The building is located in New York’s Plaza District at 650 Madison Ave. The loan was co-originated by Goldman Sachs Mortgage Co. and German American Capital Corp. on Sept. 30.
Kroll Bond Rating Agency has assigned the deal, dubbed Madison Avenue Trust 2013-650M, preliminary ratings. The class A notes are rated AAA, the class B notes are rated AA-, the class C notes are rated A-, the class D notes are rated BBB- and the class E notes are rated BB-.
According to the presale report, the Madison Avenue property is a 27-story building containing 503,872 square feet of office space, 54,571 sf of retail space and 36,027 sf of storage space. The property was built in 1957. It was renovated and expanded by 19 stories in 1987.
As of September 2013, the building was 91.3% leased to seven office tenants and three retail tenants. The largest tenant is Polo Ralph Lauren, a high-quality creditworthy tenant that leases 46% of the total sf for its global headquarters.
Other major tenants include Memorial Sloan Kettering Cancer Center (HQCWT, 16.9%) and Crate & Barrel (10.3%).
The collateral is being acquired by affiliates of Vornado Realty Trust and Oxford Properties Group in a joint venture with other limited partners, according to the presale report.