NEW YORK--(BUSINESS WIRE)--
SL Green Realty Corp. (NYSE: SLG), New York City's largest commercial
property owner, today announced that it has entered into an agreement to
expand its presence in the New York City residential market by acquiring
a stake in a 23-building, 2.55 million square foot portfolio comprised
of 2,815 rental apartments and 43,000-square-feet of prime retail space.
As a result of the transaction, SL Green will own a 50% share in both
the partnership interests and promotes in the portfolio held through
entities affiliated with Stonehenge with Ofer Yardeni retaining the
other 50% ownership interest. In addition, the properties will continue
to be managed and operated by Stonehenge and continue to be owned in
partnerships with various institutional partners.
The purchase price will be primarily funded through the issuance of $40
million of preferred SL Green operating partnership units. The
transaction is expected to close in the first quarter of 2015, subject
to customary closing conditions.
David Schonbraun, SL Green's Co-Chief Investment Officer, said, "This
investment represents an incredible opportunity for SL Green to expand
its residential portfolio in partnership with a proven operating
partner. Over the past few years, we have developed a strong
relationship with Ofer Yardeni and Stonehenge Partners. They are a
best-in-class residential operator and we believe that together we can
enhance the current portfolio's value and build upon our previous
successes."
"Stonehenge is excited to partner with SL Green again, and this time, in
a much greater capacity. I have had the pleasure of working with the
company for many years and partnered with them in prior investments,"
said Ofer Yardeni, Chairman and CEO of Stonehenge. "Their extensive
experience and expertise in the real estate industry is unparalleled and
will add lasting value to Stonehenge."
The portfolio consists of properties located in the some of the best and
most attractive submarkets of Manhattan, including Gramercy Park, the
West Village, Chelsea, Murray Hill and the Upper East and West Sides.
FTI Consulting acted as advisor to the transaction.
About SL Green Realty Corp.
SL Green Realty Corp., New York City's largest office landlord, is a
fully integrated real estate investment trust, or REIT, that is focused
primarily on acquiring, managing and maximizing value of Manhattan
commercial properties. As of September 30, 2014, SL Green held interests
in 96 Manhattan buildings totaling 44.1 million square feet. This
included ownership interests in 28.0 million square feet of commercial
buildings and debt and preferred equity investments secured by 16.1
million square feet of buildings. In addition to its Manhattan
investments, SL Green held ownership interests in 35 suburban buildings
totaling 5.9 million square feet in Brooklyn, Long Island, Westchester
County, Connecticut and New Jersey. For more information, please visit: http://slgreen.com/
About Stonehenge Partners
Stonehenge Partners is a fully-integrated owner and operator of
premier residential and commercial real estate, with a focus on
value-add residential rental properties in New York City. Led by
Chairman and CEO Ofer Yardeni, Stonehenge today owns and manages a
portfolio recently appraised at $2.75 billion which is comprised of 26
properties with more than 3,000 residential apartment units. Recognized
for its above-and-beyond customer service platform and five-star
lifestyle programming, Stonehenge provides a residential experience that
is second to none.
For more information about Stonehenge Partners, visit www.stonehengenyc.com
or call 646-878-2004.
Forward-looking Statement
This press release includes certain statements that may be deemed to
be "forward-looking statements" within the meaning of the Private
Securities Litigation Reform Act of 1995 and are intended to be covered
by the safe harbor provisions thereof. All statements, other than
statements of historical facts, included in this press release that
address activities, events or developments that we expect, believe or
anticipate will or may occur in the future, are forward-looking
statements. Forward-looking statements are not guarantees of future
performance and we caution you not to place undue reliance on such
statements. Forward-looking statements are generally identifiable by the
use of the words "may," "will," "should," "expect," "anticipate,"
"estimate," "believe," "intend," "project," "continue," or the negative
of these words, or other similar words or terms.
Forward-looking statements contained in this press release are
subject to a number of risks and uncertainties, many of which are beyond
our control, that may cause our actual results, performance or
achievements to be materially different from future results, performance
or achievements expressed or implied by forward-looking statements made
by us. Factors and risks to our business that could cause actual results
to differ from those contained in the forward-looking statements are
described in our filings with the Securities and Exchange Commission. We
undertake no obligation to publicly update or revise any forward-looking
statements, whether as a result of future events, new information or
otherwise.
SLG-ACQ
SL Green Realty Corp.
Andrew Mathias
President
or
Matt
DiLiberto, 212-594-2700
Chief Accounting Officer & Treasurer
Source: SL Green Realty Corp.
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