Sequoia Development Group and Bushburg Properties announced today that they have been given a $59 million bridge loan to enable the final stages of construction at 711 Montgomery Street in Jersey City’s McGinley Square neighborhood. Sequoia and Bushburg, the project’s developer, got the financing from Slate Property Group, in partnership with McCourt Partners.
The developers will utilize the funds to facilitate the completion of construction, lease-up and stabilization of the 16-story, 285-unit multifamily asset. The 2-year, floating rate loan was arranged by Sam Rottenberg of SPR Group and is being deployed mid-construction. The project is set to be completed in the first quarter of 2024.
Slate Property Group is an owner, operator, developer and lender, primarily focused on multifamily in the New York metropolitan area. From adaptive reuse and repositioning of existing assets to ground-up development and lending, Slate’s team of more than 125 employees leverage extensive experience in the multifamily asset class. Over the last decade, Slate has invested in excess of $6.5 billion across equity and debt, with a current portfolio of 50+ investments.
Slate Property Group Co-Founder and Principal Martin Nussbaum said his firm was thrilled to be able to help.
“Our experience and comfort with the Jersey City market gave us the confidence to step in when the development team needed to replace its existing lender at this late stage in the project,” he said. “The Slate team is excited to partner with McCourt Partners on this loan and are looking forward to a long-lasting relationship.”
The loan at 711 Montgomery Street is Slate’s 5th loan in Jersey City, including most recently, a $160 million bridge loan for 618 Pavonia Avenue. This transaction marks Slate’s first collaboration with McCourt Partners.
“We’re excited to launch our partnership with Slate Property Group with the 711 Montgomery Street bridge loan as our first investment,” McCourt Partners President Jordan Lang said. “Our extensive in-house development expertise puts us in a unique position to pursue special situation financing for projects throughout the construction process. We look forward to working closely with Slate Property Group to support multifamily developers and operators seeking unique capital solutions in the New York City metro area.”
The building will feature a mix of apartments ranging from studio to three-bedrooms, as well as a host of communal amenities, including bike storage, a dog run, fitness center, coworking lounge, conference room, indoor/outdoor rooftop deck and lounge. The project also includes 116 parking spaces, and 5,109 square feet of commercial space at street level. 52 units will be set aside for individuals and families earning between 80 percent and 120 percent of Area Median Income.
McGinley Square is situated along a premier retail corridor at the convergence of Bergen Avenue and Montgomery Street. The development is in close proximity to Liberty Park, the Jersey City Waterfront and the Journal Square PATH station, which provides quick accessibility to Manhattan.