SL Green Realty Corp. and a U.S. affiliate of Mori Trust Co., Ltd announced a $2 billion refinancing of Manhattan’s 245 Park Avenue that would extend debt maturing in June 2027 at a higher rate.
The five-year financing would replace $1.768 billion of mortgage and mezzanine debt. Its 6.52% fixed rate compares with the previous debt’s 4.30% rate in SL Green’s filing for the quarter ended June 30, 2026. A hedge brought the effective rate on SL Green’s portion of the new financing to 6.37%, the company said.
SL Green said the refinancing would add liquidity and extend the debt’s maturity. The announced financing uses a commercial mortgage-backed securities structure tied to one property and one borrower, with JPMorgan Chase Bank, N.A. leading the participating institutions.
SL Green held a 50.1% economic interest in the tower as of June 30, 2026. It sold the remaining 49.9% to the Mori Trust affiliate in 2023.
SL Green said the 1.8 million-square-foot tower was fully leased in its Oct. 19 announcement. The company expects redevelopment work there to finish in the first quarter of 2027. SL Green President and Chief Investment Officer Harrison Sitomer said the transaction brings the company’s $7 billion financing plan for 2026 “to near completion.”
SL Green plans to release third-quarter earnings after the U.S. market closes Oct. 21, followed by a conference call at 2 p.m. ET on Oct. 22.
