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iStar Financial Sets Exchange Ratio for TriNet Corporate Realty Trust 7.70% Senior Notes due 2017

NEW YORK, Feb 22, 2005 /PRNewswire-FirstCall via COMTEX/ -- iStar Financial Inc. (NYSE: SFI), the leading publicly traded finance company focused on the commercial real estate industry, and its subsidiary TriNet Corporate Realty Trust, Inc., announced today that iStar has set the exchange ratio on its offer to exchange iStar Financial Inc. 5.70% Series B Senior Notes due 2014 for any and all of TriNet's 7.70% Senior Notes due 2017. The exchange offer is scheduled to expire at 12:00 Midnight, New York City time, on February 24, 2005, unless extended.

For each $1,000 principal amount of TriNet Notes tendered, holders will receive iStar Notes in an amount equal to $1,000 multiplied by the exchange ratio. The exchange ratio is equal to the exchange price of the TriNet Notes, which includes accrued and unpaid interest, divided by the new issue price of the iStar Notes, which includes accrued and unpaid interest. Since the iStar Notes will be issued in denominations of $1,000, the exchange ratio calculation will be rounded down to the nearest $1,000 principal amount, with the balance payable in cash.

Based upon the yield of the 4.25% U.S. Treasury Note maturing November 15, 2014 at 2:00 p.m. New York City time on February 22, 2005, as calculated by Bear, Stearns & Co. Inc., the final exchange price of the TriNet Notes, inclusive of the $20.00 consent amount which will be paid to all tendering holders, and the new issue price of the iStar Notes will be $1,184.39, and $1,011.43, respectively, and the exchange ratio will be 1.171005.

As previously announced, holders of at least a majority in principal amount of the TriNet Notes were properly tendered and not validly withdrawn as of the consent date of February 11, 2005. As a result, TriNet has executed the supplemental indenture giving effect to the proposed amendments to the indenture governing the TriNet Notes as described in the Prospectus, dated February 10, 2005 relating to the exchange offer and associated consent solicitation. iStar Financial's obligation to consummate the exchange offer is subject to the satisfaction or waiver of other customary conditions prior to the expiration of the offer.

Bear, Stearns & Co Inc. is acting as dealer manager in connection with the Exchange Offer and Consent Solicitation. Questions regarding the Exchange Offer may be directed to Bear, Stearns & Co. Inc., Global Liability Management Group, at (877) 696-BEAR (2327) (U.S. toll-free).

Copies of offer materials can be obtained from Georgeson Shareholder at 17 State Street, 10th Floor, New York, NY 10004, by telephone at (866) 873-6993.

This announcement is not an offer of iStar Notes or a solicitation of consents with respect to the TriNet Notes. The exchange offer and consent solicitation is being made solely by a Prospectus dated February 10, 2005, and a form of Consent and Letter of Transmittal that accompanied the original Prospectus dated January 25, 2005.

iStar Financial is the leading publicly traded finance company focused on the commercial real estate industry. The Company provides custom-tailored financing to high-end private and corporate owners of real estate nationwide, including senior and junior mortgage debt, senior and mezzanine corporate capital, and corporate net lease financing. The Company, which is taxed as a real estate investment trust, seeks to deliver a strong dividend and superior risk-adjusted returns on equity to shareholders by providing the highest quality financing solutions to its customers. Additional information on iStar Financial is available on the Company's website at

SOURCE iStar Financial Inc.

Catherine D. Rice, Chief Financial Officer; or Andrew C. Richardson, Executive Vice
President - Capital Markets; or Andrew G. Backman, Vice President - Investor
Relations, all of iStar Financial, +1-212-930-9400
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