"Our ability to recognize and act upon positive trends in our market positioned Cali Realty as one of the leading office REITs in the country." —John R. Cali

By aggressively embarking on a calculated strategy of acquiring and developing high-quality properties in promising markets, Cali Realty Corporation became the premier super-regional office REIT in the Northeast, with properties stretching across four states.

In 1996 alone, Cali Realty Corporation purchased 15 office properties totaling almost 3.3 million SF, for over $450 million. The most notable of their acquisitions that year was Harborside Financial Center, a 1.9 million SF office complex in Jersey City, New Jersey. Heralded as one of the largest commercial real estate transactions in New Jersey history, this purchase solidified Cali as the dominant force in the Jersey City office market.

John R. Cali was Head of Acquisitions for Cali Realty during this run, and under his guidance the REIT doubled in size from 10 million to 20 million SF. 

The Robert Martin transaction involved the acquisition of 4.1 million SF of properties, including Westchester Financial Center, in White Plains, NY.

Cali Realty Corporation strengthened its position as the dominant office REIT in the northeast in January 1997, when it acquired 65 properties and their related operations from the Robert Martin Company, the largest commercial real estate development company in Westchester County, New York and Fairfield County, Connecticut.

This $450 million transaction accomplished several objectives for Cali. It added 4.1 million SF of office, office/flex and industrial/warehouse space in Westchester and Fairfield counties to Cali’s portfolio. The resulting portfolio totaled approximately 11.4 million SF - almost triple the size of the portfolio at January 1996.

The Company’s reach extended across four states, stretching from suburban Philadelphia, through New Jersey, across lower New York State, and into Connecticut. Cali had the strategic advantage of operating in markets that collectively contained over 250 million SF of office space, and over one billion SF of industrial space, providing Cali with abundant acquisition and growth opportunities for the future.

That major transaction positioned Cali as the largest and most dominant office REIT in the northeast and as one of the few super-regional REITs in the United States.

Harborside Financial Center, a 1.9 million SF office complex on the Jersey City waterfront, stands out not only as Cali’s largest acquisition through 1996, but also as one of the largest commercial real estate transactions in New Jersey history. The $292 million purchase of this nationally renowned property further established Cali’s dominance in the Jersey City waterfront market, with Cali now owning 40% of the Class A office space in this top-performing market.

In connection with the Harborside purchase, Cali also acquired 17 acres of land approved for an additional 4.1 million SF of development, plus water rights extending into the Hudson River. Harborside, located directly across the river and one train stop away from lower Manhattan, is now 99% leased to 45 tenants.

From August 1996 through January 1997, Cali reached several significant milestones. This six month period saw Cali complete $850 million in transactions, raise $545 million in equity capital and establish itself as one of the few super-regional REITs in the country.

Mack-Cali Merger

In August 1997, Cali Realty Corporation announced its plans to merge with two private real estate concerns, New Jersey-based Mack Company and Dallas-based Patriot American Office Group.

The transaction added 54 office properties totaling approximately 9.2 million SF to Cali’s portfolio, for a combined portfolio of 186 properties totaling 21.5 million SF of office, office/flex and industrial/warehouse space, located in 10 states. The $1.2 billion transaction closed in December, 1997. The Company operated under the new name Mack-Cali Realty Corporation.