Mack-Cali Realty Corp
), a real estate investment trust (REIT), recently sold
Moorestown Corporate Center in Moorestown, New Jersey for
approximately $19.9 million. The property is 61.4% leased and
consists of three buildings totalling 222,258 square feet. The
property was acquired by a fund sponsored by the Keystone
Property Group, a real estate investment and property development
Mack-Cali continues to reposition its portfolio through the
disposal of non-strategic assets and acquisition of high-quality
properties. Subsequent to the end of third quarter 2012, the
company acquired the real estate development and management
businesses of Roseland Partners, L.L.C., a leading multi-family
residential community developer and operator in the Northeast.
The transaction, worth $134.6 million, was funded through a
combination of cash on hand and debt under its $600 million
unsecured revolving credit facility.
Besides improving the quality of its portfolio, Mack-Cali intends
to increase its liquidity by selling non-core assets. At the end
of third quarter 2012, the company had cash and cash equivalents
of $21.5 million.
Mack-Cali is primarily engaged in owning, leasing, managing, and
developing Class A office and industrial/flex properties. The
company focuses on high-barrier markets mostly in the suburban
areas in the northeast and mid-Atlantic regions in the U.S., and
derives most of its annualized base rents from New Jersey.
Presently, Mack-Cali has interests in 278 properties consisting
of 272 office and office/flex properties spanning approximately
31.7 million square feet and six multi-family rental properties
containing over 1,700 residential units.
Mack-Cali currently retains a Zacks #2 Rank, which translates
into a short-term Buy rating. We maintain our long-term Neutral
recommendation on the stock. One of its competitors,
Boston Properties Inc (
holds a Zacks #3 Rank which implies a short term Hold rating.
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MACK CALI CORP (CLI): Free Stock Analysis
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