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                                 UNITED STATES
                       SECURITIES AND EXCHANGE COMMISSION
                             WASHINGTON, D.C. 20549
                            ------------------------

                                   FORM 10-K

   FOR ANNUAL AND TRANSITION REPORTS PURSUANT TO SECTIONS 13 OR 15(D) OF THE
                        SECURITIES EXCHANGE ACT OF 1934

(MARK ONE)

<Table>
<C>        <S>
   /X/     ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(D) OF THE
           SECURITIES EXCHANGE ACT OF 1934
</Table>

                  FOR THE FISCAL YEAR ENDED DECEMBER 31, 2002
                                       OR

<Table>
<C>        <S>
   / /     TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(D) OF THE
           SECURITIES EXCHANGE ACT OF 1934
</Table>

        FOR THE TRANSITION PERIOD FROM ______________ TO ______________

                          COMMISSION FILE NO. 1-11918
                            ------------------------

                      TRINET CORPORATE REALTY TRUST, INC.
             (Exact name of registrant as specified in its charter)

<Table>
<S>                                            <C>
               MARYLAND                                     94-3175659
    (State or other jurisdiction of              (I.R.S. Employer Identification
    incorporation or organization)                           Number)

1114 AVENUE OF THE AMERICAS, 27TH FLOOR                       10036
             NEW YORK, NY                                   (Zip code)
    (Address of principal executive
               offices)
</Table>

       Registrant's telephone number, including area code: (212) 930-9400
                            ------------------------

         Securities registered pursuant to Section 12 of the Act: NONE

    Indicate by check mark whether the Registrant (1) has filed all reports
required to be filed by Section 13 or 15(d) of the Securities Exchange Act of
1934 during the preceding 12 months (or for such shorter period that the
registrant was required to file such reports) and (2) has been subject to such
filing requirement for the past 90 days. Yes /X/  No / /

    Indicate by check mark whether the registrant is an accelerated filer (as
defined in Exchange Act Rule 12-b-2). Yes /X/  No / /

    The aggregate market value of the voting stock held by non-affiliates of the
Registrant is $0.

    As of March 14, 2003, there were 100 shares of common stock outstanding.

                   DOCUMENTS INCORPORATED BY REFERENCE: NONE

            THE REGISTRANT MEETS THE CONDITIONS SET FORTH IN GENERAL
   INSTRUCTIONS I (1) AND (2) OF FORM 10-K AND IS THEREFORE FILING THIS FORM
                      WITH THE REDUCED DISCLOSURE FORMAT.

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                               TABLE OF CONTENTS

<Table>
<Caption>
                                                                          PAGE
                                                                        --------
<S>       <C>                                                           <C>
PART I

Item 1.   Business....................................................      3

Item 2.   Properties..................................................      4

Item 3.   Legal Proceedings...........................................      5

Item 4.   Submission of Matters to a Vote of Security Holders.........      5

PART II

Item 5.   Market for Registrant's Equity and Related Share Matters....      6

Item 6.   Selected Financial Data.....................................      6

Item 7.   Management's Discussion and Analysis of Financial Condition
            and Results of Operations.................................      6

Item 7a.  Quantitative and Qualitative Disclosures about Market
            Risk......................................................     11

Item 8.   Financial Statements and Supplemental Data..................     13

Item 9.   Changes in and Disagreements with Accountants on Accounting
            and Financial Disclosure..................................     40

PART III

Item 10.  Directors and Executive Officers of the Registrant..........     40

Item 11.  Executive Compensation......................................     40

Item 12.  Security Ownership of Certain Beneficial Owners and
            Management................................................     40

Item 13.  Certain Relationships and Related Transactions..............     40

Item 14.  Controls and Procedures.....................................     40

PART IV

Item 15.  Exhibits, Financial Statement Schedules and Reports on Form
            8-K.......................................................     41

                                                                           44
SIGNATURES............................................................
</Table>

                                       2
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                                     PART I

ITEM 1. BUSINESS

EXPLANATORY NOTE FOR PURPOSES OF THE "SAFE HARBOR PROVISIONS" OF SECTION 21E OF
  THE SECURITIES AND EXCHANGE ACT OF 1934, AS AMENDED

    This Annual Report on Form 10-K contains forward-looking statements within
the meaning of Section 21E of the Securities Exchange Act of 1934, as amended,
which involve certain risks and uncertainties. Forward-looking statements are
included with respect to, among other things, Trinet Corporate Realty Trust,
Inc.'s current business plan, business strategy and portfolio management. The
Company's actual results or outcomes may differ materially from those
anticipated. Important factors that the Company believes might cause such
differences are discussed in the cautionary statements presented under the
caption "Factors That May Affect the Company's Business Strategy" in Item 1 of
this Form 10-K or otherwise accompany the forward-looking statements contained
in this Form 10-K. In assessing all forward-looking statements, readers are
urged to read carefully all cautionary statements contained in this Form 10-K.

