Holliday Fenoglio Fowler, L.P. (HFF) has secured a $110 million first mortgage financing for 180 Madison Avenue, a historic, 23-story, 280,953 s/f office tower in Manhattan.
Working on behalf of an institutional investor, HFF placed the loan with J.P. Morgan Chase Bank, N.A. and Landesbank Hessen-Thuringen Girozentrale (Helaba).
180 Madison Avenue is located at the southwest corner of Madison Avenue and East 34th Street in Manhattan’s Midtown South office market.
Originally built in 1926, the property is in the final stages of a comprehensive renovation that has already transformed and re-positioned the asset as a best-in-class, market leading office building.
Representative improvements include a spectacular lobby renovation, elevator modernization, window replacements, as well as various electrical upgrades.
Recent rollover at the building, which is currently 72 percent leased, has enabled ownership to continue to execute their business plan to demolish and pre-build space to a “plug and play” ready condition as tenants’ leases expire.
The location of the property appeals to tenants across a wide array of industries, but there has been a growing demand from the technology, advertising, media and information (“TAMI”) sectors that are highly concentrated in the Midtown South office market.
The property offers the infrastructure TAMI tenants frequently require, with the aesthetic style and geographic location they desire.
Two of the top five largest tenants located at the building, The Rubicon Project and Unified Social, are prime examples of the growing TAMI firms flocking to Midtown South. Both tenants signed leases at the property in the last few years and both have already expanded within the building since their arrival.
The HFF debt placement team representing the borrower was led by senior managing director Michael Tepedino and managing director Michael Gigliotti.