Namdar Group and Slate Property Group inked another financing deal for a recently completed mixed-use project in Jersey City.
Scale, the lending arm of Slate Property Group, provided a $160 million bridge loan to Namdar at 618 Pavonia Avenue in Jersey City, the Commercial Observer reported. The financing replaces $120 million in construction and lease-up financing, which predated the building’s spring opening.
The two firms have worked together in development financing deals in New Jersey before, including this very same project; Scale provided the $120 million financing package in March 2021.
The same year, the lender provided $96 million for two multifamily developments in New Jersey. That package was split between $73 million for a 235-unit project on Van Reipen Avenue and $23 million to replace a land acquisition loan for a 576-unit project on Newark Avenue.
As for the latest bridge loan, Greystone Capital Advisors’ Drew Fletcher and Bryan Grover arranged the financing.
The Journal Square development, known as 9 Homestead Place, is 27 stories tall and includes 432 units. There’s also 21,000 square feet of office space — master leased to apartment and coworking community CMPND — and 10,000 square feet of retail space. Monthly rent on the apartments ranges anywhere from $2,300 to $5,125, according to Apartments.com.
Long Island-based Namdar has six projects in the works in Jersey City. It also has a development in Miami and several across the Caribbean.
Journal Square’s proximity to the PATH train and a short ride to Manhattan has helped make it a hive of development activity. At the end of last year, Jersey City’s planning board approved a vertical expansion plan at 80 Journal Square that would allow BH3 Management and Hope Street Capital to redevelop the property into a 28-story, 400-unit building.
Other developers hanging around Journal Square include a joint venture between the Kushner Real Estate Group and Silverstein Properties, as well as the unaffiliated Kushner Companies.
— Holden Walter-Warner
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