CITY—SL Green, in a joint venture partnership with Jeff Sutton, has acquired 724 Fifth Avenue. SL Green announced in October 2011 an agreement to acquire 724 Fifth Avenue as part of a larger agreement to acquire a portfolio of residential and commercial properties.
The purchase price of this 12-story, 65,010-sq.-ft. property was partially financed with a 5-year, $120.0 million floating rate mortgage which bears interest at 235 basis points over the 30-day LIBOR.
724 Fifth Avenue is situated in the vicinity of other retail properties where SL Green and Jeff Sutton have interests, including 717 Fifth Avenue, home to Giorgio Armani’s flagship store and the future flagship store of Dolce & Gabanna, and 720 Fifth Avenue, home to Abercrombie & Fitch. Prada currently occupies approximately 20,700 sq. ft. including the grade, mezzanine, second floor and lower level retail, as well a boutique office floor.
In a separate transaction, SL Green Realty Corp. closed on the acquisition of seven commercial andproperties for $193.1 million with its joint venture partner Stonehenge Partners. The transaction previously was announced in October, 2011.
Two of the residential properties, which encompass 385 units, were financed with 7-year fixed-rate mortgage financings totaling $100 million which bear interest at 4.125 percent. The retail property located at 762 Madison Avenue was financed with a 5-year, fixed-rate $8.5 million mortgage loan which bears interest at 3.75 percent. The remaining four assets were purchased without any financing.