Developer Larry Silverstein has sold $1.6 billion worth of unrated bonds to finance his planned office tower 3 World Trade Center. The offering, managed by investment bank Goldman Sachs, is the largest sale of unrated debt in history, according to Bloomberg.
The deal brings Silverstein a big step closer to resuming construction on the tower, his third on the World Trade Center. Work on the site has long been stalled after the developer failed to secure sufficient construction financing. In spring, Silverstein tried unsuccessfully to get a loan guarantee from the Port Authority of New York in an attempt to attract creditors.
In a statement, Silverstein hailed the bond sale as an important step for the project.
“This is an exciting time and yet another important milestone for the new World Trade Center and Downtown,” he said. “It means that we have now secured all the financing necessary to complete 3 WTC and open the building in 2018, making it the fourth tower to open at the WTC. 7 WTC opened in 2006 and is fully occupied. The first office workers began moving into 4 WTC on Monday and will be followed next week by the first tenants at One WTC.
“Investor demand for the 3 WTC Liberty Bonds is a terrific vote of confidence in the new World Trade Center and more proof of Downtown’s amazing comeback.”