SL Green Refinances One Madison Avenue for $1.65 Billion

Rhea-AI Summary

SL Green Realty (NYSE: SLG) secured a $1.65 billion five-year, fixed-rate SASB CMBS refinance for One Madison Avenue, priced at 181 bps over the U.S. Treasury index for an effective rate of 5.81%. The transaction replaces the prior construction facility with a $1.171 billion outstanding balance.

The CMBS was agented by a consortium led by Wells Fargo with participation from Goldman Sachs, J.P. Morgan, Bank of America, Deutsche Bank and Crédit Agricole, is expected to close in Q1 2026, and was significantly oversubscribed. SLG said the deal advances its >$4.5 billion financing activity in support of a $7.0 billion 2026 financing plan.

Positive

• Secured $1.65B five-year fixed-rate CMBS for One Madison Avenue
• Transaction was significantly oversubscribed, indicating strong investor demand
• Advances >$4.5B of 2026 financing toward a $7.0B plan

Negative

• New secured debt increases outstanding balance by $479M (≈41%) versus prior $1.171B
• Borrowing priced at 5.81% fixed, implying higher absolute interest cost versus lower-rate environments

News Market Reaction – SLG

-1.98%

1 alert

-1.98% News Effect

On the day this news was published, SLG declined 1.98%, reflecting a mild negative market reaction.

Data tracked by StockTitan Argus on the day of publication.

Key Figures

One Madison refinancing: $1.65 billion Financing term: 5 years Spread over U.S. Treasury: 181 basis points +5 more

8 metrics

One Madison refinancing $1.65 billion Refinancing of One Madison Avenue

Financing term 5 years Term of new fixed-rate financing

Spread over U.S. Treasury 181 basis points Pricing spread on new financing

Interest rate 5.81% Rate on new One Madison Avenue financing

Prior construction facility $1.25 billion Size of previous One Madison construction facility

Outstanding balance $1.171 billion Outstanding amount on prior construction facility

2026 financing completed >$4.5 billion Financing and refinancing activity to date in 2026

2026 financing plan $7.0 billion Total financing plan for 2026

Market Reality Check

Price: $36.94 Vol: Volume 1,281,671 is below...

normal vol

$36.94 Last Close

Volume Volume 1,281,671 is below the 20-day average of 1,468,378, suggesting no outsized trading response ahead of this news. normal

Technical Shares at $37.93 are trading below the $51.62 200-day moving average and sit 43.31% under the 52-week high, 8.28% above the 52-week low.

Peers on Argus

SLG is down 2.17% while key office REIT peers mostly show small gains: KRC +0.81...

SLG is down 2.17% while key office REIT peers mostly show small gains: KRC +0.81%, DEI +0.32%, CDP +0.54%, VNO +1.44%, with only CUZ slightly negative at -0.54%. This points to a stock-specific move rather than a sector-wide shift.

Historical Context

5 past events · Latest: Mar 23 (Positive)

Pattern 5 events

Date	Event	Sentiment	Move	Catalyst
Mar 23	Dividend announcement	Positive	+3.4%	Set 2026 annual ordinary dividend and highlighted liquidity and financing plans.
Mar 19	Credit facility refi	Positive	+3.3%	Refinanced and lowered cost on major corporate credit facility, extending maturity.
Mar 17	Earnings date set	Neutral	+3.8%	Announced timing for Q1 2026 earnings release and conference call.
Mar 16	Asset sale	Neutral	+3.8%	Entered contract to sell residential and retail components of 7 Dey Street.
Mar 09	Leasing milestone	Positive	+1.0%	Reached 100% leased at One Madison Avenue and highlighted strong portfolio leasing.

Pattern Detected

Recent corporate actions and leasing updates have generally been met with positive price reactions, so today’s refinancing news alongside a price decline suggests an atypical divergence from that pattern.

Recent Company History

Over March 2026, SL Green reported several balance sheet and portfolio milestones. It set a $2.47 annual ordinary dividend and outlined a $7.0 billion 2026 financing plan. The company refinanced $2.0 billion of its $2.4 billion corporate credit facility, announced the sale of 7 Dey Street for $222.6 million, and reached 100% leasing at One Madison Avenue. Each of these updates saw positive single-day price reactions, underscoring historically constructive trading around operational and financing news.

