[NYguy]

https://www.crainsnewyork.com/real-estat...ded-after-losing-casino-gamble-20260421/

SL Green’s 1515 Broadway downgraded after losing casino gamble


By Aaron Elstein
April 21, 2026

After rolling snake-eyes in its quest for a casino license, a credit agency downgraded the SL Green tower at 1515 Broadway over worries that the aging Times Square office building could eventually become vacant.

“We have heightened concerns about the property,” S&P Global said in a report Monday.

The ratings firm noted that, although the building is fully occupied now, sole tenant Paramount Global is shrinking its workforce and indicated it will relocate its headquarters to Los Angeles after being acquired by Skydance Media last year. S&P estimated the 57-story, 1.7-million-square-foot-property at the corner of West 45th Street is worth $500 million, or less than half its pre-pandemic value of $1.1 billion. The company also said it could be difficult for owner SL Green to refinance the building when its $675 million mortgage comes due in two years.

SL Green insists S&P’s concerns are misplaced.

“1515 Broadway is an extraordinary, well-located asset that is leased through 2031 and perfectly positioned for a new vision as a multi-use project with entertainment, hospitality, premier office space and, at the very top, a new SUMMIT Times Square,” a spokesman said, referring to an observation deck similar to the company’s SUMMIT One Vanderbilt. “This new concept builds on the investment we’ve already made to advance a new vision for 1515 Broadway that will achieve all of our goals for that building and for the district.”

However, S&P cautioned that the feasibility of and funding for converting the tower into an entertainment venue without a casino are “uncertain.”