Kushner Companies revive plans for problem-plagued towers at One Journal Square
Old rendering of One Journal Square via KABR Group
The contentious residential and office tower planned for One Journal Square in Jersey City is getting a second life today when Kushner Companies and KABR Group present revised plans for the project to the city’s Planning Board. Earlier this year, according to NJ.com, the developers failed to get a package of city subsidies, a major investor and future tenant left the deal and a state tax break never came. The updated plan seeking approval includes two 849 foot tall, 56-story towers with 1,512 residential units plus retail and office space. Older plans called for a 56- and 79-story tower with a total of 1,725 units.
Rendering of One Journal Square via KABR Group
Issues getting the One Journal Square project off the ground can be traced to Jared Kushner, the former Kushner Cos. CEO and now a senior advisor to President Donald Trump, his father-in-law. In May, his sister Nicole Kushner Meyer tried to raise money from Chinese investors by promising EB-5 visas in exchange, name-dropping Jared as a way to attract the investment. According to earlier reports, the company sought 300 wealthy investors from China to provide about $150 million for One Journal.
Following that controversy, the mayor of Jersey City, Steve Fulop, announced on Facebook that the city would no longer provide the 30-year tax break and $30 million in city-issued bonds the Kushner Cos. had requested. The office-sharing business, WeWork, also dropped out as an anchor tenant in May.
New plans for One Journal Square show both towers will reach 849 feet high, making them the tallest buildings in the neighborhood. Jared’s cousin, Jonathan Kushner of KRE Group, is planning for the second tallest tower in Journal Square, slated to be 759 feet tall.
As 6sqft covered earlier this month, the Kushner Companies’ 666 Fifth Avenue project is financially troubled, with one-fourth of its office space empty and lease revenue not covering its monthly interest payments. In addition to major tenants vacating, the building’s net operating income has also dropped to $41 million from $61 million in 2007.
[Via NJ.com]
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