L+M Development to Build Newark OZ Project
- Oct 28, 2020
Pursuing another project to revitalize a downtown Newark building, L+M Development Partners has teamed up with Urby to build a mixed-use development within a Newark, N.J. Opportunity Zone.
The partnership will develop Newark Urby at 155 Washington St. in downtown Newark, a project that calls for renovating an existing 18-story tower that was built as a parking garage in the 1920s. The existing building at will be joined by a new four-story building, combining for a total of 250 market-rate units that range from studios to three-bedroom floorplans. The building’s amenities will include a rooftop deck, ground floor courtyard, gym, music room and lounge areas.
Construction of Newark Urby began recently and is expected to be complete by spring 2022. The $91.5 million project was funded by a $61.5 million construction loan from Wells Fargo, subordinate debt and $20 million in Opportunity Zone equity that was raised and deployed by L+M and Urby. L+M first acquired the site in June 2019 from Rutgers University-Newark with plans to develop it into a mixed-use project with residential and commercial space. Sam Chapin, senior director at L+M, said in prepared remarks that the site was a long-underutilized lot.
Newark Urby will be the company’s third location in New Jersey, following its Harrison and Jersey City developments that opened in 2017. Urby also has two other properties in New York City’s Staten Island and Stamford, Conn.
“Urby was a natural fit for this project—they have a proven track record of delivering high-quality apartments with an emphasis on innovative design and community here in New Jersey,” an L+M spokesperson told Multi-Housing News. “Beyond that, they have developed a brand that resonates with today’s renters by always creating a clear sense of place and strong neighborhood connections.”
TAKING PART IN NEWARK’S REVITALIZATION
Chapin also said in his prepared statement that Newark Urby was L+M’s latest project in its long-term investment in downtown Newark and its ongoing revitalization. In previous years, L+M completed two adaptive reuse projects in Newark that are located near its latest project.
In 2019, L+M completed the restoration of the historic home of NJ Bell at 540 Broad St. into a mixed-use property with 264 mixed-income units, offices and ground-floor retail. The revamped property has already seen leases from rock climbing facility Method Climbing and Newark Local Beer. Several years prior, L+M also redeveloped the former Hahne and Co. flagship department store into another mixed-use, mixed-income development with 160 units and retail space.