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10/01/2001

iStar Financial Declares Regular Quarterly Dividend

NEW YORK, Oct 1, 2001 /PRNewswire/ -- iStar Financial Inc. (NYSE: SFI), the largest publicly traded finance company focused exclusively on the commercial real estate industry, today announced that its Board of Directors has declared a regular quarterly cash dividend on its common stock of $0.6125 per share for the quarter ended September 30, 2001. The $0.6125 dividend is payable on October 29, 2001 to holders of record on October 15, 2001.

iStar Financial is the largest publicly traded finance company focused exclusively on the commercial real estate industry. The Company provides structured financing to private and corporate owners of real estate nationwide, including senior and junior mortgage debt, corporate mezzanine and subordinated capital, and corporate net lease financing. The Company, which is taxed as a real estate investment trust, seeks to deliver superior risk- adjusted returns on equity to shareholders by providing innovative and value-added financing solutions to its customers. Additional information on iStar Financial is available on the Company's Web site at www.istarfinancial.com.

SOURCE iStar Financial, Inc.

CONTACT:          Spencer B. Haber, President and Chief Financial Officer, or
                  Lianne A. Merchant, Vice President, Investor Relations, or Erin C. Hart,
                  Associate, Investor Relations, all of iStar Financial, Inc., +1-212-930-9400

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