Supplemental Operating and Financial Data for the Quarter Ended March 31, 2001
RECKSON ASSOCIATES REALTY CORP.
SUPPLEMENTAL OPERATING AND FINANCIAL DATA
FOR THE FIRST QUARTER ENDED MARCH 31, 2001
REPORTING PERIOD HIGHLIGHTS
- ---------------------------
o REPORTED FFO OF $.69 PER SHARE FOR THE FIRST QUARTER OF 2001, AS
COMPARED TO $.62 PER SHARE FOR THE COMPARABLE 2000 PERIOD, REPRESENTING
AN INCREASE OF 11.3%.
o GENERATED A 14.9% INCREASE (CASH) AND 13.4% INCREASE (GAAP) IN SAME
PROPERTY NOI FOR THE FIRST QUARTER OF 2001.
o GENERATED SAME SPACE RENT GROWTH OF 22.9% (GAAP) AND 11.6% (CASH) FOR
OFFICE AND 24.5% (GAAP) AND 12.9% (CASH) FOR INDUSTRIAL/R&D FOR THE
FIRST QUARTER OF 2001.
o ACTIVELY PURSUING CAPITAL RECYCLING PROGRAM WITH OVER $600 MILLION OF
ASSETS TARGETED FOR DISPOSITION.
o SUCCESSFULLY CAPITALIZED ON STRONG MARKET CONDITIONS BY PLACING $1.1
BILLION OF DEVELOPMENT PROJECTS INTO SERVICE AND REDUCING LEASE
EXPIRATION EXPOSURE TO LESS THAN 15% OF PORTFOLIO THROUGH 2002.
RECKSON ASSOCIATES REALTY CORP.
SUPPLEMENTAL OPERATING AND FINANCIAL DATA
FOR THE QUARTER ENDING MARCH 31, 2001
TABLE OF CONTENTS
-----------------
PAGE
----
o Company Background................................................ 1
o Summary Statement of Operating Data............................... 11
o Selected Financial Information.................................... 12
o Funds from Operations Analysis.................................... 13
o Cash Available for Distribution Analysis.......................... 14
o Balance Sheet..................................................... 15
o Ratios Computed for Industry Comparisons.......................... 16
o Total Debt & Preferred Securities................................. 17
o Core Operating Results
o Occupancy Analysis....................................... 19
o Executed Lease and Renewal Analysis...................... 22
o Lease Expiration Analysis................................ 23
o Portfolio Snapshot....................................... 30
o Capital Expenditure Analysis............................. 32
o Market Statistics
o Market Overview Analysis................................. 34
o Long Island Sub-market Analysis.......................... 36
o Westchester Sub-market Analysis.......................... 38
o New Jersey Sub-market Analysis........................... 40
o New York City Sub-market Analysis........................ 42
o Value Creation Pipeline Statistics................................ 44
THIS INFORMATION CONTAINS FORWARD-LOOKING INFORMATION THAT IS SUBJECT TO CERTAIN
RISKS, TRENDS AND UNCERTAINTIES THAT COULD CAUSE ACTUAL RESULTS TO DIFFER
MATERIALLY FROM THOSE PROJECTED. AMONG THOSE RISKS, TRENDS AND UNCERTAINTIES ARE
THE GENERAL ECONOMIC CLIMATE; THE SUPPLY OF AND DEMAND FOR OFFICE AND INDUSTRIAL
PROPERTIES IN THE NEW YORK TRI-STATE AREA; INTEREST RATE LEVELS; DOWNTURNS IN
RENTAL RATE LEVELS IN THE COMPANY'S MARKETS; THE AVAILABILITY OF FINANCING;
REPAYMENT OF DEBT OWED THE COMPANY; RISKS ASSOCIATED WITH JOINT VENTURES; AND
OTHER RISKS ASSOCIATED WITH THE DEVELOPMENT AND ACQUISITION OF PROPERTIES,
INCLUDING RISKS THAT DEVELOPMENT MAY NOT BE COMPLETED ON SCHEDULE, THAT THE
TENANTS WILL NOT TAKE OCCUPANCY OR PAY RENT, OR THAT DEVELOPMENT OR OPERATING
COSTS MAY BE GREATER THAN ANTICIPATED. FOR FURTHER INFORMATION ON FACTORS THAT
COULD IMPACT RECKSON, REFERENCE IS MADE TO RECKSON'S FILINGS WITH THE SECURITIES
AND EXCHANGE COMMISSION. RECKSON IS SUBJECT TO THE REPORTING REQUIREMENTS OF THE
SECURITIES AND EXCHANGE COMMISSION AND UNDERTAKES NO RESPONSIBILITY TO UPDATE
INFORMATION CONTAINED IN THIS SUPPLEMENTAL OPERATING AND FINANCIAL DATA PACKAGE.
# # #
CORE IDEOLOGY
VISION
- ------
Reckson will be the "Landlord of Choice" in the New York Tri-State area.
MISSION
- -------
We are in the business of improving the quality of life in the workplace through
innovation, design excellence and providing premier service.
VALUES
- ------
o Tenant satisfaction comes first
o Do what is right by acting honestly, fairly and maintaining integrity
o Act as a team, share knowledge, foster a challenging and rewarding work
experience for all employees
o Strive for continued improvement individually and continued progress as
a Company
o Be responsible to the communities in which we operate
o Treat our shareholders as we would treat our partners
By acting in this manner, we will maximize the value of our Company.
[GRAPHIC OMITTED]
COMPANY BACKGROUND
- ------------------
Reckson Associates Realty Corp. ("Reckson") is a self-administered and
self-managed real estate investment trust ("REIT") that is one of the largest
publicly traded owners, developers and managers of Class A office and industrial
properties in the New York Tri-State area. Reckson is structured as an UPREIT,
therefore its property operations are conducted through Reckson Operating
Partnership, a limited partnership in which the Company is the sole general
partner.
On June 2, 1995, Reckson successfully completed its initial public offering.
Subsequently, Reckson expanded from its Long Island base and established
operating divisions in Westchester, Connecticut, New Jersey and New York City.
Each division was opened by acquiring a critical mass of assets and a local
management team which had significant experience, local market expertise and
well-established relationships in each of their respective markets.
Through a predecessor entity, Reckson commenced operations in 1958 and grew
steadily through the 1960s, 1970s, 1980s and 1990s by developing and
redeveloping Class A office and industrial properties throughout Long Island.
Today, Reckson owns 188 properties comprised of approximately 21.3 million
square feet located throughout the New York Tri-State area markets. These
properties are comprised of 14.4 million square feet of office space and 6.9
million square feet of industrial space. Reckson also owns approximately 290
acres of unencumbered land which is either located contiguous to one of the
Company's existing properties or on major thoroughfares.
Since completing its initial public offering in June 1995, Reckson has acquired,
contracted to acquire or developed approximately 16.8 million square feet of
office and industrial real estate assets for approximately $2.1 billion and has
generated a total return to its initial Class A common shareholders of
approximately 182% for the period June 2, 1995 through April 30, 2001. Reckson's
management currently owns approximately 9% of the equity of the Company.
Reckson is a fully integrated real estate company, having in-house expertise in
leasing, design and development, construction, property and asset management,
architectural services and financial controls, reporting and planning.
1
INVESTOR INFORMATION
- --------------------
RECKSON ASSOCIATES
- ------------------
225 Broadhollow Road
Melville, New York 11747
(631) 694-6900 (Phone)
(631) 622-6790 (Facsimile)
Donald Rechler Co-Chief Executive Officer
Chairman of the Board
Scott Rechler Co-Chief Executive Officer
President
Michael Maturo Chief Financial Officer
Executive Vice President
RESEARCH COVERAGE
- -----------------
CIBC World Markets Anthony Paolone 212/667-8116
Credit Suisse First Boston Lawrence Raiman 212/538-2380
Deutsche Banc Alex. Brown Louis Taylor 212/469-4912
Goldman Sachs David Kostin/James Kammert 212/902-6781
Greenstreet Advisors John Lutzius 949/640-8780
Legg Mason David Fick/Ken Weinberg 410/454-5081
Lehman Brothers David Shulman/Stuart Axelrod 212/526-3413
McDonald & Company Anatole Pevnev 216/443-2300
Merrill Lynch Steve Sakwa/Rahul Bhattacharjee 212/449-0335
Salomon Smith Barney Jonathan Litt/Gary Boston 212/816-0231
TIMING
- ------
Quarterly results will be announced according to the following anticipated
schedule:
2
First Quarter Early May
Second Quarter Early August
Third Quarter Early November
Fourth Quarter and Year-End Late February
3
STOCK DATA
- ----------
Reckson Associates' Class A common stock is traded primarily on the New York
Stock Exchange under the symbol: RA. The following summarizes recent activity of
Reckson's Class A common stock:
- ------------------------------------------------------------------------------------------------------------------------------------
4th 1st April 1, 2001
Quarter Quarter To
2000 2001 April 30, 2001
- ------------------------------------------------------------------------------------------------------------------------------------
High Price* $ 26.00 $ 25.88 $ 23.90
- ------------------------------------------------------------------------------------------------------------------------------------
Low Price* $ 21.88 $ 21.90 $ 21.42
- ------------------------------------------------------------------------------------------------------------------------------------
Closing Price* $ 25.06 $ 22.30 $ 23.51
- ------------------------------------------------------------------------------------------------------------------------------------
Average daily trading volume* 240,013 195,310 338,275
- ------------------------------------------------------------------------------------------------------------------------------------
Indicated dividend per share** $ 1.544 $ 1.544 $ 1.544
- ------------------------------------------------------------------------------------------------------------------------------------
Closing dividend yield 6.16% 6.93% 6.57%
- ------------------------------------------------------------------------------------------------------------------------------------
Closing shares and units outstanding (thousands) 53,047 53,505 53,505
- ------------------------------------------------------------------------------------------------------------------------------------
Closing market value of shares and units outstanding (thousands) $1,329,500 $1,193,200 $1,257,900
- ------------------------------------------------------------------------------------------------------------------------------------
<FN>
* New York Stock Exchange trades only
** On an annual basis
</FN>
4
COMPARITIVE MARKET PERFORMANCE
DAILY INDEXED CLASS A COMMON STOCK PRICE HISTORY
DAILY FROM 5/1/2000 TO 4/30/2001 [GRAPHIC OMITTED]
OFFICE INDUSTRIAL OFFICE INDUSTRIAL
COMPOSITE RECKSON ASSOCIATES WILSHIRE REIT INDEX COMPOSITE S&P 500
--------- ------------------ ------------------- --------- -------
SPIEKER PROPERTIES 5/1/00 100.00 102.10 100.00 100.00
SL GREEN REALTY 5/2/00 100.92 103.31 101.49 98.50
ARDEN REALTY 5/3/00 100.61 102.92 101.47 96.38
PRENTISS PROPERTIES 5/4/00 100.30 102.79 101.24 96.00
KILROY REALTY 5/5/00 100.61 102.90 101.64 97.57
HIGHWOODS 5/8/00 102.74 102.44 101.02 97.00
LIBERTY PROPERTY 5/9/00 101.52 102.70 101.56 96.18
MACK CALI 5/10/00 101.22 101.94 100.59 94.20
EQUITY OFFICE 5/11/00 103.66 102.48 101.21 95.88
CARRAMERICA 5/12/00 105.18 102.58 101.54 96.78
5/15/00 105.18 102.92 101.75 98.92
5/16/00 105.80 103.12 102.17 99.85
5/17/00 104.88 102.61 101.78 98.61
5/18/00 104.27 102.43 101.80 97.89
5/19/00 104.58 102.22 101.36 95.82
5/22/00 104.58 101.97 101.15 95.40
5/23/00 104.58 101.88 100.87 93.57
5/24/00 105.18 101.43 99.89 95.29
5/25/00 103.96 100.71 98.84 94.09
5/26/00 105.80 100.80 98.96 93.85
5/29/00 105.80 100.80 98.96 93.85
5/30/00 107.01 100.95 99.20 96.88
5/31/00 107.01 101.10 99.62 96.75
6/1/00 107.01 101.01 99.42 98.68
6/2/00 107.32 101.63 100.42 100.61
6/5/00 107.93 101.44 100.18 99.96
6/6/00 108.23 101.94 100.94 99.29
6/7/00 109.15 102.61 101.46 100.21
6/8/00 108.84 102.95 102.26 99.55
6/9/00 109.15 103.11 102.16 99.23
6/12/00 109.45 103.54 103.19 98.48
6/13/00 110.37 104.10 104.12 100.08
6/14/00 114.63 105.71 106.36 100.16
6/15/00 114.33 105.09 105.42 100.70
6/16/00 112.20 104.62 104.92 99.74
6/19/00 112.80 104.82 105.50 101.21
6/20/00 113.72 105.72 106.84 100.52
6/21/00 113.41 105.73 106.98 100.74
6/22/00 112.50 105.45 106.91 98.91
6/23/00 114.63 105.33 106.67 98.18
6/26/00 113.72 105.36 107.18 99.12
