Funds managed by affiliates of Strategic Value Partners LLC (SVP), One Investment Management (OneIM), RXR and Columbia Property Trust (CXP) announced the acquisition and recapitalization of Hudson House, an 829-unit luxury multifamily complex nearing completion in the Soho West neighborhood of Jersey City, New Jersey.
“Hudson House is a transformative project for the Jersey City residential market, and we are pleased to be partnering with OneIM, RXR and CXP,” said Mike Ungari, SVP head of real estate. This investment highlights our shared ability to navigate complex capital structures and vision to drive long-term value creation through collaboration in institutional-quality real estate.”
Construction on the first phase of Hudson House is complete and leased. The remaining two phases of the development will be completed following this transaction and are expected to be delivered this summer with move-ins beginning shortly thereafter.
The complex transaction included a refinancing of the existing senior mortgage with a new loan from affiliates of Apollo Global Management, which will help fund construction completion, lease-up and additional enhancements.
“This project is a high-quality asset in a uniquely desirable location with continued phases underway. This closing continues RXR’s robust presence in structured transactions, now comprising over $2 billion in capital placement over the past two years,” said Russ Young, executive vice president, investments at RXR.
The Hudson House development includes three distinct components. The buildings feature large unit layouts averaging 1,136 square feet and high-end amenities, including a resort-style pool deck, fitness center with three saunas, yoga studio, golf simulator, multiple resident lounges and approximately 48,000 square feet of ground-floor retail.
“We are excited to pair our team’s multifamily experience and vertically integrated platform with our partners to navigate, close and execute the development of Hudson House,” said Adam Frazier, Columbia’s president and CEO.
JLL advised Manhattan Building Company on certain aspects of the transaction while Cushman & Wakefield advised certain participants on the acquisition and recapitalization.
Davis Polk & Wardwell LLP, Gibson Dunn & Crutcher LLP, Milbank LLP and Cleary Gottlieb Steen & Hamilton LLP acted as legal counsel on the transaction and refinancing.
