JERSEY CITY, NJ – Private equity real estate firm, the KABR Group has sold its mixed-use project, the Fairmount at McGinley Square in Jersey City, NJ for $23.8 million.
Gebroe Hammer Associates’ EVP, Niko Nicolaou exclusively represented the KABR Group in the transaction, and procured the buyer, Tenth Avenue Holdings Properties.
The ground-up development, which commenced construction in September 2016 and completed last year, represents the McGinley Square neighborhood’s first new, private construction project in more than three decades.
The former parking lot turned mixed-use development, located on the corner of Montgomery St. and Bergen Ave., now features 58 apartment units, 30 private parking spaces and 3,000 square feet of retail space, which is currently occupied by Sports Med Physical Therapy. Designed by GRO Architects, the apartment complex features oversized, industrial-style windows, dark brick and metal façade accents.
Ranging from 412 square feet to 1,003 square feet, the complex’s studio, one-bedroom and two-bedroom residential units offer stainless-steel appliances, quartz countertops, in-unit washers and dryers, plank flooring, frameless glass shower doors and pendant lights. The apartment complex additionally features smart access control amenities, punch-code apartment entry, virtual doorman package delivery, bike storage, a rooftop terrace with barbecue stations, a lounge area and New York City skyline views.
For the development, the KABR Group partnered with Transit Screen, Rhino and Uber to offer technological functions to tenants.
“McGinley Square is well on its way to making a comeback as demonstrated by the Fairmount’s per-unit price of $402,500 – which up until now has been primarily limited to the waterfront district,” states Nicolaou. “While the immediate area surrounding the square has a high concentration of redevelopment initiatives, multifamily investment interest is fueling a ripple effect that extends outward.”
The development project gained early support from Jersey City government leaders and the McGinley Square Special Improvement District.
“From the beginning, we believed that the Fairmount would represent an attractive value proposition for today’s renter,” says Michael Goldstein, COO of the KABR Group. “We have been humbled by both the market’s reception of our project as well as the neighborhood support within the McGinley Square community. This transaction represents a successful outcome for both the buyer and seller, and we are excited to witness Tenth Avenue Holdings continue to elevate the property to the next level.”
The KABR Group plans to build a second phase, mixed-use project directly across the street from the Fairmount at McGinley Square; capitalizing on the historic, one-square mile neighborhood’s close proximity to Journal Square and St. Peter’s University.