HLW Residential Roundup 2017

Residential Roundup 2017 JERSEY CITY

01

RESIDENTIAL ROUNDUP

A synthesis of 9 HLW projects in Jersey City and the residential landscape.

02

PART A

What we’ve built.

03

WHY JERSEY CITY?

It’s ranked the most livable city in the United States: 1

Dubbed the best midsize city in America.2

Ranked the most diverse city in the United States.3

Demographic, location, technology and cultural hub.4 04

Leading the state of New Jersey with $15 minimum wage.5

Ranked the #2 happiest place to work in America.6

6300+ new jobs created since 2013.7

30-to-5 year tax abatements.8

1.78 million sf office development approved.9

Over 15k new units approved or under construction.10

EVOLVING WITH JERSEY CITY

18TH STREET

Over 4.8 million square feet in the past 4 years.

NE QUADRANT 4A ELLIPSE TOWER

10TH STREET

REVETMENT HOUSE

PIER 6 TOWER 05 SASVIC TOWER

HUDSON RIVER

PLAZA 10

PROVOST SQUARE II

URBY HARBORSIDE 70-90 COLUMBUS 235 GRAND

JOURNAL SQUARE HLW PROJECTS HLW PROJECTS (OFFICE)

NEW YORK

PLAZA 4A

225 GRAND N

9 HLW PROJECTS

Buildings of all shapes and sizes.

Our residential projects vary from midrise towers under 100k square feet to the recently completed URBY Harborside, at almost 770k square feet.

06

235 GRAND

REVETMENT HOUSE

PROVOST SQUARE II

ELLIPSE TOWER

90 COLUMBUS

70 COLUMBUS

URBY HARBORSIDE

NE QUADRANT 4A

SASVIC TOWER

HOBOKEN YARDS

PROXIMITIES: REDEVELOPMENT DISTRICTS

VAN LEER

Our projects are being developed in multiple districts...

NEWPORT

HAMILTON PARK

THE VILLAGE

HARSIMUS COVE

HISTORIC DOWNTOWN

07

METROPLAZA

HUDSON RIVER

POWERHOUSE JOURNAL SQUARE HARBORSIDE VAN VORST PARK

NEW YORK

GREGORY PARK

EXCHANGE PLACE

PALUS HOOK

JOURNAL SQUARE DISTRICT BORDERS HLW PROJECTS HLW PROJECTS (OFFICE)

LIBERTY HARBOR

N

PROXIMITIES: OUTDOOR PUBLIC SPACE

Our projects live within a high density of parks with great views of Manhattan.

08 HUDSON RIVER

NEW YORK

JOURNAL SQUARE OUTDOOR PUBLIC SPACE HLW PROJECTS HLW PROJECTS (OFFICE)

N

PROXIMITIES: TRANSPORTATION

Jersey City is well connected by land and sea.

09 HUDSON RIVER

NEW YORK

LIGHT RAIL & PATH NY/NJ WATERWAY HLW PROJECTS HLW PROJECTS (OFFICE)

JOURNAL SQUARE N

PROXIMITIES: CIVIC INSTITUTIONS

Schools are within walking distance of our projects.

10 HUDSON RIVER

NEW YORK

EDUCATION (K-12, HIGHER-ED) LIBRARIES HLW PROJECTS HLW PROJECTS (OFFICE)

JOURNAL SQUARE N

PROXIMITIES: MARKETS & GROCERY STORES

Fresh food is right around the corner.

11 HUDSON RIVER

NEW YORK

JOURNAL SQUARE MARKETS & GROCERY STORES HLW PROJECTS HLW PROJECTS (OFFICE)

N

PROXIMITIES: WALKABILITY

A host of amenities at your doorstep.

12 HUDSON RIVER

NEW YORK

5-MIN WALKING RADIUS LIGHT RAIL & PATH NY/NJ WATERWAY EDUCATION (K-12, HIGHER-ED) LIBRARIES MARKETS & GROCERY STORES OUTDOOR PUBLIC SPACE HLW PROJECTS HLW PROJECTS (OFFICE)

JOURNAL SQUARE N

PROJECT PROFILES

Let’s break down 9 HLW projects in Jersey City.

