Cali Realty Corporation Announces Contracts to Purchase Three Office Complexes for $90 Million
10/23/1996 Category: Acquisitions
Acquisitions Will Strengthen Cali's Position in Bergen County, New Jersey and Suburban Philadelphia
CRANFORD, NJ--October 23, 1996--Cali Realty Corporatio (NYSE:CLI) today announced that it has entered into contracts to purchase three class A office complexes comprising over 730,000 square feet for a total of $90 million in cash. The properties, which are located in Bergen County, New Jersey and suburban Philadelphia, are an average of 99% leased.
The Company has entered into a contract to purchase the 230,000 square-foot Whiteweld Centre for $35 million. The building is located at 300 Tice Boulevard in Woodcliff Lake, Bergen County, New Jersey. With the purchase of this property, in addition to its 50 Tice Boulevard building, Cali will become the only owner of multi-tenanted class A buildings in the Woodcliff Lake submarket.
Cali has also entered into a contract to purchase Airport Busines Center, a three-building office complex located in Lester, Pennsylvania on Interstate 95 and adjacent to the Philadelphia International Airport. The Company intends to purchase the 371,000 square-foot complex for $43 million.
In a separate transaction, the Company has also agreed to purchase 5 Sentry Road, a two-building, 131,000 square foot complex located in Plymouth Meeting, Pennsylvania for $12 million. The buildings are located one mile from the intersection of the Pennsylvania Turnpike and Interstate 476, and about 15 miles from Cali's Rose Tree Corporate Center in Media, PA.
Upon completion of the acquisition of these five Pennsylvania properties, the Company will increase its holdings in the suburban Philadelphia market to seven properties totaling over 760,000 square feet.
Commenting on the pending acquisitions, Thomas A. Rizk, President and Chief Executive Officer said, "These acquisitions support Cali's strategy of purchasing high quality assets in superior submarkets where we are or can become the dominant player." Rizk added, "The purchase of the five suburban Philadelphia properties will increase our market share in one of the best performing markets in the Northeast, while the purchase of Whiteweld Centre makes Cali the dominant player in yet another top submarket in New Jersey."
Cali Realty Corporation is a self-administered, self-managed real estate investment trust (REIT) providing leasing, management, acquisition, development, construction and tenant-related services for its portfolio. Upon completion of the pending acquisitions, including Harborside Financial Center in Jersey City, the Company will own 53 properties, primarily office and office/flex buildings, totaling over 7.1 million square feet. All of the properties are located in New Jersey, New York and Pennsylvania.