Lightstone Capital Provides $29.5M Loan for Orange, N.J., Multifamily Development

Orange, N.J.-based PEEK Capital, a division of multifamily developer and operator PEEK Properties, has secured a $29.5 million bridge loan on its recently completed multifamily project in Orange known as the Lincoln, Commercial Observer has learned.

The bridge loan was provided by Lightstone Group’s real estate debt platform, Lightstone Capital. Daniel Cohen of Ackman-Ziff advised on the transaction.

“Peek Properties is a best-in-class sponsor, and Lightstone executed flawlessly on this pre-stabilization bridge loan, which allowed Peek to repatriate equity early in the leasing process,” Cohen told CO in a statement.

The loan will support the 102-unit building’s continued lease-up and stabilization, as well as refinance the property’s previous construction financing. Peek previously secured a $20.5 million loan for the development from Amboy Bank in 2024, Real Estate NJ reported.

The five-story, full-block apartment building at 407 Highland Avenue in Orange received its final certificate of occupancy in September, according to Lightstone Capital, and has begun leasing a range of one- and two-bedroom residences.

“Newly built multifamily properties with proven sponsorship track records have always presented attractive lending opportunities as they transition towards stabilization,” Eugene Rozovsky, senior managing director at Lightstone Capital, said in a statement.

The property’s location is one black from N.J. Transit’s Highland Avenue station, offering access to Newark and Midtown Manhattan’s Pennsylvania Station. The cities of Orange and East Orange have been a popular site of luxury apartment development for several years, as renters are priced out of New York City.

“The Lincoln continues to attract strong interest from prospective residents, and this refinancing marks an important milestone in the life cycle of the property,” Philip J. Evanski, managing partner of Peek Capital and Peek Properties, said in a statement.

Peek’s website lists six new construction multifamily projects across Orange, as well as several renovated properties in East Orange.

Lightstone Capital’s transaction with Peek, announced on Thursday, continues the platform’s pattern of investment in the multifamily sector. In July, the lender refinanced Kaya Apartments’ 78-unit multifamily development in San Diego with a $34 million loan.

Emily Davis can be reached at edavis@commercialobserver.com.

Source: commercialobserver.com — article syndicated from the publisher’s feed; all rights remain with the original publisher.