Mack-Cali and SJP Joint Venture Acquires Land in Parsippany, New Jersey for $16 Million
09/27/2000 Category: Acquisitions
Forty-Seven Acre Site at Morris Corporate Center Approved for 645,000 Square Feet of Office Development
CRANFORD, NEW JERSEY—September 27, 2000—Mack-Cali Realty Corporation (NYSE:CLI) and SJP Properties today announced that, through a joint venture, they have acquired 47 acres of developable land at Morris Corporate Center in Parsippany, New Jersey, for approximately $16 million. The land, which was purchased from BASF Corporation, is approved for the development of 645,000 square feet of class A office space.
The site is the former headquarters location of BASF and is situated at a four-way interchange of Interstate 80, Interstate 287, and state routes 202 and 46.
Mitchell E. Hersh, chief executive officer of Mack-Cali, commented, "This land represents one of the last available parcels of premier, developable land in Parsippany. Mack-Cali now has interests in land in Parsippany to develop over two million square feet of office space, allowing us significant influence on new development in this very attractive submarket." Hersh added, "Over the last two years, SJP has done an excellent job of securing the site and obtaining all development approvals. This acquisition represents another positive outcome from the successful relationship we have forged with SJP."
Morris Corporate Center is a four building, class A office complex totaling 1.7 million square feet developed by SJP. With the land acquired, Morris Corporate Center has the potential of increasing to over 2.3 million square feet of office space.
"This acquisition represents an expansion of one of the most successful office parks in the state," commented Steven J. Pozycki, president of SJP Properties. "We share Mack-Cali's confidence for future growth in this top market," he added.
In addition to the Morris Corporate Center land site, Mack-Cali's portfolio in the Parsippany submarket includes 12 class A office properties totaling approximately 1.7 million square feet and developable land at Mack-Cali Business Campus that can accommodate an additional 1.4 million square feet of office development.
Mack-Cali Realty Corporation is a fully-integrated, self-administered, self-managed real estate investment trust (REIT) providing management, leasing, development, construction and other tenant-related services for its class A real estate portfolio. Mack-Cali owns or has interests in 266 properties, primarily office and office/flex buildings, totaling approximately 28.2 million square feet, located in 12 states and the District of Columbia. The properties, which are primarily located in the Northeast, enable the Company to provide a full complement of real estate opportunities to its diverse base of over 2,400 tenants.
Additional information on Mack-Cali Realty Corporation is available on the Company's website at www.mack-cali.com.
SJP Properties is a developer, investor, owner and manager of class A corporate campuses and also specializes in developing build-to-suit headquarters-quality facilities. The company's client base consists primarily of major multi-national and national tenants with a strong presence in the tri-state region. Based in Parsippany, New Jersey, SJP has an extensive portfolio in the New York, New Jersey and eastern Pennsylvania metropolitan markets. SJP has developed more than 10 million square feet of investment-grade commercial office space and maintains an additional 12 million square feet of developable projects.
Additional information on SJP Properties is available on its website at www.sjpproperties.com.
Certain information discussed in this press release may constitute forward-looking statements within the meaning of the Federal Securities law. Although the Company believes that the expectations reflected in such forward-looking statements are based upon reasonable assumptions, it can give no assurance that its expectations will be achieved. Forward-looking information is subject to certain risks, trends and uncertainties that could cause actual results to differ materially from those projected. Among those risks, trends and uncertainties are the general economic climate; the supply of and demand for office, office/flex and industrial/warehouse properties; interest rate levels; the availability of financing; and other risks associated with the development and acquisition of properties, including risks that the development may not be completed on schedule, that the tenants will not take occupancy or pay rent, or that development or operating costs may be greater than anticipated. For further information on factors which could impact the Company and the statements contained herein, reference should be made to the Company's filings with the Securities and Exchange Commission including quarterly reports on Form 10-Q, reports on Form 8-K, and annual reports on Form 10-K.