Developer Panepinto Properties has a new $384 million financial structure lined up for the 678-unit apartment tower it plans to build on the Hudson River waterfront in Jersey City, New Jersey.
Brokerage JLL on Tuesday said it had secured $306 million in a senior non-recourse construction loan and $78 million in preferred equity for the land purchase and building of Harborside 8 at 242 Hudson St. The capitalization was for the borrowers Panepinto, based in Jersey City, and AJD Construction for the project. They plan to break ground in the first quarter of 2026.
JLL got the floating-rate senior loan through Kennedy Wilson and the preferred equity through Affinius Capital.
Harborside 8, the planned 65-story multifamily high-rise, will feature 719,726 square feet of rentable space across 678 units, including studio, one-, two- and three-bedroom apartments. The development will also have 8,578 square feet of ground-floor retail space, 350 parking spaces that will include electric-vehicle charging stations, and a 40,000-square-foot redesigned waterfront public park.
Earlier this month, Panepinto acquired the roughly 4-acre site that will be home to not only Harborside 8 but also Harborside 9, a second apartment tower. The developer paid Veris Residential $75 million for the parcel.
And on Wednesday, Jersey City-based GN Management said it had purchased the Harborside 9 development site from Panepinto. It didn’t disclose the purchase price for the property. That site has local approval for a 57-story apartment tower with 579 units, 14,800 square feet of retail space and a 555-space parking garage. The tower will also have a 15% affordable-housing component, creating 87 affordable units in one of the region’s most supply-constrained markets, GN Management said in a statement.
The company plans to begin work on Harborside 9 following minor site-plan refinements, with the goal of starting development in 2027.
“Jersey City remains one of the most resilient and opportunity-rich markets in the region,” Onkar Singh, CEO of GN Management, said in a statement. “We are proud to invest here and are confident Harborside 9 will reflect the community’s energy, diversity and momentum.”
Jersey City’s waterfront has seen development over the past two decades that has transformed abandoned rail yards and industrial buildings into residential towers and mixed-use project. JLL called the work “tremendous” and said “the area represents one of the largest and most successful waterfront redevelopment stories in the United States.”
“This financing sends a clear message: Jersey City’s waterfront remains one of the strongest, most sought-after rental markets in the country,” JLL Managing Director Thomas Didio Jr. said in a statement. “In the face of continued new supply, demand here continues to outpace delivery, driving exceptional rent growth to best-in-class developments like Harborside 8.”
For the record
The JLL Capital Market’s team representing the borrower was led by Senior Managing Director Thomas Didio, Managing Director Thomas Didio Jr., senior director Ryan Robertson, director Gerard Quinn and associate John Cumming.
GN Management’s purchase of the Harborside 9 site was brokered by Jim Pompa of Coldwell Banker. Bravo Capital supported the developer’s acquisition with the help of finance broker Vivek Jagadish of Blue Mountain Capital. The law firm of Castano Quigley Cherami represented GN in both the acquisition and financing transactions.