6/27/00 116.16 105.97 107.22 98.79
6/28/00 116.16 105.37 104.77 99.09
6/29/00 117.38 105.97 105.95 98.24
6/30/00 115.85 102.67 103.01 99.07
7/3/00 116.16 105.32 105.46 100.07
7/4/00 116.16 105.32 105.46 100.07
7/5/00 117.38 106.50 106.17 98.50
7/6/00 115.85 107.33 107.46 99.21
7/7/00 116.46 107.72 107.39 100.73
5
7/10/00 115.85 107.79 106.93 100.50
7/11/00 115.55 107.473 106.55 100.86
7/12/00 115.85 107.263 106.53 101.68
7/13/00 116.46 107.203 106.62 101.88
7/14/00 115.24 106.876 106.76 102.84
7/17/00 116.46 107.032 107.17 102.88
7/18/00 117.07 106.892 106.56 101.74
7/19/00 117.99 106.707 106.30 100.93
7/20/00 119.21 107.831 108.15 101.86
7/21/00 120.43 108.197 108.80 100.81
7/24/00 121.34 108.555 109.07 99.73
7/25/00 124.39 108.992 108.98 100.42
7/26/00 126.53 110.614 110.82 98.92
7/27/00 128.05 111.658 111.76 98.73
7/28/00 128.35 111.553 112.49 96.71
7/31/00 128.05 111.903 112.22 97.45
8/1/00 126.83 113.979 114.55 97.95
8/2/00 125.00 113.473 113.12 97.99
8/3/00 124.09 112.474 111.62 98.93
8/4/00 124.39 111.320 110.61 99.64
8/7/00 124.69 110.747 110.30 100.75
8/8/00 124.39 111.097 110.74 100.99
8/9/00 124.69 111.264 111.10 100.31
8/10/00 125.91 111.319 111.56 99.46
8/11/00 128.97 111.730 111.89 100.24
8/14/00 130.79 111.767 112.50 101.59
8/15/00 129.27 111.303 112.21 101.10
8/16/00 127.13 111.653 112.94 100.79
8/17/00 128.66 111.716 112.93 101.89
8/18/00 126.22 110.864 112.02 101.60
8/21/00 125.91 110.413 111.50 102.13
8/22/00 125.31 110.274 111.66 102.04
8/23/00 122.56 109.146 110.86 102.57
8/24/00 118.90 108.159 109.40 102.73
8/25/00 118.60 108.211 109.06 102.60
8/28/00 116.77 107.798 108.35 103.12
8/29/00 117.99 106.853 107.14 102.83
8/30/00 121.95 107.671 107.61 102.34
8/31/00 118.60 107.190 107.07 103.37
9/1/00 118.60 107.211 107.71 103.58
9/4/00 118.60 107.477 107.71 103.58
9/5/00 118.60 107.477 107.42 102.64
9/6/00 120.43 107.829 108.29 101.63
9/7/00 121.95 108.701 108.82 102.33
9/8/00 123.17 110.354 110.66 101.79
9/11/00 124.69 111.261 111.92 101.43
9/12/00 125.91 111.641 112.87 100.94
9/13/00 125.00 111.332 112.72 101.13
9/14/00 125.00 111.010 112.56 100.86
9/15/00 121.03 110.502 112.07 99.83
9/18/00 117.68 108.304 110.07 98.38
9/19/00 121.03 109.814 111.83 99.43
9/20/00 120.43 109.503 112.04 98.85
9/21/00 119.51 109.016 111.61 98.69
9/22/00 125.00 109.859 113.21 98.67
9/25/00 123.17 109.114 112.34 98.01
9/26/00 122.56 109.726 112.57 97.20
9/27/00 125.00 110.077 112.58 97.16
9/28/00 127.13 110.831 113.05 99.32
6
9/29/00 124.39 110.293 112.73 97.84
10/2/00 121.34 107.979 110.84 97.82
10/3/00 121.03 107.435 110.08 97.15
10/4/00 116.77 106.536 108.78 97.69
10/5/00 118.29 106.931 109.96 97.82
10/6/00 116.16 107.068 110.46 95.96
10/9/00 116.16 106.905 109.99 95.49
10/10/00 115.24 106.870 110.14 94.47
10/11/00 111.89 106.097 109.01 92.94
10/12/00 109.76 104.754 108.15 90.57
10/13/00 111.59 105.043 108.29 93.59
10/16/00 112.50 105.709 108.65 93.62
10/17/00 112.80 105.024 107.84 91.94
10/18/00 115.24 104.405 107.60 91.41
10/19/00 114.02 105.170 108.22 94.59
10/20/00 113.72 105.443 108.36 95.14
10/23/00 112.50 104.630 107.63 95.06
10/24/00 111.59 103.749 106.64 95.22
10/25/00 110.06 102.745 105.70 92.96
10/26/00 109.45 103.447 106.62 92.93
10/27/00 109.15 104.583 107.78 93.96
10/30/00 109.15 104.45 106.95 95.26
10/31/00 110.37 105.09 107.66 97.35
11/1/00 107.62 104.44 106.93 96.80
11/2/00 108.84 104.56 107.19 97.28
11/3/00 107.32 104.17 106.77 97.17
11/6/00 107.62 104.55 107.48 97.54
11/7/00 107.01 104.45 107.38 97.52
11/8/00 109.15 104.81 107.56 95.98
11/9/00 108.54 104.88 107.63 95.36
11/10/00 106.71 104.11 106.75 93.03
11/13/00 107.32 104.32 107.10 92.03
11/14/00 110.06 104.90 107.24 94.19
11/15/00 111.59 105.13 107.20 94.66
11/16/00 111.28 105.14 107.14 93.47
11/17/00 113.11 105.27 106.91 93.15
11/20/00 112.80 105.27 107.02 91.44
11/21/00 113.72 105.38 106.93 91.77
11/22/00 113.11 105.02 106.48 90.06
11/23/00 113.11 105.02 106.48 90.06
11/24/00 114.33 105.40 106.69 91.39
11/27/00 114.02 105.49 106.68 91.88
11/28/00 113.41 105.40 106.73 91.00
11/29/00 114.02 105.96 107.06 91.40
11/30/00 114.33 106.73 107.39 89.56
12/1/00 114.63 107.05 107.65 89.58
12/4/00 115.24 107.46 107.96 90.24
12/5/00 116.77 109.64 110.42 93.75
12/6/00 114.94 109.29 109.75 92.05
12/7/00 114.63 109.06 109.61 91.51
12/8/00 116.16 109.90 110.27 93.30
12/11/00 117.38 110.87 111.21 94.00
12/12/00 116.16 110.96 111.90 93.39
12/13/00 115.85 110.96 112.03 92.63
12/14/00 116.77 110.93 111.96 91.33
12/15/00 117.38 111.56 112.62 89.37
12/18/00 119.81 112.94 113.86 90.09
12/19/00 121.03 113.19 114.15 88.92
12/20/00 119.51 112.52 113.21 86.14
7
12/21/00 121.34 110.55 113.12 86.83
12/22/00 122.87 111.98 112.76 88.95
12/26/00 123.17 112.10 112.64 89.58
12/27/00 126.83 113.63 113.75 90.51
12/28/00 126.83 114.97 115.11 90.87
12/29/00 122.25 113.02 113.54 89.92
1/2/01 122.25 112.20 111.75 87.40
1/3/01 126.22 113.78 113.19 91.78
1/4/01 125.31 113.54 112.07 90.81
1/5/01 120.43 111.46 109.39 88.43
1/8/01 121.34 111.41 109.38 88.26
1/9/01 120.73 111.64 109.92 88.60
1/10/01 121.65 111.57 109.70 89.44
1/11/01 122.25 111.33 109.09 90.37
1/12/01 121.03 111.22 109.04 89.79
1/16/01 120.73 111.30 108.36 90.36
1/17/01 120.73 111.29 108.88 90.55
1/18/01 120.73 111.40 108.66 91.81
1/19/01 120.12 111.26 108.54 91.44
1/22/01 121.65 111.51 109.09 91.46
1/23/01 122.56 112.15 109.83 92.65
1/24/01 120.43 112.14 109.62 92.92
1/25/01 120.73 112.43 109.50 92.46
1/26/01 119.51 112.15 109.38 92.28
1/29/01 120.34 112.29 109.49 92.91
1/30/01 118.83 112.95 110.23 93.56
1/31/01 117.56 112.68 110.30 93.04
2/1/01 117.37 112.55 110.18 93.54
2/2/01 115.85 112.19 109.78 91.91
2/5/01 116.34 112.09 110.48 92.24
2/6/01 115.17 111.86 110.66 92.10
2/7/01 116.34 111.33 110.30 91.33
2/8/01 114.68 110.80 109.61 90.76
2/9/01 113.37 109.86 108.48 89.55
2/12/01 111.95 109.99 108.74 90.61
2/13/01 112.15 109.87 108.59 89.82
2/14/01 112.10 109.97 108.38 89.63
2/15/01 112.10 110.20 108.64 90.35
2/16/01 111.71 109.94 108.30 88.64
2/20/01 112.20 109.78 108.05 87.11
2/21/01 111.85 109.05 107.58 85.49
2/22/01 110.68 108.03 106.67 85.33
2/23/01 112.20 108.55 107.57 84.85
2/26/01 113.32 109.42 108.24 86.34
2/27/01 115.61 109.85 108.61 85.68
2/28/01 113.66 110.31 109.20 84.45
3/1/01 114.63 111.29 109.86 84.54
3/2/01 115.32 112.01 110.24 84.06
3/5/01 114.83 111.81 110.26 84.55
3/6/01 114.63 111.94 110.63 85.39
3/7/01 114.15 112.19 111.49 85.95
3/8/01 113.66 112.38 111.81 86.14
3/9/01 112.93 112.12 111.48 84.01
3/12/01 111.71 111.45 110.50 80.38
3/13/01 110.98 111.31 110.01 81.57
3/14/01 110.59 110.66 109.48 79.46
3/15/01 109.27 110.15 108.67 79.93
3/16/01 107.85 109.69 108.13 78.36
3/19/01 109.27 110.57 109.19 79.74
8
3/20/01 107.32 110.25 109.23 77.82
3/21/01 107.85 109.24 108.08 76.43
3/22/01 106.83 108.63 107.07 76.12
3/23/01 108.34 108.77 107.08 77.63
3/26/01 110.00 110.41 108.64 78.51
3/27/01 111.02 110.18 108.49 80.52
3/28/01 110.15 108.62 106.74 78.55
3/29/01 109.51 109.13 107.08 78.18
3/30/01 108.78 110.01 108.39 79.03
4/2/01 109.76 110.15 108.42 78.04
4/3/01 106.78 108.94 106.97 75.36
4/4/01 107.27 108.75 106.00 75.14
4/5/01 107.80 109.99 107.10 78.42
4/6/01 105.85 108.51 105.48 76.86
4/9/01 107.90 108.92 105.98 77.48
4/10/01 108.29 108.91 106.08 79.58
4/11/01 104.49 107.10 103.89 79.41
4/12/01 105.02 107.31 104.33 80.61
4/16/01 106.98 107.14 104.01 80.35
4/17/01 107.56 108.37 105.00 81.17
4/18/01 108.49 109.62 106.63 84.33
4/19/01 109.12 109.68 106.74 85.39
4/20/01 106.10 109.45 106.34 84.66
4/23/01 107.61 109.22 106.09 83.39
4/24/01 112.20 109.11 106.27 82.37
4/25/01 112.44 109.55 107.14 83.69
4/26/01 114.05 110.67 108.48 84.08
4/27/01 116.59 111.87 110.10 85.34
4/30/01 114.68 111.97 110.64 85.10
9
Stock Data Continued...
Reckson Associates' Class B common stock is traded primarily on the New York
Stock Exchange under the symbol: RA.B. The following summarizes recent activity
of Reckson's Class B common stock:
- ------------------------------------------------------------------------------------------------------------------------------------
4th 1st April 1, 2001
Quarter Quarter To
2000 2001 April 30, 2001
- ------------------------------------------------------------------------------------------------------------------------------------
High Price* $ 27.56 $ 27.50 $ 25.00
- ------------------------------------------------------------------------------------------------------------------------------------
Low Price* $ 22.50 $ 22.90 $ 22.60
- ------------------------------------------------------------------------------------------------------------------------------------
Closing Price* $ 27.19 $ 23.55 $ 25.00
- ------------------------------------------------------------------------------------------------------------------------------------
Average daily trading volume* 78,152 47,844 108,050
- ------------------------------------------------------------------------------------------------------------------------------------
Indicated dividend per share** $ 2.40 $ 2.40 $ 2.40
- ------------------------------------------------------------------------------------------------------------------------------------
Closing dividend yield 8.83% 10.19% 9.60%
- ------------------------------------------------------------------------------------------------------------------------------------
Closing shares outstanding (thousands) 10,284 10,284 10,284
- ------------------------------------------------------------------------------------------------------------------------------------
Closing market value of shares outstanding (thousands) $279,600 $242,200 $257,100
- ------------------------------------------------------------------------------------------------------------------------------------
<FN>
* New York Stock Exchange trades only
** On an annual basis
</FN>
Reckson Associates' Series A preferred stock is traded primarily on the New York
Stock Exchange under the symbol: RA.A (pfd). The following summarizes recent
activity of Reckson's Series A preferred stock:
- ------------------------------------------------------------------------------------------------------------------------------------
4th 1st April 1, 2001
Quarter Quarter To
2000 2001 April 30, 2001
- ------------------------------------------------------------------------------------------------------------------------------------
High Price* $ 24.00 $ 24.13 $ 23.14
- ------------------------------------------------------------------------------------------------------------------------------------
Low Price* $ 20.75 $ 21.00 $ 20.80
- ------------------------------------------------------------------------------------------------------------------------------------
Closing Price* $ 23.63 $ 21.50 $ 23.05
- ------------------------------------------------------------------------------------------------------------------------------------
Average daily trading volume* 39,219 34,474 102,360
- ------------------------------------------------------------------------------------------------------------------------------------
Indicated dividend per share** $ 1.9064 $ 1.9064 $ 1.9064
- ------------------------------------------------------------------------------------------------------------------------------------
Closing dividend yield 8.07% 8.87% 8.27%
- ------------------------------------------------------------------------------------------------------------------------------------
Closing shares outstanding (thousands) 9,192 9,192 9,192
- ------------------------------------------------------------------------------------------------------------------------------------
Closing market value of shares outstanding (thousands) $217,200 $197,600 $211,900
- ------------------------------------------------------------------------------------------------------------------------------------
<FN>
* New York Stock Exchange trades only
** On an annual basis
</FN>
10
RECKSON ASSOCIATES REALTY CORP.