CODE OF CONDUCT

    iStar Financial Inc., a Maryland Corporation ("iStar Financial"), of which
TriNet Corporate Realty Trust, Inc., a Maryland Corporation (the "Company"), is
a wholly-owned subsidiary, has adopted a code of business conduct for all of its
employees and directors, including the chief executive officer, chief financial
officer, other executive officers and personnel. A copy is also available on
iStar Financial's website at www.istarfinancial.com. iStar Financial intends to
post on its website material changes to or waivers from its code of conduct, if
any, within two days of any such event. As of December 31, 2002, there were no
such changes or waivers.

OVERVIEW

    The Company is a wholly-owned subsidiary of iStar Financial. iStar Financial
and its subsidiaries provide 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 typically provides capital to corporations, as well as borrowers,
who control facilities leased to single creditworthy tenants. The Company's net
leased assets are generally mission-critical headquarters or distribution
facilities that are subject to long-term leases with rated corporate credit
tenants, and which provide for all expenses at the property to be paid by the
corporate tenant on a triple net lease basis. Corporate tenant lease
transactions have terms generally ranging from ten to 20 years and typically
range in size from $20 million to $150 million. As of December 31, 2002, the
Company's investments consisted of 100 facilities, comprising 9.9 million square
feet in 21 states, and which were 90.10% leased. The five largest customers
collectively accounted for approximately 26.89% of the Company's annualized
lease revenue, and the Company's largest single customer accounted for
approximately 6.28% of the Company's annualized lease revenue.

    On November 3, 1999, the Company's shareholders and the shareholders of
iStar Financial approved the merger of the Company with a wholly-owned
subsidiary of iStar Financial. The shareholders of iStar Financial also
approved: (1) the acquisition by iStar Financial, through a merger and
contribution of interests, of 100.00% of the ownership interests in its former
external advisor; and (2) the change in form of its organization from a business
trust to a corporation ("Incorporation Merger").

    The Company is engaged in a competitive business. In originating and
acquiring assets, the Company competes with public and private companies,
including finance companies, mortgage banks, pension funds, savings and loan
associations, insurance companies, institutional investors, investment banking
firms and other lenders and industry participants, as well as individual
investors. Existing industry participants and

                                       3
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potential new entrants compete with the Company for the available supply of
investments suitable for origination or acquisition, as well as for debt and
equity capital. Certain of the Company's competitors are larger than the
Company, have longer operating histories, may have access to greater capital and
other resources, may have management personnel with more experience than the
officers of the Company, and may have advantages over the Company in conducting
certain businesses and providing certain services.

INVESTMENTS AND DISPOSITIONS

    INVESTMENTS--During 2002, the Company paid $27.9 million in cash to the
former member of Milpitas venture in exchange for its 50.00% ownership interest.

    DISPOSITIONS--During 2002, the Company disposed of one corporate tenant
lease asset for total proceeds of $3.7 million and recognized a gain of
approximately $595,000.

ITEM 2. PROPERTIES

    The Company maintains an office at One Embarcadero Center San Francisco, CA
94111. Its telephone number, general facsimile number and web address are
(415) 391-4300, (415) 391-6259 and www.istarfinancial.com, respectively. The
lease for the Company's office space expires in March 2008.

    See Item 8--"Schedule III--Corporate Tenant Lease Assets and Accumulated
Depreciation" for a detailed listing of corporate tenant lease facilities held
for investment.

