70 Hudson St. in Jersey City — Courtesy: Progress Capital
By Joshua Burd
A joint venture has reaped $300 million from its sale of a nearly 432,000-square-foot office building in Jersey City, under a deal announced Monday by Cushman & Wakefield.
The sellers, Danish institutional investor PFA Pension and Spear Street Capital, completed their disposition of 70 Hudson St. after more than $21 million in renovations in recent years, helping fuel interest among would-be buyers. They ultimately sold the property to a partnership of Vision Properties and Hana Alternative Asset Management, which was advised by Alpha Asset Management.
“Since 2016, the sellers have invested tens of millions of dollars to reposition this asset, resulting in 70 Hudson being one of the highest-quality buildings on the waterfront,” said C&W’s David Bernhaut, who completed the deal alongside Adam Spies, Kevin Donner, Marcella Fasulo, Andrew Merin, Gary Gabriel, Frank DiTommaso and Ryan Larkin, working with local leasing specialists Ed Duenas and Rob Lowe.
“We received significant interest in this property given the credit tenancy, occupancy and ideal location in one of the most prestigious office markets in New Jersey,” Spies added.
Progress Capital’s Brad Domenico secured $196.9 million in acquisition financing through Natixis Bank, citing Jared Zimmel’s role in the transaction. He added that the 431,281-square-foot building is home to tenants such as TD Ameritrade, Gucci, Federal Home Loan Bank of NY and Fidessa.
Brokers also noted that the 12-story building features a new atrium lobby, a renovated parking garage, an updated roof, upgraded common corridors and retail entryways and high-end tenant buildouts, along with a parking structure with over 225 spaces. Additionally, the property is minutes from the Holland Tunnel and Interstate 78, while it’s within walking distance of multiple mass transit options.
“Due to the several qualities highlighted by the Cushman team, 70 Hudson will long endure as a premium office destination for credit tenants in the market,” said Anthony Arena, president of Vision Properties. “We are excited to grow our footprint along the New Jersey waterfront with such a tremendous asset and continue to drive value for our investors.”
Progress Capital detailed the transaction while touting the recent construction boom along Jersey City’s waterfront, which has helped created a well-rounded neighborhood in the vicinity of 70 Hudson. Additions to the area include thousands of residential units and lifestyle amenities such as bars, restaurants, boutique shops and grocery stores.
“The debt capital markets continue to show strong interest in core office buildings along Jersey City’s waterfront, for top-tier sponsors,” Domenico said. “This building certainly fits that box with a best-in-class partnership of Vision Properties and Hana Financial. We are proud to have represented this dynamic partnership.”