- BXP has formed a JV with Albanese Organization and CrossHarbor Capital to develop a $400M, 670-unit residential building in Jersey City, NJ.
- The project, expected to be done by March 2028, will be located at 290 Coles Street and feature two towers, 350 parking spaces, and 13K SF of retail space.
- Jersey City’s SoHo West neighborhood is rapidly transforming into a hub for luxury residential living, attracting investors with competitive land values and strong municipal support.
BXP announced a joint venture with Albanese Organization and CrossHarbor Capital Partners to develop a $400M residential project in Jersey City, according to Commercial Observer.
Project Preview
The 670-unit market-rate apartment complex will be located at 290 Coles Street, in the rapidly transforming SoHo West neighborhood.
The project will feature two towers, one 14 stories high and the other 22 stories, 350 parking spaces, and 13K SF of ground-floor retail. The partners expect the project to be completed by March 2028.
BXP holds a 19% common equity share in the venture, while Albanese and CrossHarbor hold 14% and 67%, respectively. In addition, BXP has contributed $65M in preferred equity to help fund the project.
Hub For Luxury Living
Jersey City’s SoHo West neighborhood, located just south of Hoboken and west of New York, is quickly becoming a sought-after destination for luxury living.
The historic area, once an industrial center, is transforming into a hub of new residential developments, with several new buildings under construction or recently completed. The location is highly attractive due to close transportation, green spaces, and growing amenities.
The project site itself is near a park with an amphitheater and playgrounds, adding to the neighborhood’s appeal. Hilary Spann, executive vice president for the New York region at BXP, highlighted that the transformation is driven by new residential developments and municipal support for the area’s growth.
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Tristate Multifamily Development
Jersey City offers an appealing alternative to the Big Apple for multifamily developers due to its relatively lower land values, making it an attractive option for investors. The city has also shown a strong commitment to expanding residential capacity, further increasing the area’s appeal.
According to Spann, these factors have allowed BXP and its partners to be competitive with rental rates, making the project an attractive investment opportunity.
With significant residential activity in the area, including major developments such as Kushner Companies’ 1,723-unit project at One Journal Square and Bravo Property Trust’s 15-story tower at 682 State Route 440, Jersey City remains one of the key markets for multifamily investment in the region.
This project is expected to cement Jersey City’s reputation as a growing hub for luxury residential living, driving interest from both developers and residents alike.
Emerging Opportunities
Despite the broader challenges in fundraising—private equity raised just $10B for global real estate funds in Q4, a 5-year low—CRE debt markets are slowly but surely showing signs of recovery.
Commercial mortgage-backed securities (CMBS) issuance surged nearly 300% in 2024 compared to the previous year. Additionally, rebounding property sales is providing much-needed clarity on assets, offering more confidence to both lenders and borrowers.
Blackstone’s new fund, which began investing in late 2023, will play a key role in bridging the gap between the market’s recovery and borrowers’s needs.