SUMMARY STATEMENT OF OPERATING DATA
MARCH 31, 2001
(IN THOUSANDS)
THREE MONTHS ENDED
MARCH 31,
----------------------------
2001 2000
-------- --------
REVENUES:
- --------------------------------------------------------------
Base rents $107,494 $ 94,400
Tenant escalation and reimbursements 15,945 12,847
-------- --------
123,439 107,247
-------- --------
OPERATING EXPENSES:
- --------------------------------------------------------------
Operating expenses 23,770 21,940
Real estate taxes 17,224 16,349
-------- --------
Total operating expenses 40,994 38,289
-------- --------
NET OPERATING INCOME 82,445 68,958
GROSS MARGIN % 66.79% 64.30%
OTHER INCOME:
- --------------------------------------------------------------
Equity in earnings of service companies and real estate joint ventures 398 1,413
Interest income on mortgage notes and notes receivable 1,508 2,285
Other 5,541 6,714
-------- --------
7,447 10,412
-------- --------
OTHER EXPENSES:
- --------------------------------------------------------------
Interest expense 23,631 23,840
Marketing, general and administrative 7,497 6,438
Depreciation and amortization 23,521 21,012
-------- --------
54,649 51,290
-------- --------
Distributions to preferred unitholders 660 660
Minority partners' interests in consolidated partnerships 5,755 1,975
Limited partners' minority interest in the operating partnership 2,715 2,278
-------- --------
9,130 4,913
-------- --------
INCOME BEFORE DIVIDENDS TO PREFERRED SHAREHOLDERS 26,113 23,167
Dividends to preferred shareholders 5,425 7,325
-------- --------
NET INCOME AVAILABLE TO COMMON SHAREHOLDERS $ 20,688 $ 15,842
======== ========
11
RECKSON ASSOCIATES REALTY CORP.
MARCH 31, 2001
(IN THOUSANDS EXCEPT PER SHARE DATA)
SELECTED FINANCIAL INFORMATION:
THREE MONTHS ENDED
MARCH 31,
---------------------------
2001 2000
-------- --------
OPERATING DATA:
Total revenues: $130,886 $117,659
======== ========
Income before limited partners' minority interest
in the operating partnership, distributions to preferred
unitholders and dividends to preferred shareholders $ 29,488 $ 26,105
Less:
Limited partners' minority interest in the operating partnership 2,715 2,278
Distributions to preferred unitholders 660 660
Dividends to preferred shareholders 5,425 7,325
-------- --------
Net Income available to common shareholders $ 20,688 $ 15,842
======== ========
Funds From Operations:
Basic $ 46,445 $ 38,330
======== ========
Diluted $ 54,124 $ 47,909
======== ========
Cash Available for Distribution:
Basic $ 32,005 $ 29,671
======== ========
Diluted $ 33,871 $ 39,250
======== ========
Interest expense $ 23,631 $ 23,840
======== ========
Capitalized interest expense $ 2,703 $ 2,362
======== ========
Non-incremental capitalized improvements $ 635 $ 1,251
======== ========
Non-incremental capitalized tenant improvements
and leasing commissions $ 2,646 $ 2,870
======== ========
Marketing, general and administrative expenses $ 7,497 $ 6,438
======== ========
BALANCE SHEET DATA:
MARCH 31,
--------------------------------
2001 2000
---------- ----------
Commercial real estate investments before depreciation $2,811,894 $2,372,150
========== ==========
Investment in mortgage notes and notes receivable $ 58,222 $ 352,863
========== ==========
Investment in real estate joint ventures $ 76,584 $ 32,219
========== ==========
Total assets $3,063,644 $2,904,333
========== ==========
Total debt $1,481,092 $1,459,438
========== ==========
Total debt (Including joint venture debt and net of minority
partners' interests) $1,466,965 $1,445,251
========== ==========
Book equity (Total Assets less Total Debt) $1,582,552 $1,444,895
========== ==========
MARKET CAPITALIZATION DATA:
Common shares and units $1,435,338 $1,112,375
========== ==========
Preferred shares, units and interest $ 407,318 $ 507,318
========== ==========
Total market capitalization $3,309,621 $3,064,944
========== ==========
12
RECKSON ASSOCIATES REALTY CORP.
FUNDS FROM OPERATIONS
MARCH 31, 2001
(IN THOUSANDS EXCEPT PER SHARE / UNIT DATA)
THREE MONTHS ENDED
MARCH 31,
------------------------
2001 2000
------- -------
NET INCOME AVAILABLE TO COMMON SHAREHOLDERS $20,688 $15,842
Add back:
Real estate depreciation and amortization 22,988 20,616
Minority partners' interests in consolidated partnerships 5,755 1,975
Limited partners' minority interest in the operating partnership 2,715 2,278
Extraordinary loss on extinguishment of debt -- --
Less :
Amounts distributable to minority partners in consolidated partnerships 5,701 2,381
------- -------
BASIC FUNDS FROM OPERATIONS ("FFO") 46,445 38,330
Add:
Dividends and distributions on dilutive shares and units 7,679 9,579
------- -------
DILUTED FFO $54,124 $47,909
======= =======
BASIC FFO CALCULATIONS:
- -----------------------
Weighted average common shares outstanding 55,767 50,666
Weighted average units of limited partnership interest outstanding 7,693 7,700
------- -------
Basic weighted average common shares and units outstanding 63,460 58,366
======= =======
Basic FFO per weighted average common share or unit $ 0.73 $ 0.66
======= =======
Basic weighted average dividends or distributions per share or unit $ 0.42 $ 0.40
======= =======
Basic FFO payout ratio 57.5% 61.6%
======= =======
DILUTED FFO CALCULATIONS:
- -------------------------
Basic weighted average common shares and units outstanding 63,460 58,366
Adjustments for dilutive FFO weighted average shares and units outstanding:
Add:
Weighted average common stock equivalents 466 327
Weighted average shares of Series A Preferred Stock 8,060 8,060
Weighted average shares of Series B Preferred Stock 1,919 5,758
Weighted average shares of minority partners preferred interest 3,454 3,454
Weighted average units of preferred limited partnership interest 1,367 1,367
------- -------
Dilutive FFO weighted average shares and units outstanding 78,726 77,332
======= =======
Diluted FFO per weighted average share or unit $ 0.69 $ 0.62
======= =======
Diluted weighted average dividends or distributions per share or unit $ 0.41 $ 0.40
======= =======
Diluted FFO payout ratio 60.2% 64.0%
======= =======
13
RECKSON ASSOCIATES REALTY CORP.
CASH AVAILABLE FOR DISTRIBUTION
MARCH 31, 2001
(IN THOUSANDS EXCEPT PER SHARE / UNIT DATA)
THREE MONTHS ENDED
MARCH 31,
------------------------
2001 2000
------- -------
BASIC FUNDS FROM OPERATIONS $46,445 $38,330
Less :
Straight line rents (Note a) 11,159 4,538
Non-incremental capitalized tenant improvements and leasing
commissions 2,646 2,870
Non-incremental capitalized Improvements 635 1,251
------- -------
BASIC CASH AVAILABLE FOR DISTRIBUTION ("CAD") 32,005 29,671
Add:
Dividends and distributions on dilutive shares and units 1,866 9,579
------- -------
DILUTED CAD $33,871 $39,250
======= =======
BASIC CAD CALCULATIONS:
- -----------------------
Weighted average common shares outstanding 55,767 50,666
Weighted average units of limited partnership interest outstanding 7,693 7,700
------- -------
Basic weighted average common shares and units outstanding 63,460 58,366
======= =======
Basic CAD per weighted average common share or unit $ 0.50 $ 0.51
======= =======
Basic weighted average dividends or distributions per share or unit $ 0.42 $ 0.40
======= =======
Basic CAD payout ratio 83.4% 79.6%
======= =======
DILUTED CAD CALCULATIONS:
- -------------------------
Basic weighted average common shares and units outstanding 63,460 58,366
Adjustments for dilutive CAD weighted average shares and units outstanding:
Add:
Weighted average common stock equivalents 466 327
Weighted average shares of Series A Preferred Stock -- 8,060
Weighted average shares of Series B Preferred Stock -- 5,758
Weighted average shares of minority partners preferred interest 3,454 3,454
Weighted average units of preferred limited partnership interest 598 1,367
------- -------
Dilutive CAD weighted average shares and units outstanding 67,978 77,332
======= =======
Diluted CAD per weighted average share or unit $ 0.50 $ 0.51
======= =======
Diluted weighted average dividends or distributions per share or unit $ 0.42 $ 0.40
======= =======
Diluted CAD payout ratio 84.0% 78.1%
======= =======
<FN>
- --------------
Notes:
(a) Includes straight line rental income attributable to the property located at 919 Third Avenue, New York, N.Y of $7,504 and
$1,075, respectively.
</FN>
14
DRAFT
RECKSON ASSOCIATES REALTY CORP.
CONSOLIDATED BALANCE SHEETS
(DOLLARS IN THOUSANDS, EXCEPT FOR SHARE AMOUNTS)
MARCH 31, DECEMBER 31,
2001 2000
----------- -----------
(Unaudited)
ASSETS:
Commercial real estate properties, at cost:
Land ............................................................................... $ 398,139 $ 396,482
Building and improvements .......................................................... 2,268,512 2,219,448
Developments in progress:
Land ............................................................................... 63,263 60,918
Development costs .................................................................. 81,980 93,759
Furniture, fixtures and equipment ...................................................... 7,240 7,138
----------- -----------
2,819,134 2,777,745
Less accumulated depreciation .......................................................... (308,853) (288,479)
----------- -----------
2,510,281 2,489,266
Investment in real estate joint ventures ............................................... 76,584 43,534
Investment in mortgage notes and notes receivable ...................................... 58,222 58,220
Cash and cash equivalents .............................................................. 32,106 17,843
Tenants receivables .................................................................... 12,699 11,511
Investments in and advances to affiliates .............................................. 170,425 177,474
Deferred rents receivable .............................................................. 79,133 67,930
Prepaid expenses and other assets ...................................................... 60,960 68,895
Contract and land deposits and pre-acquisition costs ................................... 2,445 1,676
Deferred leasing and loan costs ........................................................ 60,789 61,681
----------- -----------
TOTAL ASSETS ........................................................................... $ 3,063,644 $ 2,998,030
=========== ===========
LIABILITIES:
Mortgage notes payable ................................................................. $ 727,088 $ 728,971
Unsecured credit facility .............................................................. 304,600 216,600
Senior unsecured notes ................................................................. 449,404 449,385
Accrued expenses and other liabilities ................................................. 74,546 95,393
Dividends and distributions payable .................................................... 28,983 28,801
----------- -----------
TOTAL LIABILITIES ...................................................................... 1,584,621 1,519,150
----------- -----------
Commitments and other comments ......................................................... -- --
Minority partners' interests in consolidated partnerships .............................. 227,001 226,350
Preferred unit interest in the operating partnership ................................... 42,518 42,518
Limited partners' minority interest in the operating partnership ....................... 97,141 97,353
----------- -----------
366,660 366,221
----------- -----------
STOCKHOLDERS' EQUITY:
Preferred Stock, $.01 par value, 25,000,000 shares authorized
Series A preferred stock, 9,192,000 shares issued and outstanding .................. 92 92
Series B preferred stock, 2,000,000 shares issued and outstanding .................. 20 20
Common Stock, $01 par value, 100,000,000 shares authorized
Class A common stock, 45,812,864 and 45,352,286 shares issued and
outstanding, respectively ....................................................... 458 454
Class B common stock, 10,283,513 shares issued and outstanding ..................... 103 103
Additional paid in capital ............................................................. 1,111,690 1,111,990
----------- -----------
Total Stockholders' Equity ............................................................. 1,112,363 1,112,659
----------- -----------
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY ............................................. $ 3,063,644 $ 2,998,030
=========== ===========
15
RECKSON ASSOCIATES REALTY CORP.
