Yes. New Jersey is one of 3 states requiring licensed sober living homes.
This licensing determines how many people can legally stay under one roof and what kind of home is legal to convert into a sober living home. Single-family or duplex-style homes are the only allowed types (any bigger and overcrowding could easily become a problem).
If you are considering converting a home you own into a sober living home, be sure to confirm you are following the correct regulations.