Blue Hill at Watchung — a development by The Sterling Properties Group, Danbro Properties and Marcus Partners — is slated to bring 230 luxury apartments to a nearly 42-acre site on Bonnie Burn Road in Watchung. — Rendering courtesy: JLL
By Joshua Burd
A six-building, 230-unit multifamily project in Watchung is moving ahead with the help of a construction loan and joint venture equity secured by JLL.
Brokers with the firm represented the sponsors, The Sterling Properties Group and Danbro Properties, in arranging the loan through First Citizens Bank and the partnership interest with Marcus Partners. The transactions paved the way for construction to begin recently at a 42-acre site on Bonnie Burn Road, where plans call for 184 market-rate units and 46 affordable units within in a development known as Blue Hill at Watchung.
The $102.87 million project is slated for completion in 2026 and stabilization by March 2028.
“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,” JLL’s Jim Cadranell said. “The strong sponsorship team, premier location with significant barriers to entry and comprehensive amenity package positioned this project for success in the capital markets.”
Cadranell and Jon Mikula, both senior managing directors with the firm, and Vice President Michael Lachs spearheaded the debt placement team. They noted that Blue Hill at Watchung will feature six four-story apartment buildings whose market-rate units will average 1,141 square feet, plus a two-story clubhouse with amenities such as a pool, outdoor lounge areas, a fitness center, a private dining room and a billiards room.
The team added that the 41.8-acre site includes 23 acres of preserved land. Residents, meantime, will be minutes from Interstate 78 and Route 22, providing easy commutes to major employment centers throughout central and northern New Jersey and New York City.
The property also benefits from a 30-year payment in lieu of taxes agreement with the borough of Watchung.
Developers break ground on 230-unit Watchung rental project just west of Route 22
