$407M Refinancing Secured for 450 Lexington Avenue Office Building in Midtown Manhattan

RXR has secured $407 million in mortgage financing to refinance 450 Lexington Avenue, a premier Class-A office tower in Midtown Manhattan. The commercial real estate financing, led by Morgan Stanley and Bank of America, replaces a prior $272 million mortgage and provides additional capital to support ongoing building enhancements.

Office Real Estate Transaction Details

The 38-story, 920,000-square-foot office building is located at 450 Lexington Avenue in Midtown Manhattan. Constructed in 1992, the property is fully leased to leading long-term tenants and maintains a position in the heart of the Grand Central district.

The refinancing underscores strong institutional confidence in the asset and its long-term performance.

Fully Leased Property with Long-Term Tenancy

The office real estate asset is fully leased to leading long-term tenants, including Davis Polk & Wardwell and Warburg Pincus, with a weighted average lease term of nearly 20 years. Additional tenants include Morgan Stanley Smith Barney, Herbert Smith Freehills, Brixmor Property Group, and WeWork.

"This refinancing reflects the continued demand for best-in-class office assets in prime locations. With its long-term tenancy, extensive recent upgrades, and position in the heart of the Grand Central district, 450 Lexington Ave. represents the type of high-quality asset that continues to attract institutional capital," said Scott Rechler, RXR Chairman and CEO.

$500 Million in Upgrades and Modernization

Since acquiring the building, RXR has invested nearly $500 million in upgrades and continues to modernize the asset to further elevate the tenant experience. The new loan provides additional capital to advance ongoing building enhancements.

The property's weighted average lease term of nearly 20 years and full occupancy position it as a high-quality asset in the Manhattan office market.