Ivanhoé Cambridge has secured a US$1.125 billion refinancing deal for 3 Bryant Park, a landmark 1.2 million-square-foot office tower in Midtown Manhattan.

Bank of Montreal led the transaction with Wells Fargo and Bank of America. The deal was arranged by JLL’s Capital Markets group, which represented Montreal-based Ivanhoé Cambridge and global asset manager Hines.

JLL said the refinancing underscores renewed confidence in the commercial real estate market.

A premier trophy asset, 3 Bryant Park is currently 97.2% leased to major tenants, including Salesforce, Stifel, Dechert LLP, U.S. Bank, Lloyds Bank, and Standard Chartered. Since acquiring the property, Ivanhoé Cambridge has invested significantly to maintain its status among New York City’s highest-performing office towers. A new suite of amenities introduced this year further enhances 3 Bryant Park’s appeal, said JLL.

Tenants enjoy direct access to Bryant Park, on-site retail featuring Whole Foods and Equinox, a new conference centre, a sky lobby with a coffee bar, and immediate subway connectivity. The tower also offers diverse dining options, including Valbella, Shake Shack, and Rosetta Bakery.

The Bryant Park micro-market remains one of the city’s strongest, with a trophy office asset vacancy rate of just 0.8% and rental prices approximately 50% higher than the Midtown class A average, according to JLL. The area benefits from its proximity to key transit hubs, including Grand Central Terminal, Penn Station, and the Port Authority Bus Terminal.

JLL’s Capital Markets Debt Advisory team, led by Senior Managing Directors Christopher Peck and Drew Isaacson, played a key role in securing the refinancing.

“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.”

JLL data indicates a nearly 30% rise in lender quotes for transactions exceeding US$100 million in the second half of 2024 compared to the same period in 2023.