"This gives us 5.6 million more sf in Manhattan," Holliday said during a late afternoon conference call with analysts yesterday. "These additions to our portfolio reinforce our already dominant position in the Manhattan marketplace." The acquisition brings SL Green's Manhattan portfolio to 24.5 million sf. SL Green's total portfolio is pegged at 28.1 million sf.The transaction has been approved by both companies' boards of directors and is expected to close in January 2007. Reckson's stockholders will have to approve the deal first, and the agreement is subject to the usual closing conditions.

SL Green chief financial officer Greg Hughes said during the call that shedding suburban parts of the acquisition falls in line with what has produced historic success for each company. "The Long Island and New Jersey portfolios running out of Long Island and SL Green absorbing New York into its existing New York offices… ."

Under the terms of the agreement, SL Green will acquire all of Reckson's common stock and OP units for $31.68 per share in cash and a fixed exchange ratio of 0.1039 shares of SL Green common stock. The transaction consideration represents $43.31 per Reckson common share and OP unit. Completion of the buy action is not subject to receipt of financing by SL Green and does not require approval by SL Green stockholders. After the dust clears, Reckson stockholders will own approximately 15.2% of SL Green.