Lincoln Property Company and Pegasus Partners Break Ground on 18-Story Luxury Multifamily Tower in Hoboken, N.J.

Lincoln Property Company and Pegasus Partners LLC broke ground on September 18, 2026, on 1300 Jefferson Street, an 18-story luxury multifamily development in Hoboken, N.J. that will deliver 357 residential units and approximately 24,000 square feet of ground-floor retail upon completion.

A ceremonial groundbreaking was held at the site with representatives from Lincoln, Pegasus Partners and the City of Hoboken in attendance. Lincoln Property Company published the formal announcement on September 23, 2026.

Project Details and Affordable Housing Component

The mixed-use development at 1300 Jefferson Street will include 37 affordable housing units as part of its residential program. Twenty of those units will be located on-site, while an additional 17 units will be supported through a contribution to veterans housing in Hoboken. The project was designed by Fogarty Finger.

The site is located 1.5 miles from Midtown Manhattan in what the developers describe as a transit-oriented, supply-constrained market. The project represents the first phase of what Lincoln has identified as its Gold Coast Multifamily Portfolio along the New Jersey waterfront.

Capital Stack and Financing

Lincoln Property Company and Pegasus Partners capitalized the project through an equity commitment from Pacific Life and a construction loan from Truist. JLL advised on the debt and equity placement.

Northern New Jersey's multifamily market is currently absorbing a substantial pipeline of new Class A supply, with approximately 8,000 multifamily units under construction across the region, roughly two-thirds of which are Class A properties.

Multifamily cap rates in Hoboken and Downtown Jersey City have generally ranged between 3% and 5%, reflecting the premium investors place on waterfront access, transit connectivity and proximity to Manhattan. Those figures apply to stabilized existing assets and do not establish a projected yield for the new development.

A 14-Year Entitlement Process and Co-GP Partnership Model

The groundbreaking marks the culmination of 14 years of entitlement work led by Pegasus Partners to transform a formerly industrial area in northwest Hoboken into a mixed-use and residential neighborhood. Lincoln Property Company joined the project in 2024 as co-general partner and development manager.

"After more than a decade of work, this milestone moves our long-envisioned plan for northwest Hoboken into construction," said Mark Luis Villamar, Co-Founder of Pegasus Partners. "With Lincoln's partnership, we can deliver a development that will serve the community for generations."

"1300 Jefferson exemplifies the local partnerships Lincoln welcomes in high barrier-to-entry markets, pairing Pegasus Partners' local fluency with our national development platform," said Jared Toothman, Executive Vice President, Market Leader at Lincoln. "We are proud to partner with Pegasus to deliver quality housing that Hoboken and the New York metro area desperately need."

The partnership reflects a co-general partner model that Lincoln has described as repeatable, in which the firm works alongside local developers with entitled land to provide capital relationships and execution capabilities. Lincoln and Pegasus have indicated plans for thousands of additional apartments along the New Jersey Gold Coast in the coming years.

Broader Gold Coast Pipeline and Market Outlook

Lincoln's Gold Coast portfolio materials identify additional development capacity in the surrounding Hoboken and Jersey City area, including 619 Marin Boulevard, entitled for 17 stories and 613 units with 12,000 square feet of retail, and 660 Grove Street, a potential development of more than 1,000 units. The broader portfolio encompasses approximately 823,000 square feet, with roughly 3,600 units in total potential development across various stages of planning and entitlement.

The 1300 Jefferson Street project will enter a competitive lease-up environment. Recent market conditions in Hoboken, Jersey City and nearby submarkets have seen concessions — including one to two months of free rent — return at some luxury lease-ups, while asking rents at many towers have remained broadly flat. A 2026 New Jersey market forecast anticipates that vacancy could decline as the market absorbs recent deliveries, with additional construction starts potentially supporting new deliveries in 2027 and 2028.

The project's 357-unit scale, transit-oriented location and inclusion of ground-floor retail position it to compete primarily with newly delivered or proposed luxury towers along the Hudson waterfront, where developable sites remain limited.

About the Developers

Lincoln Property Company is one of the largest private real estate firms in the United States, offering a fully integrated platform of real estate services across asset types including multifamily, industrial, office, retail, data center and mixed-use properties. Pegasus Partners LLC is a Hoboken-based real estate owner-operator.

Sources: Lincoln Property Company Press Release