SL Green putting finishing touches on $225M facelift at 245 Park Ave.

Fresh off a $2 billion re-fi, SL Green’s 1.8 million square-foot 245 Park Avenue reached 100% occupancy in September — and that’s only part of the property’s story.The 44-story tower on the entire block between East 46th and East 47th is putting the finishing touches on what SL Green CEO Marc Holliday called a “seismic,” $225 million repositioning.The project includes a new wraparound public plaza, a striking new Park Avenue podium facade by KPF, lavish tenant amenities and, soon, a restaurant from John Meadow’s LDV Hospitality.“It’s a quintessential SLG Green case study,” Holliday told us.

“It was a comprehensive re-do from the plaza to the roof.We breathe new life into older buildings and bring them up to world-class standards.” The work is expected to wrap up in March 2027.Holliday credited joint-venture partner Mori Trust and architects KPF for “sharing our vision” to make 245 Park Avenue fully competitive in the red-hot Park Avenue market.

He also expressed gratitude to the Department of City Planning for cooperating in the plaza redesign.Rents at 245 Park were around $85 per square foot when SL Green took total control of the property in 2022 following a “contentious bankruptcy” by the previous owner, Holliday said.More recent “asks” were as high as $185 psf.

The lease that filled the building was for Nearwater Management, which took 36,563 square feet.SL Green first entered the 245 Park picture as a lender in 2018.It was technically about 80% full when SL Green took over four years later, but that’s misleading since a number of leases were expiring. “We had to re-establish good tenant relationships” after disruption during the bankruptcy, Holliday said.

The tower has since lured Area Management, Carlyle Investment Management, EQT Partners and Houlihan Lokey.Holliday said of the re-fi, “We’re thrilled at the support we got from the debt community, it’s very satisfying.” The new loan led by JP Morgan ...