SL Green Realty Corp (NYSE: SLG) and its partner Westcore Properties today announced the sale of the Jersey Property Unit Trust (JPUT) that owns a long-term leasehold interest in Procession House, a Class A office building located at 55 Ludgate Hill in the City of London. The sale to a UK based property company for $100 million closed on November 22, 2012. SL Green will receive approximately $34.3 million in net proceeds from the completed transaction and realize an internal rate of return in excess of 20% on its investment. SL Green and Westcore acquired the property’s mortgage in September 2010. When the mortgage defaulted in June 2012, Green Loan Services LLC exercised remedies and put the property into receivership. David Schonbraun, Co-Chief Investment Officer commented, “The sale of Procession House represents the highly successful conclusion of what was a unique investment for SL Green, outside our usual geographic focus, but certainly within our debt investment and special servicing expertise.” Procession House, built in 1999, is a fully-occupied 9,773 square-meter (105,195 sq. ft.) building located over the City Thameslink Station. The 9,129 square-meter (98,262 sq. ft.) office component is leased to Goldman Sachs International until September 2024. The remaining retail space is leased as well. Jones Lang LaSalle’s London investment sales team led by Andrew Hawkins marketed the sale of the asset. About SL Green Realty Corp. SL Green Realty Corp., New York City's largest office landlord, is the only fully integrated real estate investment trust, or REIT, that is focused primarily on acquiring, managing and maximizing value of Manhattan commercial properties. As of September 30, 2012, SL Green owned interests in 77 Manhattan properties totaling 39.3 million square feet. This included ownership interests in 27.5 million square feet of commercial properties and debt and preferred equity investments secured by 11.8 million square feet of properties. In addition to its Manhattan investments, SL Green holds ownership interests in 31 suburban assets totaling 5.4 million square feet in Brooklyn, Long Island, Westchester County, Connecticut and New Jersey, along with four development properties in the suburbs encompassing approximately 0.5 million square feet. The Company also has ownership interests in 31 properties totaling 4.5 million square feet in southern California.
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