SL Green Realty Signs 186,000 SF Lease with Polo Ralph Lauren at 625 M

    Business Editors

    NEW YORK--(BUSINESS WIRE)--Feb. 17, 2005--In a transaction that will accelerate value creation at the recently acquired 625 Madison, SL Green Realty Corp. (NYSE: SLG) announced that it has completed a 186,000 square foot lease with Polo Ralph Lauren Corporation at the property, which was formerly known as the Revlon Building. When SL Green acquired 625 Madison in October 2004, it was only 68 percent leased due to Revlon's departure in 2003.
    The 15-year Polo lease comes on the heels of an 87,000 square foot lease announced today with Related Capital Company, a subsidiary of CharterMac (AMEX: CHC). Together, the leases will raise the building's occupancy to 92 percent. Polo Ralph Lauren will occupy approximately one-third of the property, including most of the space formerly occupied by Revlon. Committed to expanding its presence in the Midtown market, Polo will use the space for their corporate offices and as a hub within Midtown.
    625 Madison is a 558,000 square foot, 17-story building located in the highly desirable Plaza submarket. It is situated between 58th and 59th Streets along the prestigious stretch of Madison Avenue commonly referred to as "The Golden Mile."
    "We recognized a significant opportunity during the acquisition of 625 Madison to create value by capitalizing on changing market conditions driven by a shortage of large, contiguous blocks of premium office space in Midtown Manhattan," said Marc Holliday, President and Chief Executive Officer of SL Green. "We're enthusiastic that 625 Madison attracted a top-tier, high quality company such as Polo Ralph Lauren, nearly completing our leasing objectives for the property within four months of the acquisition."
    "This transaction underscores our ability to structure complex transactions and to meet the specific goals of our tenants," said Steven Durels, SL Green's Executive Vice President and Director of Leasing. "SL Green was flexible and creative in responding to the operational and financial requirements of Polo Ralph Lauren, and was able to offer expansion opportunities the firm can take advantage of over the life of the lease." Mr. Durels negotiated the lease on behalf of SL Green Realty Corp.
    Mitchell Steir, CEO, David Goldstein, Matthew Barlow, and Michael Leff of Studley, Inc. represented Polo Ralph Lauren in the transaction.
    The building's leasing agents are Jonathan Serko, Barry Zeller and David Malawer of Cushman & Wakefield.
    SL Green Realty Corp. is a self-administered and self-managed real estate investment trust ("REIT") that primarily owns, manages, leases, acquires and repositions office properties in New York City. The Company is the largest commercial landlord in Manhattan with 28 properties comprising more than 17 million square feet.

    Forward-looking Information

    This press release contains forward-looking information based upon the Company's current best judgment and expectations. Actual results could vary from those presented herein. The risks and uncertainties associated with forward-looking information in this release include the strength of the commercial office real estate markets in New York, competitive market conditions, unanticipated administrative costs, timing of leasing income, general and local economic conditions, interest rates, capital market conditions, tenant bankruptcies and defaults, the availability and cost of comprehensive insurance, including coverage for terrorist acts, and other factors, which are beyond the Company's control. We undertake no obligation to publicly update or revise any of the forward-looking information. For further information, please refer to the Company's filing with the Securities and Exchange Commission.

--30--NM/ny*

CONTACT: SL Green Realty Corp. Michelle LeRoy, 212/216-1692 or Rubenstein Associates, Inc. Maria Englund, 212/843-8270

KEYWORD: NEW YORK INDUSTRY KEYWORD: REAL ESTATE BUILDING/CONSTRUCTION MARKETING AGREEMENTS SOURCE: SL Green Realty Corp.

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