Vornado Secures $750M Loan Facility on 220 Central Park South
By Danielle Balbi November 2, 2015 3:15 pm
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Vornado Realty Trust received a $750 million loan facility for its massive luxury residential development at 220 Central Park South with $187.5 million of the debt drawn upon at closing, the company announced.
Several lenders took part in the deal, including J.P. Morgan Securities; Merrill Lynch, Pierce, Fenner & Smith; PNC Bank; Société Générale; U.S. Bank and Wells Fargo.
The financing carries two one-year extension options and an interest rate of Libor plus 115 basis points. There is a 20 basis point fee per annum on the unused portion of the loan, according to the borrower.
The unsecured, delayed-draw loan facility matures in October 2018 and must be drawn upon in its entirety by October 2017.
In 2014, Vornado received a $600 million construction loan from Bank of China to finance the development of 220 Central Park South. The national real estate investment trust increased that loan’s total amount to $950 million this September.
Vornado holds $2.5 billion in revolving credit facilities, in addition to the $750 million line of credit, according to the company.
