Press Release Details
SL Green Realty Announces Acquisition of Joint Venture Interest in 1250 Broadway
In conjunction with this transaction, Salomon Smith Barney provided $85 million of first mortgage financing.
1250 Broadway is a 39-story building with approximately 685,000 square feet, and occupies the block front between 31st and 32nd Streets on Broadway. It is currently 99.6% leased. The going-in cash NOI yield on the investment is approximately 9.5% per annum. The Company is currently implementing a $5 million capital improvement program to significantly renovate and upgrade the property.
The transaction signals SL Green's long-term commitment to 1250 Broadway as a core asset in its portfolio. The building has a key avenue location one block from Penn Station and within walking distance of Grand Central Station. It has a strong tenant roster, large floor plates, great light and excellent views.
Commenting on this transaction, Marc Holliday, President of SL Green stated, "This transaction is an example of SL Green's ability to consolidate its ownership interests in jointly owned properties in a highly efficient manner. It is the first step in transitioning 1250 Broadway to long-term ownership, potentially with a new capital partner."
SL Green Realty Corp. is a self-administered and self-managed real estate investment trust ("REIT") that primarily owns, manages, leases, acquires and repositions office properties in Manhattan.
This release contains forward-looking information based upon the Company's current best judgement and expectations. Actual results could vary from those presented herein. The risks and uncertainties associated with the forward-looking information include the strength of the commercial office real estate market, competitive market conditions, general economic growth, interest rates and capital market conditions. For further information, please refer to the Company's filings with the Securities and Exchange Commission.