Mack-Cali Leases Over 303,000 Square Feet to Keystone Mercy Health Plan at Airport Business Center in Suburban Philadelphia

02/01/2000 Category: Leasing and Development

Cranford, New Jersey-February 1, 2000--Mack-Cali Realty Corporation (NYSE:CLI) today announced that it has signed a 15-year lease for 303,149 square feet of office space to Keystone Mercy Health Plan at Mack-Cali's Airport Business Center in Lester, Pennsylvania.

The lease represents an expansion of Keystone's current headquarters space of 119,500 square feet. Keystone will fully occupy both 100 and 200 Stevens Drive in Airport Business Center, a three-building, 371,000 square-foot class A office complex adjacent to the Philadelphia International Airport.

"We are pleased that Mack-Cali was able to accommodate our need to consolidate satellite offices into our headquarters facility, which will allow us to enhance operational efficiencies," said Daniel J. Hilferty, president and chief executive officer of Keystone Mercy Health Plan.

Keystone Mercy Health Plan is a joint venture between Mercy Health System and Independence Blue Cross and is the largest managed care organization for medical assistance recipients in Pennsylvania.

"This significant lease is another example of Mack-Cali's ability to provide long-term space solutions to its tenants," said Mitchell E. Hersh, chief executive officer of Mack-Cali.

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 259 properties, primarily office and office/flex buildings, totaling approximately 28.6 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.

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, current reports on Form 8-K, and annual reports on Form 10-K.