SL Green Sells One Vanderbilt Stake to Mori Building Company

SL Green sold a piece of One Vanderbilt in a deal that values the trophy Midtown office tower at $4.7 billion.

The REIT sold an 11 percent stake in the 1.7 million-square-foot skyscraper to Japan’s Mori Building Company, SL Green announced Thursday afternoon.

SL Green had owned a 71 percent stake in the building prior to sale. The National Pension Service of Korea owns a 27.6 percent interest and Hines owns 1.4 percent.

It is not clear how the $4.7 billion valuation compares to the previous one, because SL Green did not release it when it last refinanced the tower, in 2021, with a $3 billion CMBS deal. However, an appraisal that spring by Newmark Knight Frank put its as-is value at $4.1 billion and said it would be worth $5 billion upon stabilization.

The 1,401-foot-tall building is 100 percent leased, and has come to be the gold standard for new office development. In April 2022 a Canadian company leased One Vanderbilt’s 73rd and highest office floor, which had an asking rent of an astonishing $322 per square foot. The deal, for 9,871 square feet, might have been the most lucrative in the city’s history on a per-foot basis.

“One Vanderbilt is a globally-renowned and architecturally celebrated modern development, which has continued to demonstrate that well-located, highly amenitized and sustainable buildings will attract premier tenants and prestigious investors,” SL Green CEO Marc Holliday said in a statement.