JERSEY CITY, N.J., Oct. 14, 2019 /PRNewswire/ -- Mack-Cali Realty Corporation (NYSE: CLI) announced today that it has completed the first transaction in a 1031 exchange that will total over $820 million in value. The transaction is comprised of the purchase of Liberty Towers a highly amenitized 648-unit residential tower on the Jersey City Gold Coast at the end of the third quarter and the to-be-completed sale of the Chase at Overlook Ridge and Alterra at Overlook Ridge located in Boston, Massachusetts. The sale of the Overlook Ridge properties is expected to close by the end of October.
The Overlook Ridge properties, with all due diligence completed, are under definitive contract to be sold to Rockpoint Group, L.L.C. for approximately $411.5 million. The properties, developed by Mack-Cali's Roseland Residential Trust subsidiary were completed in 2014 and 2008, respectively. Proceeds from the sale of the Overlook properties will be used to fund the Company's purchase of Liberty Towers, a high-rise residential community for $409 million which was initially financed with a $232 million mortgage and the Company's line of credit. Sales proceeds from the Overlook Properties will be used to repay the Company's line.
The well-located Liberty Towers property features state of the art amenities including a yoga studio, a spin studio, a rooftop pool, a boxing gym and an on-site concierge. The tower features convenience retail including a pharmacy, a florist and a nail salon.
Michael J. DeMarco, Chief Executive Officer stated, "We are pleased to further add to our portfolio on the highly desirable Jersey City waterfront through the efficient sale of a portion of our Boston multifamily properties and the purchase of Liberty Towers. This transaction allows us to further concentrate our capital on the waterfront where we believe our market share and operating familiarity with the community should allow us to enhance the performance of Liberty Towers."
In addition, the Company also announced that it expects to receive the $2.6 million of proceeds associated with the sale of its Urby tax credit in the fourth quarter of 2019. This tax credit will have a direct benefit to the Company's Funds from Operations.
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 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. 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.
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 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.
SOURCE Mack-Cali Realty Corporation