New York, NY (September 27, 2004) Reckson Associates Realty Corp. (NYSE: RA) hosted a groundbreaking ceremony on September 21, 2004 to commence construction to complete the final phase of Reckson Executive Park in Melville, Long Island, a twin building, a 554,000-square-foot Class A office development. Scott Rechler, president and chief executive officer of Reckson Associates, and Congressman Steve Israel officiated the ceremony.

The project groundbreaking caps an extremely active 12 months for Reckson Associates following the sale of its industrial portfolio and corporate restructuring that was announced almost exactly a year ago. Since the beginning of this year, Reckson has leased more than 1.6 million square feet throughout the Tri-State and increased its overall occupancy rate to 94 percent. The Company also invested more than $400 million, buying new buildings in Manhattan and New Jersey and raised more than $1 billion through the sale of debt and equity in the capital markets.

Scott Rechler stated, "Commencement of this ground-up development project represents our confidence in the Long Island economy and office market, which is one of the strongest in the country. Reckson has been extremely successful attracting an exclusive roster of tenants to 58 South Service Road, one of the most sought after office locations on Long Island. We anticipate the same level of success at 68 South Service Road. At Reckson Associates, we are committed to maintaining our market leadership position in Long Island, as well as throughout the New York Tri-State area. This endeavor, as well as several recent acquisitions in our core markets, represents Reckson Associates at work investing, building, growing and leading.

The new spec building, 68 South Service Road, is the largest speculative suburban office development in the Tri-State area. Reckson's decision to begin the construction of 68 South Service Road reflects the Company's confidence in the Long Island economy and commercial real estate market. The improving Long Island office fundamentals are reflected in the increasing demand for space that caters to companies requiring newer, state-of-the-art buildings to accommodate today's operational needs. This new premier office building will follow Reckson's leasing success at 58 South Service Road, which has set a new standard for Class A office space in the Melville marketplace, completed in 2001, and is currently 92 percent leased to a prestigious roster of tenants including Smith Barney Citigroup, Zurich American Insurance Company, OSI Pharmaceuticals and Signature Bank, among others.

Strategically located at the gateway of Nassau and Suffolk Counties between Exits 48 and 49 on the Long Island Expressway, Reckson Executive Park offers exceptional visibility as well as immediate access to all major roadways, and is surrounded by approximately 100 acres of passive parkland in a campus-style environment. The dramatic four-story granite and glass façade building will feature hi-tech training rooms and 140 seat auditorium, concierge service, café, fitness center and on-site wireless networking along with an indoor executive parking garage, providing the highest quality services, amenities and solutions that continue to make Reckson the "Landlord of Choice" in the New York Tri-State area. 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, with 85 properties comprised of approximately 15.4 million square feet either owned or controlled, or under contract. For additional information on Reckson Associates Realty Corp., please visit the Company's web site at www.reckson.com.

SOURCE: Reckson Associates Realty Corp.
Beckerman Public Relations
225 Broadhollow Road
Melville, NY 11747
(Media) Anna Ciringione
(phone) (908) 781-6420
(631) 694-6900 (Phone)
(631) 622-6790 (Facsimile)
Contact: Scott Rechler, CEO
Michael Maturo, CFO