Market Pulse Summary

This announcement highlights a major step in SL Green’s $7.0 billion 2026 financing plan, with a $1....

Analysis

This announcement highlights a major step in SL Green’s $7.0 billion 2026 financing plan, with a $1.65 billion five-year fixed-rate refinancing of One Madison Avenue at 5.81%. It also underscores that the property is 100% leased and that the company has completed more than $4.5 billion of 2026 financing and refinancing activity to date. Investors may focus on ongoing execution of the plan, future debt maturities, and leasing performance across the broader portfolio.

Key Terms

cmbs, sasb, basis points, hvac

4 terms

cmbs financial

"Transaction Marks the Largest US Office CMBS Issuance in the Past 12 Months"

Commercial mortgage-backed securities (CMBS) are financial products made by bundling many commercial real estate loans — such as those on office buildings, shopping centers, and apartment complexes — and selling pieces of that bundle to investors. Think of it like a fruit basket: each investor owns a share of many loans rather than one property, so returns come from the borrowers’ mortgage payments and the value of the underlying properties; investors watch CMBS for steady income but also for sensitivity to property market conditions, tenant occupancy and interest rates.

sasb financial

"The single asset, single borrower (SASB) CMBS execution was agented by a consortium"

SASB stands for the Sustainability Accounting Standards Board, an organization that created industry-specific guidelines for companies to report environmental, social and governance factors that are likely to affect their financial performance. Think of it as a standardized checklist that helps investors compare how well different companies manage risks like pollution, labor practices or product safety — similar to using a common recipe so you can fairly judge different cooks. Clear, consistent SASB disclosures make it easier for investors to spot hidden risks and long-term value drivers.

basis points financial

"priced at a spread of 181 basis points above the US treasury index"

Basis points are a way to measure small changes in interest rates or percentages, where one basis point equals 0.01%. For example, if a loan's interest rate increases by 50 basis points, it's gone up by 0.50%. They help people understand tiny differences in rates that can add up over time, making financial comparisons clearer.

hvac technical

"It includes state-of-the-art HVAC that circulates 100% fresh air"

HVAC stands for heating, ventilation and air conditioning — the systems that control temperature, airflow and indoor air quality in buildings. Investors care because HVAC drives operating costs, energy use, tenant comfort and regulatory compliance; like the engine and insulation of a building, efficient modern systems can lower bills, reduce repair and replacement spending, and preserve property value, while outdated units can create unexpected expenses and vacancy risk.

AI-generated analysis. Not financial advice.

Transaction Marks the Largest US Office CMBS Issuance in the Past 12 Months

NEW YORK, March 25, 2026 (GLOBE NEWSWIRE) -- SL Green Realty Corp. (NYSE: SLG), Manhattan’s largest office landlord, and its partners today announced a $1.65 billion refinancing of One Madison Avenue. The five-year, fixed rate financing was priced at a spread of 181 basis points above the US treasury index, resulting in an interest rate of 5.81%. The single asset, single borrower (SASB) CMBS execution was agented by a consortium of world class institutions led by Wells Fargo Bank, N.A., with participation from Goldman Sachs, J.P. Morgan, Bank of America, Deutsche Bank and Crédit Agricole. The new financing, which is expected to close in the first quarter of 2026, replaces the property’s previous $1.25 billion construction facility with a current outstanding balance of $1.171 billion.

One Madison Avenue is 100% leased with a tenant roster that includes global technology, AI and financial services firms such as IBM, Franklin Templeton Companies, Palo Alto Networks, FanDuel Group, Sigma Computing and Harvey AI.

“The strong investor demand for this transaction underscores the depth of liquidity available for high-quality office assets, even amid periods of market volatility. The transaction was significantly oversubscribed, with all classes nearly clearing year-to-date tights and executing inside current secondary spreads for several comparable New York City office SASB transactions,” said Harrison Sitomer, President and Chief Investment Officer of SL Green. “This transaction brings us to more than $4.5 billion of financing and refinancing activity to date in 2026 in furtherance of our larger $7.0 billion financing plan for the year, which will strengthen our balance sheet and extend our debt maturity profile.”

