The blaze broke out in the basement of the apartment building on Lake Street just before 5:25 a.m.
One man was pronounced dead at the scene, while a second was seriously burned and rushed to the burn unit at Saint Barnabas Medical Center.
The fire, which was confined to the basement, was quickly brought under control.
The cause is under investigation.
Residents of the Evelyn Arms apartments, a five-story building, were briefly evacuated.