Marcus Partners, Sterling Properties, and Danbro Properties close on site for new multifamily project

Watchung, NJ Marcus Partners has joined with Sterling Properties and Danbro Properties in closing on Blue Hill at Watchung, a 230-unit luxury multifamily community now under construction. The project, which was entitled by Sterling and Danbro, is set on 41.8 acres and marks a significant addition to the region’s multifamily stock. The first units are scheduled for delivery by the end of December 2026.

The $104 million development will feature six elevatored residential buildings and a centrally located amenity clubhouse, offering a resort-style pool, fitness center, co-working spaces, indoor/outdoor lounges, a dog park, and a golf simulator. Approximately 20 acres of the site will be preserved as conservation land, providing a natural buffer and estate-like setting not commonly found in Northern New Jersey multifamily properties.

“Sterling and Danbro have demonstrated exceptional commitment and expertise in bringing Blue Hill at Watchung to this stage,” said David Fiore, principal, New York regional director of Marcus Partners. “We are excited to partner with these experienced developers to deliver a unique project to the Watchung community as we continue our program of developing quality multifamily communities in supply-constrained markets.”

The project will deliver a new, high-quality multifamily property set to serve a broad demographic, including empty nesters seeking to downsize within the community and new residents relocating from urban areas. 20% of the homes will be designated as affordable, addressing local housing needs. The location offers immediate access to I-78 and Route 22, and is adjacent to Connell Corporate Park, a 1.5 million s/f mixed-use campus.

“Blue Hill at Watchung will be the first luxury multifamily community delivered in Watchung in nearly a decade,” said Steven Katz, co-founding principal of Sterling. “The community will bring a Class A product to a highly desirable, underserved marketplace.”

“We are thrilled to partner with esteemed firms like Sterling Properties and Marcus Partners to bring Blue Hill at Watchung to the marketplace,” said Kevin Codey, founder of Danbro Properties. “Despite navigating a complex entitlement process and challenging capital market environment, we are excited to bring this vibrant community to life.”

Financing for the project was provided by First Citizens Bank. Jon Mikula, Jim Cadranell, and Michael Lachs of Jones Lang LaSalle’s Morristown office arranged the debt and equity capital.