JERSEY CITY, N.J. — Beverly Hills, Calif.-based Kennedy Wilson has provided a $175 million senior construction loan for the development of Artwalk Towers, a 49-story apartment high-rise project in Jersey City. Locally based KRE Group is the developer behind the new multifamily tower, which will comprise 595 units in the city’s Journal Square neighborhood.
KRE Group, which has developed more than 1,800 apartments in Journal Square across multiple projects, expects to complete Artwalk Towers by fourth-quarter 2027.
Upon completion, Artwalk Towers will feature a street connector to a PATH train station, resort-style pool, barbecue area, gym, coworking spaces and a sky lounge with views of the New York City skyline.
“We are excited to close on our first loan with [KRE Group], which has a proven track record of delivering top-tier projects that meet the needs of the area’s residents,” says Thomas Whitesell, head of Kennedy Wilson’s debt investment group. “The Artwalk Towers loan aligns with our strategy to support transformative multifamily developments in urban areas.”
Whitesell says that the firm’s debt investment group has originated more than $2.4 billion in loans that financed approximately 8,900 multifamily and student housing units across the country during its first year of operation.
Jersey City has been a magnet for multifamily developers in recent years. Developments that are planned or underway in the city include Atlas and Starling by Fields Grade and Alpine Residential; Fairview Heights (92 units) by The Community Builders; 35 Cottage Street, a 588-unit apartment tower in Journal Square by Namdar Realty Group; Vroom Street, a 42-unit apartment project by Urban Street Properties; West Side Square, a 477-unit community that is being built by a developer partnership dubbed West Side Square Development Fund; and 25 Cottage Street, a 622-unit project by Nasser Freres in Journal Square. According to research from Marcus & Millichap, the Northern New Jersey region, which includes Jersey City, is on track to welcome 13,400 new units this year.
Jersey City-based KRE Group is a family-owned real estate investment and management firm with properties in New Jersey, New York and Pennsylvania. The company’s multifamily portfolio exceeds 15,000 existing units, with thousands more in the development pipeline. KRE Group also owns and manages more than 6 million square feet of office, warehouse and retail space.
— John Nelson