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Dec 03, 2018

SL Green Reaches 52 Percent Leased at One Vanderbilt, Building Opening Accelerated to Early August, 2020

Refinances project with new $1.75 Billion construction facility

NEW YORK--(BUSINESS WIRE)--Dec. 3, 2018-- SL Green Realty Corp. (NYSE:SLG), New York City’s largest office landlord, today announced that it has reached 52 percent leased at One Vanderbilt Avenue, the 1,401-foot office tower in East Midtown set to redefine the New York City skyline, with the following new leases:

  • TD Securities, a leading investment banking group that provides a wide range of capital markets products and services, has signed a 20-year lease for 119,000 square feet occupying two and a half podium floors in the base of the building. The financial firm will also lease an additional 52,450 square feet at SL Green’s 125 Park Avenue. This lease co-locates TD Securities with TD Bank.
  • MFA Financial Inc., a publicly traded real estate investment trust with a market capitalization of $3.2 billion, has signed a 15-year lease for 30,000 square feet occupying the entire 47th floor.
  • McDermott Will & Emery, a premier international law firm, has expanded their 20-year lease by taking an additional 10,000 square feet. The law firm will relocate its New York operations to One Vanderbilt, taking floors 44 through 46 and floor 67.
  • SL Green will relocate its headquarters from 420 Lexington Avenue to One Vanderbilt, leasing 70,000 square feet on the 27th and 28th floors.

SL Green also announced the refinancing of the project’s construction facility, increasing the facility size from $1.5 billion to $1.75 billion and decreasing the interest rate by 75 basis points. The significant improvement in terms was due, in large part, to the rapid pace of leasing and construction progress. Since SL Green broke ground on the project in 2016, the super structure has risen to the 60th floor.

“Achieving more than 50 percent leased at this point in One Vanderbilt’s timeline is not only a testament to East Midtown’s status as New York’s premier business district, but also the world-class experience we’re going to provide our tenants in this premier property,” saidAndrew Mathias, President of SL Green. “In fact, leasing is moving so briskly that SL Green had to move quickly to secure our new headquarters within One Vanderbilt, reaffirming our commitment to the building. With both construction and leasing ahead of schedule, I’m confident that One Vanderbilt will continue to attract leading businesses looking for the most sophisticated new office construction.”

"Over the last decade, TD Securities has grown significantly in the U.S., including in the New York region,” says Glenn Gibson, Vice Chair, TD Securities. “Our new premises at One Vanderbilt and 125 Park Avenue reflect our commitment to our clients, colleagues and ongoing US growth strategy, and will also continue to strengthen our alignment with TD Bank, AMCB.”

In a statement, Craig Knutson, MFA’s CEO and President said, “MFA looks forward to moving to One Vanderbilt in 2020. We believe that consolidating our employees onto a single floor in state-of-the-art office space will provide a dynamic, productive and collaborative environment for our team and a strong inducement for future recruitment.”

“We are extremely excited about our move to our new home in One Vanderbilt, with this expansion taking us to four full floors. Our New York team is growing steadily and this addition reflects our deep commitment to growth and excellence. When complete, One Vanderbilt will embody sophistication, distinction and the highest quality—much like McDermott does today—and we couldn’t be more thrilled for our people and clients for this next chapter,” commented John Yoshimura, Chief Operating Officer at McDermott Will & Emery.

TD Securities and MFA Financial join a distinguished roster of top-tier financial, banking and legal firms that have committed to One Vanderbilt. Other tenants previously announced at the building include: TD Bank with approximately 200,000 square feet of office space; global alternative asset manager, The Carlyle Group; one of the nation’s largest law firms, Greenberg Traurig; leading international law firm McDermott Will & Emery; and global German financial firms DZ and DVB Banks. Award-winning chef Daniel Boulud has partnered with SL Green to create a signature restaurant experience in the building.

Earlier this year, the American Institute of Architects (AIA) recognized One Vanderbilt and its architecture firm, Kohn Pedersen Fox (KPF) Associates, with the prestigious AIA NY Merit Award in Urban Design. Encompassing an entire city block, the building is bounded by Madison and Vanderbilt Avenues to the west and east, and East 43rd and East 42nd Streets to the north and south. Expected to achieve both LEED Gold under version 4.0 and WELL certification, the trophy tower will feature floor-to-ceiling slab heights ranging from 14'6" to 24', column-free floor plates, stunning 360-degree views through floor-to-ceiling windows and best-in-class infrastructure. Anchoring the modernization of East Midtown, One Vanderbilt will provide tenants with a combination of amenities unrivaled in New York City, including a 30,000-square-foot tenant-only amenity floor with large format meeting spaces, club style lounge and extraordinary outdoor terrace. Immediately adjacent to Grand Central Terminal, the building will create direct connections to the surrounding transit network. SL Green is investing an unprecedented $220 million in private funds to upgrade the transit system.

About SL Green Realty Corp.

SL Green Realty Corp., an S&P 500 company and New York City's largest office landlord, is a fully integrated real estate investment trust, or REIT, that is focused primarily on acquiring, managing and maximizing value of Manhattan commercial properties. As of September 30, 2018, SL Green held interests in 106 Manhattan buildings totaling 46.4 million square feet. This included ownership interests in 28.2 million square feet of Manhattan buildings and 18.2 million square feet of buildings securing debt and preferred equity investments. In addition, SL Green held ownership interests in 15 suburban buildings totaling 2.3 million square feet in Brooklyn, Westchester County, and Connecticut.

Forward-looking Statement

This press release includes certain statements that may be deemed to be "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995 and are intended to be covered by the safe harbor provisions thereof. All statements, other than statements of historical facts, included in this press release that address activities, events or developments that we expect, believe or anticipate will or may occur in the future, are forward-looking statements. Forward-looking statements are not guarantees of future performance and we caution you not to place undue reliance on such statements. Forward-looking statements are generally identifiable by the use of the words "may," "will," "should," "expect," "anticipate," "estimate," "believe," "intend," "project," "continue," or the negative of these words, or other similar words or terms.

Forward-looking statements contained in this press release are subject to a number of risks and uncertainties, many of which are beyond our control, that may cause our actual results, performance or achievements to be materially different from future results, performance or achievements expressed or implied by forward-looking statements made by us. Factors and risks to our business that could cause actual results to differ from those contained in the forward-looking statements are described in our filings with the Securities and Exchange Commission. We undertake no obligation to publicly update or revise any forward-looking statements, whether as a result of future events, new information or otherwise.

SLG- LEAS

Source: SL Green Realty Corp.

Investors:

Matt DiLiberto

Chief Financial Officer
SL Green Realty Corp.
(212) 594-2700

Press:
BerlinRosen

slgreen@berlinrosen.com

646.452.5637