235 GRAND

REVETMENT HOUSE

PROVOST SQUARE II

13

ELLIPSE TOWER

90 COLUMBUS

70 COLUMBUS

URBY HARBORSIDE

NE QUADRANT 4A

SASVIC TOWER

PROJECT AREAS

We design buildings of all scales.

area (sf) 1,000k

800k

14 600k

400k

200k

0 URBY HARBORSIDE

235 GRAND

ELLIPSE TOWER

90 COLUMBUS

225 GRAND

NE QUADRANT 4A

PROVOST SQUARE II

REVETMENT HOUSE

SASVIC TOWER

NEIGHBORHOODS

A city of diverse places.

LOWE’S JERSEY 11 THEATRE

EXCHANGE PLACE 12

HAMILTON PARK 13

15

HISTORIC DOWNTOWN DINING 14

LIBERTY STATE PARK 15

PENICK WAREHOUSE

NEWPORT GREEN 17

GROVE STREET STATION 18

HUDSON RIVER WALKWAY 1

16

PROJECT AREA BREAKDOWN

71+9+4313F 13%

Core/Support*

16%

1 Parking (9%) 2 Amenity (4%) 3 Retail (3%)

Let’s break down the program. * Including elevators, stairs, corridors, mechanical spaces, back-of-house.

3

2

1

71%

Residential

16

UNIT TYPE BREAKDOWN

16+48+3051F 36%

4 BR

2/3/4-Bedroom

Studios & 1-bedrooms dominate.

3 BR

STUDIO

2 BR

1 BR

64%

Studio/1-Bedroom

17

PART B

Why we build.

18

19

WHO’S MOVING TO JERSEY CITY?

One of the highest growth rates in the state.

Jersey City has grown by 9% between 2010 and 2016. Of Jersey City’s 21,000 new residents, growth is concentrated among Millennials and Gen X-ers, with 41% and 34% of growth respectively. 20

21

19

GROWTH IN JERSEY CITY PER AGE 21 40

growth (%)

9%

30

20

10

0

age

-10 <18

18-24

25-34

35-45

45-54

55-64

>65

RENTAL MARKET TRENDS

74+26+R 74%

74% of Jersey City residents are renters. 22

20 24

RENT PER UNIT TYPE 23 6.0

<$400

rent/sf ($)

5.0

4.0

JERSEY CITY AVERAGE

3.0

ELLIPSE TOWER 225 GRAND URBY HARBORSIDE ALL

STUDIO

1 BR

2 BR

3 BR

$3,000+

HLW designs high quality living spaces.

MILLENNIALS COMING OF AGE

Millennials drive the 1-bedroom apartment trend...

UNIT TYPE BREAKDOWN OF U.S. APARTMENT PROPERTIES 26 60

%

50

40 21 30

Millennials are willing to sacrifice space in favor of location, access to amenities, and affordability. They prefer functional and effective layouts that fit within their budget.

Studios and 1-bedroom apartments now make up 54.4% of the apartment rental market due to Millennial demand.25

20

10

unit type

0 STUDIO/1 BR NEW (BEFORE 2012) EXISTING (SINCE 2012)

2 BR

3+ BR

MILLENNIALS COMING OF AGE CHANGE IN BIRTHRATE BETWEEN 2014 AND 2016 28 10

...but that might change when they start having kids.

34 y/o

Median age in Jersey City 26

28+J 28%

growth (%)

5

0

-5

-10

22

-15

age

-20 15-19

20-24

25-29

30-34

34-39

40-44

22-34y/o

22 to 34 y/o residents make up 28% of Jersey City 27

Demand for 2+ bedrooms are likely to rebound.

EMERGING TRENDS: UNITS VS. AMENITIES

Less residential space, more amenities.

23

EMERGING TRENDS: PUBLIC-PRIVATE BOUNDARIES

Public and private spheres are becoming blurred.

24

EMERGING TRENDS: OUTDOOR LIVING SPACE

Living space extends outdoors.

