Jersey City has its first property that includes a percentage of units set aside as affordable housing. But the prices went up from what the developer had originally announced.
An article published at nj.com back in March of 2016 reported that a new 12 tower residential project was planned for downtown Jersey City, and a percentage of those units would be available at below market rate. Initially, the rates were announced as $954 – $1194 for 1- and 2-bedroom apartments.
An updated report, released on June 26th by nj.com says the 85 affordable units will cost $1,462 per month for a 1-bedroom, and $1,548 per month for a 2-bedroom. When asked about the cost difference, the developer told the Jersey Journal they would honor the original prices that were released when the development broke ground back in 2015.
Granted, the affordable housing program in Jersey City is in a growing stage, and they are still trying to define the boundaries of the program, but quite honestly, they just avoided disaster by honoring the original announcement.
Developing luxury apartments in Jersey City was supposed to draw people from Manhattan who were getting priced out of the city and wanted an affordable alternative. If Jersey City wants to continue to be that alternative, I suggest they consult with the New York Housing Authority before they announce prices for the next set of city-subsidized housing units in Jersey City.
Two more luxury apartments in Jersey City, NJ are under construction, and all will include units set aside as affordable housing. A 17-story building with 397 units on the corner of Ninth St. and Marin Blvd. will include 80 affordable units, and there will be 37 affordable housing units in a 52-story building at 25 Columbus Drive.
Initially, the market rate units were expected to range from $2,325 per month for a 1-bedroom, and $3,500 per month for a 2-bedroom. I am curious to see if the market rate prices are increased when the complex is ready to start leasing. Hopefully, the rents will stay roughly where they are, which would be in line with some of the newer luxury apartment rentals in the neighborhood.