Mack-Cali Acquires Interest in Westchester Office Property

08/15/2002 Category: Acquisitions

Cranford, New Jersey—August 15, 2002--Mack-Cali Realty Corporation (NYSE: CLI) today announced it has acquired 3 Skyline Drive, a 123,713 square-foot office building in Mid-Westchester Executive Park in Hawthorne, New York, as tenants in common with Taro Pharmaceuticals USA, Inc. ("Taro").

Mack-Cali's 68.1% interest was purchased for approximately $9.26 million from Michaelson Management Company, Inc. and Michelin Management Company, Inc. Taro, a Mack-Cali tenant with its U.S. headquarters in Mid-Westchester Executive Park, purchased the remaining 31.9% interest in the property for $4.34 million from the same seller. Taro plans to occupy the 37,430 square feet of vacant space currently in the building to expand its U.S. research operations.

Mitchell E. Hersh, chief executive officer of Mack-Cali, commented, "This transaction enables us to accommodate the growing space needs of our tenant while reinvesting proceeds from non-core asset sales back into our core Northeast markets."

The acquisition of 3 Skyline Drive brings Mack-Cali's total holdings in Mid-Westchester Executive Park to 14 buildings totaling over 1 million square feet. Cushman & Wakefield's metropolitan area financial services group represented the seller in this transaction.

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 260 properties, primarily office and office/flex buildings located in the Northeast, totaling approximately 27.5 million square feet. The properties enable the Company to provide a full complement of real estate opportunities to its diverse base of approximately 2,000 tenants.

Additional information on Mack-Cali Realty Corporation is available on the Company's website at

Certain information discussed in this press release may constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 and the federal securities laws, including Section 21E of the Securities Exchange Act of 1934. The Company intends such forward-looking statements to be covered by the safe harbor provisions for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995 and Section 21E of the Securities Exchange Act of 1934. Such forward-looking statements relate to, without limitation, the Company's future economic performance, plans and objectives for future operations and projections of revenue and other financial items. Forward-looking statements can be identified by the use of words such as "may," "will," "should," "expect," "anticipate," "estimate," "continue" or comparable terminology. Although the Company believes that the expectations reflected in such forward-looking statements are based upon reasonable assumptions at the time made, it can give no assurance that its expectations will be achieved. 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. Future events and actual results, financial and otherwise, may differ materially from the results discussed in the forward-looking statements. Readers are cautioned not to place undue reliance on these forward-looking statements. Among the risks, trends and uncertainties are changes in the general economic conditions, including those affecting industries in which the Company's principal tenants compete; any failure of the general economy to recover timely from the current economic downturn; the extent of any tenant bankruptcies; the Company's ability to lease or re-lease space at current or anticipated rents; changes in the supply of and demand for office, office/flex and industrial/warehouse properties; changes in interest rate levels; changes in operating costs; the Company's ability to obtain adequate insurance, including coverage for terrorist acts; 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. The Company assumes no obligation to update or supplement forward-looking statements that become untrue because of subsequent events.