One Madison Loan Delivers Major Cash-Out

One Madison refinancing lets SL Green and partners extract $308M, signaling strong demand for trophy Manhattan office assets.

March 24, 2026

Jordan B.

SL Green and partners will extract $308M in equity from a $1.7B CMBS refinancing of One Madison.
The 1.4M SF trophy office is now fully leased, anchored by major tenants like Franklin Templeton, IBM, Coinbase, and Harvey AI.
The refinancing includes a $136M reserve for free rent and tenant improvements.
The deal reflects continued strong lender appetite for prime Manhattan office properties.

Key Takeaways

Capital Markets Surge

SL Green and its partners secured a $1.7B CMBS loan for One Madison Avenue, reports Bisnow. They moved quickly to capture strong capital market demand. The ownership group includes National Pension Service of Korea, Mastern Investment Management, and Hines. They plan to pay off $1.2B in construction debt with the proceeds. In addition, the group will set aside $136M for tenant improvements and free rent. They will also extract about $307.9M in equity from the deal.

The loan, underwritten by Wells Fargo, Goldman Sachs, JPMorgan Chase, Bank of America, and Deutsche Bank, is expected to close April 7. Industry reports indicate that Manhattan office owners continue to benefit from deep capital market liquidity for stabilized, top-tier properties.

Strong Leasing Performance

One Madison’s 1.4M SF has been fully leased to a diverse roster of tenants. Franklin Templeton and IBM each anchor the building with roughly 350K SF apiece. Coinbase expanded its commitment this year to 160K SF, while Harvey AI took the last available space with a 93K SF expansion, bringing its total to 189K SF.

A street-level steakhouse from chef Daniel Boulud and a 12K SF rooftop event space add to the property’s appeal for trophy office tenants.

Broader Market Implications

The One Madison loan adds to a growing wave of large CMBS deals for top New York office assets. Last year, lenders issued more than $115B in CMBS across NYC. Recent data also shows real estate liquidity rebounded in Q3 2025, supporting more large financings. Major sponsors, including Brookfield and SL Green, actively refinanced high-profile properties. Meanwhile, SL Green has sold $2.5B in assets to cut debt. The firm also refinanced 11 Madison with a $1.4B CMBS loan.

Trophy office transactions like One Madison highlight ongoing investor confidence in top-quality Manhattan real estate, even as the broader office market remains in transition.