Hudson Tea Garage

HOBOKEN, NEW JERSEY

LPRI acquired the Hudson Tea Garage in 2020 with the support of an institutional partner, identifying the freestanding 1,250-stall parking garage as a unique opportunity with significant additional upside unrecognized by its previous owner. LAZ Parking’s operation of the garage throughout our ownership has given us the day-to-day visibility and intelligence to capitalize on the opportunity, not just for one round but on an ongoing basis.

In addition to rock-solid fundamentals — including its location in a growing market near New York City, with an undersupply of parking and diverse demand generators — we identified electrification as an exciting value-add opportunity. We created an initial batch of 20 reserved EV spots for residential parkers, on which we were able to charge 3x our typical monthly storage fee. We also executed a lease with Hertz to add 70 rental cars to the garage and provide charging for the EVs in their fleet.

Looking forward, LPRI is working with the utility New Jersey PSEG to pull an additional 4,000 amps of power that will be dedicated to EV charging. An installation of this size would enable us to accommodate hundreds of EVs, capturing the significant premium associated with combined storage and charging. Given the garage’s proximity to the Lincoln Tunnel, it will be a prime location for New York City-bound EVs.