SL Green ramps up portfolio with series of midtown deals.As it continues to fend off Verb 1. fend off - prevent the occurrence of; prevent from happening; "Let's avoid a confrontation"; "head off a confrontation"; "avert a strike" deflect, forefend, forfend, head off, avert, stave off, ward off, avoid, debar, obviate a rival bid for the Reckson portfolio from renegade investor, Carl Ichan, SL Green has been busy ramping up its own stock in the city, announcing investments in several midtown mid·town n. A central portion of a city, between uptown and downtown. midtown Noun US & Canad the centre of a town propertiers. The REIT REIT See: Real Estate Investment Trust REIT See real estate investment trust (REIT). also raised its quarterly dividend by 16.7%--its eighth consecutive annual dividend increase. On Monday, SL Green said it would increase its ownership in 485 Lexington Avenue from its partners, The City Investment Fund (CIF (1) (Common Intermediate Format) A standard video format used in videoconferencing. CIF formats are defined by their resolution, and standards both above and below the original resolution have been established. The original CIF is also known as Full CIF (FCIF). ) and The Witkoff Group, and confirmed it would recapitalize re·cap·i·tal·ize tr.v. re·cap·i·tal·ized, re·cap·i·tal·iz·ing, re·cap·i·tal·iz·es To change the capital structure of (a corporation). re·cap 521 Fifth Avenue with CIF, which will acquire a 49.9% interest in SL Green's investment in that asset. The company also added to its presence in the Grand Central office market, buying into the 40-story tower at 800 Third Avenue. SL Green will increase its ownership stake to 87% in 485 Lexington Avenue, a building whose value has more than doubled since it was first purchased by the group in 2004. This latest transaction values the property at $578 million or approximately $630 psf, compared to $225 million, or $244 psf, when first acquired. SL Green also originated a loan secured by CIF's remaining ownership stake and acquired an option from CIF to buy its remaining equity interest. The recapitalization Recapitalization Restructuring a company's debt and equity mixture often with the aim of making a company's capital structure more stable. Notes: Companies often want to diversify their debt-to-equity ratio to improve liquidity. of 521 Fifth Avenue, resulting from CIF's acquisition of a 49.9% interest, values the asset at $240 million, or approximately $500 psf. SL Green will continue to manage and lease the property and will be entitled to management fees and incentive fees based on the achievement of certain performance thresholds. In the Grand Central office market, the REIT believes its investment in 800 Third Avenue offers "strong, long-term value creation opportunities," according to according to prep. 1. As stated or indicated by; on the authority of: according to historians. 2. In keeping with: according to instructions. 3. Mathias. SL Green has invested $102.4 million in the building and will control a minority interest in a joint venture with existing owners, Joseph P. Day Realty Corp. and the Estate of Norman Levy. The investment values the midtown Manhattan office property at $285 million, or $517 per square foot. SL Green will co-manage the joint venture with JP Day. |
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