MARCH 31, 2001
RATIOS COMPUTED FOR INDUSTRY COMPARISONS:
THREE MONTHS ENDED
MARCH 31,
----------------------
2001 2000
----- -----
Debt Service Coverage Ratio ...................................................................... 3.29 3.00
===== =====
( Basic Funds from Operations + Interest expense + preferred dividends
and distributions / Interest expense + Principal )
Fixed Charge Coverage Ratio ...................................................................... 2.60 2.23
===== =====
( Basic Funds from Operations + Interest expense + preferred dividends
and distributions / Interest expense + preferred dividends and
distributions + Principal )
Total Debt to Market Capitalization ratio as a percent ........................................... 44.3% 47.2%
===== =====
Marketing, general and administrative expenses to total revenues as a percent .................... 5.73% 5.47%
===== =====
Non - Incremental Capital Expenditures to Net Operating Income as a percent ...................... 3.98% 5.98%
===== =====
Fully diluted FFO Payout Ratio - (note 1) ........................................................ 60.20% 64.00%
===== =====
( Dividends to fully diluted FFO as a percent )
Fully diluted CAD Payout Ratio - (note 2) ........................................................ 84.00% 78.10%
===== =====
( Dividends to fully diluted CAD as a percent )
<FN>
Note: (1) Based on weighted average per share / unit dividends and distributions of $.4140 and $.3964, respectively.
(2) Based on weighted average per share / unit dividends and distributions of $.4184 and $.3964, respectively.
</FN>
16
RECKSON ASSOCIATES REALTY CORP.
TOTAL DEBT & PREFERRED SECURITIES
MORTGAGE NOTES PAYABLE
The following table sets forth certain information regarding the
mortgage debt of the Company, by scheduled maturity date, as of March 31, 2001
(in thousands):
Principal amount Interest Maturity Amortization
Property outstanding rate date schedule
- --------------------------------------------- ---------------- ------------- --------- ------------
50 Charles Lindbergh Blvd., Mitchel Field, NY $ 15,479 7.500% 10-Jul-01 (3)
1350 Avenue of the Americas, NY, NY 70,000 LIBOR + 1.65% 01-Aug-01
200 Broad Hollow Road, Melville, NY 6,477 7.750% 02-Jun-02 30 year
310 East Shore Road, Great Neck, NY 2,322 8.000% 01-Jul-02 (3)
919 Third Avenue, NY, NY 200,000 LIBOR + 1.20% 31-Oct-03 (3)
80 Orville Drive, Islip, NY 2,616 10.100% 01-Feb-04 (3)
395 North Service Road, Melville, NY 20,423 6.450% 26-Oct-05 (2)
200 Summit Lake Drive, Valhalla, NY 20,045 9.250% 01-Jan-06 25 year
Landmark Square, Stamford, CT 46,754 8.020% 07-Oct-06 25 year
100 Summit Lake Drive, Valhalla, NY 21,258 8.500% 01-Apr-07 15 year
333 Earl Ovington Blvd., Mitchel Field, NY 55,434 (1) 7.720% 14-Aug-07 25 year
810 Seventh Ave., NY, NY 85,279 7.730% 01-Aug-09 25 year
100 Wall Street, NY, NY 36,955 7.730% 01-Aug-09 25 year
6900 Jericho Turnpike, Syosset, NY 7,536 8.070% 01-Jul-10 25 year
6800 Jericho Turnpike, Syosset, NY 14,278 8.070% 01-Jul-10 25 year
580 White Plains Road, Tarrytown, NY 13,014 7.860% 01-Sep-10 25 year
110 Bi-County Blvd., Farmingdale, NY 3,996 9.125% 30-Nov-12 20 year
One Orlando Center, Orlando, FL 39,335 6.820% (4) 01-Nov-27 28 year
120 West 45th Street, NY, NY 65,887 6.820% (4) 01-Nov-27 28 year
--------
Total mortgage notes payable principal outstanding $727,088
--------
<FN>
- -------------------
(1) The Company has a 60% general partnership interest in this property and its proportionate share of the aggregate principal
amount of the mortgage debt is approximately $33.3 million.
(2) Principal payments of $34,000 per month.
(3) Interest only.
(4) Subject to interest rate adjustment on November 1, 2004.
</FN>
SENIOR UNSECURED NOTES
The following table sets forth the Company's Senior Unsecured Notes and
other related disclosures, by scheduled maturity date, as of December 31, 2000
(in thousands):
Face Coupon Maturity
Issuance amount rate date Term
- ------------------------------------------------------- ---------- -------- ----------- ----------
March 26, 1999 $100,000 (1) 7.400% 15-Mar-04 5 years
August 27, 1997 150,000 7.200% 28-Aug-07 10 years
March 26, 1999 200,000 (1) 7.750% 15-Mar-09 10 years
--------
Total Senior Unsecured Notes principal outstanding $450,000
========
<FN>
- -------------------
(1) Notes issued on March 26, 1999 were issued at an aggregate discount of $738,000 which is being amortized over the term of the
Notes to which they relate
</FN>
UNSECURED CREDIT FACILITY
The following table sets forth certain information regarding the
Company's $575 million Unsecured Credit Facility, as of March 31, 2001 (in
thousands):
Weighted
Principal amount average Maturity Amortization
outstanding interest rate date schedule
---------------- ------------- --------- -------------
$304,600 6.143% 07-Sep-03 Interest only
========
PREFERRED SECURITIES
The following table sets forth certain information regarding the
Company's preferred securities, as of March 31, 2001 (in thousands):
Liquidation Conversion price
Security preference value Current yield per share Issuance date
- -------------------------------------------------------- ---------------- ------------- ---------------- -------------
7 5/8% Series A Convertible Cumulative Preferred Stock $229,800 7.625% $28.51 April 1998
Series B Convertible Cumulative Preferred Stock 50,000 8.350% $26.05 June 1999
Series B Preferred Units of Limited Partnership Interest 25,000 6.250% $32.51 April 1998
Series C Preferred Units of Limited Partnership Interest 11,518 6.250% $29.39 April 1998
Series D Preferred Units of Limited Partnership Interest 6,000 6.250% $29.12 July 1998
--------
$322,318
========
17
CORE OPERATING RESULTS
----------------------
18
RECKSON ASSOCIATES REALTY CORP.
OCCUPANCY ANALYSIS
MARCH 31, 2001
- ------------------------------------------------------------------------------------------------------------------------------------
DECEMBER 31, 2000 MARCH 31, 2001
Number of Rentable Percent of Percent Number of Rentable Percent of Percent
Property Buildings Square Feet Property Type Leased Buildings Square Feet Property Type Leased
- ------------------------------------------------------------------------------------------------------------------------------------
OFFICE PROPERTIES
LONG ISLAND OFFICE PROPERTIES
- -----------------------------
Huntington Melville
Corporate Center
Melville, NY (1)............. 7 1,054,779 7.3% 98.6% 7 1,054,779 7.3% 98.6%
Nassau West Corporate
Corporate Center (2)
Mitchell Field, NY............ 6 1,527,263 10.6% 98.9% 6 1,527,263 10.6% 98.3%
North Shore Atrium
Syosset, NY................... 2 304,177 2.1% 97.3% 2 304,177 2.1% 96.8%
Stand-alone Long Island
Office Properties ............ 12 1,486,629 10.3% 96.6% 12 1,486,629 10.3% 97.3%
-- --------- ----- -- --------- -----
SUBTOTAL - LONG ISLAND OFFICE (3) 27 4,372,848 30.3% 98.0% 27 4,372,848 30.3% 98.0%
WESTCHESTER OFFICE PROPERTIES
- -----------------------------
Tarrytown Corporate Center
Tarrytown, NY ................ 6 875,726 6.1% 94.8% 6 875,726 6.1% 94.4%
Reckson Executive Park
Rye Brook, NY................. 6 541,884 3.8% 98.3% 6 541,884 3.8% 98.3%
Summit at Valhalla
Valhalla, NY ................. 3 699,045 4.8% 94.9% 3 699,045 4.8% 93.6%
Mt. Pleasant Corporate Center
Valhalla, NY.................. 2 162,004 1.1% 95.6% 2 162,004 1.1% 94.2%
Stand-alone Westchester
Office Properties ............ 7 1,012,714 7.0% 96.7% 7 1,012,714 7.0% 96.0%
-- --------- ----- -- --------- -----
SUBTOTAL - WESTCHESTER OFFICE 24 3,291,373 22.8% 96.0% 24 3,291,373 22.8% 95.3%
CONNECTICUT OFFICE PROPERTIES
- -----------------------------
Landmark Square
Stamford, CT.................. 6 798,321 5.5% 94.0% 6 798,321 5.5% 94.0%
Stamford Towers
Stamford, CT.................. 2 324,867 2.3% 99.6% 2 324,867 2.2% 100.0%
-- --------- ----- -- --------- -----
SUBTOTAL - CONNECTICUT OFFICE 8 1,123,188 7.8% 95.6% 8 1,123,188 7.8% 95.8%
NEW JERSEY OFFICE PROPERTIES
- ----------------------------
Executive Hill Office Park
West Orange, NJ............... 4 391,382 2.7% 100.0% 4 391,382 2.7% 99.4%
University Square
Princeton, NJ................. 3 131,105 0.9% 100.0% 3 131,105 0.9% 100.0%
Short Hills Office Center
Short Hills, NJ............... 3 557,036 3.9% 100.0% 3 557,036 3.9% 100.0%
Stand-alone New Jersey
Office Properties............. 8 1,061,545 7.4% 96.9% 8 1,061,545 7.3% 97.8%
-- --------- ----- -- --------- -----
SUBTOTAL - NEW JERSEY OFFICE.. 18 2,141,068 14.8% 98.7% 18 2,141,068 14.8% 98.9%
NEW YORK CITY OFFICE PROPERTIES
- -------------------------------
120 W. 45th Street............... 1 443,109 3.1% 100.0% 1 443,109 3.1% 99.6%
100 Wall Street.................. 1 458,626 3.2% 99.3% 1 466,226 3.2% 98.7%
810 Seventh Avenue............... 1 692,060 4.8% 95.1% 1 692,060 4.8% 97.3%
919 Third Avenue................. 1 1,374,966 9.5% 97.9% 1 1,374,966 9.5% 97.9%
1350 Ave. of the Americas........ 1 540,000 3.7% 92.8% 1 540,000 3.7% 92.2%
-- --------- ----- -- --------- -----
SUBTOTAL - NEW YORK CITY OFFICE 5 3,508,761 24.3% 97.0% 5 3,516,361 24.3% 97.2%
-- --------- ----- -- --------- -----
SUBTOTAL-
OFFICE PROPERTIES (3)......... 82 14,437,238 100.0% 97.2% 82 14,444,838 100.0% 97.1%
-- --------- ----- -- --------- -----
As a Percent of Total
Portfolio..................... 67.8% 67.8%
(1) Rentable square feet includes a recently completed 277,500 sf Class A
office building which is currently 8% leased ; percent leased excludes this
property.
(2) Does not include 27,013 square feet leased to the health club at Omni.
(3) Percent leased excludes properties under development.
19
RECKSON ASSOCIATES REALTY CORP.
OCCUPANCY ANALYSIS
MARCH 31, 2001
- ------------------------------------------------------------------------------------------------------------------------------------
DECEMBER 31, 2000 MARCH 31, 2001
Number of Rentable Percent of Percent Number of Rentable Percent of Percent
Property Buildings Square Feet Property Type Leased Buildings Square Feet Property Type Leased
- ------------------------------------------------------------------------------------------------------------------------------------
INDUSTRIAL PROPERTIES
LONG ISLAND INDUSTRIAL PROPERTIES
- ---------------------------------
Vanderbilt Industrial Park (1)
Hauppauge, NY................. 47 2,379,895 40.4% 96.8% 47 2,379,895 40.4% 97.6%
Airport International Plaza
Bohemia, NY................... 21 1,288,510 21.9% 98.1% 21 1,288,510 21.9% 98.3%
County Line Industrial Center
Melville, NY.................. 4 342,174 5.8% 100.0% 4 342,174 5.8% 100.0%
Other Submarkets
Farmingdale................... 3 520,615 8.8% 98.9% 3 520,615 8.8% 99.9%
Melville...................... 4 246,169 4.2% 100.0% 4 246,169 4.2% 100.0%
Islip/Islandia................ 6 212,400 3.6% 100.0% 6 212,400 3.6% 100.0%
Hauppauge..................... 2 195,942 3.3% 99.1% 2 195,942 3.3% 99.1%
Other......................... 8 708,740 12.0% 100.0% 8 708,740 12.0% 98.7%
-- --------- ----- -- --------- -----
SUBTOTAL - LONG ISLAND INDUSTRIAL (2) 95 5,894,445 86.3% 98.2% 95 5,894,445 86.3% 98.5%
Stand-alone Westchester
Industrial Properties......... 3 163,000 2.4% 96.7% 3 163,000 2.4% 100.0%
Stand-alone Connecticut
Industrial Properties......... 1 452,414 6.6% 100.0% 1 452,414 6.6% 100.0%
Stand-alone New Jersey
Industrial Properties......... 5 324,254 4.7% 82.4% 5 324,254 4.7% 82.4%
SUBTOTAL- --- ---------- ------ ----- -- ---------- ------ -----
INDUSTRIAL PROPERTIES (2) 104 6,834,113 100.0% 97.5% 104 6,834,113 100.0% 97.8%
--- ---------- ------ ----- -- ---------- ------ -----
As a Percent of Total
Portfolio..................... 32.1% 32.1%
--- ---------- ------ ----- -- ---------- ------ -----
RETAIL PROPERTIES 2 20,000 100.0% 46.0% 2 20,000 100.0% 46.0%
--- ---------- ------ ----- -- ---------- ------ -----
As a Percent of Total
Portfolio..................... 0.1% 0.1%
--- ---------- ------ ----- -- ---------- ------ -----
TOTAL - ALL PROPERTIES (2) 188 21,291,351 100.0% 97.3% 188 21,298,951 100.0% 97.4%
--- ---------- ------ ----- -- ---------- ------ -----
(1) Rentable square feet includes a 56,875 square foot vacant building under
redevelopment; percent leased excludes this property.
