JLL Capital Markets announced that it has secured a construction loan and joint venture equity for Blue Hill at Watchung, a 230-unit, Class A luxury apartment community to be developed in Watchung, Somerset County, New Jersey.
JLL represented the sponsor team, The Sterling Properties Group and Danbro Properties, in arranging the loan through First Citizens Bank. JLL also arranged the sponsor’s joint venture equity partnership with Marcus Partners.
Scheduled for completion in 2026, Blue Hill at Watchung will feature six high-quality, four-story buildings and a two-story clubhouse on a picturesque 41.8-acre site with 23 acres of preserved land. The community will include 184 market-rate units and 46 affordable-rate units, with an average market-rate unit size of 1,141 square feet. The property will offer best-in-class amenities including a resort-style pool, outdoor lounge areas, fitness center, private dining room, billiards room, golf simulator, game room, co-working space and private garages.
Located on Bonnie Burn Road in Watchung, the property offers exceptional access to major highways including I-78 and Rte-22, providing easy commutes to major employment centers throughout Central and Northern New Jersey, as well as New York City. The site is less than a mile from The Peak, a 1.5-million-square-foot Class A office park home to major corporate facilities for Fiserv, L’Oréal, Celgene and others.
Watchung is an affluent suburban community with an average household income of $200,643 and median home asking prices exceeding $1.2 million. The property benefits from a 30-year PILOT agreement with the Borough of Watchung.
“Blue Hill at Watchung represents an exceptional opportunity to develop a market-leading luxury apartment community in one of New Jersey’s most prestigious locations,” said Cadranell. “The strong sponsorship team, premier location with significant barriers to entry and comprehensive amenity package positioned this project for success in the capital markets.”
JLL Capital Market’s team was led by Senior Managing Directors Jim Cadranell and Jon Mikula, along with Vice President Michael Lachs.
JLL Capital Markets is a full-service global provider of capital solutions for real estate investors and occupiers. The firm’s in-depth local market and global investor knowledge delivers the best-in-class solutions for clients — whether investment sales and advisory, debt advisory, equity advisory or a recapitalization. The firm has more than 3,000 Capital Markets specialists worldwide with offices in nearly 50 countries.
