While the jury is still out on the WTC purchase, the facts are in on Citigroup, which the REIT purchased in joint venture with Allied Partners. Deutsche Bank provided some $525 million in first-mortgage funds while Allied kicked in $35 million in equity. Boston Properties picked up the remainder of the tab. According to a statement released by the REIT, which will also manage the property, the total investment after closing costs and mortgage-recording taxes comes to $755 million.

Thomas R. Clayton, managing director of LaSalle Investment Management, which advised Dai-ichi in the transaction, explained the complexities of the deal in a prepared statement: "Early in 2000, Dai-ichi decided to sell its two-thirds condominium stake in Citigroup Center. Citibank sold a two-thirds interest in the building and a one-third interest in the bank's former headquarters at 399 Park Ave. to Dai-ichi for $670 million. We advised Dai-ichi that a higher price could be achieved if we could take control of the other third of the building and sell the entire property as a whole.

"We took the first step toward accomplishing this in November when Dai-ichi signed a contract to buy Citibank's remaining stake in the tower, while Citibank agreed to acquire Dai-ichi's interest in 399 Park Ave."