Barings has committed up to $133.4 million in forward permanent financing to support the development of 22 Fulton, a planned 396-unit mixed-income apartment project in downtown Newark, New Jersey.

The loan, arranged through the firm’s Affordable Housing Investments group, will support both taxable and tax-exempt debt. Twenty percent of the new apartments will be reserved for tenants earning 60% of area median income, with the remaining units rented at market rates.

The project is being led by a joint venture between SK Development and the Berger Organization. The financing marks a major step for the development, which relied on a complex capital structure involving more than $60 million in sponsor and tax-credit equity, an $85 million construction loan from Goldman Sachs and additional state incentive sources.

Barings said the financing underscores the firm’s role in expanding affordable and mixed-income housing in cities with strong demand. “22 Fulton will add much-needed, high-quality mixed-income housing in downtown Newark,” said Daron Tubian, head of Affordable Housing Investments at the firm.

Developers described the structure as the culmination of two years of planning to bring a large-scale project to the city center. Construction is expected to advance as financing components close.

The financing adds to a wave of large-scale residential construction across New Jersey, including the planned 65-story Harborside 8 tower on the Jersey City waterfront, which recently secured $306 million in senior construction financing and $78 million in preferred equity.

22 Fulton Development Factsheet

Project Overview

Property Name: 22 Fulton

Location: Downtown Newark, New Jersey

Property Type: Mixed-income multifamily housing

Total Units: 396 units

Status: To-be-built (under development)

Unit Mix & Affordability

Affordable Units: 80 units (20% of total)

Restricted to tenants earning 60% Area Median Income (AMI)

Market-Rate Units: 316 units (80% of total)

Financing Structure

Barings Loan Commitment: Up to $133.4 million

Forward permanent loan commitment

Private placement execution for both taxable and tax-exempt debt

Provided by Barings’ Affordable Housing Investments (AHI) team

Total Capital Stack:

Barings Permanent Loan: $133.4 million

Construction Loan: $85 million (Goldman Sachs)

Sponsor & Tax Credit Equity: Over $60 million

Additional Sources: State tax credit programs

Project Timeline: Two years to structure and close

Key Parties

Lender:

Barings (Affordable Housing Investments team)

Developers:

Joint venture partnership between:

SK Development

The Berger Organization

Construction Lender:

Goldman Sachs