LEASE EXPIRATIONS

    As of December 31, 2002, lease expirations on the Company's corporate tenant
lease assets, including facilities owned by the Company's joint ventures, are as
follows:

<Table>
<Caption>
                                        NUMBER OF   ANNUALIZED IN-PLACE   % OF IN-PLACE
                                         LEASES          OPERATING          OPERATING     % OF TOTAL
YEAR OF LEASE EXPIRATION                EXPIRING     LEASE INCOME (1)     LEASE INCOME    REVENUE (2)
------------------------                ---------   -------------------   -------------   -----------
                                                      (IN THOUSANDS)
<S>                                     <C>         <C>                   <C>             <C>
2003..................................      13           $  11,272             8.86%          8.52%
2004..................................      29              18,077            14.21%         13.67%
2005..................................      18              13,525            10.63%         10.23%
2006..................................      27              21,411            16.83%         16.19%
2007..................................      14               9,153             7.19%          6.92%
2008..................................       9               8,214             6.45%          6.21%
2009..................................      18              14,951            11.75%         11.30%
2010..................................       3               2,367             1.86%          1.79%
2011..................................       4               1,883             1.48%          1.42%
2012..................................       8               6,423             5.04%          4.86%
2013 and thereafter...................      16              19,974            15.70%         15.10%
                                                         ---------           ------
  Total...............................                   $ 127,250           100.00%
                                                         =========           ======
  Weighted average remaining lease term..........        6.2 years
                                                         =========
</Table>

EXPLANATORY NOTES:

------------------------------

(1) Reflects annualized GAAP operating lease income for leases in place at
    December 31, 2002. The operating lease income includes the Company's pro
    rata share from facilities owned by the Company's joint ventures.

(2) Reflects annualized GAAP operating lease income for leases in place at
    December 31, 2002 as a percentage of annualized total revenue for the
    quarter ended December 31, 2002.

                                       4
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ASSET BASE

    The following table sets forth the composition of the Company's investments
as of December 31, 2002:

<Table>
<Caption>
                                                                 ANNUALIZED IN-PLACE   % OF IN-PLACE
                                                    NUMBER OF         OPERATING          OPERATING
TYPE                                                FACILITIES    LEASE INCOME (1)     LEASE INCOME
----                                                ----------   -------------------   -------------
                                                                   (IN THOUSANDS)
<S>                                                 <C>          <C>                   <C>
Office Facilities.................................      61            $  86,532            68.00%
Industrial Facilities.............................      37               33,578            26.39%
Parking Garage....................................       1                1,350             1.06%
Ground Lease......................................       1                5,790             4.55%
                                                       ---            ---------           ------
  Total...........................................     100            $ 127,250           100.00%
                                                       ===            =========           ======
</Table>

EXPLANATORY NOTE:
------------------------------

(1) Reflects annualized GAAP operating lease income for leases in place at
    December 31, 2002. The operating lease income includes the Company's pro
    rata share from facilities owned by the Company's joint ventures.

ITEM 3. LEGAL PROCEEDINGS

    The Company is not a party to any material litigation or legal proceedings,
or to the best of its knowledge, any threatened litigation or legal proceedings
which, in the opinion of management, individually or in the aggregate, would
have a material adverse effect on its results of operations or financial
condition.

ITEM 4. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS

    Omitted pursuant to General Instruction I(2)(c) of Form 10-K.

                                       5
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                                    PART II

ITEM 5. MARKET FOR REGISTRANT'S EQUITY AND RELATED SHARE MATTERS

    Omitted pursuant to General Instruction I(2)(a) of Form 10-K.

ITEM 6. SELECTED FINANCIAL DATA

    Omitted pursuant to General Instruction I(2)(a) of Form 10-K.

ITEM 7. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS
  OF OPERATIONS

    The following discussion and analysis of financial condition and results of
operations of the Company should be read in conjunction with the Consolidated
Financial Statements and Notes thereto appearing elsewhere in this Form 10-K.
Unless otherwise defined in this report, or unless the context otherwise
requires, the capitalized words or phrases referred to in this section have the
meanings ascribed to them in such financial statements and the notes thereto.

GENERAL

    As a wholly-owned subsidiary of iStar Financial, the Company specializes in
providing investment capital to major corporations and real estate owners
nationwide by structuring sale/leaseback transactions and acquiring corporate
tenant lease assets subject to existing long-term leases to creditworthy
customers occupying office and industrial facilities. The Company uses its
corporate credit and real estate underwriting expertise to structure investments
that it believes will generate attractive risk-adjusted returns. As of
December 31, 2002, the Company's portfolio consisted of 100 facilities
principally subject to net leases to approximately 115 customers, comprising
9.9 million square feet in 21 states. Of the 100 total facilities, there are
nine facilities held in two joint venture partnerships.

    On November 4, 1999, iStar Financial, a Maryland corporation, acquired all
of the Company's outstanding capital stock through a merger of the Company with
and into a wholly-owned subsidiary of iStar Financial, with the Company
surviving as a wholly-owned subsidiary of iStar Financial. Prior to the merger,
the Company elected to be taxed as a real estate investment trust ("REIT") under
the Internal Revenue Code of 1986, as amended (the "Code"). iStar Financial has
elected to be taxed as a REIT under the Code and the Company is presently
treated as a qualified REIT subsidiary.

