Walker & Dunlop secures $245m financing for Jersey City’s The Greyson development

Walker & Dunlop, a commercial real estate and financial services provider listed on the New York Stock Exchange (NYSE), has secured a significant $245 million loan to finance the final stages of construction for The Greyson, a state-of-the-art mixed-use tower in Jersey City, New Jersey. The loan, sourced from TYKO Capital, will help complete the 28-story, 622-unit building, which is set to redefine the landscape of Jersey City’s Journal Square neighborhood.

Financing Deal Details

Walker & Dunlop’s New York Capital Markets team, under the leadership of Keith Kurland, Aaron Appel, and Jonathan Schwartz, orchestrated the deal, acting as the exclusive advisor to Nasser Freres, the project’s developer. The loan, provided by TYKO Capital and backed by Elliott Investment Management, comes as The Greyson nears its top-off phase, with the financing set to cover the remaining construction costs and bring the vision to completion.

The Greyson is poised to be a standout in Jersey City’s evolving skyline. The 28-story tower will be located on a 0.7-acre site in Journal Square, one of the city’s most sought-after areas for development. The building will feature 389,720 rentable square feet of residential space, including a mix of studio, 1-bedroom, 1-bedroom + den, 2-bedroom, and 3-bedroom apartments. In addition to residential units, The Greyson will incorporate 44,551 square feet of office space and 2,965 square feet of retail space, positioned along the newly extended Homestead Avenue.

An Exciting Addition to Jersey City’s Skyline

Once completed, The Greyson will offer an impressive array of amenities designed to attract high-income renters. The property will boast a rooftop pool with panoramic views of the Manhattan skyline, a state-of-the-art fitness centre, and innovative communal spaces, including virtual reality rooms and sports rooms. These premium features will cater to renters seeking a blend of luxury and convenience in one of the most vibrant and well-connected areas of New Jersey.

The development’s prime location ensures easy access to the Journal Square Transportation Center, offering seamless connections to downtown and midtown Manhattan, making it an ideal alternative to Manhattan living. Additionally, the development will include a new public pathway linking Newark Avenue and Pavonia Avenue, further enhancing the neighborhood’s connectivity and accessibility.

Jersey City’s Rising Appeal

Jersey City has become a key focus for institutional and public investment in recent years. The opening of the Centre Pompidou and the revitalization of the Loew’s Jersey Theater have further solidified the city’s cultural and economic status. As a result, Jersey City has gained significant appeal among young, high-income renters who seek more affordable, spacious living options compared to the rapidly rising costs in New York City.

Keith Kurland, Senior Managing Director and Co-Head of Walker & Dunlop’s New York Capital Markets division, shared his perspective on the city’s transformation, noting that Jersey City has become a top choice for renters who are drawn to its competitive rental market, emerging economy, and the continued development of its cultural infrastructure. Kurland stated, “Jersey City has undergone a remarkable transformation over the past decade, becoming a magnet for residents seeking competitively priced, spacious rental options compared to NYC. We are proud to work alongside Nasser Freres to bring The Greyson to life and further elevate the neighborhood.”

The Greyson: A Game-Changer for Jersey City

As Jersey City continues to thrive, projects like The Greyson play a crucial role in shaping the city’s real estate future. The property’s upscale offerings, coupled with its central location and robust amenities, will further boost the neighborhood’s appeal and attract residents looking for a high-value alternative to living in New York City. Additionally, the development aligns with Jersey City’s ongoing efforts to improve its urban landscape, creating a more accessible and vibrant community for both residents and visitors.

In 2023, Walker & Dunlop’s New York Capital Markets team demonstrated its expertise by sourcing nearly $12 billion in capital for various transactions from non-Agency capital providers. The success of this deal further solidifies the company’s position as a leader in commercial real estate financing.