25

EMERGING TRENDS: OPEN PLAN LAYOUT

Units are becoming flexible and adaptable.

26

PART C

How we’ll build.

31

27

29

WHAT WILL HAPPEN WHEN...

5

Shared autonomous vehicles reign? ?

YEARS

Parking garages and lots may be repurposed as extensions of residential amenity, co-working spaces, and other pedestrian-based program. Our planning for parking space will need to be flexible and adaptible in the near future.

28

GLOBAL SHIPMENT FORECAST OF SELF-DRIVING CARS 30 6

SDC shipped (millions)

5.5

5 4 3 2 1 0

2015

2016

2017

2018

2019

2020

31

WHAT WILL HAPPEN WHEN...

5

Delivery services replace the need to leave home? ?

YEARS

As online shopping and delivery services grow and the need to step out of the home diminishes, our building’s program needs to encourage residents to interact and connect with nature and the city outside – a community and place to live, work and play.

29

VOLUME OF DRONES IN AMAZON’S FLEET (PER 1,000 PEOPLE) 32 1.5

number of drones per 1,000 people 1.21

1.25 1 0.75 0.5 0.25 0

2016

2017

2018

2019

2020

33

WHAT WILL HAPPEN WHEN...

5

The majority of the population works remotely? ?

YEARS

Due to the flexible work trend, livework units and co-working spaces will dominate the residential and commercial markets. Our residential units, as well as amenity program, will cater to that need.

50+50+J 50%

50% of all U.S. employees will work remotely by 2020.34

30

260 hrs/year

Telecommuters save 260 hours per year by not commuting on a daily basis.35 36

WHAT WILL HAPPEN WHEN...

40

Millennials retire? ?

YEARS

Seniors and empty nesters will be looking to move back into urban areas, where diverse experiences, amenities catering to elders, and healthcare providers abound. Our buildings will be designed to support the needs of active elders.

47+ J + 53 50+50+R 50%

47%

50% of Millennials plan to work in retirement.37

47% of those plan to do so for reasons of enjoyment or staying involved. 37

31

WHAT WILL HAPPEN WHEN...

80

Sea levels rise? ?

YEARS

As sea levels rise and climate patterns become more disruptive and destructive, buildings and open spaces that we design will have resilience in mind and stay functional in the face of natural disaster. When these features are not in active use, they will also form part of our living fabric, as parks and plazas for people to enjoy.

32

100-year flood 38

PROJECTED SEA LEVEL RISE IN JERSEY CITY 39 7

water level (ft.)

6 5 4 3

Sea Level Scenario

2

Fast rise

1

Medium Slow rise

0 2020

2030

2040

2050

2060

2070

2080

2090

2100

40

WORKS CITED Miller, Derek. “The Most Livable Cities in the U.S. 2016 Edition.” SmartAsset. October 31, 2017. Accessed December 19, 2017. https://smartasset.com/mortgage/ the-most-livable-cities-in-the-u-s.

12

Bernardo, Richie. “2017’s Most & Least Culturally Diverse Cities.” WalletHub. February 2017. Accessed December 19, 2017. https://wallethub.com/edu/citieswith-the-most-and-least-ethno-racial-and-linguisticdiversity/10264/#methodology.

13

1

2

3

Ibid.

“Weekend Walks: A Photographic Tour of Hamilton Park.” Jersey Digs. May 22, 2016. Accessed December 20, 2017. https://jerseydigs.com/weekend-walks-aphotographic-tour-of-hamilton-park/ Ibid.

George, Andrew. “Jersey City first to institute $15 minimum wage for municipal employees.” NJBIZ. February 29, 2016. Accessed December 19, 2017. http:// www.njbiz.com/article/20160229/NJBIZ01/160229813/ jersey-city-first-to-institute-15-minimum-wage-formunicipal-employees.

5

Dill, Kathryn. “The Happiest Cities To Work In Right Now.” Forbes. Accessed December 19, 2017. https://www. forbes.com/sites/kathryndill/2016/01/22/the-happiestcities-to-work-in-right-now/#5e79618823ca.

