Kushner Companies Secures $100M for Jersey Shore Development
Kushner Companies Secures $100 Million Financing for Jersey Shore Mixed-Use Development
Kushner Companies has recently secured $100 million in financing for a mixed-use development on the Jersey Shore, signifying their expansion in New Jersey. Madison Realty Capital provided $85 million, and Unity Capital offered $15 million in mezzanine financing. The project includes 299 residential units, retail space, a theater, and co-working space. Additionally, Kushner is involved in the demolition of vacant department stores at Monmouth Mall in Eatontown, NJ, to make way for 1,000 new apartments.
Key Takeaways
- Kushner Companies secures $100 million financing for a mixed-use development in Long Branch, NJ.
- The project includes 299 residential units, retail space, and amenities like a theater and co-working space.
- Kushner is also working on demolishing vacant department stores and adding 1,000 apartments at Monmouth Mall in Eatontown, NJ.
- Madison Realty Capital and Unity Capital provided financing for Kushner's Jersey Shore project.
- Madison Realty Capital also moves to take control of Aby Rosen's multifamily project in Gowanus, Brooklyn.
Analysis
The significant financing secured by Kushner Companies demonstrates their growing influence in New Jersey and may stimulate further investment in the area. However, this expansion could lead to heightened competition for resources and increased property prices, affecting local inhabitants and businesses. Furthermore, the involvement of Madison Realty Capital and Unity Capital reflects their expanding roles in real estate financing, potentially reshaping the lending landscape. Moreover, Madison Realty Capital's initiative to assume control of Aby Rosen's project in Gowanus, Brooklyn, indicates a more aggressive acquisition strategy, which could impact rival developers and their projects.
Did You Know?
- Mixed-use development: A type of real estate project that combines different uses, such as residential, commercial, and/or industrial. In this case, Kushner Companies' development in Long Branch, NJ, includes 299 residential units, retail space, and amenities like a theater and co-working space.
- Mezzanine financing: A form of loan that is subordinate to a senior debt but superior to equity. Mezzanine financing is often used in real estate development projects to provide additional capital for the project. In this case, Unity Capital offered $15 million in mezzanine financing for Kushner Companies' Jersey Shore project.
- Madison Realty Capital (MRC): A real estate investment firm specializing in debt and equity financing, acquisition, and development of commercial and residential properties. MRC provided $85 million in financing for Kushner's Jersey Shore project and is also moving to take control of Aby Rosen's multifamily project in Gowanus, Brooklyn.