Mack-Cali Enters Metro D.C. Multi-Family Market Through Joint Venture Acquisition of 828-unit Property
by PR Newswire
EDISON, N.J., March 21, 2013 /PRNewswire/ -- Mack-Cali Realty Corporation (NYSE: CLI) today announced that in a joint venture with a fund advised by UBS Global Asset Management it has acquired the 828-unit multi-family property known as Crystal House in the Crystal City section of Arlington, Virginia, for approximately $262.5 million. The acquisition includes land to accommodate the development of approximately 295 additional units, 252 of which are currently approved. The venture has obtained a $165 million mortgage loan from Walker & Dunlop, LLC under the Delegated Underwriting and Servicing program of Fannie Mae.
The luxury multi-family property currently consists of two twelve-story towers with garage and surface parking. The units are comprised of studios, one, two, and three bedrooms and boast large, well laid out floor plans. The property, which is 95.7 percent leased, was acquired from Avalon Bay.
Crystal House offers residents an impressive amenity package including a rooftop fitness center and sky deck, Olympic-sized swimming pool, concierge service, as well as on-site retail. The property is ideally located – one block to the Metro, a short drive from Reagan National Airport, and close to the high-end retail shops at Pentagon City. Residents also enjoy the abundant restaurants, shopping, entertainment, and history that Washington, D.C. is known for.
Mack-Cali's Roseland subsidiary will manage the property and will oversee the renovation of the unrented units to "designer" standards, repositioning the asset to bring it in line with the best-in-class standards Roseland is known for.
Mitchell E. Hersh, president and chief executive officer of Mack-Cali, commented, "The Mack‑Cali/Roseland team is thrilled to be entering the Metro D.C. market, one that offers enormous potential. When we've completed the renovation project, we are confident that we'll be able to command rents at the highest end of the market."
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 279 properties, consisting of 271 office and office/flex properties totaling approximately 31.6 million square feet and eight multi-family rental properties containing over 2,900 residential units, all located in the Northeast. The properties enable the Company to provide a full complement of real estate opportunities to its diverse base of commercial and residential tenants.
Additional information on Mack-Cali Realty Corporation is available on the Company's website at www.mack-cali.com.
Statements made in this press release may be forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements can be identified by the use of words such as "may," "will," "plan," "potential," "should," "expect," "anticipate," "estimate," "continue," or comparable terminology. Such 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, and involve factors that may cause actual results to differ materially from those projected or suggested. Readers are cautioned not to place undue reliance on these forward-looking statements and are advised to consider the factors listed above together with the additional factors under the heading "Disclosure Regarding Forward-Looking Statements" and "Risk Factors" in the Company's Annual Reports on Form 10-K, as may be supplemented or amended by the Company's Quarterly Reports on Form 10-Q, which are incorporated herein by reference. The Company assumes no obligation to update or supplement forward-looking statements that become untrue because of subsequent events, new information or otherwise.
Mack-Cali Realty Corporation
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SOURCE Mack-Cali Realty Corporation