Moody's Downgrades Reckson Sub

The senior unsecured debt rating of Reckson Operating Partnership LP has been downgraded from Ba1 to Ba2 by Moody's Investors Service, citing SL Green Realty Corp.'s recent acquisition of Reckson Associates Realty Corp.The outlook was revised to stable. The rating agency noted that SL Green completed its acquisition of Reckson in January and entered into a supplemental indenture whereby SL Green "provided a full and unconditional guarantee of Reckson Operating Partnership LP's unsecured bond obligations. After review of SL Green's quarterly SEC filings, Moody's believes Reckson's bondholders remain in a weaker position post-closing because the transaction results in substantial asset and tenant concentrations at the Reckson Operating Partnership." Moody's also cited a "lack of transparency" surrounding the long-term strategic plan of Reckson Operating Partnership.