NEW YORK CITY-Gramercy Capital Corp. on Monday said it has completed the process of internalizing its management, a move the company says has been its goal from the beginning. The final step toward Gramercy’s internalization was acquiring its external manager, GKK Manager LLC, previously a wholly owned subsidiary of SL Green Realty Corp. In a release, Gramercy says the consideration paid to SL Green to acquire GKK was “de minimis.”

According to the release, a short-term transition agreement will remain in place between Gramercy and SL Green. The consulting agreements with specific SL Green employees have now been terminated, “and it is the intention of Marc Holliday and Stephen Green to exit from the board of directors of Gramercy in the near future.” Holliday and Green are CEO and chairman, respectively, of SL Green.

In a statement, Gramercy CEO Roger Cozzi says, “The internalization of management, together with the restructuring of our corporate indebtedness, improves our ability to weather the current market environment and positions us to take advantage of investment opportunities once our nation’s real estate and financial markets begin to recover.” Earlier this month, Gramercy settled its $175-million unsecured credit facility, and amended and extended its $216-million secured credit facility and $200-million master repurchase facility.

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM digital member, you’ll receive:

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 1 free article* every 30 days across the ALM subscription network
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?


NOT FOR REPRINT

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.

GlobeSt

Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2024 ALM Global, LLC. All Rights Reserved.