(2) Percent leased excludes properties under development.
20
RECKSON ASSOCIATES REALTY CORP.
OCCUPANCY ANALYSIS
MARCH 31, 2001
RECKSON PORTFOLIO HISTORICAL OCCUPANCY
[GRAPHICS OMITTED]
INDUSTRIAL OFFICE
MARCH 1997 96.3% 91.1%
MARCH 1998 95.8% 92.2%
MARCH 1999 97.4% 94.2%
MARCH 2000 97.9% 95.3%
MARCH 2001 97.8% 97.1%
Note: Percent leased excludes properties under development
21
RECKSON ASSOCIATES REALTY CORP.
EXECUTED LEASES AND RENEWAL ANALYSIS
MARCH 31, 2001
TOTAL PORTFOLIO
- -------------------------------------------------------------------------------------------------------
QUARTER ENDED MARCH 31, 2001
RESEARCH &
OFFICE (1) INDUSTRIAL (2) DEVELOPMENT (3) TOTAL
- -------------------------------------------------------------------------------------------------------
EXECUTED LEASES (8)
- -------------------
TOTAL PORTFOLIO
NUMBER OF EXECUTED LEASES 52 13 1 66
SQUARE FOOTAGE 361,386 127,097 8,169 496,652
AVERAGE RENT $29.92 $7.82 $14.26
AVERAGE EFFECTIVE RENT $27.40 $7.56 $9.68
LONG ISLAND PORTFOLIO
NUMBER OF EXECUTED LEASES 14 13 27
SQUARE FOOTAGE 102,033 127,097 229,130
AVERAGE RENT $32.56 $7.82
AVERAGE EFFECTIVE RENT $29.58 $7.56
WESTCHESTER PORTFOLIO
NUMBER OF EXECUTED LEASES 18 1 19
SQUARE FOOTAGE 115,680 8,169 123,849
AVERAGE RENT $25.89 $14.26
AVERAGE EFFECTIVE RENT $23.40 $9.68
CONNECTICUT PORTFOLIO
NUMBER OF EXECUTED LEASES 9 9
SQUARE FOOTAGE 59,360 59,360
AVERAGE RENT $27.75
AVERAGE EFFECTIVE RENT $27.09
NEW JERSEY PORTFOLIO
NUMBER OF EXECUTED LEASES 8 8
SQUARE FOOTAGE 54,374 54,374
AVERAGE RENT $23.99
AVERAGE EFFECTIVE RENT $21.90
NEW YORK CITY PORTFOLIO
NUMBER OF EXECUTED LEASES 3 3
SQUARE FOOTAGE 29,939 29,939
AVERAGE RENT $51.57
AVERAGE EFFECTIVE RENT $46.00
RENEWALS
- --------
LEASES EXPIRING DURING PERIOD 25 7 0 32
SQUARE FOOTAGE EXPIRING DURING PERIOD 124,368 67,486 0 191,854
SQUARE FOOTAGE RENEWED DURING PERIOD 100,373 64,986 - 165,359
RENEWAL PERCENTAGE 80.7% 96.3% 86.2%
- ------------------------------------------------------------------------------------------------------
12 MONTHS ENDED MARCH 31, 2001
RESEARCH &
OFFICE (4) INDUSTRIAL (5) DEVELOPMENT (6) TOTAL
- ------------------------------------------------------------------------------------------------------
EXECUTED LEASES (8)
TOTAL PORTFOLIO
NUMBER OF EXECUTED LEASES 238 40 9 287
SQUARE FOOTAGE 2,298,612 1,017,905 143,226 3,459,743
AVERAGE RENT $29.39 $7.32 $14.38
AVERAGE EFFECTIVE RENT $26.51 $6.85 $13.23
LONG ISLAND PORTFOLIO
NUMBER OF EXECUTED LEASES 58 38 5 101
SQUARE FOOTAGE 677,829 1,001,755 86,489 1,766,073
AVERAGE RENT $27.68 $7.28 $11.74
AVERAGE EFFECTIVE RENT $24.68 $6.81 $11.31
WESTCHESTER PORTFOLIO
NUMBER OF EXECUTED LEASES 78 4 82
SQUARE FOOTAGE 724,367 56,737 781,104
AVERAGE RENT $26.19 $18.40
AVERAGE EFFECTIVE RENT $23.86 $16.17
CONNECTICUT PORTFOLIO
NUMBER OF EXECUTED LEASES 29 29
SQUARE FOOTAGE 159,491 159,491
AVERAGE RENT $29.26
AVERAGE EFFECTIVE RENT $27.86
NEW JERSEY PORTFOLIO
NUMBER OF EXECUTED LEASES 42 2 44
SQUARE FOOTAGE 434,523 16,150 450,673
AVERAGE RENT $22.83 $9.39
AVERAGE EFFECTIVE RENT $20.15 $8.96
NEW YORK CITY PORTFOLIO
NUMBER OF EXECUTED LEASES 31 31
SQUARE FOOTAGE 302,402 302,402
AVERAGE RENT $50.41
AVERAGE EFFECTIVE RENT $45.43
RENEWALS
LEASES EXPIRING DURING PERIOD 145 34 6 185
SQUARE FOOTAGE EXPIRING DURING PERIOD 915,338 449,807 92,492 1,457,637
SQUARE FOOTAGE RENEWED DURING PERIOD 653,015 360,911 83,195 1,087,121
RENEWAL PERCENTAGE 71.3% 80.2% 89.9% 75.3%
<FN>
(1) Included in the total square footage is 249,028 square feet of non-incremental leases that, on average, at expiration, were
paying a Base Rent of $25.23 / square foot and a straightline rent of $24.23 / square foot. These leases were renewed or
released at an average starting Base Rent of $28.16 and at a straightline rent of $29.78 / square foot.
(2) Included in the total square footage is 142,247 square feet of non-incremental leases that, on average, at expiration, were
paying a Base Rent of $6.38 / square foot and a straightline rent of $6.09/ square foot. These leases were renewed or
released at an average starting Base Rent of $7.20 and at a straightline rent of $7.58 / square foot.
(3) Included in the total square footage is 0 square feet of non-incremental leases.
(4) Included in the total square footage is 1,290,251 square feet of non-incremental leases that, on average, at expiration,
were paying a Base Rent of $23.94 / square foot and a straightline rent of $23.34 / square foot. These leases were renewed
or released at an average starting Base Rent of $26.18 and at a straightline rent of $27.89 / square foot.
(5) Included in the total square footage is 569,630 square feet of non-incremental leases that, on average, at expiration, were
paying a Base Rent of $6.62 / square foot and a straightline rent of $6.32 / square foot. These leases were renewed or
released at an average starting Base Rent of $7.31 and at a straightline rent of $7.59 / square foot.
(6) Included in the total square footage is 83,195 square feet of non-incremental leases that, on average, at expiration, were
paying a Base Rent of $10.45 / square foot and a straightline rent of $10.16 / square foot. These leases were renewed or
released at an average starting Base Rent of $11.23 and at a straightline rent of $11.58 / square foot.
(7) Base Rent is equal to annualized base rent plus non-recoverable operating expense pass-throughs.
(8) Includes new and renewed leases during the period.
</FN>
22
RECKSON ASSOCIATES REALTY CORP.
LEASE EXPIRATION COMPARISON
MARCH 31, 2001
LONG ISLAND OFFICE (EXCLUDING OMNI)
- ------------------------------------------------------------------------------------------------------------------------------------
Number of Leases Square Feet % Square Feet Per Square Foot Per Square Foot
Expiring Expiring Expiring S/L Rent (1) Rent (2)
Year of Expiration Dec-00 Mar-01 Dec-00 Mar-01 Dec-00 Mar-01 Dec-00 Mar-01 Dec-00 Mar-01
- ------------------------------------------------------------------------------------------------------------------------------------
2001 41 36 178,087 168,126 5.5% 5.1% $22.00 $22.25 $23.96 $24.36
2002 34 33 170,262 165,326 5.2% 5.1% $22.08 $21.98 $24.78 $24.90
2003 50 48 301,674 297,892 9.2% 9.1% $22.52 $22.32 $25.26 $25.03
2004 45 46 272,624 274,809 8.4% 8.4% $23.21 $23.21 $26.08 $26.18
2005 68 65 591,907 599,698 18.1% 18.3% $23.19 $23.42 $24.97 $26.73
2006 14 15 74,876 76,583 2.3% 2.3% $26.48 $26.38 $30.55 $30.41
2007 and thereafter 77 81 1,675,145 1,688,317 51.3% 51.6% -- -- -- --
--- --- --------- --------- ----- -----
Total / Weighted Average 329 324 3,264,575 3,270,751 100.0% 100.0%
=== === ========= ========= ===== =====
OMNI
- ------------------------------------------------------------------------------------------------------------------------------------
Number of Leases Square Feet % Square Feet Per Square Foot Per Square Foot
Expiring Expiring Expiring S/L Rent (1) Rent (2)
Year of Expiration Dec-00 Mar-01 Dec-00 Mar-01 Dec-00 Mar-01 Dec-00 Mar-01 Dec-00 Mar-01
- ------------------------------------------------------------------------------------------------------------------------------------
2001 4 3 32,680 22,931 5.5% 3.9% $29.00 $29.09 $35.81 $35.06
2002 4 4 80,060 53,127 13.4% 9.0% $26.23 $34.55 $29.99 $37.91
2003 6 4 64,356 58,018 10.8% 9.8% $30.19 $30.22 $34.70 $34.97
2004 4 4 112,414 112,414 18.8% 19.0% $26.12 $26.12 $34.08 $34.15
2005 7 7 59,166 59,166 9.9% 10.0% $27.99 $27.99 $35.24 $35.26
2006 0 1 0 9,749 0.0% 1.6% -- $35.21 -- $38.02
2007 and thereafter 8 10 249,246 276,259 41.7% 46.7% -- -- -- --
--- --- ------- ------- ----- -----
Total / Weighted Average 33 33 597,922 591,664 100.0% 100.0%
=== === ======= ======= ===== =====
<FN>
(1) Per Square Foot Rent represents annualized straightline rent as of the lease expiration date.
(2) Per Square Foot Rent represents annualized base rent as of the lease expiration date plus non-recoverable operating expense
pass-throughs.
</FN>
23
RECKSON ASSOCIATES REALTY CORP.
LEASE EXPIRATION COMPARISON
MARCH 31, 2001
INDUSTRIAL
- -----------------------------------------------------------------------------------------------------------------------------------
Number of Leases Square Feet % Square Feet Per Square Foot Per Square Foot
Expiring Expiring Expiring S/L Rent (1) Rent (2)
Year of Expiration Dec-00 Mar-01 Dec-00 Mar-01 Dec-00 Mar-01 Dec-00 Mar-01 Dec-00 Mar-01
- -----------------------------------------------------------------------------------------------------------------------------------
2001 29 21 567,139 376,385 11.4% 7.7% $5.46 $6.28 $6.40 $7.38
2002 27 28 249,344 246,504 5.0% 5.0% $6.46 $6.47 $7.20 $7.32
2003 29 29 735,934 735,934 14.8% 15.0% $5.35 $5.35 $6.22 $6.27
2004 34 33 634,085 623,753 12.8% 12.7% $6.40 $6.25 $7.10 $7.12
2005 19 22 400,960 427,994 8.1% 8.7% $5.87 $5.93 $8.02 $7.97
2006 18 27 722,899 834,717 14.6% 17.0% $6.05 $6.29 $7.68 $7.81
2007 and thereafter 35 36 1,652,695 1,664,940 33.3% 33.9% -- -- -- --
--- --- --------- --------- ----- -----
Total / Weighted Average 191 196 4,963,056 4,910,227 100.0% 100.0%
=== === ========= ========= ===== =====
RESEARCH AND DEVELOPMENT
- ------------------------------------------------------------------------------------------------------------------------------------
Number of Leases Square Feet % Square Feet Per Square Foot Per Square Foot
Expiring Expiring Expiring S/L Rent (1) Rent (2)
Year of Expiration Dec-00 Mar-01 Dec-00 Mar-01 Dec-00 Mar-01 Dec-00 Mar-01 Dec-00 Mar-01
- ------------------------------------------------------------------------------------------------------------------------------------
2001 7 7 276,830 276,830 21.4% 21.2% $ 5.62 $ 5.63 $ 6.86 $ 6.90
2002 3 3 118,620 118,620 9.2% 9.1% $10.19 $10.19 $11.82 $11.82
2003 4 4 37,938 37,938 2.9% 2.9% $ 9.20 $ 9.20 $10.15 $10.15
2004 9 9 99,218 99,218 7.7% 7.6% $13.86 $13.86 $15.02 $15.02
2005 6 5 379,537 367,556 29.4% 28.2% $ 8.88 $ 8.49 $10.90 $10.53
2006 3 6 64,956 90,217 5.0% 6.9% $17.50 $17.46 $20.48 $20.07
2007 and thereafter 14 14 314,417 314,417 24.3% 24.1% -- -- -- --
--- --- --------- --------- ----- -----
Total / Weighted Average 46 48 1,291,516 1,304,796 100.0% 100.0%
=== === ========= ========= ===== =====
<FN>
(1) Per Square Foot Rent represents annualized straightline rent as of the lease expiration date.
