Gramercy Restructures Following $3.3B AFR Buy

[IMGCAP(1)]NEW YORK CITY- Gramercy Capital Corp. revealed that Robert Foley has been promoted to COO and that John Roche has joined the company as CFO. The new leadership announcements come just three weeks after Gramercy completed it’s $3.3-billion acquisition of American Financial Realty Trust, which was first revealed in November .

Gramercy’s president and CEO, Marc Holliday, said during Gramercy’s Q1 2008 earnings’ result conference call that “we are making these changes so that the leadership of Gramercy reflects the strategic focus of the company going forward and at a time when the loan division needs aggressive asset management and rigorous attention to credit quality.” Holliday noted during the call, that in this challenging economic climate, it is difficult to be completely satisfied with earning’s results; however he added that Gramercy has “done what it has set out to do.”

[IMGCAP(2)]According to Gramercy, the acquisition transformed the firm into a $7.4 billion diversified enterprise with well-developed debt and equity investment platforms. The company’s assets now include approximately 30.4 million sf with an aggregate value of approximately $3.5 billion, as well as $3.9 billion of debt investments and commercial real estate securities investments. Holliday added that the AFR transaction “was worth the effort as Gramercy has achieved its objective.”