Located at 51 Route 1 in New Brunswick, The Raye by Vermella will consist of two five-story buildings with floorplans ranging from studios to three-bedroom homes. — Rendering courtesy: JLL
By Joshua Burd
Russo Development has closed on $162 million in financing for its new 534-unit high-end multifamily development in New Brunswick, brokers with JLL announced Friday.
According to a news release, Wells Fargo provided the three-year, floating-rate loan in connection with the project at 51 Route 1. The deal comes with lease-up well underway for the 272-unit first phase, which is roughly 65 percent rented, with full stabilization expected for the fourth quarter as Russo transforms what was a vacant Sears property just south of Route 18.
At full build-out, The Raye by Vermella will consist of two five-story buildings with floorplans ranging from studios to three-bedroom homes. The developer expects to stabilize the second phase, which will have the remaining 262 units, around late summer 2027.
“The Raye is a transformative project for the New Brunswick’s multi-housing market,” JLL Senior Managing Director Thomas Didio said. “This financing package demonstrates continued lender confidence in well-located, high-quality multifamily developments with strong sponsorship like Russo Development.”
The JLL team of Didio, Managing Director Thomas E. Didio Jr., Director Gerard Quinn and Associate Michael Mataras sourced the debt on Russo’s behalf, citing New Brunswick’s continued growth as a thriving urban center with strong demand. That’s due in large part to its central location, strong commuter access and anchors such as Rutgers University, Johnson & Johnson, Robert Wood Johnson University Hospital and many other organizations.
Residents of The Raye by Vermella will be minutes from both the New Jersey Turnpike and the downtown, which they can access via the complex’s private shuttle service to the New Brunswick train station. They’ll also have access to upscale on-site amenities such as a pool courtyard with grilling areas and fire pits, a fitness center, package lockers, a clubroom and a gaming and bar room, among others.
