Tucker Development-Led Partnership Closes on $218 Million Financing
By Mel Fabrikant Wednesday, September 18, 2013, 10:09 AM EDT
To Commence Construction of Phase I of Hudson Lights in Fort Lee, N.J. Debt and Equity Capitalization Paves the Way for Development to Begin on Significant Mixed-Use Project Adjacent to the George Washington Bridge
A joint venture partnership of affiliates of Tucker Development Corporation, Ares Management and Kushner Real Estate Group (“KRE Group”) announced today that it has secured $218 million in financing for Phase I of Hudson Lights, a large-scale, one-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 Corporation 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,” stated Richard H. Tucker, President and CEO of Tucker Development. “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, 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.