Mack-Cali Realty Corp., the owner of stakes in 320 properties, has agreed to sell 19 office buildings and land in Denver and Colorado Springs to Westcore Properties LLC for $195.3 million to focus on holdings in the U.S. Northeast.
The office buildings have 1.4 million square feet of space and the land consists of 1.6 acres used for parking and 7.1 vacant acres, Cranford, N.J.-based Mack-Cali said in a statement. Mack-Cali said it expects to complete the sale to closely held Westcore, based in San Diego, by the end of the third quarter.
Mack-Cali is focusing on owning buildings in cities in the Northeast where rents and occupancies are higher than other parts of the U.S. Earlier this year, the company agreed to buy Gale Real Estate Services Co. along with stakes in 2.8 million square feet of New Jersey office properties.
“We are executing our strategic plan to realign our property portfolio and focus more on growth opportunities in our core Northeast markets,” Mack-Cali chief executive Mitchell E. Hersh said.
Mack-Cali’s second-quarter earnings declined 26 percent after property sales the previous year weren’t repeated. It’s been selling assets in markets where it has few properties.
