CitiBank, Goldman Sachs Provide $124.5M Loan for Acquisition of Three Office Buildings in Newark Area

by Jeff Shaw

FLORHAM PARK, N.J. — CitiBank and Goldman Sachs & Co. have provided $124.5 million in acquisition financing for three Class A office properties in Florham Park, N.J., a city approximately 20 miles west of Newark.

HFF arranged the 10-year, fixed-rate loan on behalf of Mack-Cali Realty Corp. (NYSE: CLI), a REIT specializing in office and multifamily properties throughout the Northeast and mid-Atlantic.

RXR Realty, a New York City-based developer and property manager, sold the three buildings, which are part of a six-property portfolio, to Mack-Cali for an undisclosed price. Jon Mikula of HFF represented Mack-Cali in the loan placement transaction.

All three buildings are located on John F. Kennedy Parkway in the city’s Short Hills neighborhood.

The building at 51 JFK Parkway was built in 1988, spans approximately 250,000 square feet and is currently leased to tenants such as Merrill Lynch’s Wealth Management division, Wells Fargo Advisors and accounting firm KPMG.

The six-story property at 101 JFK Parkway was constructed in 1981, clocks in at roughly 190,000 square feet and is currently leased to tenants such as Investors Savings Bank.

The date of completion and square footage of 103 JFK Parkway were not available, but the property is currently leased to Dun & Bradstreet Corp., a business information and research firm.

The acquisition makes Mack-Cali the primary owner of Class A office space in the Short Hills submarket, according to company president Michael DeMarco.

Mack-Cali’s stock price closed at $26.78 per share on March 30, up from $23.29 per share one year ago.

— Taylor Williams

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