SL Green Nabs Reckson

Updated from 12:48 p.m. EDT

SL Green Realty (SLG Quote) agreed to buy Reckson Associates Realty (RA Quote), bolstering its office presence in Manhattan, while also providing expansion into New York City's outlying areas.

SL Green will pay roughly $6 billion for fellow office REIT Reckson, including the assumption of about $2 billion in debt. But SL Green plans to sell several Reckson properties to an investment group for about $2.1 billion.

Under the terms of the deal, SL Green will pay Reckson holders $31.68 in cash and 0.10387 SL Green shares for each share owned. Based on SL Green's closing stock price of $112 Wednesday, the deal values Reckson at $43.31 a share, a discount to its Wednesday close of $43.95. ...