Capodagli Property Receives $68M for NJ Development
The future community is the second phase of a 400-plus-unit project.
Capodagli Property Co. has secured a $67.5 million construction loan for the second phase at Meridia Rahway Brownstones, a 200-unit development in Rahway, N.J. Slate Property’s lending arm, SCALE Lending, has issued the financing.
The note will retire an existing senior loan, and will capitalize the completion of the future community, which is scheduled for delivery in November 2028. The floating-rate loan bears a 30-month maturity date with two six-month extension options.
Capodagli Property Co.’s under-construction portfolio across New Jersey includes the 135-unit Meridia Bound Brook Three Hundred, the 218-unit Meridia Bound Brook Ten, the 212-unit Meridia Pompton
Lakes and the 401-unit Meridia Linden One Thousand One.
Meridia Brownstones through the years
Capodagli acquired the Rahway development site in 2012 and delivered the first phase at Meridia Rahway Brownstones in 2022. The first phase comprises 298 units and is now fully stabilized. The second phase will consist of 200 apartments with one- and two-bedroom layouts across five stories, totaling 168,500 square feet. Out of the total number of units, six will serve as affordable housing under a 30-year PILOT agreement with the City of Rahway.
Community amenities will include a fitness center, a yoga room, an indoor/outdoor pool with a deck, a shared lounge, coworking spaces, a dog wash station, bike storage, a basketball court, a 493-spot parking area and 2,000 square feet of ground floor retail. Meridia Construction Management, an affiliate of Capodagli Property Co., will serve as the general contractor.
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Phase 2 is being built at 1999 Elizabeth Ave., within 1 mile of the Rahway Train Station, which connects the area to Newark Liberty International Airport, 9 miles north. Major thoroughfares in the area include U.S. Route 9 and New Jersey State Route 27, as well as interstates 9 and 278. Both communities at Meridia Brownstones are within 2 miles of retail locations including Walmart Supercenter, Target, Marshalls, The Home Depot and Staples.
Northern New Jersey hasn’t lacked developers’ attention lately, with multifamily construction projects mushrooming across the market over the past several months. Noteworthy developments include NRP Group’s largest development, the 401-unit Oliver on The Hudson, as well as Urby and Rockpoint’s 201 Hudson, a 748-unit project in Jersey City that marks the second phase in a three-tower community. Last month, Namdar Group secured $390 million in construction financing for Park Tower, a 501,000-square-foot residential building that will feature 944 market-rate apartments and 105 affordable units.
