New York Office Refinance Rates
Risk pulse: New York office recapitalizations continue amid elevated vacancy and capex needs. Lender selectivity remains high, with lower leverage and tenancy quality driving spreads.
Data: seasonally adjusted where available. Benchmarks update on a short cache; spreads are editorial ranges.
Spreads by Lender Type & Leverage
| Lender Type | ≤55% LTV | 55–65% LTV | 65–75% LTV |
|---|---|---|---|
| LifeCo | 150–225 bps | 200–275 bps | 275–350 bps |
| Bank | 175–250 bps | 250–325 bps | 325–425 bps |
| Agencies (MF only) | 140–210 bps | 175–240 bps | 200–280 bps |
| Debt Funds | 300–450 bps | 350–550 bps | 450–700 bps |
Risk details
Office refinance outcomes hinge on tenancy durability, lease rollover, capex exposure, and sponsorship. Where execution risk is higher, consider lower leverage, partial paydowns, and/or additional recourse to expand the lender set.
- Below 55% LTV improves access to LifeCo balance sheets and tightens spreads.
- High capex/lease-up plans often shift toward debt funds; price in fees and structure.
- Prepayment flexibility can raise spreads vs. yield maintenance but may improve exit options.
FAQs
How does MRT affect office refinances?
MRT applies to new mortgages and some modifications; CEMA structures can reduce tax on principal already recorded. Confirm specifics with counsel. See official guidance below.
Can I keep leverage near prior levels?
It depends on NOI durability and plan. Lower leverage with structure (reserves, covenants) often clears more efficiently in the current market.
Closing Costs Note (NY)
Official MRT guidance: New York State Mortgage Recording Tax.