- A joint venture led by Related, GIC, and ADIA is closing on a $1.1B refinancing for the Deutsche Bank Center in Columbus Circle.
- The new floating-rate CMBS loan covers two years with options to extend and refinances prior debt on the 1.1M SF property.
- Deutsche Bank anchors the office portion with a long-term lease; the tower is currently fully occupied.
New Debt Deal For A Midtown Landmark
One of Manhattan’s highest-profile office properties is poised to complete a $1.1B refinancing by the end of October, reports Bisnow. A Fitch Ratings report says the $1.1B financing covers the 1.1M SF office portion of Deutsche Bank Center at 60 Columbus Circle.
The floating-rate, interest-only loan has a two-year term and includes three optional one-year extensions. Roughly $10M from the proceeds will go toward closing costs.
Strong Tenant, Prime Location
The new loan replaces existing debt on the asset and reflects a 66.7% loan-to-value ratio, based on a $1.65B appraisal. Deutsche Bank occupies over 93% of the tower under a 20-year lease that began in 2021, with the option to extend for another two decades.
The building is part of the 2.8M SF Deutsche Bank Center complex and was once known as the Time Warner Center. It was renamed after Deutsche Bank moved its US headquarters there from Wall Street.
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Sovereign Wealth-Backed Ownership
A joint venture controls the asset, involving The Related Companies, GIC, and the Abu Dhabi Investment Authority:
- The Related Companies – 3% ownership via affiliates
- Government of Singapore Investment Corp. (GIC) – 48.1%
- Abu Dhabi Investment Authority (ADIA) – 48.1%
Wells Fargo and German American Capital Corp. are co-originating the loan and serving as mortgage sellers. None of the stakeholders have commented publicly on the transaction.
Second Time’s The Charm
This refinancing follows a previously planned $1.5B single-asset CMBS deal for the same building. In 2022, investors pushed back on the deal, and as a result, market volatility ultimately led the sponsors to withdraw it. Now, by contrast, the current transaction reflects significantly stronger conditions for top-tier assets with stable income streams.
Why It Matters
Many office owners are currently struggling to refinance. The Deutsche Bank Center deal shows that trophy assets with strong tenants and global backing can still secure large-scale financing.
What’s Next
The deal is expected to close by October 29. It could signal a broader thaw in lending for high-quality office properties, especially those backed by institutional or sovereign capital in New York’s strongest submarkets.
