Okner Lands $135M for New Jersey Community
Northwestern Mutual provided the construction and joint venture equity financing for the mixed-income project.
Canterly Place. Rendering courtesy of to Lessard Design Inc.
Okner Developers LLC has landed more than $126 million in financing for its mixed-income apartment project in Livingston, N.J. Northwestern Mutual provided $88.6 million in construction financing, as well as $38 million in equity financing, for the company’s Canterly Place project. JLL arranged the joint venture equity and the 10-year, fixed-rate construction loan.
Okner will start construction on the 300-unit community this month, with delivery scheduled for 2025. Of its 300 units, 240 will be market-rate and the remaining 60 will be set aside as affordable. Canterly Place will offer one-, two- and three-bedroom floorplans that average 1,030 square feet.
The firm is constructing the units with designer kitchens, oversize windows, walk-in closets, and in-unit washers and dryers. The community’s amenities include a clubroom, library lounge, private dining area, game room, fitness center, coworking lounge, golf simulator, pool, walking path, basketball court and pickleball court.
Located on Okner Parkway, Canterly Place is a mile away from the Eisenhower Parkway, which connects to the area’s major highways including I-280, I-287 and Route 24. Residents are 10 miles away from Manhattan. The community is also located near the county’s attractions like the Turtle Back Zoo and the South Mountain Reservation.
Surging demand for suburban New Jersey
Okner Developers’ mixed-income project continues the firm’s momentum in Essex County. The county’s location as a suburb of New York City made it easy to absorb all the recent demand from residents looking to leave the city for more affordable and spacious suburban alternatives.
The market demand has driven a lot more investor interest, including from Invesco Real Estate Income Trust who acquired a majority interest in a 360-unit community in Roseland, N.J., along with its joint venture partner Skylight Real Estate Partners in May. In 2019, Cammeby’s International acquired a six-property portfolio, with three of the properties located in Essex County.
According to JLL’s report on Northern and Central New Jersey’s residential market for the third quarter of 2022, the two markets are seeing rising asking rents and occupancy rates for suburban New Jersey assets. This surge in demand is mostly caused by the outflow of residents from dense urban markets, the report noted.
