Jared Kushner is joining his father in law Donald Trump on their first joint venture, a New Jersey residential apartment building.
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The thirty three year old member of the Kushner real estate family, Jared Kushner, is married to Ivanka Trump, Donald Trump’s daughter. His Kushner Companies and Donald Trump’s Trump Organization have announced plans for a joint venture to build a 447 unit rental apartment building in Jersey City, New Jersey.
The new development is located next to Trump Plaza Residences at 88 Morgan Street, a 55-story condominium completed six years ago. It will be called Trump Bay Street and is expected to cost $193.5 million.
The two companies will be joined by the KABR Group of New Jersey.
The site went through a series of owners during the recession before being purchased by the Kushner and KABR partnership. Kushner chose to use the Trump name due to the success of the neighboring Trump Plaza. They bought the debt on the property for $6 million in 2011. It was valued at $35 million at the time.
Kushner-KABR will be putting up $38.5 million of its own equity for the project, according to reports. Another $90 million will be acquired through a construction loan and another $65 million will come from a mezzanine loan tied to a Federal visa program. This was reported in the Wall Street Journal.
The Journal says that the details of Trump Organization’s involvement in the development have not yet been made public. Donald Trump told the Wall Street Journal, ““Jared is a very talented young man. It is going to be a great project.”
Officials in Jersey City also approved a five-year tax abatement for the site. Jersey City mayor Steven Fulop told the Journal, “I think the Trump brand is a real positive thing for any urban area. For Jersey City to be in the same conversation as Chicago, and all these other great places…I think it’s great, ” in reference to other cities with Trump buildings.
The son of developer Charles Kushner, Jared Corey Kushner is the principal owner of his family’s Kushner Properties, a real estate development and holding company. Jared Kushner also owns The New York Observer and has an estimated $200 million net worth.
He married Ivanka Trump in 2009.
Kushner Companies include Kuhsner Properties, a New York real estate developer with a strong presence in the New Jersey residential market, and Kushner Real Estate, a real estate development company based in Bridgewater New Jersey.
The Kushners purchased 666 Fifth Avenue, an office building, in 2007 for $1.8 billion in 2007. At the time that was the most ever spent on an American office building.
With headquarters in Ridgefield Park New jersey, The KABR Group are owners and operators of real estate. The group was founded in 2008 by Kenneth Pasternick, Laurence Rappaport and Adam Altman. Its portfolio includes office buildings throughout New Jersey and New York State as well as residential properties in Florida, Georgia and New jersey.
The Trump Bay Street Project is expected to break ground any day.