Includes a $50 Million Mezzanine Loan with Option to Take Ownership
Stake
NEW YORK--(BUSINESS WIRE)--
SL Green Realty Corp. (NYSE:SLG) today announced a $50 million mezzanine
loan to The Moinian Group for the construction of a major residential
rental project at 605 West 42nd Street in Manhattan.
In addition to the mezzanine loan, SL Green also facilitated the closing
of a $539 million loan with the New York State Housing Finance Agency by
arranging credit enhancements from Bank of China and Union Labor Life
Insurance Company (ULLICO). As part of its agreement with The Moinian
Group, SL Green has an option to acquire up to a 20 percent stake in the
property upon the completion of the project.
The project, one of several to be constructed in New York's Midtown West
development area over the next decade, will consist of a 1.16
million-square-foot tower that will feature 1,174 rental apartment
units, of which 80 percent (939 units) will be market rate with the
remainder being affordable housing units to meet the developer's
obligations under the New York State Housing Finance Agency's 80/20
Housing Program.
"This transaction demonstrates the breadth, depth and importance of the
relationships SL Green has cultivated over the years through our
commercial, residential and lending platforms," stated David Schonbraun,
SL Green's Co-Chief Investment Officer. "It also brings to the forefront
our ability to creatively coordinate an investment vehicle designed to
meet the needs of all parties involved. We are extremely happy to once
again partner with The Moinian Group, Bank of China, and ULLICO and we
anticipate that our track record of successful ventures with these
partners will continue with this transaction."
Robert Verrone of Ironhound Management Company acted as broker on the
transaction.
Company Profile
SL Green Realty Corp., 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 June 30, 2014, SL Green held interests in
94 Manhattan buildings totaling 44.9 million square feet. This included
ownership interests in 28.0 million square feet of commercial buildings
and debt and preferred equity investments secured by 16.9 million square
feet of buildings. In addition to its Manhattan investments, SL Green
held ownership interests in 35 suburban buildings totaling 5.9 million
square feet in Brooklyn, Long Island, Westchester County, Connecticut
and New Jersey.
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-FIN)
For SL Green Realty Corp.
Andrew Mathias
President
or
Anna
Shlimak, 212-594-2700
Director, Investor Relations
Source: SL Green Realty Corp.
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