City Has the REIT Stuff

Biz BriefsMack-Cali Realty Corp. has taken a shine to the Big Apple. The Edison-based real estate investment trust reached an agreement last week with New York City-based commercial office landlord SL Green Realty Corp. to purchase Green’s condominium interests in 125 Broad Street, a downtown Manhattan office tower, for $273 million. The condominium units being acquired include floors two through 16, and collectively comprise 39.6 percent, or 524,500 square feet, of the property. The building’s other owners are Sullivan & Cromwell LLP, a New York City-based law firm, and the American Civil Liberties Union.

The investment in 125 Broad Street marks Mack-Cali’s entry into the New York City office market. The company owns or manages more than 5 million square feet of office space on the Jersey City waterfront, and recently indicated that it would seek to fuel its growth by investing in Manhattan.

125 Broad Street, built in 1970 by Kahn & Jacobs and Carson Lundin & Shaw, is a 40-story Class A building located in the Financial District in downtown Manhattan. Tenants at the property, which is 100 percent occupied, include Citigroup, Oppenheimer and Ark Asset Management.