MELVILLE, N.Y., Mar 28, 2006 (BUSINESS WIRE) -- Reckson Associates Realty Corp. (NYSE: RA) announced today that its operating partnership, Reckson Operating Partnership, L.P., has priced an offering of $275 million of 6.00% senior unsecured notes due March 31, 2016. Interest on the notes will be payable semi-annually on May 15 and November 15, commencing May 15, 2006. The notes were priced at 99.857% of par value to yield 6.02%. Settlement is scheduled for March 31, 2006.

The net proceeds from the offering, after the underwriters' discount and expenses, are anticipated to be approximately $272.7 million. The Company intends to use the net proceeds from the offering for general corporate purposes, including the repayment of all or a portion of Reckson's term loan from Goldman Sachs Mortgage Company, which matures in April 2006.

The underwriters for this transaction were Citigroup Global Markets Inc. and Goldman, Sachs & Co. as joint bookrunners and BNY Capital Markets, Inc., Deutsche Bank Securities, ING Financial Markets LLC, J.P. Morgan Securities Inc., KeyBanc Capital Markets, PNC Capital Markets LLC, Scotia Capital (USA) Inc., UBS Securities LLC, Wachovia Capital Markets, LLC and Wells Fargo Securities, LLC as co-managers. A copy of the prospectus supplement and related prospectus relating to the offering may be obtained from the underwriters.

Reckson Associates Realty Corp. is a self-administered and self-managed real estate investment trust (REIT) specializing in the acquisition, leasing, financing, management and development of Class A office properties.

Reckson's core growth strategy is focused on the markets surrounding and including New York City. The Company is one of the largest publicly traded owners, managers and developers of Class A office properties in the New York Tri-State area, and wholly owned, had substantial interests in, or had under contract, a total of 103 properties comprised of approximately 20.3 million square feet at December 31, 2005. For additional information on Reckson Associates Realty Corp., please visit the Company's web site at www.reckson.com.

Certain matters discussed herein, including guidance concerning the Company's future performance, are "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Although the Company believes the expectations reflected in such forward-looking statements are based on reasonable assumptions, forward-looking statements are not guarantees of results and no assurance can be given that the expected results will be delivered. Such forward-looking statements are subject to certain risks, trends and uncertainties that could cause actual results to differ materially from those expected. Among those risks, trends and uncertainties are the general economic climate, including the conditions affecting industries in which our principal tenants compete; financial condition of our tenants; changes in the supply of and demand for office properties in the New York Tri-State area; changes in interest rate levels; changes in the Company's credit ratings; changes in the Company's cost of and access to capital; downturns in rental rate levels in our markets and our ability to lease or re-lease space in a timely manner at current or anticipated rental rate levels; the availability of financing to us or our tenants; changes in operating costs, including utility, real estate taxes, security and insurance costs; repayment of debt owed to the Company by third parties; risks associated with joint ventures; liability for uninsured losses or environmental matters; and other risks associated with the development and acquisition of properties, including risks that development may not be completed on schedule, that the tenants will not take occupancy or pay rent, or that development or operating costs may be greater than anticipated. For further information on factors that could impact Reckson, reference is made to Reckson's filings with the Securities and Exchange Commission. Reckson undertakes no responsibility to update or supplement information contained in this press release.

SOURCE: Reckson Associates Realty Corp.

Reckson Associates Realty Corp.
Scott Rechler, CEO
Michael Maturo, CFO
631-694-6900
631-622-6790 (Facsimile)