TODAY’S DEALS: Tucker Development-Led Partnership Closes on $218M Financing for Hudson Lights
Fort Lee, N.J.–A joint venture partnership of affiliates of Tucker Development Corporation, Ares Management and Kushner Real Estate Group announced that it has secured $218 million in financing for Phase I of Hudson Lights, a large-scale, 1-million-square-foot mixed-use redevelopment of a prominent eight-acre site located at the base of the entrance to the George Washington Bridge in the heart of downtown Fort Lee, N.J.
The U.S.-based unit of international real estate services firm, Savills, arranged the debt and equity capitalization, including a $117 million construction loan provided by Sovereign Santander Bank. The financing will allow for construction to proceed on the first phase of Hudson Lights, comprising approximately 143,000 square feet of retail space, 864 parking stalls and 276 luxury apartments that feature numerous amenities for residents including a pool, lounge, fitness center, rooftop terrace and gardens. Phase I of Hudson Lights will total approximately 517,000 square feet of commercial and residential space, exclusive of structured parking.
Tucker Development is constructing Hudson Lights with its development partner, KRE Group. Tishman Construction Corp. is serving as the development’s general contractor. KRE Group will also assist with property management for the development’s residential component upon completion. Robert K. Futterman & Associates is serving as the development’s exclusive retail leasing agent.
“Receipt of this critical financing is a testament to the demand that exists in the market for thoughtfully designed, mixed-use developments in prime locations, as well as the strength of the world-class team that has been assembled to deliver Hudson Lights,” Richard H. Tucker, president and CEO of Tucker Development, says. “We look forward to soon commencing construction on what promises to be one of the region’s foremost, urban-inspired destinations for shopping, dining, entertainment and luxury residential opportunities.”
Designed by leading architecture and planning firm Arquitectonica, Hudson Lights is the western portion of a 16-acre site in Fort Lee that will be comprehensively redeveloped. The development will front on Lemoine Avenue, Main Street, Park Avenue (currently Martha Washington Way) and Bruce Reynolds Boulevard. Further, two new roadways will be constructed as part of the redevelopment. The new Central Avenue will link Lemoine Avenue and Park Avenue. Hudson Street, the focal point of the pedestrian-oriented retail, will be constructed between Main Street and Central Avenue.
The fully entitled second phase of Hudson Lights will include an additional 201 residential units and approximately 50,000 square feet of retail space and parking, as well as a 175-room hotel. The zoning also affords the development the option for an office building of up to 430,000 square feet.
HFF secures $30.5M in construction financing for North Dakota asset
Williston, N.D.—HFF has secured $30.5 million in construction financing for Prairie Pines at The Ridge, a 330-unit, Class A development in Williston, N.D. The borrower was a joint venture between KKR, Continuum Partners and the Pioneer Companies. A national bank provided the loan.
The community is situated on 16.5 acres within The Ridge master-planned community and is slated to open in early 2014. The multi-housing project is the first phase of the development, which will also include 302 townhomes, 144 single-family homes, 48 duplex units and a public park. Amenities will include a fitness center, business center, community kitchen, gathering room, outdoor picnic areas, outdoor barbecue and fire pits.
“The demand for housing in the Williston area has increased exponentially as the Bakken region of North Dakota experiences a major oil boom,” says Eric Tupler, a managing director at HFF. “The Ridge, Williston’s first fully master-planned community, is an excellent example of the long term sustainable growth the Williston area is experiencing in response to the region’s economic prosperity.”
Colliers sells two Phoenix apartment communities
Phoenix—Colliers International has completed the sale of the 220-unit Paradise Falls and 288-unit Canyon Place apartment communities in Phoenix for a combined $18 million. The properties sold in separate transaction to different buyers.
Weidner Investment Group acquired Paradise Falls, located at 15434 N. 32nd Street for $10.4 million. The seller was Aslan Realty Group. The 1986-built property was expanded in 1997. About 23 percent of the units have wood-burning fireplaces. Amenities include two swimming pools, a spa, fitness center, business center, lounge area and outdoor barbecues.
“The opportunity to make small capital improvements combined with the property’s good physical condition and high occupancy rate of 95 percent attracted Weidner to Paradise Falls as a solid investment,” says Bill Hahn of Colliers HSK Multifamily team.
Mentor Properties acquired Canyon Place, located at 4715 N. Black Canyon Highway, for $7.6 million. The seller was Canyon Place Apartments LLC of Los Angeles. The property was built in 1985. Amenities include two swimming pools, a spa, playground area, two laundry facilities and outdoor barbecues.
“Canyon place represents a high-quality rental property and strong value for residents in the immediate submarket,” says Koskovich, also of the HSK team. “In addition, recent capital improvements including new roofs, covered parking and air conditioned units drew Mentor Properties to Canyon Place.”