JLL arranges $1.125B refinancing for 3 Bryant Park in Midtown Manhattan

Rhea-AI Summary

JLL Capital Markets has arranged a $1.125 billion refinancing for 3 Bryant Park, a 1.2 million square-foot trophy office tower in Midtown Manhattan. The refinancing was led by Wells Fargo, Bank of America, and Bank of Montreal for owner Ivanhoé Cambridge and asset manager Hines.

The 42-story tower is currently 97.2% leased with prominent tenants including Salesforce, Stifel, and Dechert LLP. The property features premium amenities including direct Bryant Park access, on-site Whole Foods, Equinox-anchored retail, and a 16,000-square-foot public plaza.

Located in one of New York City's strongest submarkets, the Bryant Park area maintains a 0.8% vacancy rate for trophy office assets and commands rents approximately 50% higher than average Midtown Class A properties. JLL reports a 30% increase in lender quotes for large debt advisory transactions exceeding $100 million in H2 2024 compared to H2 2023.

Positive

• Secured substantial $1.125B refinancing from major banks
• High occupancy rate of 97.2% with creditworthy tenants
• Premium location commanding 50% higher rents than Midtown Class A average
• Extremely low vacancy rate of 0.8% in the submarket
• 30% increase in large loan demand indicating market confidence

Negative

• None.

Trends indicate increasing liquidity for large office loans, buoyed by ample debt capital and increased confidence in the sector

NEW YORK, Feb. 10, 2025 /PRNewswire/ -- JLL's Capital Markets group announced today that it has arranged a $1.125 billion refinancing for 3 Bryant Park, a 1.2 million square-foot, trophy office tower located in the Bryant Park micro-market of Midtown Manhattan.

JLL represented the owner, Ivanhoé Cambridge (the real estate group of CDPQ), as well as Hines, who serves as the asset manager and property manager, to arrange the refinancing led by Wells Fargo, Bank of America and Bank of Montreal. 

3 Bryant Park stands out as one of New York City's premier and highest-performing trophy properties, a position that has been bolstered by continued capital investment from sponsorship since taking ownership, including the introduction of a brand-new amenity offering this year. Currently 97.2% leased, 3 Bryant Park features an elite roster of tenants, with a majority of the tower leased by creditworthy tenants, including Salesforce, Stifel, Dechert LLP, US Bank, Lloyds Bank, and Standard Chartered.

The 42-story tower offers its tenants an array of unique and locational amenities including direct Bryant Park access, on-site Whole Foods and Equinox-anchored retail, a sprawling outdoor plaza with over 16,000 square feet of meticulously designed public space, a new conference center, a sky lobby with a coffee bar, and immediate access to the 42nd Street Subway station, serving the B, D, F, M, and 7 lines. The property also features a diverse array of dining options including Valbella, Shake Shack, and Rosetta Bakery.

Bryant Park is one of the city's most frequented green spaces, attracting over 12 million visitors annually. Due to its central location, equidistant from multiple transit hubs, including Grand Central Terminal, Penn Station and the Port Authority Bus Terminal, the Bryant Park micro-market stands out as one of New York City's strongest submarkets, boasting a 0.8% vacancy rate for trophy office assets and commanding rents approximately 50% higher than the average for Midtown Class A properties.

The JLL Capital Markets Debt Advisory team representing the borrower was led by Senior Managing Directors Christopher Peck and Drew Isaacson, Managing Director Lauren Kaufman and Directors Jennifer Zelko and Christopher Pratt.

"The successful refinancing of a globally renowned trophy office such as 3 Bryant Park signals a shift in market perception and offers an optimistic outlook for the future," said Peck. "The property's exceptional tenant roster, prime location and record utilization have positioned this transaction as arguably the most significant office refinancing of its scale in the post-pandemic era."

Since Q3 2024, JLL has observed a significant surge in demand for large commercial real estate loans, like 3 Bryant Park. JLL data shows a nearly 30% rise in lender quotes for JLL's Debt Advisory transactions exceeding $100 million in the second half of 2024 compared to the same period in 2023.

JLL's Capital Markets group is a full-service global provider of capital solutions for real estate investors and occupiers. The group's in-depth local market and global investor knowledge delivers the best-in-class solutions for clients — whether investment sales and advisory, debt advisory, equity advisory or a recapitalization. The group has more than 3,000 Capital Markets specialists worldwide with offices in nearly 50 countries.

For more news, videos and research resources, please visit JLL's newsroom.

About Hines
Hines is a leading global real estate investment manager. The company owns and operates $93.2 billion of assets across property types and on behalf of a diverse group of institutional and private wealth clients. Every day, its 5,000 employees in 30 countries draw on its 65-year history to build the world forward by investing in, developing, and managing some of the world's best real estate. To learn more, visit hines.com and follow @Hines on social media.

About JLL
For over 200 years, JLL (NYSE: JLL), a leading global commercial real estate and investment management company, has helped clients buy, build, occupy, manage and invest in a variety of commercial, industrial, hotel, residential and retail properties. A Fortune 500 company with annual revenue of $20.8 billion and operations in over 80 countries around the world, our more than 111,000 employees bring the power of a global platform combined with local expertise. Driven by our purpose to shape the future of real estate for a better world, we help our clients, people and communities SEE A BRIGHTER WAYSM. JLL is the brand name, and a registered trademark, of Jones Lang LaSalle Incorporated. For further information, visit jll.com.

Contact: Kristen Murphy, Director, Public Relations
Phone: +1 617 848 1572
Email: Kristen.Murphy@jll.com

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SOURCE JLL

FAQ

What is the value of JLL's recent refinancing deal for 3 Bryant Park?

JLL arranged a $1.125 billion refinancing for 3 Bryant Park in Midtown Manhattan.

What is the current occupancy rate of 3 Bryant Park in 2025?

3 Bryant Park is 97.2% leased with major tenants including Salesforce, Stifel, and Dechert LLP.

How much higher are rents in the Bryant Park area compared to average Midtown Class A properties?

Rents in the Bryant Park micro-market are approximately 50% higher than the average for Midtown Class A properties.

What is the vacancy rate for trophy office assets in the Bryant Park area?

The Bryant Park micro-market has a 0.8% vacancy rate for trophy office assets.

How has JLL's large loan demand changed in H2 2024 compared to H2 2023?

JLL reported a 30% increase in lender quotes for debt advisory transactions exceeding $100 million in H2 2024 compared to H2 2023.