Press Release

Mack-Cali Realty Corporation Provides Transaction Activity Update

Company Release - 1/24/2019 5:10 PM ET

JERSEY CITY, N.J., Jan. 24, 2019 /PRNewswire/ -- Mack-Cali Realty Corporation (NYSE: CLI), an owner, manager and developer of premier office and luxury multifamily properties on the New Jersey Waterfront, provided a transaction update for the year ended 2018 and through January 24, 2019.

Mack-Cali Realty Corporation logo (PRNewsFoto/Mack-Cali Realty Corporation) (PRNewsfoto/Mack-Cali Realty Corporation)

Michael DeMarco, Chief Executive Officer stated, "We enter 2019 with a substantially repositioned mixed-use portfolio concentrated on the Jersey City Waterfront after entering into or actively negotiating nearly $1.3 billion of transactions.  We are delivering on our commitment to exit both non-core assets and non-core markets while enhancing the synergies and quality of the remaining portfolio. Our strategy is clearly tied to the vibrant Jersey City and Port Imperial Waterfront communities where we have a dominant market share and can offer our office users and residents a unique live, work, play value proposition."

For the full year 2018, the Company completed $384 million of non-core asset sales at an average cap rate of 6.3%, including the first phase of its flex portfolio sale for $70.3 million at a 4.5% cap rate.  In addition, the Company is in negotiations to sell its remaining 56-building flex portfolio, comprised of 3.1 million square feet for approximately $487.5 million. It is anticipated that this sale will close in the first half of 2019. Subsequent to year end, the Company sold two, unencumbered non-core office properties for $22.0 million and sold one multifamily property for $35.0 million.  Additional non-core properties under contract for sale total $83 million in expected proceeds.

As previously communicated, a number of the 2019 disposition properties are subject to the confines of a 1031 Real Estate Exchange. Accordingly, a portion of the disposition proceeds will be used to fund approximately $402 million of acquisitions currently under contract or in negotiations, including:

  • Soho Lofts, a newly delivered and stabilized 377-unit apartment community in Jersey City's Soho West neighborhood near the Hoboken border with an average unit size of roughly 1,200 square feet for approximately $263.5 million. Amenities include an infinity pool with cabanas, state of the art fitness center with a multi-purpose fitness classroom, indoor and outdoor theaters, a billiards/game room, meditation garden, playground, dog walk, conference rooms and resident lounge.
  • 99 Wood Avenue South, a 272,000 square foot Class A office property for $61.5 million. The property is located adjacent to the Company's 101 Wood Avenue South property in Metropark, where the Company has a dominant presence. The addition of 99 Wood will increase the Company's class A share in this strategic suburban market to approximately 32.7%. In keeping with the Company's desire to be at or near major transit hubs. This property is walking distance from the New Jersey Transit rail and Amtrak and is near the Garden State Parkway as well as the New Jersey Turnpike. The property is leased by multiple credit tenants including Ernst & Young, Citibank, and Wells Fargo.
  • Consolidation of ownership in M2, a 311-unit operating residential tower in the heart of the Jersey City waterfront. Based on a gross asset valuation of $195 million, the Company intends to acquire Prudential's 50% membership interest and preferred capital account for approximately $77.3 million. Upon closing, the Company's ownership in the community will increase to 74.3% from 24.3%, and the Company will assume the sole preferred capital position in the asset.

There can be no assurance that the pending transactions will be completed, as they are subject to execution of definitive purchase and sale agreements as well as customary closing conditions.

About Mack-Cali Realty Corporation
One of the country's leading Real Estate Investment Trusts (REITs), Mack-Cali Realty Corporation is an owner, manager and developer of premier office and luxury multifamily properties in select waterfront and transit-oriented markets throughout the Northeast. Mack-Cali is headquartered in Jersey City, New Jersey, and is the visionary behind the city's flourishing waterfront, where the company is leading development, improvement and place-making initiatives for Harborside, a master-planned destination comprised of class A office, luxury apartments, diverse retail and restaurants, and public spaces.

A fully-integrated and self-managed company, Mack-Cali has provided world-class management, leasing, and development services throughout New Jersey and the surrounding region for two decades. By regularly investing in its properties and innovative lifestyle amenity packages, Mack-Cali creates environments that empower tenants and residents to reimagine the way they work and live.

For more information on Mack-Cali Realty Corporation and its properties, visit

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," "projected," "should," "expect," "anticipate," "estimate," "target," "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 Report 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, except as required under applicable law.



David Smetana

Mack-Cali Realty Corporation

Chief Financial Officer

(732) 590-1035

Deidre Crockett

Mack-Cali Realty Corporation

Senior Vice President,

Corporate Communications

and Investor Relations

(732) 590-1025

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