In this contribution we present new near-infrared (NIR) data on the quasar 3C 48 and its host galaxy, obtained with ISAAC at the Very Large Telescope (ESO, Chile). The NIR images and spectra reveal a reddening of several magnitudes caused by extinction due to molecular material and dust within the host galaxy. For the first time we clearly identify the highly reddened potential second nucleus 3C 48A about 100 northeast of the quasar position in the NIR. Its reddening can be accounted for by warm dust, heated by star formation or an interaction of the 3C 48 radio jet with the interstellar medium, or both. The NIR colors and the CO(6-3) absorption feature both give a stellar contribution of about 30 percent to the QSO-dominated light. These results will contribute to the question of how the nuclear activity and the apparent merger process are influencing the host galaxy properties and they will improve existing models.
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