26

Adams, Nathaniel. “The Death and Life of Jersey City.”

The New York Times. May 05, 2017. Accessed January 15, 2018. https://www.nytimes.com/2017/05/05/nyregion/ the-death-and-life-of-jersey-city.html.

“The One | Short Term Housing in New York | 800-4197576 | http://nectarfa.com.” Nectar. Accessed January 15, 2018. https://nectarfa.com/property/the-one/.

Zeitlinger | The Jersey Journal, Ron . “Jersey City has 2 new loan programs for small businesses, start-ups.”

NJ.com. February 24, 2016. Accessed December 19, 2017. http://www.nj.com/hudson/index.ssf/2016/02/jersey_ city_has_2_new_loan_programs_for_small_busi.html.

Jersey City. “Tax Abatements (2014-2016).” CARTO. Accessed December 19, 2017. https://jerseycity.carto. com/builder/4f96d0ae-fecd-11e5-91cb-0e3ff518bd15/ embed.

8

Burd, Joshua. “SJP, Mack-Cali reveal design for hightech, 1.2 million sq. ft. office tower in Jersey City.” Real Estate NJ. November 03, 2017. Accessed December 19, 2017. https://re-nj.com/sjp-mack-cali-reveal-design-forhigh-tech-1-2-million-sq-ft-office-tower-in-jersey-city/.

9

Steve Strunsky | NJ Advance Media for NJ.com.

“Jersey City under construction: 15,000 new apartments in 5 years.” NJ.com. November 29, 2016. Accessed December 19, 2017. http://www.nj.com/hudson/index. ssf/2016/04/top_10_developments_going_up_in_jersey_ city.html.

10

Gobetz, Wally. “NJ - Jersey City: Journal Square - Loew’s Theater.” Flickr. June 08, 2007. Accessed January 15, 2018. https://www.flickr.com/photos/ wallyg/535348765.

11

Ibid.

Jerseycitygal. “Shakespeare in the Park Tomorrow 8/14.” Jersey City Gal. August 13, 2013. Accessed December 20, 2017. http://jerseycitygal.com/2013/08/13/ shakespeare-in-the-park-814/.

“Millennials Infographic.” Goldman Sachs. Accessed December 20, 2017. http://www.goldmansachs.com/ourthinking/pages/millennials/.

27

Howe, Neil. “U.S. Fertility: Down For The Count.”

Forbes. March 31, 2017. Accessed December 20, 2017. https://www.forbes.com/sites/neilhowe/2017/03/31/u-sfertility-down-for-the-count/#512c7c181d9b.

28

16

Lj. “New Jersey Monthly Chronicles the Rise of Jersey City.” Jersey City Upfront. July 09, 2016. Accessed January 15, 2018. http://www.jerseycityupfront.com/newjersey-monthly-chronicles-the-rise-of-jersey-city/.

“Future Past: Self-Driving Cars Have Actually Been Around for a While.” Go to News. Accessed December 20, 2017. https://blog.caranddriver.com/future-past-selfdriving-cars-have-actually-been-around-for-a-while/.

29

“15 Facts About Millennials’ Retirement Readiness and 7 Steps for Long-Term Success.” Senior Lifestyle.

July 22, 2014. Accessed December 20, 2017. http://www. seniorlifestyle.com/15-facts-millennials-retirementreadiness-7-steps-long-term-success/.

37

“Jersey City - Arc GIS.” Hlw.maps.arcgis.com.

Accessed December 20, 2017. http://hlw.maps.arcgis. com/home/webmap/viewer.html?useExisting=1.

38

“See your local sea level and coastal flood risk.”

Climate Central. Accessed December 20, 2017. https:// riskfinder.climatecentral.org/place/jersey-city. nj.us?comparisonType=city-ward&forecastName=Basic&f orecastType=NOAA2017_extreme_p50&level=6&unit=ft.

39

40 “Fountains in London.” Time Out London. Accessed

March 14, 2018. https://www.timeout.com/london/events/ public-fountains-in-london.

