Real estate investment trust (REIT)
Mack-Cali Realty Corp.
) announced that it has entered into two lease deals for 133,008
square feet of space at 125 Broad Street in downtown Manhattan.
The company was represented by
CBRE Group Inc.
) for both the transactions.
AECOM TECH CORP (ACM): Free Stock Analysis
CBRE GROUP INC (CBG): Free Stock Analysis
MACK CALI CORP (CLI): Free Stock Analysis
TERRENO REALTY (TRNO): Free Stock Analysis
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The first transaction was with one of its existing tenants -
AECOM Technology Corporation
) - for 91,414 square feet of space. AECOM is a technical and
support services firm and provides services for commercial and
government clients worldwide. Mack-Cali inked the second
transaction with a non-profit organization - Institute for
Community Living, Inc. - for 41,594 square feet of space.
The class A, state-of-the-art office space - 125 Broad Street -
is located at the entrance to FDR Drive and is a favorable
corporate address in downtown Manhattan. The property is well
connected to Hugh L. Carey Tunnel, the Brooklyn Bridge, and the
Holland Tunnel. The strategic location of the property makes it
one of the most prestigious office properties in the region. With
both the leasing transaction, the company's ownership interests
of 524,476 square feet in the building are 100% occupied.
We expect the company's noteworthy leasing transaction to boost
its strong tenant base. Also, it will likely prove accretive to
the earnings going forward and strengthen its top-line growth.
Particularly, Mack-Cali leased 1,147,218 square feet of space
portfolio-wide during the fourth quarter. Last week, Mack-Cali
reported fourth quarter 2012 FFO (funds from operations) of 66
cents per share, beating the Zacks Consensus Estimate by 3 cents.
The reported figure, however, fell short of the year-ago figure
by 2 cents.
Mack-Cali currently carries a Zacks Rank #3 (Hold). Another REIT
Terreno Realty Corp.
) - holds a Zacks Rank #1 (Strong Buy).
Note: FFO, a widely used metric to gauge the performance of
REITs, is obtained after adding depreciation and amortization and
other non-cash expenses to net income.