Donald Trump’s US$193.5m (€142m, £116m) joint venture with Kushner Cos and KABR Group broke ground this month on a 50-storey residential tower in the heart of the Powerhouse Arts District of Jersey City in New Jersey, US.
The tower, called
Trump Bay Street, will feature 447 luxury apartments, 11,000sq ft (1,022sq ft) of retail, a 3,000sq ft (279sq m) rooftop deck, a
"lavishly appointed" spa and a cyber café. It is expected to take two years to complete.
The
Wall Street Journal reports that the Kushner-KABR partnership will put US$35m (€26m, £21m) of its own equity into the deal and pay the rest with a US$90m (€60m, £54m) construction loan and US$65m (€48m, £39m) in financing related to a federal government visa program. Details of
Trump Organisation’s involvement were not available but its participation has been confirmed.
Jersey City has also approved a five-year tax abatement for the site.
“This is really phase two for Jersey City,” said Jared Kushner, Donald Trump’s son-in-law and business partner. “We plan to spend a lot more time here because we think this is a city on the rise.”
The tower is phase two of a project that started with Trump Plaza – a similar tower that sits one block west. The Trump Plaza is a 55-storey condominium building which was completed six years ago by developer Dean Geibel who had a licensing deal with Trump.
The new Trump Bay Street site experienced several owners during the recession, before being purchased by the Kushner and KABR partnership – which bought the debt on the property with a face value of US$35m (€26m, £21m) for US$6m (€4m, £3.6m) in 2011 from a lender.