17

6

7

“Jersey City, NJ.” Data USA. Accessed December 20, 2017. https://datausa.io/profile/geo/jersey-city-nj/.

25

14

15

Peterson, Eric. “The High-Tech City Circuit.” New Jersey Business Magazine. March 2016. Accessed December 19, 2017. https://njbmagazine.com/monthly_ articles/the-high-tech-city-circuit/.

4

millennials-drive-one-bedroom-apartment-trend-butthat-might-change/#29fb4d1639a9.

Kaysen, Ronda. “Jersey City Growing, With Many Personalities.” The New York Times. June 08, 2016.

Accessed December 20, 2017. https:// www.nytimes. com/2016/06/12/realestate/jersey-city-growing-withmany-personalities.html.

Greenough, John. “Here’s why self-driving cars took center stage at CES.” Business Insider. March 09, 2016. Accessed December 20, 2017. http://www. businessinsider.com/self-driving-cars-ces-2016-01.

30

18

Carla Astudillo | NJ Advance Media for NJ.com. “4 big ways that New Jersey’s demographics are changing.”

NJ.com. December 10, 2016. Accessed December 20, 2017. http://www.nj.com/news/index.ssf/2016/12/4_big_ ways_that_new_jerseys_demographics_are_changing. html.

19

20

Ibid.

“Jersey City, NJ.” Data USA. Accessed December 20, 2017. https://datausa.io/profile/geo/jersey-citynj/#housing.

21

“Jersey City, NJ Rental Market Trends.” Apartments for rent – RENTCafé. Accessed December 20, 2017. https://www.rentcafe.com/average-rent-market-trends/ us/nj/jersey-city/.

22

“Real Estate Data for Jersey City.” Real Estate Market Trends for Jersey City, NJ - Trulia. Accessed December 20, 2017. https://www.trulia.com/real_estate/Jersey_CityNew_Jersey/market-trends/.

23

Axiometrics. “Millennials Drive One-Bedroom Apartment Trend, But That Might Change.” Forbes.

November 11, 2015. Accessed December 20, 2017. https://www.forbes.com/sites/axiometrics/2015/11/11/ 24

“Vehicles Parked Inside Elevated Parking Lot.” Free Stock Photos. Accessed December 20, 2017. https:// www.pexels.com/photo/vehicles-parked-inside-elevatedparking-lot-63294/.

31

“Amazon fleet .” Statista. Accessed December 20, 2017. https://www.statista.com/statistics/667971/ amazon-fleet-size-drones/.

32

“The Future of Transportation: From Land And Beyond.” Gizmo Snack. February 24, 2016. Accessed December 20, 2017. http://www.gizmosnack.com/coverstories/future-transportation-land-beyond/.

33

“How Millennials Are Shaping Work Flexibility for Everyone.” SHRM. May 19, 2017. Accessed December 20, 2017. https://www.shrm.org/resourcesandtools/hrtopics/technology/pages/how-millennials-are-shapingwork-flexibility-for-everyone.aspx.

34

Flexjobs. “15 Stats About Telecommuting in the U.S.” FlexJobs. September 16, 2016. Accessed December 22, 2017. https://www.flexjobs.com/blog/post/stats-abouttelecommuting-in-the-us/.

35

Alpert, Karen. “Why Being A Work-From-Home Parent Is The Worst Of Both Worlds.” Fast Company. April 18, 2017. Accessed December 20, 2017. https://www. fastcompany.com/3033226/why-being-a-work-fromhome-parent-is-the-worst-of-both-worlds.

36

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CONTACT US

We’ll see you in Jersey City 34

NEW YORK NEW JERSEY LOS ANGELES LONDON SHANGHAI www.hlw.com +1 212 353 4600 @hlwinternational

Edward Shim Principal eshim@hlw.com Jie Zhu Design Director jzhu@hlw.com Mat Triebner Director of Strategy & Discovery mtriebner@hlw.com

Contributors Kyra Ahier Chanel Dehond Jacob Drung Ruth Lee Ed Shim Nay Soe Mat Triebner Nancy Yeh Jie Zhu