Brookfield secures $635M refinancing package at New York Times Building

Consortium of four lenders provided the debt

Dec.December 19, 2018 06:59 PM

Ric Clark and the New York Times Building (Credit: Getty Images)

Four lenders are teaming up to provide $635 million to refinance Brookfield Asset Management’s leasehold mortgage on a portion of the New York Times building, according to filings that hit city records Wednesday night.

Deutsche Bank, Bank of America, Barclays Capital Real Estate Inc. and Citi Real Estate Funding Inc. are providing the financing, which includes a $435 million gap mortgage.

The borrower is FC Eighth Ave. LLC., a former affiliate of Forest City Realty Trust, which was recently acquired by Brookfield Asset Management for $6.8 billion.

The new financing covers space on the first floor and office condos on floors 28 through 50 at 620 Eighth Avenue. It replaces a previous debt from Whiteacres Loan Acquisition LLC, which was also a subsidiary of Forest City Realty Trust.

Barclays declined to comment. Brookfield and the other lenders did not immediately return requests for comment.

The New York Times developed the property, completed in 2007, in a partnership with Forest City. The Times holds a 58 percent stake in the building; Brookfield now holds the rest.

The Times in 2009 signed a sale-leaseback agreement with investment firm W.P. Carey & Company. In February, the Times signaled that it would buy back its leasehold for $250 million in 2019, when the option goes into effect.

Update: This story has been updated to reflect the refinancing was of a leasehold mortgage.

Related Articles

315 West 33rd Street, SL Green's Marc Holliday and Brookfield's Ric Clark (Credit: SL Green, Getty Images)

Brookfield fund buying SL Green’s 315 West 33rd Street for $447M

(Illustration by Daniel Castro Maia)

How much bigger can Brookfield get?

Brookfield Asset Management CEO Bruce Flatt

“We underwrite every investment like we’re going to hit a recession”: Brookfield CEO

Brookfield's Ric Clark (Credit: Getty Images)

“There was no quid pro quo”: Ric Clark on Brookfield’s 666 Fifth purchase, and renovation plans

From left: Brookfield's Ric Clark, 3333 Broadway and L+M's Ron Moelis (Credit: Brookfield, L+M, StreetEasy)

L+M, Invesco close on Putnam portfolio with $823M in Wells Fargo financing

CalSTRS will acquire Fairfield Residential and its nationwide portfolio

CalSTRS will acquire Fairfield Residential and its nationwide portfolio

VTS co-founder Nick Romito (Credit: iStock)

VTS raises $90M to join the ranks of unicorns

Brookfield’s $4.7B Oaktree deal could bolster firm for downturn

Brookfield’s $4.7B Oaktree deal could bolster firm for downturn