Ivanhoé Cambridge and its partner, Callahan Capital Properties, have acquired a 100% interest in the 1.2-million-square-foot Three Bryant Park office property in Midtown Manhattan for $2.2 billion. The seller was Blackstone Group.
Located at 1095 Avenue of the Americas between 41st and 42nd Street, Three Bryant Park is one of the most prominent office properties in New York City. Three Bryant Park recently underwent a $260 million redevelopment, including a new lobby, building façade, expanded retail and public areas. Renowned firms at the property include MetLife, Verizon and Dechert LLP, among others.
The 41-story, 630-foot-tall skyscraper was designed by Kahn & Jacobs and constructed from 1972 to 1974 as headquarters of New York Telephone. The building is now home to MetLife’s global headquarters.
“The opportunity to acquire a truly iconic property like Three Bryant Park is extremely rare,” noted Arthur Lloyd, Executive Vice President, Global Investments Ivanhoé Cambridge. “As we redeploy capital that has been rotated out of non-core assets globally, Three Bryant Park represents a cornerstone of our expanding U.S. office platform. The property is 97% leased for the long term to a roster of high-credit quality tenants. It fits perfectly into our investment strategy of building a diversified portfolio of top-quality office properties in gateway U.S. office markets.”
Tim Callahan, Chief Executive Officer of Callahan Capital Properties, commented: “When we considered the quality and unique characteristics of this property, along with the continued enhancements in the immediate area around Three Bryant Park, it was clear this is a compelling long-term investment opportunity.” Mr. Callahan added: “We continue to be very pleased with the progress we have made in expanding our U.S. office platform with Ivanhoé Cambridge, which now totals almost 5 million square feet in New York City and over 10 million square feet nationally.”
Image courtesy Blackstone Group