Bromley Companies has secured $163.43 million to refinance 122 Fifth Avenue, an office building that recently modernized into a Class A space.
This was done through a permanent loan provided by Helaba Bank and Deka-Bank, with Walker & Dunlop brokering the deal. The refinancing will replace the existing debt on 122 Fifth.
The Flatiron District property completed a $107 million renovation program in 2023. The upgrades included a modern amenity package, LEED and WiredScore Gold certifications, dual lobbies, a rooftop pavilion and enhanced infrastructure. The 278,000 square foot building includes retail space and has Chime and Microsoft locked into long-term leases.
The property is within walking distance of Union Square Station and provides direct access to Madison Square Park and Union Square.
“Bromley Companies’ strategic reinvestment in 122 Fifth Avenue has elevated the building into one of Midtown South’s premier mixed-use assets,” Aaron Appel, senior managing director at Walker & Dunlop, said in a statement.
“This transaction underscores the continued demand for fully modernized, best-in-class office properties. This property is a top destination for leading technology, media, and creative firms shaping the Midtown South market.”
While no one can question Manhattan's strong recovery since the pandemic — leasing pulled back in November. Just 2.99 million square feet of signings were recorded during that month, down 17.9 percent versus October and a drop of eight percent year-over-year, according to a recent Colliers report. Yet, the market's availability fell to its lowest levels since November 2020 and rents surged to the highest amount seen since October 2023 — which still shows Manhattan office sector fundamentals overall remain strong.
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