(2) Per Square Foot Rent represents annualized base rent as of the lease expiration date plus non-recoverable operating expense
pass-throughs.
</FN>
24
RECKSON ASSOCIATES REALTY CORP.
LEASE EXPIRATION COMPARISON
MARCH 31, 2001
WESTCHESTER OFFICE
- ------------------------------------------------------------------------------------------------------------------------------------
Number of Leases Square Feet % Square Feet Per Square Foot Per Square Foot
Expiring Expiring Expiring S/L Rent (1) Rent (2)
Year of Expiration Dec-00 Mar-01 Dec-00 Mar-01 Dec-00 Mar-01 Dec-00 Mar-01 Dec-00 Mar-01
- ------------------------------------------------------------------------------------------------------------------------------------
2001 38 29 223,154 184,244 7.1% 5.9% $20.42 $21.09 $20.92 $21.69
2002 45 45 425,736 412,680 13.6% 13.2% $20.73 $21.08 $21.04 $21.10
2003 41 43 259,202 247,349 8.3% 7.9% $21.94 $22.12 $23.22 $23.39
2004 28 30 163,164 164,634 5.2% 5.3% $21.05 $21.09 $22.04 $22.03
2005 52 52 414,494 415,469 13.2% 13.3% $23.94 $23.92 $24.31 $24.32
2006 16 24 599,566 643,346 19.2% 20.5% $21.43 $22.20 $23.28 $24.07
2007 and thereafter 37 41 1,045,433 1,065,724 33.4% 34.0% -- -- -- --
--- --- --------- --------- ----- -----
Total / Weighted Average 257 264 3,130,749 3,133,446 100.0% 100.0%
=== === ========= ========= ===== =====
STAMFORD OFFICE
- ------------------------------------------------------------------------------------------------------------------------------------
Number of Leases Square Feet % Square Feet Per Square Foot Per Square Foot
Expiring Expiring Expiring S/L Rent (1) Rent (2)
Year of Expiration Dec-00 Mar-01 Dec-00 Mar-01 Dec-00 Mar-01 Dec-00 Mar-01 Dec-00 Mar-01
- ------------------------------------------------------------------------------------------------------------------------------------
2001 29 25 155,165 67,832 14.4% 6.3% $22.09 $23.36 $22.03 $23.73
2002 19 18 89,039 85,900 8.3% 8.0% $27.45 $27.67 $28.80 $29.02
2003 15 17 96,824 140,239 9.0% 13.0% $31.40 $31.22 $32.40 $31.70
2004 20 19 231,155 226,883 21.5% 21.1% $22.45 $21.76 $22.96 $22.74
2005 24 24 118,425 118,425 11.0% 11.0% $26.82 $26.81 $28.62 $28.62
2006 13 17 221,265 271,239 20.6% 25.2% $23.75 $24.31 $24.27 $25.06
2007 and thereafter 11 16 162,113 165,170 15.1% 15.4% -- -- -- --
--- --- --------- --------- ----- -----
Total / Weighted Average 131 136 1,073,986 1,075,688 100.0% 100.0%
=== === ========= ========= ===== =====
<FN>
(1) Per Square Foot Rent represents annualized straightline rent as of the lease expiration date.
(2) Per Square Foot Rent represents annualized base rent as of the lease expiration date plus non-recoverable operating expense
pass-throughs.
</FN>
25
RECKSON ASSOCIATES REALTY CORP.
LEASE EXPIRATION COMPARISON
MARCH 31, 2001
NEW JERSEY OFFICE
- ------------------------------------------------------------------------------------------------------------------------------------
Number of Leases Square Feet % Square Feet Per Square Foot Per Square Foot
Expiring Expiring Expiring S/L Rent (1) Rent (2)
Year of Expiration Dec-00 Mar-01 Dec-00 Mar-01 Dec-00 Mar-01 Dec-00 Mar-01 Dec-00 Mar-01
- ------------------------------------------------------------------------------------------------------------------------------------
2001 21 13 203,392 183,633 9.6% 8.7% $18.18 $17.85 $18.44 $18.18
2002 21 22 184,786 171,446 8.7% 8.1% $19.83 $20.02 $20.47 $20.77
2003 22 23 318,584 333,689 15.1% 15.8% $18.67 $19.03 $18.79 $19.16
2004 32 34 239,383 241,737 11.3% 11.4% $22.49 $22.51 $23.03 $23.12
2005 32 31 354,343 344,775 16.8% 16.3% $22.97 $23.19 $23.63 $23.76
2006 9 12 149,686 179,319 7.1% 8.5% $22.65 $22.38 $23.94 $23.58
2007 and thereafter 17 17 663,491 663,491 31.4% 31.3% -- -- -- --
--- --- --------- --------- ----- -----
Total / Weighted Average 154 152 2,113,665 2,118,090 100.0% 100.0%
=== === ========= ========= ===== =====
NEW YORK CITY OFFICE
- ------------------------------------------------------------------------------------------------------------------------------------
Number of Leases Square Feet % Square Feet Per Square Foot Per Square Foot
Expiring Expiring Expiring S/L Rent (1) Rent (2)
Year of Expiration Dec-00 Mar-01 Dec-00 Mar-01 Dec-00 Mar-01 Dec-00 Mar-01 Dec-00 Mar-01
- ------------------------------------------------------------------------------------------------------------------------------------
2001 15 14 127,406 100,853 3.7% 3.0% $32.64 $32.30 $33.45 $33.26
2002 21 22 189,415 190,615 5.6% 5.6% $32.48 $32.62 $33.25 $33.41
2003 7 7 115,726 115,726 3.4% 3.4% $31.89 $31.89 $32.33 $32.33
2004 20 20 224,975 224,975 6.6% 6.6% $36.60 $36.53 $37.69 $38.74
2005 35 37 437,641 457,063 12.9% 13.4% $35.26 $34.76 $36.53 $36.35
2006 49 47 351,015 339,560 10.3% 9.9% $29.66 $29.70 $30.74 $30.77
2007 and thereafter 70 75 1,957,015 1,989,668 57.5% 58.2% -- -- -- --
--- --- --------- --------- ----- -----
Total / Weighted Average 217 222 3,403,193 3,418,460 100.0% 100.0%
=== === ========= ========= ===== =====
<FN>
(1) Per Square Foot Rent represents annualized straightline rent as of the lease expiration date.
(2) Per Square Foot Rent represents annualized base rent as of the lease expiration date plus non-recoverable operating expense
pass-throughs.
</FN>
26
RECKSON ASSOCIATES REALTY CORP.
LEASE EXPIRATION COMPARISON
MARCH 31, 2001
OFFICE PORTFOLIO
- ------------------------------------------------------------------------------------------------------------------------------------
Cumulative
Number of Leases Square Feet % Square Feet Square Feet
Expiring Expiring Expiring Expiring
Year of Expiration Dec-00 Mar-01 Dec-00 Mar-01 Dec-00 Mar-01 Dec-00 Mar-01
- ------------------------------------------------------------------------------------------------------------------------------------
2001 148 120 919,884 727,619 6.8% 5.3% 6.8% 5.3%
2002 144 144 1,139,298 1,079,094 8.4% 7.9% 15.2% 13.3%
2003 141 142 1,156,366 1,192,913 8.5% 8.8% 23.7% 22.0%
2004 149 153 1,243,715 1,245,452 9.2% 9.2% 32.8% 31.2%
2005 218 216 1,975,976 1,994,596 14.5% 14.7% 47.4% 45.9%
2006 101 116 1,396,408 1,519,796 10.3% 11.2% 57.7% 57.0%
2007 and thereafter 220 240 5,752,443 5,848,629 42.3% 43.0% 100.0% 100.0%
----- ----- ---------- ---------- ----- -----
Total 1,121 1,131 13,584,090 13,608,099 100.0% 100.0%
===== ===== ========== ========== ===== =====
INDUSTRIAL / R&D PORTFOLIO
- ------------------------------------------------------------------------------------------------------------------------------------
Cumulative
Number of Leases Expiring Square Feet Expiring % Square Feet Expiring Square Feet Expiring
Year of Expiration Dec-00 Mar-01 Dec-00 Mar-01 Dec-00 Mar-01 Dec-00 Mar-01
- ------------------------------------------------------------------------------------------------------------------------------------
2001 36 28 843,969 653,215 13.5% 10.5% 13.5% 10.5%
2002 30 31 367,964 365,124 5.9% 5.9% 19.4% 16.4%
2003 33 33 773,872 773,872 12.4% 12.5% 31.7% 28.8%
2004 43 42 733,303 722,971 11.7% 11.6% 43.5% 40.5%
2005 25 27 780,497 795,550 12.5% 12.8% 56.0% 53.3%
2006 21 33 787,855 924,934 12.6% 14.9% 68.5% 68.2%
2007 and thereafter 49 50 1,967,112 1,979,357 31.5% 31.8% 100.0% 100.0%
--- --- --------- --------- ----- -----
Total 237 244 6,254,572 6,215,023 100.0% 100.0%
=== === ========= ========= ===== =====
TOTAL PORTFOLIO
- ------------------------------------------------------------------------------------------------------------------------------------
Cumulative
Number of Leases Expiring Square Feet Expiring % Square Feet Expiring Square Feet Expiring
Year of Expiration Dec-00 Mar-01 Dec-00 Mar-01 Dec-00 Mar-01 Dec-00 Mar-01
- ------------------------------------------------------------------------------------------------------------------------------------
2001 184 148 1,763,853 1,380,834 8.9% 7.0% 8.9% 7.0%
2002 174 175 1,507,262 1,444,218 7.6% 7.3% 16.5% 14.3%
2003 174 175 1,930,238 1,966,785 9.7% 9.9% 26.2% 24.2%
2004 192 195 1,977,018 1,968,423 10.0% 9.9% 36.2% 34.1%
2005 243 243 2,756,473 2,790,146 13.9% 14.1% 50.1% 48.2%
2006 122 149 2,184,263 2,444,730 11.0% 12.3% 61.1% 60.5%
2007 and thereafter 269 290 7,719,555 7,827,986 38.9% 39.5% 100.0% 100.0%
----- ----- ---------- ---------- ----- -----
Total 1,358 1,375 19,838,662 19,823,122 100.0% 100.0%
===== ===== ========== ========== ===== =====
27
RECKSON ASSOCIATES REALTY CORP.
LEASE EXPIRATION COMPARISON
MARCH 31, 2001
[GRAPHIC OMITTED]
EXPIRING RENT VS. MARKET RENT
CBD OFFICE PORTFOLIO
CONNECTICUT NEW YORK CITY
EXPIRING RENT (1) $25.31 $33.14
MARKET RENT (2) $39.76 $64.77
INCREASE 57% 95%
Source: Cushman & Wakefield
(1) Represents average rents for leases expiring over the next 6 years
(2) Average asking rents as provided by Cushman & Wakefield. There can be no
assurance the Company's properties can achieve such average asking rents.
28
RECKSON ASSOCIATES REALTY CORP.
LEASE EXPIRATION COMPARISON
MARCH 31, 2001
[GRAPHIC OMITTED]
EXPIRING RENT VS. MARKET RENT
SUBURBAN PORTFOLIO
LONG ISLAND WESTCHESTER NEW JERSEY
EXPIRING RENT (1) $23.88 $22.13 $20.98
MARKET RENT (2) $30.49 $28.58 $29.61
INCREASE 28% 30% 41%
Source: Cushman & Wakefield
(1) Represents average rents for leases expiring over the next 6 years
(2) Average asking rents as provided by Cushman & Wakefield. There can be no
assurance the Company's properties can achieve such average asking rents.
29
RECKSON ASSOCIATES REALTY CORP.
