Page 8 - RE-NJ

6 JUNE 2025
THE
BRIEFING
INVESTORS BUY JERSEY CITY
PROJECT SLATED FOR 829 RENTALS
A high-profi le investment group has
acquired a three-phase, 829-unit luxury
apartment complex in Jersey City that’s
nearing full completion after more than
fi ve years of construction.
The buyers, which paid an undisclosed
price in the deal at 315 15th St., include
funds managed by affi liates of Strategic
Value Partners LLC, One Investment
Management, RXR and Columbia
Property Trust. They said the complex
transaction included a refi nancing
of the existing senior mortgage with
a new loan from affi liates of Apollo
Global Management, which will help
fund construction completion, lease-up
and additional enhancements at what’s
known as Hudson House in the city’s
fast-growing SoHo West neighborhood.
JLL advised the seller, Manhattan
Building Co., on certain aspects of
the transaction, according to a news
release. Cushman & Wakefi eld advised
certain participants on the acquisition
and recapitalization.
“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’s head of
Mike Ungari
real estate. “This investment highlights
our shared ability to navigate complex
capital structures and vision to drive
long-term value creation through
Rendering courtesy: Strategic Value Partners LLC
The second and third phases of the 829-unit Hudson House complex at 315 15th St. in Jersey City are slated for completion this summer.
BAIN, OSC BUY INDUSTRIAL
PORTFOLIO FOR $208 MILLION
Bain Capital and Oliver Street
Capital have acquired an 11-building,
784,000-square-foot industrial portfolio
in northern New Jersey for $208
million, the fi rms announced.
In a news release, the joint venture
said the properties consist of Class B
warehouses in what it described as
infi ll markets. The fi rms also noted the
portfolio is 88 percent leased to a mix
of local and national tenants, offering
warehouse suite sizes averaging 23,000
square feet.
Published reports identifi ed
Blackstone as the seller and Burry
Klein of Branch Industrial as a broker
involved in the deal. Bain and OSC did
not disclose the individual addresses.
“This is a compelling opportunity to
meaningfully scale and diversify our
infi ll industrial
portfolio in
the northern
New Jersey
market, one of
the country’s
most supply-
constrained and
strategically
Ryan Cotton
important
warehouse markets serving the
unmatched consumption base of
the New York City MSA,” said Ryan
Cotton, head of Bain Capital’s real
estate team. “This portfolio is tailor-
made for our thematic infi ll strategy,
with the majority of properties
concentrated in our highest-conviction
submarkets. As demand continues to
shift toward smaller-format facilities,
we continue to see signifi cant
opportunities to partner with OSC to
invest in these infi ll industrial assets in
high demand by a diverse tenant base.”
The off-market deal represents Bain
Capital and OSC’s fi fth acquisition in
northern New Jersey since the joint
venture began to focus on the region
in late 2023, the news release said.
“This transaction marks a watershed
moment in our platform’s expansion
into the northern New Jersey market,
raising our presence to 15 assets
within two years,” said Jon Hyde,
managing principal of OSC. “We
continue to have high conviction in
the northern New Jersey industrial
collaboration in institutional-quality
real estate.”
In announcing the deal, the buyers
noted that Hudson House’s 350-unit
fi rst phase is completed and leased.
The remaining two phases of the
development are slated to be delivered
this summer with move-ins beginning
shortly thereafter.
Each is a distinct component, the fi rms
said, noting that the buildings feature
large unit layouts averaging 1,136
square feet and high-end amenities
such as a resort-style pool deck, a
fi tness center with three saunas and
a yoga studio, among others. The
properties also include 48,000 square
feet of ground-fl oor retail space, while
renters are just west of the Holland
Tunnel, just south of Hoboken and
minutes from the New Jersey Turnpike.
“This project is a high-quality asset
in a uniquely desirable location with
continued phases underway,” said
Russ Young, executive vice president
for investments at RXR. “This closing
continues RXR’s robust presence
in structured transactions, now
comprising over $2 billion in capital
placement over the past two years.”
Davis Polk & Wardwell LLP, Gibson
Dunn & Crutcher LLP, Milbank LLP
and Cleary Gottlieb Steen & Hamilton
LLP acted as legal counsel on the
transaction and refi nancing.
“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,”
Columbia Property Trust CEO Adam
Frazier said.
market.”
Fellow Managing Principal Jon
O’Donnell added: “We’re building a
truly unique multimarket portfolio of
functional and irreplicable warehouses
in highly infi ll locations, which is a
testament to our relationships and
the great local networks that help us
source, lease and manage the assets.”
A Seyfarth Shaw team led by Partner
Michael Dowley represented the joint
venture in the deal.
“This transaction highlights the
continued investor appetite for
functional, last-mile industrial assets
in high-barrier markets,” Dowley said.
“We’re proud to support Bain and
Oliver Street and other clients like
them executing on long-term strategies
in competitive logistics corridors like
northern New Jersey.”