One Madison Avenue is the most ambitious adaptive reuse project in New York City, uniquely located overlooking Madison Square Park. Exemplifying the innovation needed to create 21st-century office spaces while preserving historical context, SL Green and KPF transformed the existing nine-story podium into a flexible Class-A office in support of a new 550,000 square foot tower above.

One Madison Avenue’s prominence reflects its position as the preeminent example of a future-forward workplace with elevated wellness-driven amenities. It includes state-of-the-art HVAC that circulates 100% fresh air, massive floor-to-ceiling windows offering abundant natural daylight, as well as Rockwell Group designed amenities such as Le Jardin Sur Madison, a spectacular one-of-a-kind event space and rooftop garden, La Tête d’Or by Daniel, Chef Daniel Boulud’s latest upscale culinary offering, and The Commons designed by Vocon, a 7,000 square foot tenant-only lounge. Its curated retail program features a 56,000 square foot Chelsea Piers Fitness together with a collection of high-quality, fast casual eateries.

Newmark’s Jordan Roeschlaub, Nick Scribani and Ricky Braha advised SL Green on the transaction.

About SL Green Realty Corp.
SL Green Realty Corp., Manhattan's largest office landlord, is a fully integrated real estate investment trust, or REIT, that is focused primarily on acquiring, managing and maximizing the value of Manhattan commercial properties. As of December 31, 2025, SL Green held interests in 56 buildings totaling 31.4 million square feet. This included ownership interests in 28.0 million square feet of Manhattan buildings and 2.7 million square feet securing debt and preferred equity investments, excluding fund investments.

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, including such matters as future capital expenditures, dividends and acquisitions (including the amount and nature thereof), development trends of the real estate industry and the New York metropolitan area markets, occupancy, business strategies, expansion and growth of our operations and other similar matters, are forward-looking statements. These forward-looking statements are based on certain assumptions and analyses made by us in light of our experience and our perception of historical trends, current conditions, expected future developments and other factors we believe are appropriate. Forward-looking statements are not guarantees of future performance and actual results or developments may differ materially, 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 include risks and uncertainties described in our filings with the Securities and Exchange Commission. Except to the extent required by law, we undertake no obligation to publicly update or revise any forward-looking statements, whether as a result of future events, new information or otherwise.

Press contact
slgreen@berlinrosen.com

SLG – FIN

FAQ

What did SLG (NYSE: SLG) announce about One Madison Avenue on March 25, 2026?

SLG announced a $1.65 billion five-year fixed-rate SASB CMBS refinance for One Madison Avenue. According to the company, the loan is priced at 181 bps over Treasuries for an effective rate of 5.81% and replaces a prior $1.171 billion facility.

When will the One Madison Avenue refinance for SLG close and who led the financing syndicate?

The refinancing is expected to close in Q1 2026. According to the company, Wells Fargo led the agenting consortium with participation from Goldman Sachs, J.P. Morgan, Bank of America, Deutsche Bank and Crédit Agricole.

How does the $1.65B refinancing affect SLG’s 2026 financing plan (NYSE: SLG)?

The deal contributes to SLG’s financing activity, bringing total 2026 financings to >$4.5 billion. According to the company, this supports a broader $7.0 billion financing plan to strengthen its balance sheet and extend maturities.

What are the financing terms for SLG’s One Madison Avenue loan and the implied interest rate?

The loan is a five-year, fixed-rate SASB CMBS priced at 181 basis points over the U.S. Treasury index. According to the company, that pricing results in an effective interest rate of 5.81%.

Which major tenants occupy One Madison Avenue and does occupancy affect the refinance for SLG (SLG)?

One Madison Avenue is 100% leased to tenants including IBM, Franklin Templeton, Palo Alto Networks, FanDuel, Sigma Computing and Harvey AI. According to the company, full occupancy and high-quality tenants supported strong investor demand for the CMBS.

How much did the outstanding secured balance change after SLG’s refinance of One Madison Avenue?

The new $1.65 billion loan replaces a prior outstanding balance of $1.171 billion, increasing secured indebtedness by $479 million (about 41%). According to the company, this reflects the finalized refinance sizing for the asset.