SL Inexperienced introduced its frequent companion Mori Building in to assist develop its newest workplace tower.
The REIT offered a 49 % stake within the undertaking at 346 Madison Avenue to Mori Constructing, which has teamed up with SL Inexperienced on One Vanderbilt and 245 Park Avenue.
The deal values the property — which can finally give strategy to an 850,000-square-foot workplace tower — at $175 million.
“Tenant demand for the highest-quality, best-located, and most thoughtfully designed buildings far exceeds out there provide,” mentioned SL Inexperienced CEO Marc Holliday, who added that now’s “the right time” to develop the tower.
SL Inexperienced purchased 346 Madison Avenue — Brooks Brothers’ former flagship retailer — for $160 million final 12 months. Will probably be the corporate’s first ground-up workplace growth since One Vanderbilt, which opened in 2021.
Japan-based Mori purchased an 11 % stake within the 1.7 million-square-foot One Vanderbilt in 2024 in a deal that valued the skyscraper at $4.7 billion. It additionally purchased a stake in SL Inexperienced’s 245 Park Avenue at a $2 billion valuation.
At 346 Madison, SL Inexperienced and Mori will develop an all-electric constructing standing 46 tales tall with column-free floorplates. It would have 9 terrace flooring and a two-floor amenity house that can embody a 215-seat auditorium and a tenant lounge with an épicerie run by movie star chef Daniel Boulud.
Learn extra
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SL Green deal values One Vanderbilt at $4.7B
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