CBRE Provides $96M Refi for Luxury Residential Complex in Hackensack

Multifamily owner and operator Khosla Capital has secured $96 million to refinance Prospect Place, its luxury residential complex in Hackensack, N.J., Commercial Observer has learned.

CBRE’s capital markets team originated the Freddie Mac-backed loan for the two-building, 360-unit community at 300-310 Prospect Avenue, according to CBRE.

A CBRE team of Judah Hammer, Jason Gaccione, Shawn Rosenthal, Jake Salkovitz and Lauren Weinstein arranged the financing on behalf of Khosla Capital, which bought Prospect Place from Kushner Companies for $114.5 million in April 2021.

“The Khosla team acquired the asset in 2021 and invested significant capital to refresh the community,” CBRE’s Gaccione said in a statement. “The reimagined resident experience is central to their business and why this project has been so successful.”

Prospect Park, located just north of Hackensack University Medical Center, comprises two buildings: an 18-story tower with 157 units and a five-story mid-rise building with 203 units. Amenities at the property include an outdoor pool, a fitness center, a clubhouse, a resident lounge, a business center, a courtyard and a billiards room.

“Despite a challenging debt market, we were able to secure attractive terms based on the property’s fundamentals,” Khosla Capital CEO Raman Khosla said in a statement to CO. “Multifamily fundamentals in this market remain resilient. The new financing positions us to continue investing in the property and enhancing the resident experience, while ensuring long-term financial stability for the asset.”

Before selling the residential complex, Kushner completed a significant renovation of Prospect Place’s units and amenity spaces, including revamped lobbies and corridors, a new kids play area, a dog park, and a new resident business center and lounge, CO previously reported.

Isabelle Durso can be reached at idurso@commercialobserver.com.