SL GREEN TO TAKE CONTROL OF LEASEHOLD INTEREST IN THREE BUILDINGS

NEW YORK CITY — SL Green Realty Corp. has reached an agreement to take full control of the leasehold and fee interests in three Midtown Manhattan properties. The company acquired the interests from Gramercy Capital Corp. for a combined $390.8 million, which includes the assumption of $265.6 million in debt. SL Green acquired a 45 percent joint venture interest in the leasehold and fee interests in 885 Third Avenue, also known as the Lipstick Building, as well as 2 Herald Square. The company acquired its interest in the first property for $39.3 million and assumed $120.4 million in debt. SL Green acquired its interest in the second property for $25.6 million and assumed $86.1 million in debt. The deal brings its leasehold stake in both buildings to 100 percent. Finally, SL Green purchased the entire leased fee interest in 292 Madison Avenue for $19.2 million. The company also assumed $59.1 million in debt.