Rudin Secures Extension for 32 Avenue of the Americas’ $425M CMBS Loan
Bill Rudin’s family-owned firm plans to invest $100 million in capital improvements as part of the agreement
By Brian Pascus November 10, 2025 4:19 pm
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Rudin’s landmark office building at 32 Avenue of the Americas just got one step closer to a happy ending.
The family-owned firm has snagged a four-year extension for its $425 million commercial mortgage-backed securities (CMBS) loan secured by 32 Avenue of the Americas, Rudin’s 27-story, 1.2 million-square-foot office tower in Tribeca, Commercial Observer can first report.
CO had previously reported that the loan entered special servicing in September due to occupancy struggles ahead of its November 2025 maturity date. Sources familiar with the extension said Rudin arranged the special servicing transfer in order to facilitate the extension.
The modified loan, which includes a pair of one-year renewal options, now extends into November 2029.
Robert Verrone’s Iron Hound Management advised Rudin on the restructuring.
As part of the modified loan terms, Rudin will make $100 million of capital improvements into 32 Avenue of the America. Upgrades will include renovating the lobby, adding a new on-site leasing center, and improving the building’s street-level retail.
32 Avenue of the Americas opened in 1932 and spans an entire block outlined by Walker Street, Lispenard Street, Church Street, and Avenue of the Americas. The building received landmark designation from New York City in 1991.
Rudin purchased the historic Art Deco tower in 1999 and has since seen it become a hub for carrier hotel and data center tenants. Previous and current tenants include Verizon Communications, Lumen Technologies, Digital Realty and CoreSite, while the office component of the building has been leased to Dorilton and Industrious.
But the building’s 2015 CMBS loan — part of the COMM 2015-LC23 conduit CMBS deal — fell on hard times in the last year. Cash flow in 2024 declined 49 percent below its 2015 issuance projections, while occupancy cratered to 57 percent by June 2025 after the loss of iHeartMedia and Dentsu Holdings.
In a statement, Neil Gupta, president and chief investment officer of Rudin, noted that the firm has remained current on all obligations since the loan was originated 10 years ago, and that the firm proactively requested it be transferred to special servicing two months before it reached maturity.
“With this agreement, we will move forward in full confidence with our longstanding business plan, kickstarting an exciting new chapter for one of Downtown New York’s most important and iconic buildings,” said Gupta.
Brian Pascus can be reached at bpascus@commercialobserver.com
