Rockefeller Gets $70M Loan to Build Florham Park Flexible-Stay Community

Rendering of AVE Florham Park, NJ

FLORHAM PARK, NJ— The Rockefeller Group has secured a $70-million loan that its joint-venture partnership with Korman Communities will use to finance the construction of  AVE Florham Park , a flexible-stay community in the heart of Florham Park, NJ. Slated to open in 2017, AVE Florham Park will have 256 furnished and unfurnished, flexible-stay accommodations for corporate housing, relocations and long-term stays. The Rockefeller Group’s internal treasury department, led by Sam Pallotta , vice president and treasurer, secured the construction loan from Capital One through the firm’s relationship with Deerwood Real Estate Capital . “This financing is reflective of The Rockefeller Group’s strong corporate balance sheet and renowned expertise in New Jersey, both of which allowed our team to effectively negotiate the terms of the loan,” says Pallotta . “Those factors, among others, led to investor confidence and ultimately resulted in the establishment of a new relationship between The Rockefeller Group and Capital One .” The partnership of The Rockefeller Group and Korman Communities broke ground on the 450,000-square-foot property earlier this year. It will include 40,000 square feet of outdoor amenities, a private courtyard with seating areas and large chess stations, a community courtyard with a lap pool and sundeck, a ping pong table, a bocce ball court, a kitchen with barbeque area, a movie screen, fire pits and cabanas. The property also will have 24,000 square feet of indoor amenities catering to business travelers and residents in transition, including an indoor media theater; café with weekday club breakfast; conference suites for business meetings; a business center with Macs and PCs, as well as copy, scan, and print capabilities; a yoga studio; a fitness center; a spa; and a 24-hour resident services to assist with restaurant recommendations, transportation coordination, and any special requests. “ AVE Florham Park is unlike anything else that is currently available in the Morris County area,” says Clark Machemer , senior vice president and regional development officer for The Rockefeller Group’s New Jersey/Pennsylvania office. “The many unique features of the AVE properties, including the flexible-stay options offered, are what attracted us to this project, and we look forward to delivering AVE Florham Park to the market next year.” The community will be located within The Green at Florham Park, The Rockefeller Group’s 268-acre, master planned development that is currently home to The New York Jets, BASF North American Headquarters and Summit Medical Group’s latest and most advanced location for comprehensive health services . AVE Florham Park will host a variety of events for guests throughout the year including wine and cheese networking events, outdoor movie nights by the pool, and monthly themed catered events featuring local restaurants and businesses. Korman’s original furnished apartment concept, conceived in the 1960s — short-term, furnished apartments in a traditional multifamily residential setting — has evolved to an innovative residence hybrid for travelers and investors seeking corporate housing. Korman  recently broke ground on a property in King of Prussia, PA, in The Village at Valley Forge and currently has AVE properties in Clifton, Union and Somerset, NJ, and Malvern, Downingtown and Lansdale, PA. Additional plans for The Green at Florham Park include a 425-unit active adult residential community, to be developed by Pulte Homes on 85 acres at the eastern portion of the site, and an Archer Hotel , which will serve upscale business and leisure travelers. CORRECTION, 7/21/2016: An earlier version of this story, based on information provided by The Rockefeller Group, described a portion of the rental units in the AVE  property as “traditional apartments.” Apartments are not permitted under the zoning for the property, and AVE prefers to describe them as “flexible-stay accommodations,” according to the project’s public relations agency.