asset CMBS refinancing of 245 Park Ave. at a 6.52% fixed rate.

The new debt replaces $1.768 billion of mortgage and mezzanine financing on the 44-story Midtown tower, making the loan $232 million larger than the stack it retires. SL Green announced the transaction.

A group of institutions led by JPMorgan Chase Bank arranged the loan, replacing a structure split between mortgage and mezzanine debt. JPMorgan Chase Bank, alongside Wells Fargo, also led the $550 million Century City office refinancing reported Oct. 13.

The tower is currently 100% leased, with Société Générale, Ares Management, Houlihan Lokey, Carlyle and EQT Partners among the tenants. 245 Park occupies the block between East 46th and East 47th Streets, across from Grand Central Terminal, and was completed in 1967. SL Green bought the 1.8 million-square-foot property out of bankruptcy in 2022 and is carrying out a repositioning with architecture firm Kohn Pedersen Fox that is expected to wrap up in the first quarter of 2027. Mori Trust took a 49.9% interest in June 2022. The five-year term runs past the scheduled completion of the repositioning.

“This transaction brings our $7.0 billion 2026 financing plan to near completion, generating incremental liquidity, strengthening our balance sheet and extending our debt maturities,” said Harrison Sitomer, SL Green's president and chief investment officer.