Alexander’s, Inc. has successfully refinanced the office condominium portion of 731 Lexington Ave., a premier Class A building in Midtown Manhattan that serves as Bloomberg LP’s headquarters. The previous loan of $490 million, with an interest rate tied to the prime rate (currently at 8%), was set to mature this month.
The new loan is for $400 million and carries a fixed interest rate of 5.045%. It will reach maturity in October 2028 and can be prepaid without penalty starting from October 2026, giving Alexander’s flexibility in managing their finances.
This refinancing comes after Bloomberg LP extended its lease for another eleven years back in May, securing all available office space totaling nearly one million square feet at 731 Lexington. The prior loan had been sent to special servicing due to its original maturity date being set for June.
Vornado Realty Trust holds a significant stake of approximately one-third ownership in Alexander’s and was responsible for developing the property on the former site of an Alexander’s department store back in 2005.
Overall, this successful refinance is yet another testament to both Vornado Realty Trust’s expertise as well as Alexander’s strong financial position within New York City real estate market.
