Milwaukee-based financial services firm Northwestern Mutual recently agreed to provide a $109.5 million financing package to a joint venture between New York-based Spitzer Enterprises and Philadelphia-based Arden Group for a 27-story tower in Journal Square in Jersey City. Resources from the agreement will provide permanent financing for the property at 425 Summit and will retire construction financing, according to brokerage firm CBRE, which arranged the agreement on behalf of the joint venture.
A press release from the brokerage firm said the property consists of 390 luxury apartments, parking and approximately 4,400 square feet of ground-floor retail space. The property, which includes 146 studios, 182 one-bedrooms, 39 two-bedrooms and 9 three-bedroom apartments, was completed in 2024 and is 98% leased.
Studio units at 425 Summit start at $2,575 a month. The property’s website also shows the management firm is offering up to 2.5 months of free rent for new leases.
Amenities at the apartment building include a golf simulator, a fitness center, and a resident lounge.
Matthew Pizzolato of CBRE’s Debt & Structured Finance team, who worked on the deal, said the property attracted substantial interest from institutional investors due to its location near mass transit and operating performance. Pizzolato worked alongside Jason Gaccione, Jake Salkovitz, Shawn Rosenthal, Josh Stein and Carlos Silva on the financing package.
Jersey Digs reported in July 2023 that construction on the development began in 2021. The project was designed by Hoboken-based Marchetto Higgins Stieve and had an estimated price tag of $150 million.
The Jersey City Planning Board voted to approve a site plan for the project in January 2021. The site spans half an acre and is the first project by Spitzer Enterprises, which is partially controlled by former New York Governor Eliot Spitzer.
Spitzer served as attorney general for New York state and as governor until 2008, when he resigned amid a prostitution scandal.
Arden Group has remained largely focused on developing and acquiring properties in New York City. The firm said in October 2021 that it had invested in the development at 425 Summit through one of its private funds focused on Opportunity Zone development.