PORTFOLIO SNAPSHOT (BASED ON 1st QUARTER 2001)
[GRAPHICS OMITTED]
SQUARE FEET - GEOGRAPHIC DISTRIBUTION SQUARE FEET - PROPERTY TYPE SQUARE FEET - CBD VS. SUBURBAN (OFFICE SPACE ONLY)
Long Island 49% Office 68% CBD 37%
New York City 16% Industrial 32% Suburban 63%
Westchester 16%
Connecticut 7%
New Jersey 12%
REVENUE - GEOGRAPHIC DISTRIBUTION REVENUE - PROPERTY TYPE REVENUE - CBD VS. SUBURBAN (OFFICE SPACE ONLY)
Long Island 34% Office 88% CBD 43%
New York City 28% Industrial 12% Suburban 57%
Westchester 18%
Connecticut 8%
New Jersey 12%
NOI - GEOGRAPHIC DISTRIBUTION NOI - PROPERTY TYPE NOI - CBD VS. SUBURBAN (OFFICE SPACE ONLY)
Long Island 36% Office 85% CBD 40%
New York City 24% Industrial 15% Suburban 60%
Westchester 17%
Connecticut 9%
New Jersey 14%
FFO - GEOGRAPHIC DISTRIBUTION FFO - PROPERTY TYPE FFO - CBD VS. SUBURBAN (OFFICE SPACE ONLY)
Long Island 33% Office 87% CBD 46%
New York City 31% Industrial 13% Suburban 54%
Westchester 16%
Connecticut 7%
New Jersey 13%
FFO = Funds From Operations
NOI = Net Operating Income
30
RECKSON ASSOCIATES REALTY CORP.
PORTFOLIO SNAPSHOT - ADJUSTED FOR MINORITY INTEREST IN TRI-STATE JOINT VENTURE
TRANSACTION AND 919 3RD AVENUE FREE RENT ADDBACK
[GRAPHICS OMITTED]
SQUARE FEET - GEOGRAPHIC DISTRIBUTION SQUARE FEET - PROPERTY TYPE SQUARE FEET - CBD VS. SUBURBAN (OFFICE SPACE ONLY)
Long Island 49% Office 67% CBD 38%
New York City 17% Industrial 33% Suburban 62%
Westchester 16%
Connecticut 7%
New Jersey 11%
REVENUE - GEOGRAPHIC DISTRIBUTION REVENUE - PROPERTY TYPE REVENUE - CBD VS. SUBURBAN (OFFICE SPACE ONLY)
Long Island 31% Office 88% CBD 47%
New York City 32% Industrial 12% Suburban 53%
Westchester 17%
Connecticut 8%
New Jersey 12%
NOI - GEOGRAPHIC DISTRIBUTION NOI - PROPERTY TYPE NOI - CBD VS. SUBURBAN (OFFICE SPACE ONLY)
Long Island 33% Office 86% CBD 46%
New York City 32% Industrial 14% Suburban 54%
Westchester 16%
Connecticut 7%
New Jersey 12%
FFO - GEOGRAPHIC DISTRIBUTION FFO - PROPERTY TYPE FFO - CBD VS. SUBURBAN (OFFICE SPACE ONLY)
Long Island 33% Office 86% CBD 47%
New York City 32% Industrial 14% Suburban 53%
Westchester 16%
Connecticut 7%
New Jersey 12%
<FN>
FFO = Funds From Operations
NOI = Net Operating Income
</FN>
31
NON-INCREMENTAL REVENUE GENERATING CAPITAL EXPENDITURES,
TENANT IMPROVEMENT COSTS AND LEASING COMMISSIONS
The following table summarizes the expenditures incurred for capital
expenditures for the entire portfolio and tenant improvements and leasing
commissions for space leased at the Company's office and industrial properties
for the three month period ended March 31, 2001 and the historical average of
such capital expenditures, tenant improvements and leasing commissions for the
years 1997 through 2000.
NON-INCREMENTAL REVENUE GENERATING CAPITAL EXPENDITURES
1997-2000
1997 1998 1999 2000 average 1Q01
---------- ---------- ---------- ---------- ---------- --------
Suburban Office Properties
Total $1,108,675 $2,004,976 $2,298,899 $3,289,116 $2,175,417 $421,964
Per Square Foot 0.22 0.23 0.23 0.33 0.25 0.04
CBD Office Properties
Total N/A N/A N/A $ 946,718 $ 946,718 $220,737
Per Square Foot N/A N/A N/A 0.38 0.38 0.06
Industrial Properties
Total $ 733,233 $1,205,266 $1,048,688 $ 813,431 $ 950,155 $ 43,714
Per Square Foot 0.15 0.12 0.11 0.11 0.12 $0.01
NON-INCREMENTAL REVENUE GENERATING TENANT IMPROVEMENTS AND LEASING COMMISSIONS
1997-2000
1997 1998 1999 2000 average 1Q01 New Renewal
---------- ---------- ---------- ---------- ---------- -------- -------- --------
Long Island Office Properties
Tenant Improvements $ 784,044 $1,140,251 $1,009,357 $2,853,706 $1,466,840 $497,179 $342,564 $154,615
Per Square Foot Improved 7.00 3.98 4.73 6.99 5.68 8.97 17.24 4.35
Leasing Commissions $ 415,822 $ 418,191 $ 551,762 $2,208,604 $ 898,595 $273,542 $ 78,276 $195,266
Per Square Foot Leased 4.83 1.46 2.59 4.96 3.46 4.93 3.94 5.49
---------- ---------- ---------- ---------- ---------- -------- -------- --------
Total Per Square Foot $ 11.83 $ 5.44 $ 7.32 $ 11.95 $ 9.14 $ 13.90 $ 21.18 $ 9.84
========== ========== ========== ========== ========== ======== ======== ========
Westchester Office Properties
Tenant Improvements $1,211,665 $ 711,160 $1,316,611 $1,860,027 $1,274,866 $374,274 $167,649 $206,625
Per Square Foot Improved 8.9 4.45 5.62 5.72 6.17 4.70 7.34 3.64
Leasing Commissions $ 366,257 $ 286,150 $ 457,730 $ 412,226 $ 380,591 $ 39,295 $ 39,295 $ 0
Per Square Foot Leased 2.69 1.79 1.96 3 2.36 0.49 1.72 --
---------- ---------- ---------- ---------- ---------- -------- -------- --------
Total Per Square Foot $ 11.59 $ 6.24 $ 7.58 $ 8.72 $ 8.53 $ 5.19 $ 9.06 $ 3.64
========== ========== ========== ========== ========== ======== ======== ========
Connecticut Office Properties
Tenant Improvements $1,022,421 $ 202,880 $ 179,043 $ 385,531 $ 447,469 $101,980 $101,980 $ 0
Per Square Foot Improved 13.39 5.92 4.88 4.19 7.10 1.72 5.78 --
Leasing Commissions $ 256,615 $ 151,063 $ 110,252 $ 453,435 $ 242,841 $ 96,929 $ 96,929 $ 0
Per Square Foot Leased 3.36 4.41 3.00 4.92 3.92 1.63 5.50 --
---------- ---------- ---------- ---------- ---------- -------- -------- --------
Total Per Square Foot $ 16.75 $ 10.33 $ 7.88 $ 9.11 $ 11.02 $ 3.35 $ 11.28 $ --
========== ========== ========== ========== ========== ======== ======== ========
New Jersey Office Properties
Tenant Improvements N/A $ 654,877 $ 454,054 $1,580,323 $ 896,418 $ 85,671 $ 52,477 $ 33,194
Per Square Foot Improved N/A 3.78 2.29 6.71 4.26 2.08 1.69 3.28
Leasing Commissions N/A $ 396,127 $ 787,065 $1,031,950 $ 738,381 $154,956 $129,218 $ 25,738
Per Square Foot Leased N/A 2.08 3.96 4.44 3.49 3.77 4.17 2.54
---------- ---------- ---------- ---------- ---------- -------- -------- --------
Total Per Square Foot N/A $ 5.86 $ 6.25 $ 11.15 $ 7.75 $ 5.85 $ 5.86 $ 5.82
========== ========== ========== ========== ========== ======== ======== ========
New York City Office Properties
Tenant Improvements N/A N/A N/A $ 65,267 $ 65,267 $688,800 $688,800 $ 0
Per Square Foot Improved N/A N/A N/A 1.79 1.79 23.01 23.01 --
Leasing Commissions N/A N/A N/A $ 418,185 $ 418,185 $474,229 $474,229 $ 0
Per Square Foot Leased N/A N/A N/A 11.50 11.50 15.84 15.84 --
---------- ---------- ---------- ---------- ---------- -------- -------- --------
Total Per Square Foot N/A N/A N/A $ 13.29 N/A $ 38.85 $ 38.85 $ 0.00
========== ========== ========== ========== ========== ======== ======== ========
Industrial Properties
Tenant Improvements $ 230,466 $ 283,842 $ 375,646 $ 650,216 $ 385,043 $ 34,650 $ 34,650 $ 0
Per Square Foot Improved 0.55 0.76 0.25 0.95 0.63 0.29 0.55 --
Leasing Commissions $ 81,013 $ 200,154 $ 835,108 $ 436,506 $ 388,195 $ 50,055 $ 50,055 $ 0
Per Square Foot Leased 0.19 0.44 0.56 0.64 0.46 0.42 0.79 --
---------- ---------- ---------- ---------- ---------- -------- -------- --------
Total Per Square Foot $ 0.75 $ 1.20 $ 0.81 $ 1.59 $ 1.09 $ .71 $ 1.34 $ 0.00
========== ========== ========== ========== ========== ======== ======== ========
32
MARKET STATISTICS
-----------------
33
RECKSON ASSOCIATES REALTY CORP.
[GRAPHICS OMITTED]
LONG ISLAND
CLASS A STATISTICS
1997 1998 1999 2000 1Q01
---- ---- ---- ---- ----
DIRECT VACANCY 8.7% 6.1% 5.6% 6.3% 7.6%
AVERAGE ASKING RENTAL RATES $26.14 $27.23 $27.69 $28.86 $30.49
WESTCHESTER
CLASS A STATISTICS
1997 1998 1999 2000 1Q01
---- ---- ---- ---- ----
DIRECT VACANCY 13.3% 16.4% 15.0% 10.7% 12.5%
AVERAGE ASKING RENTAL RATES $25.14 $26.67 $27.23 $29.62 $28.58
<FN>
Source: Cushman & Wakefield
</FN>
34
RECKSON ASSOCIATES REALTY CORP.
[GRAPHICS OMITTED]
SOUTHERN CONNECTICUT
CLASS A STATISTICS
1997 1998 1999 2000 1Q01
---- ---- ---- ---- ----
DIRECT VACANCY 4.2% 3.6% 4.0% 7.2% 8.6%
AVERAGE ASKING RENTAL RATES $28.96 $32.22 $31.78 $44.41 $ 39.76
NORTHERN NEW JERSEY
CLASS A STATISTICS
1997 1998 1999 2000 1Q01
---- ---- ---- ---- ----
DIRECT VACANCY 4.7% 5.3% 4.6% 6.5% 7.3%
AVERAGE ASKING RENTAL RATES $25.38 $27.42 $28.52 $29.66 $29.61
<FN>
Source: Cushman & Wakefield
</FN>
35
RECKSON ASSOCIATES REALTY CORP.
[GRAPHIC OMITTED]
LONG ISLAND SUBMARKETS CLASS A OFFICE
AVERAGE ASKING RENTS
1997 1998 1999 2000 1Q01
---- ---- ---- ---- ----
CENTRAL NASSAU COUNTY $28.79 $29.10 $29.93 $31.15 $30.92
WESTERN SUFFOLK COUNTY $26.55 $26.22 $27.34 $28.22 $31.32
EASTERN NASSAU COUNTY $25.22 $27.49 $26.23 $28.75 $28.95
<FN>
Source: Cushman & Wakefield
Note: 46% of Long Island office revenue is derived from Central Nassau properties
30% of Long Island office revenue is derived from Western Suffolk properties
7% of Long Island office revenue is derived from Eastern Nassau properties
</FN>
36
RECKSON ASSOCIATES REALTY CORP.
[GRAPHIC OMITTED]
LONG ISLAND SUBMARKETS CLASS A OFFICE
DIRECT VACANCY RATES
1997 1998 1999 2000 1Q01
---- ---- ---- ---- ----
CENTRAL NASSAU COUNTY 7.5% 5.1% 5.1% 4.7% 4.5%
WESTERN SUFFOLK COUNTY 7.7% 7.7% 11.6% 15.4% 20.3%
EASTERN NASSAU COUNTY 6.4% 4.9% 0.9% 1.4% 1.4%
<FN>
Source: Cushman & Wakefield
Note: 46% of Long Island office revenue is derived from Central Nassau properties
30% of Long Island office revenue is derived from Western Suffolk properties
7% of Long Island office revenue is derived from Eastern Nassau properties
</FN>
37
RECKSON ASSOCIATES REALTY CORP.
