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The basics:

• $225M construction financing secured for Phase I Edgewater waterfront apartments
• Project includes on-site ferry terminal to Manhattan plus NJ Transit bus connections
• Total $1B development: 1,200+ units, 1.2M sq. ft., 2.5-acre public park, 1,000+ parking spaces

The first phase of a $1 billion mixed-use development – with on-site ferry terminal – set for Edgewater secured construction financing.

S3 Capital announced last week originating $225 million in funding for the project rising at 615 River Road along the Hudson River from The Maxal Group. Galaxy Capital brokered the transaction.

The initial segment will deliver a 25-story building featuring 381 luxury apartments, ground-level retail space and parking for more than 500 vehicles. At completion, the entire development is expected to total 1,200-plus units. A spokesperson for S3 told NJBIZ construction will commence immediately, now that financing is in place.

Phase I delivery is targeted for completion in the fourth quarter of 2027, they said.

The Edgewater Planning Board approved the project in 2021.

Announced with a 1.2 million-square-foot total footprint, the build-out will encompass three towers, 20,000 square feet of commercial space, over 1,000 parking spaces (across six levels) as well as a 2.5-acre public park with 650 feet of frontage along the water. It will offer a mix of market-rate and affordable housing options.

Ferry intriguing perks

S3 Managing Director of Origination Steven Jemal worked on this transaction. “We see immense opportunity in financing transit-oriented residential developments adjacent to major city centers,” he said. “This project’s innovative on-site ferry terminal will create lasting value for the entire Edgewater community …”

The new public depot will provide direct service to Manhattan’s West Side. It will also have onsite super stops with access to NJ Transit bus routes with service to the Port Authority Bus Terminal, S3 said.

Several other transit-oriented developments have also secured funding recently, including in downtown Jersey City ($340 million refi), East Orange ($32 million refi) and East Rutherford ($25 million).

Based in New York, The Maxal Group has regional experience and assets here and across the river. S3 highlighted Harbor 1500 in Weehawken. It went on to note the developer’s strategic focus on projects along the Hudson River, New Jersey’s Gold Coast.

S3 Capital Managing Director Shawn Safdie, said, “We are thrilled to partner with The Maxal Group as they develop a transformative project that will bring much-needed state-of-the art housing and transit access to the Edgewater waterfront. This transaction reflects our commitment to supporting best-in-class developers delivering new product to undersupplied markets.”

The Maxal Group Founder and Managing Director Bruce Sturman said, “We are extremely excited in working with S3 to bring another cutting-edge environment to the Hudson River waterfront. 615 River will be an extraordinary living experience with stunning Manhattan and George Washington Bridge views via floor-to-ceiling glass in units that set itself apart from existing rental product in the marketplace.”

Welcome home

FXCollaborative designed the building, including its “notched” glass-and-corrugated façade – intended to evoke the nearby Palisades.

CetraRuddy designed interiors, aiming for a resort-style experience. Features include hardwood floors, custom cabinetry, quartz countertops and spa-inspired stone-tiled bathrooms.

The unit mix features expansive layouts, walk-in closets in most two-bedroom residences, and flexible alcove or den spaces in more than one-third of the apartments.

The more than 25,000 square feet of amenity space will include:

• Fitness center
• Indoor spa with pool, sauna and salt room
• Golf simulator
• Sport court
• Private workspaces
• Stadium-style screening room
• Landscaped roof terraces

S3 says it has originated more than $7 billion across 750-plus bridge and construction loans for middle-market residential developments. This year, the New York-based firm also expanded its footprint with new offices in Texas and Florida.

S3 Capital co-founder Robert Schwartz added, “Our strategic expansion in key markets across the country strengthens our position as one of the leading private construction lenders in the US. Our ability to underwrite with precision, deploy capital quickly, and bring in-house construction expertise to each project enables developers to successfully execute time after time.”