701 Newark Ave

By Cecilia Levine From Daily Voice

A major financing package has been secured for a mixed-income residential tower planned for Jersey City’s Journal Square.

The roughly $200 million structured capitalization supports Homestead Gateway, a 34-story high-rise that will bring new affordable units to the neighborhood, according to a JLL news release.

The project, led by Lions Group, includes a forward commitment from Freddie Mac and a capital solution provided by the Urban Investment Group at Goldman Sachs Alternatives. JLL said the financing combines a construction loan, bridge facility, LIHTC equity and Aspire tax credit purchase.

The tower will rise at 701 Newark Ave. and deliver 360 residential units, including 90 affordable apartments, JLL said. Developers plan to transform a former municipal parking lot into a residential community with open space and direct connections to Homestead Place Plaza and the Journal Square PATH Station.

JLL said the project supports the Journal Square 2060 Plan’s goals for walkability and transit-oriented development. Plans call for the use of 100% union labor under a Project Labor Agreement with Hudson County Building Trades and permanent union operations through 32BJ SEIU. Groundbreaking is expected in early December 2025.

Beyond housing, the development will feature nearly 3,000 square feet of retail space, along with a rooftop lounge, fitness center, bicycle storage and shared workspaces, according to the release. Its location three blocks from the Journal Square Transportation Center provides access to New York City and Newark.

“This innovative approach doesn't just help address the affordable housing crisis. It drives economic growth, brings neighborhoods together and delivers tangible benefits for families in Jersey City,” said Asahi Pompey, Chair of the Urban Investment Group at Goldman Sachs Alternatives.

“It is extremely rare to see a new development bring so much to the table in terms of affordable housing, union jobs and community benefits,” said Aaron Shirian, Principal at Lions Group. “We are honored to be a part of it, and we hope to see many more projects like this in the future.”

JLL said its Capital Markets Advisory team included Nicco Lupo, Christopher Peck, Michael Shmuely, Jillian Grzywacz, Alex Staikos, Jimmy Cochran and Tom Didio Jr.