Rockwood Refinances 2 Grand Central With $262M From MetLife

Rockwood Capital secured a $262.6 million refinancing of its 44-story Midtown office building at 2 Grand Central Tower.

The loan replaces the previous $260 million loan on the property made in 2018. Both loans were provided by insurance company MetLife, according to property records. In 2015, Rockwood obtained a loan for $200 million from JPMorgan. PincusCo first reported the news.

This refinancing comes as Rockwood is trying to sell the 667,000-square-foot property, seeking a sale price upwards of $270 million. That is a sharp decrease from the last time the private equity investor tried to sell the property; in February 2020, shortly before the Covid-19 pandemic hit, Rockwood had expected to sell the tower for close to $580 million, more than twice what it’s looking for now.

The current sale price is a far cry from what Rockwood originally spent on 2 Grand Central Tower. The firm originally purchased the office building in 2011 from Boston Properties, now BXP, for $401 million, records show. Boston Properties bought it for almost $428 million in 2008 from Harry Macklowe, who built it.

A representative for Rockwood could not be immediately reached for comment.

The tower lies on 45th Street, between Lexington and Third Avenues, near Grand Central Terminal. Current tenants include the Nuvo Group, Maersk, Cigna, and other financial, legal and professional services firms. Rockwood Capital has its headquarters in the building.

This won’t be the first time Rockwood has faced challenges in the office market. In May, Rockwood Capital didn’t pay off a $26.7 million loan tied to the Santa Monica Clock Tower when it came due, with the loan going to special servicing. In 2024, the company sold an office building in Maryland for $29.9 million, a 78 percent drop in value from the 2019 purchase price of $133.8 million.