Brookfield, Qatar Latest to Jump on Trophy Refi Boom

More Manhattan landlords are getting in on the refinancing bonanza for their trophy properties.

Brookfield and the Qatar Investment Authority are preparing to be the next to tap the spigot, lining up a $1.9 billion loan for Two Manhattan West, according to a S&P Global dispatch reported by Crain’s. Wells Fargo is leading the bank consortium that agreed to provide the debt.

The refinancing of the Hudson Yards tower should prove to be a boon for ownership, which is expected to pocket $273 million in cash returns from the deal.

The 58-story, 2-million-square-foot property is 97 percent leased and counts average in-place gross rents of $132 per square foot, according to S&P. The building opened its doors in 2023 and includes amenities such as a 3,200-square-foot landscaped terrace, bike storage, conference centers and a fitness and wellness center.

Hedge fund D.E. Shaw agreed to take 283,000 square feet across eight floors in 2022. That same year, global audit and consulting firm KPMG announced a deal for 450,000 square feet. International law firm Clifford Chance took 144,000 square feet, while Cravath Swaine & Moore, another law firm, leased 481,000 square feet at the building.

Refinancing high-quality office buildings is putting hundreds of millions of dollars in the cash coffers of real estate’s biggest landlords.

Last week, Soloviev Group was reported to be securing a $1.8 billion, five-year refinancing loan for 9 West 57th Street, issued by Bank of America, Wells Fargo and Citi Real Estate Funding, which will pay off the existing $1.2 billion mortgage.

The refinancing is expected to close by the end of this month, resulting in a $526 million cash payout to Soloviev and valuing the building at $3.9 billion upon stabilization.

And last year, Tishman Speyer and its partners landed nearly $1 billion in payouts upon refinancing the Spiral in Hudson Yards.

— Holden Walter-Warner