Newmark Group Inc. announced that the company arranged a $1.65 billion refinancing for One Madison Avenue, a fully leased, trophy office asset overlooking Madison Square Park in Manhattan. The transaction represents the largest U.S. office CMBS issuance over the past 12 months and underscores continued institutional demand for high-quality office investments Newmark said.
Newmark Co-President of Debt & Structured Finance Jordan Roeschlaub and Vice Chairman Nick Scribani represented owner SL Green Realty Corp. in the transaction, with Senior Managing Director Ricky Braha contributing alongside the team. The financing was priced at a spread of 181 basis points over the U.S. Treasury index, resulting in an all-in rate of 5.81% and replacing a prior $1.25 billion construction facility.
“This transaction demonstrates the depth and precision of capital available for best-in-class office assets,” said Roeschlaub. “Institutional investors continue to aggressively pursue high-quality opportunities with strong tenancy, differentiated product and long-term relevance. One Madison Avenue represents exactly that.”
Located adjacent to Madison Square Park, One Madison Avenue is a reimagined, next-generation office development combining a restored historic podium with a newly constructed 550,000-square-foot tower. The property is 100% leased to a roster of global tenants across technology, artificial intelligence and financial services, including IBM, Franklin Templeton, Palo Alto Networks, FanDuel, Sigma Computing and Harvey AI.
“Execution at this scale reflects both the strength of the sponsorship and the evolving credit profile of premier office assets,” said Scribani. “The transaction achieved exceptional investor demand and pricing, reinforcing the continued reopening of capital markets for top-tier office product in gateway markets.”
The asset features a highly amenitized environment designed to support modern workplace demands, including 100% outside air systems, expansive natural light, hospitality-driven shared spaces and curated retail offerings.
