SL Green has emerged as a key advisor in the impending foreclosure of 20 Times Square, the glitzy 42-story tower housing Manhattan’s Times Square Edition hotel. The property, tangled in financial disputes, faces a court-approved auction on January 26, where investors may assume its roughly $800 million leasehold debt—or ownership will revert to a lender consortium led by Natixis.
Sources reveal that Natixis quietly enlisted Green Loan Services, an SL Green subsidiary, to manage loan servicing, consult on the foreclosure process, organize financial records, and oversee accounts. The move signals lenders’ confidence in preserving the property’s value despite challenges. “SL Green’s involvement shows European lenders without NYC expertise are committed to maximizing their asset,” one source noted.
If no buyer emerges for the debt, SL Green—which has recently emphasized asset management strategies—could step in as the property’s manager. Once valued at $2.4 billion, the tower’s current worth remains unclear.
Owner Maefield Development defaulted on loans in late 2019, sparking protracted litigation. The Edition hotel, occupying 90% of the building, briefly closed during the pandemic but reopened in June 2021. Its operations are unlikely to shift post-auction due to Marriott’s “ironclad” management contract. Meanwhile, empty retail spaces (70,000 sq ft) and a towering digital billboard highlight unresolved struggles.
Representatives for Natixis and Marriott declined to comment.