NEW YORK–(BUSINESS WIRE)–
SL Green Realty Corp. (NYSE:SLG), New York City’s largest commercial
property owner, today announced that it has reached an agreement with an
affiliate of Citigroup Inc. (“Citi”) to accelerate the sale of 388-390
Greenwich Street (the “Property”) to Citi, pursuant to the purchase
option that Citi exercised in January 2016. Separately, SL Green
announced that it has reached an agreement for the early termination of
Citi’s lease at the Property as a result of the sale acceleration. The
sale is now scheduled to close in June 2016.
SL Green will realize approximately $1.8 billion in sale proceeds at
closing, including the lease termination payment. Proceeds of sale and
the termination payment will be used by the Company to repay a portion
of its corporate credit facility and retire the $1.45 billion mortgage
on the Property, resulting in reduction of Company indebtedness of
approximately $1.8 billion.
SL Green Chief Executive Officer, Marc Holliday, commented on the
transaction, “We are pleased to reach an agreement on the early sale of
388-390 Greenwich Street. In addition, by retiring approximately $1.8
billion of debt, we further strengthen our balance sheet and enhance our
liquidity position to in excess of $1.4 billion.”
He continued, “Our longstanding, multi-faceted relationship with Citi,
one of the world’s leading financial institutions, has been mutually
rewarding and we look forward to continuing this important relationship
for many years to come.”
About SL Green Realty Corp.
SL Green Realty Corp., an S&P 500 company and 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 December 31, 2015, SL
Green held interests in 121 Manhattan buildings totaling 48.3 million
square feet. This included ownership interests in 30.5 million square
feet of commercial buildings and debt and preferred equity investments
secured by 17.8 million square feet of buildings. In addition to
its Manhattan investments, SL Green held ownership interests in 33
suburban buildings totaling 5.1 million square feet in Brooklyn, Long
Island, Westchester County, Connecticut and New Jersey.
Source: SL Green Realty Corp.
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