Finance  ·  CMBS

Goldman Sachs to Lead $1.2B One Worldwide Plaza Refi: Sources


Goldman Sachs will lead One Worldwide Plaza’s behemoth $1.2 billion refinance, several sources close to the transaction told Commercial Observer. The lender consortium is said to include Deutsche Bank.

The loan is set to be securitized in a single-asset CMBS deal in the fourth quarter.

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As first reported by Commercial Observer, RXR Realty and SL Green Realty Corp. entered into an agreement to buy a 48.7 percent stake in the trophy asset from New York REIT earlier this month, with an negotiated property value of $1.7 billion. The partnership’s purchase is expected to close on or before Nov. 1, and the $1.2 billion debt refinancing will occur concurrently with the closing.

Officials at SL Green (SLG) confirmed that Goldman will lead the deal, but declined to provide further comment.

The 10-year, interest-only loan will have a “sub 4 percent” rate, Wendy Silverstein, New York REIT’s chief executive officer, said on an investor call earlier this month, although no lenders were named at the time.

Worldwide Plaza is a mixed-use building at 825 Eighth Avenue between West 49th and West 50th Streets. Its 2.1 million rentable square feet includes approximately 1.8 million square feet of office space. Currently, 100 percent leased, its office space serves as the North American headquarters for Nomura Holdings and Cravath Swaine and Moore. Its other tenants include WebMD, Rubenstein and CBS Broadcasting.

Deutsche Bank previously provided a $710 million mortgage on the property in February 2013.

Officials at RXR Realty and Goldman Sachs did not return a request for comment. Officials at Deutsche Bank and New York REIT declined to comment.