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teven Roth's real estate investment trust, Alexander's, spent over $300 million to secure a lease renewal from Michael Bloomberg's company at 731 Lexington Avenue. According to Piper Sandler analyst Alexander Goldfarb, the deal involved Roth contributing $200 million towards capital improvements and free rent, capping his own rent revenue at $109 per square foot. Additionally, Roth promised $124 million for capital improvements, which he referred to as a "killer" in a shareholder letter.

    The financing aspect of the deal was also complex. A $500 million mortgage on the property came due in June, but Alexander's secured a new four-year loan worth $400 million from Deutsche Bank, JPMorgan Chase Bank, and Wells Fargo Bank. To cover the remaining shortfall, Roth contributed an additional $115 million in fresh capital.

    Goldfarb estimates that Alexander's 2026 earnings will take a significant hit due to the costs associated with retaining Bloomberg as a tenant. He projects that earnings will be 33% lower than this year's earnings, making it a costly but necessary move for Roth to keep his critical tenant in place.