[GRAPHIC OMITTED]
WESTCHESTER SUBMARKETS CLASS A OFFICE
AVERAGE ASKING RENTS
1997 1998 1999 2000 1Q01
---- ---- ---- ---- ----
TARRYTOWN / WESTERN $24.43 $24.66 $27.30 $27.03 $27.80
EASTERN $26.53 $29.35 $27.70 $29.65 $29.31
CENTRAL $22.39 $22.91 $27.07 $28.49 $27.74
WHITE PLAINS CBD $25.09 $26.84 $27.44 $30.62 $30.37
<FN>
Source: Cushman & Wakefield
Note: 31% of Westchester office revenue is derived from Central properties
30% of Westchester office revenue is derived from Tarrytown / Western properties
19% of Westchester office revenue is derived from White Plains properties
18% of Westchester office revenue is derived from Eastern properties
</FN>
38
RECKSON ASSOCIATES REALTY CORP.
[GRAPHIC OMITTED]
WESTCHESTER SUBMARKETS CLASS A OFFICE
DIRECT VACANCY RATES
1997 1998 1999 2000 1Q01
---- ---- ---- ---- ----
TARRYTOWN / WESTERN 7.9% 7.8% 8.0% 6.0% 9.9%
EASTERN 8.6% 12.2% 10.1% 8.1% 6.9%
CENTRAL 5.7% 12.3% 13.5% 12.0% 18.7%
WHITE PLAINS CBD 25.7% 22.7% 22.6% 11.5% 11.5%
<FN>
Source: Cushman & Wakefield
Note: 31% of Westchester office revenue is derived from Central properties
30% of Westchester office revenue is derived from Tarrytown / Western properties
19% of Westchester office revenue is derived from White Plains properties
18% of Westchester office revenue is derived from Eastern properties
Note: The 18.7% vacancy in Central Westchester is impacted by IBM selling a
383,000 owner occupied building. The location of this building is not
easily accessible to major thoroughfares and employee bedroom
communities. Excluding this building the vacany rate is 15.6%
</FN>
39
RECKSON ASSOCIATES REALTY CORP.
[GRAPHIC OMITTED]
NEW JERSEY SUBMARKETS CLASS A OFFICE
AVERAGE ASKING RENTS
1997 1998 1999 2000 1Q01
---- ---- ---- ---- ----
ESSEX COUNTY $26.47 $27.74 $28.78 $28.90 $28.81
BERGEN COUNTY $26.02 $27.37 $28.07 $29.41 $29.94
MERCER COUNTY $23.01 $24.49 $27.46 $30.32 $30.04
<FN>
Source: Cushman & Wakefield
Note: 57% of New Jersey office revenue is derived from Essex County office properties
13% of New Jersey office revenue is derived from Bergen County office properties
5% of New Jersey office revenue is derived from Mercer County office properties
</FN>
40
RECKSON ASSOCIATES REALTY CORP.
[GRAPHIC OMITTED]
NEW JERSEY SUBMARKETS CLASS A OFFICE
DIRECT VACANCY RATES
1997 1998 1999 2000 1Q01
---- ---- ---- ---- ----
MERCER COUNTY 2.5% 1.5% 5.2% 6.3% 5.9%
ESSEX COUNTY 4.7% 3.3% 6.0% 9.6% 12.2%
BERGEN COUNTY 7.8% 6.8% 5.3% 5.1% 7.5%
<FN>
Source: Cushman & Wakefield
Note: 57% of New Jersey office revenue is derived from Essex County office properties
13% of New Jersey office revenue is derived from Bergen County office properties
5% of New Jersey office revenue is derived from Mercer County office properties
</FN>
41
RECKSON ASSOCIATES REALTY CORP.
[GRAPHIC OMITTED]
NEW YORK CITY SUBMARKETS CLASS A OFFICE
AVERAGE ASKING RENTS
1997 1998 1999 2000 1Q01
---- ---- ---- ---- ----
MIDTOWN WEST SIDE $33.10 $43.36 $48.28 $60.89 $64.96
FINANCIAL EAST $29.77 $40.21 $37.64 $52.90 $53.28
MIDTOWN EAST SIDE $39.33 $47.85 $51.18 $61.46 $65.43
6TH AVE. /ROCKEFELLER CENTER $43.62 $51.33 $53.12 $65.91 $71.48
<FN>
Source: Cushman & Wakefield
Note: 40% of New York City office revenue is derived from Midtown West Side properties
29% of New York City office revenue is derived from Midtown East Side properties
16% of New York City office revenue is derived from 6th Ave./Rockefeller Center properties
14% of New York City office revenue is derived from Financial East properties
</FN>
42
RECKSON ASSOCIATES REALTY CORP.
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NEW YORK CITY SUBMARKETS CLASS A OFFICE
DIRECT VACANCY RATES
1997 1998 1999 2000 1Q01
---- ---- ---- ---- ----
MIDTOWN WEST SIDE 3.7% 3.3% 4.6% 2.4% 1.5%
FINANCIAL EAST 8.2% 6.6% 3.4% 1.4% 2.5%
MIDTOWN EAST SIDE 5.6% 6.0% 3.8% 1.9% 1.5%
6TH AVE. /ROCKEFELLER CENTER 2.7% 2.2% 1.6% 0.9% 0.7%
<FN>
Source: Cushman & Wakefield
Note: 40% of New York City office revenue is derived from Midtown West Side properties
29% of New York City office revenue is derived from Midtown East Side properties
16% of New York City office revenue is derived from 6th Ave./Rockefeller Center properties
14% of New York City office revenue is derived from Financial East properties
</FN>
43
VALUE CREATION PIPELINE STATISTICS
----------------------------------
44
RECKSON ASSOCIATES REALTY CORP.
VALUE CREATION PIPELINE
March 31, 2001
- ------------------------------------------------------------------------------------------------------------------------------------
Anticipated Total Investment Anticipated
Acres / Initial Incremental Anticipated To Stabilized
Stage/Property Sq. Feet Investment Investment Investment Date Return (1)
- ------------------------------------------------------------------------------------------------------------------------------------
PROJECTS IN STABILIZATION PERIOD
- --------------------------------
100 Grasslands Road, Elmsford, NY 47,690 $563,000 $4,437,000 $5,000,000 $4,208,507 14.3%
50 Marcus Drive, Melville, NY 163,762 $2,930,000 $19,031,000 $21,961,000 $16,756,872 14.0%
- ------------------------------------------------------------------------------------------------------------------------------------
TOTAL PROJECTS IN STABILIZATION PERIOD 211,452 $3,493,000 $23,468,000 $26,961,000 $20,965,379 14.1%
- ------------------------------------------------------------------------------------------------------------------------------------
PROJECTS UNDER DEVELOPMENT OR REPOSITIONING
- -------------------------------------------
Melville Expressway Corporate Center, Melville, NY 277,500 $4,250,000 $39,196,000 $43,446,000 $37,094,648 12.0%
(Phase I)
University Square , Princeton, NJ 315,000 $4,657,300 $45,739,700 $50,397,000 $13,112,137 12.0%
AIP 2001, Islip, NY 71,000 $650,000 $5,042,000 $5,692,000 $1,888,441 12.2%
400 Moreland Road, Commack, NY 56,875 $1,562,000 $1,405,000 $2,967,000 $2,908,429 12.0%
- ------------------------------------------------------------------------------------------------------------------------------------
TOTAL PROJECTS UNDER DEVELOPMENT OR REPOSITIONING 720,375 $11,119,300 $91,382,700 $102,502,000 $55,003,655 12.0%
- ------------------------------------------------------------------------------------------------------------------------------------
PROJECTS IN PLANNING
- --------------------
Melville Square Corporate Center II, Melville, NY 255,000 $5,732,621 $27,927,379 $33,660,000 $7,091,094 12.5%
Melville Expressway Corporate Center, Melville, NY 277,500 $4,250,000 $45,040,000 $49,290,000 $8,270,593 13.0%
(Phase II)
Reckson Executive Park, Rye Brook, NY 345,000 $8,000,000 $47,799,000 $55,799,000 $14,085,204 12.0%
Landmark 7, Stamford, CT 61,000 $0 $13,208,000 $13,208,000 $20,774 12.3%
- ------------------------------------------------------------------------------------------------------------------------------------
TOTAL PROJECTS IN PLANNING 938,500 $17,982,621 $133,974,379 $151,957,000 $29,467,665 12.5%
- ------------------------------------------------------------------------------------------------------------------------------------
LAND
- ----
155 White Plains Road, Tarrytown, NY 7 $700,000 $0 $700,000 $700,000 12.0%
70 Andrews Road, Hicksville, NY 3.8 $487,500 $2,821,500 $3,309,000 $976,305 12.0%
Giralda Farms , Morris County, NJ (2) 40 $5,000,000 $75,091,000 $80,091,000 $17,052,176 11.0%
Old Willets Path, Hauppauge, NY 2 $595,000 $2,400,000 $2,995,000 $757,260 12.0%
Eagle Rock 3, East Hanover, NJ 15 $2,808,904 $14,816,096 $17,625,000 $3,965,412 12.0%
AIP Recapture, Islip, NY 4.2 $0 $0 $0 $0 12.0%
AIP, Islip NY 3.8 $0 $2,200,000 $2,200,000 $0 12.0%
AIP, Islip NY 2 $0 $1,400,000 $1,400,000 $0 12.0%
East Patchogue, East Patchogue, NY 23 $0 $0 $0 $0 12.0%
40 Cragwood, South Plainfield, NJ 7 $0 $0 $0 $0 12.0%
- ------------------------------------------------------------------------------------------------------------------------------------
TOTAL LAND 107.8 $9,591,404 $98,728,596 $108,320,000 $23,451,153 11.3%
- ------------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------------
TOTAL UNREALIZED PIPELINE $42,186,325 $347,553,675 $389,740,000 $128,887,852 12.1%
- ------------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------------
TOTAL REALIZED VALUE CREATION PROJECTS 8,273,841 $767,805,720 $296,811,587 $1,064,617,307 $1,064,617,307 12.0%
- ------------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------------
Estimated Months
Current to Completion
Stage/Property Occupancy Business Plan Stabilization
- ------------------------------------------------------------------------------------------------------------------------------------
PROJECTS IN STABILIZATION PERIOD
100 Grasslands Road, Elmsford, NY 100.0% Complete reposition of tenant space for occupancy. 3 - 6
50 Marcus Drive, Melville, NY 100.0% Complete reposition of tenant space for occupancy. 3
- ------------------------------------------------------------------------------------------------------------------------------------
TOTAL PROJECTS IN STABILIZATION PERIOD
- ------------------------------------------------------------------------------------------------------------------------------------
PROJECTS UNDER DEVELOPMENT OR REPOSITIONING
Melville Expressway Corporate Center, Melville, NY 8.0% Commercial developement on Phase I of commercial land 12 - 24
(Phase 1) zoned for 550,000 SF office development.
University Square , Princeton, NJ 0.0% Commenced development on a 315,000 SF office building 24 - 36
AIP 2001, Islip, NY 0.0% Development of a 71,000 SF industrial building. 12 - 24
This represents the last remaining parcel
in a development which includes 3 fully
leased industrial buildings encompassing 442,000 sf.
400 Moreland Road, Commack, NY 0.0% Reposition vacant industrial property 12 - 18
- ------------------------------------------------------------------------------------------------------------------------------------
TOTAL PROJECTS UNDER DEVELOPMENT OR REPOSITIONING
- ------------------------------------------------------------------------------------------------------------------------------------
PROJECTS IN PLANNING
Melville Square Corporate Center II, Melville, NY Development of 255,000 SF office building 24 - 30
Melville Expressway Corporate Center, Melville, NY Phase II of commercial land zoned for 550,000 SF 18 - 30
(Phase 1) office development.
Reckson Executive Park, Rye Brook, NY Commercial land zoned for 345,000 SF office development. 18 - 36
Actively marketing to build to suits
Landmark 7, Stamford, CT Develop 61,000 sf building adjacent to existing Landmark 18 - 24
Square office complex.
- ------------------------------------------------------------------------------------------------------------------------------------
TOTAL PROJECTS IN PLANNING
- ------------------------------------------------------------------------------------------------------------------------------------
LAND
155 White Plains Road, Tarrytown, NY Intended for sale 12
70 Andrews Road, Hicksville, NY Development of 50,000 SF building 18
Giralda Farms , Morris County, NJ (2) Commercial land zoned for 430,000 SF office 30 - 36
development. Presently marketing to corporate users.
Old Willets Path, Hauppauge, NY Commercial land zoned for 30,000 SF industrial 18
development.
Eagle Rock 3, East Hanover, NJ Development of 115,000 SF office building 24 - 36
AIP Recapture, Islip, NY Land lease to alternative use ( hotel , retail ) 36
AIP, Islip NY Development of 43,000 SF office/R&D use 36
AIP, Islip NY Development of 30,000 SF office/R&D use 36
East Patchogue, East Patchogue, NY Intended for sale 48
40 Cragwood, South Plainfield, NJ Intended for sale 60
- ------------------------------------------------------------------------------------------------------------------------------------
TOTAL LAND
- ------------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------------
TOTAL UNREALIZED PIPELINE
- ------------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------------
TOTAL REALIZED VALUE CREATION PROJECTS 97.9%
- ------------------------------------------------------------------------------------------------------------------------------------
<FN>
(1) Forward looking statement based upon management's estimates. Actual results may differ materially.
(2) Excludes $3.7 million of purchase price which is allocated to 113 acres on which an additional 650,000 SF of office space
can be developed.
</FN>
45