JERSEY CITY, N.J., April 20, 2021 /PRNewswire/ -- Mack-Cali Realty
Corporation (NYSE: CLI) today announces the $255 million sale of its Short Hills, New Jersey office portfolio, a
four office building portfolio encompassing 843,300 square feet, to
The Birch Group. The transaction releases approximately
$100 million of net proceeds, after
retirement of financing and transaction costs, which is expected to
be used to pay down the Company's unsecured corporate debt during
the second quarter of 2021.
"This transaction represents yet another
significant step towards simplifying our company
through the disposition of suburban office
properties while generating liquidity to pay down
corporate debt and strengthen our balance sheet," said Mahbod Nia, Chief Executive Officer of
Mack-Cali. "I would like to thank
the team for their hard work and commitment to closing this complex
transaction expeditiously."
The office portfolio, comprising four buildings, includes 51 JFK
Parkway, a 260,750-square-foot property, which is currently 86.9%
leased; 101 JFK Parkway, a 197,196-square-foot property, which is
currently 98.4% leased; 103 JFK Parkway, a 123,000-square-foot
property, which is currently 100.0% leased; and 150 JFK Parkway, a
262,354-square-foot property which is currently 51.5% leased.
"The Short Hills disposition
continues our strong sales momentum in the suburban office market
and reinforces our ability to achieve our goals at a solid pace
without sacrificing value," added Ricardo Cardoso, Executive
Vice President and Chief Investment Officer of Mack-Cali. "While we have reached a significant
milestone in our sales process, we continue to work diligently to
finalize terms on our remaining non-core commercial assets."
Cushman & Wakefield's Capital Markets team arranged the
transaction. "This is the first time in history these four premier
buildings – which have a long-standing reputation for attracting
nationally recognized blue chip tenants – will trade as a cohesive
portfolio. This is a fantastic acquisition for The Birch Group,
which has been one of the most active buyers across the Tri-State
Region, and we are thrilled to once again execute on a milestone
transaction for Mack-Cali," said
David Bernhaut, who led the
assignment alongside Andy Merin,
Gary Gabriel, Frank DiTommaso and Seth
Zuidema, in conjunction with Adam
Spies and Kevin Donner. The
team was supported by Cushman & Wakefield's Equity, Debt &
Structured Finance team of John
Alascio, Alex Hernandez,
Chuck Kohaut and TJ Sullivan.
The sale of the Short Hills Office portfolio follows
Mack-Cali's successful
$254 million sale of its Metropark
portfolio to Opal Holdings last month.
About Mack-Cali Realty Corporation
One of the
country's leading real estate investment trusts (REITs), Mack-Cali
Realty Corporation is an owner, manager and developer of premier
office and multifamily properties in select waterfront and
transit-oriented markets throughout New
Jersey. Mack-Cali is
headquartered in Jersey City, New
Jersey, and is the visionary behind the city's flourishing
waterfront, where the company is leading development, improvement,
and place-making initiatives for Harborside, a master-planned
destination comprised of class A office, luxury apartments, diverse
retail and restaurants, and public spaces.
A fully integrated and self-managed company, Mack-Cali has provided world-class management,
leasing, and development services throughout New Jersey and the surrounding region for over
two decades. By regularly investing in its properties and
innovative lifestyle amenity packages, Mack-Cali creates environments that empower tenants
and residents to reimagine the way they work and live.
For more information on Mack-Cali Realty Corporation and its
properties, visit https://www.mack-cali.com/.
Forward-Looking Statements
Statements made in this
communication may be forward-looking statements within the meaning
of Section 21E of the Securities Exchange Act of 1934, as amended.
Forward-looking statements can be identified by the use of words
such as "may," "will," "plan," "potential," "projected," "should,"
"expect," "anticipate," "estimate," "target," "continue," or
comparable terminology. Such forward-looking statements are
inherently subject to certain risks, trends and uncertainties, many
of which the Company cannot predict with accuracy and some of which
the Company might not even anticipate and involve factors that may
cause actual results to differ materially from those projected or
suggested. Readers are cautioned not to place undue reliance on
these forward-looking statements and are advised to consider the
factors listed above together with the additional factors under the
heading "Disclosure Regarding Forward-Looking Statements" and "Risk
Factors" in the Company's Annual Report on Form 10-K, as may be
supplemented or amended by the Company's Quarterly Reports on Form
10-Q, which are incorporated herein by reference. The Company
assumes no obligation to update or supplement forward-looking
statements that become untrue because of subsequent events, new
information or otherwise, except as required under applicable
law.
Media Contact:
mack-cali@berlinrosen.com
(646) 200-5318
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SOURCE Mack-Cali Realty Corporation