Great news this week for New York City Office in two noteworthy transactions.

First, we have a new NYC record rent at Related Companies’ to be completed 625 Madison announced at $375 per square foot (starting at $350 and growing to $400).  The previous record was held by 9 West 57th Street at $330/sf. Demand has been brisk at 625 Madison with approximately one-third of its 860,000 square feet already pre-leased. Delivery is estimated in 2029.  

Second, SL Green’s 245 Park Avenue (pictured) completed a $2 billion five-year fixed-rate CMBS refinancing (2026-245P). The building anchors Park Avenue and is 99% leased. The CMBS loan is priced at ~6% and represents proceeds of $1,126 per square foot. The 1.8 million square foot property is valued at $2.7 billion or $1,500 per foot. The financing was provided by a consortium of banks led by J. P. Morgan.

Both transactions confirm demonstrate the strong demand for and strength of Class A New York City office.