    During the 12-month periods ended December 31, 2002, and 2001, respectively,
the Company acquired an aggregate of approximately $27.8 million and
$26.8 million in corporate tenant lease assets and disposed of corporate tenant
lease assets for net proceeds of approximately $3.7 million and $26.3 million.

    During the 12 months ended December 31, 2002, the Company disposed of 19
corporate tenant lease assets and one structured finance asset by transferring
them to iStar Financial at their respective carrying amounts. In addition, the
Company acquired three corporate tenant lease assets transferred from iStar
Financial at their respective carrying amounts.

    During the 12 months ended December 31, 2001, the Company disposed of 19
corporate tenant lease assets by transferring them to iStar Financial at their
respective carrying amounts. Additionally, iStar Financial contributed cash of
$97.0 million to the Company, which was used to pay off the Company's unsecured
revolving credit facility.

                                       6
<Page>
RESULTS OF OPERATIONS

YEAR ENDED DECEMBER 31, 2002 COMPARED TO YEAR ENDED DECEMBER 31, 2001

    INTEREST INCOME--For the 12 months ended December 31, 2002, interest income
decreased by $5.0 million to $3.8 million from $8.8 million for the same period
in 2001. The decrease is primarily due to $3.3 million related to the transfer
of a corporate loan to iStar Financial in the second quarter of 2002, $821,000
due to loan repayments during 2001 and $589,000 due to lower interest income
earned on cash balances.

    OPERATING LEASE INCOME--Operating lease income decreased by $14.9 million to
$110.7 million for the 12 months ended December 31, 2002 from $125.6 million for
the same period in 2001. Of this decrease, approximately $21.0 million was due
to the transfer of corporate tenant lease assets to iStar Financial in 2001,
lower operating lease income on certain corporate tenant lease assets and
corporate tenant lease asset dispositions. This decrease is partially offset by
the consolidation of one of the Company's corporate tenant lease joint venture
investments, which contributed $6.4 million to operating lease income (see Note
6 to the Company's Consolidated Financial Statements).

    OTHER INCOME--Other income generally consists of lease termination fees,
project management fees, dividend income, unamortized loan discounts, financial
advisory fees, earnest deposit forfeitures, credit enhancement fees and
insurance claims. During the year ended December 31, 2002, other income included
lease termination fees of $2.9 million, financial advisory fees of
$1.0 million, dividend income of $563,000 and insurance claims of $431,000.

    During the year ended December 31, 2001, other income included lease
termination fees of $1.5 million, project management fees of $729,000 and
dividend income of $625,000.

    INTEREST EXPENSE--For the 12 months ended December 31, 2002, interest
expense decreased by $2.4 million to $40.8 million from $43.2 million for the
same period in 2001. This decrease is primarily the result of $10.3 million
related to the repayment of certain debt in 2001 and $619,000 related to the
transfer of a corporate loan (and the related indebtedness) to iStar Financial
in the second quarter of 2002. This decrease was partially offset by
$4.5 million of increased interest expense related to additional debt in 2002
and 2001, a $1.9 million increase related to certain interest rate protection
agreements, $1.1 million related to increased amortization of loan fees, and a
$939,000 decrease in capitalized interest.

    OPERATING COSTS--CORPORATE TENANT LEASE ASSETS--For the 12 months ended
December 31, 2002, operating costs were comparable to the same period in 2001.
Such operating costs represent unreimbursed operating expenses associated with
corporate tenant lease assets.

    DEPRECIATION AND AMORTIZATION--Depreciation and amortization decreased by
$2.1 million to $18.1 million for the 12 months ended December 31, 2002 from
$20.2 million for the same period in 2001. This decrease is primarily the result
of the transfer of corporate tenant lease assets to iStar Financial in 2001,
partially offset by the consolidation of one of the Company's corporate tenant
lease joint venture investments (see Note 6 to the Company's Consolidated
Financial Statements).

    GENERAL AND ADMINISTRATIVE--For the 12 months ended December 31, 2002,
general and administrative expenses decreased by $968,000 to $6.7 million,
compared to $7.6 million for the same period in 2001.

    EQUITY IN EARNINGS FROM JOINT VENTURES AND UNCONSOLIDATED
SUBSIDIARIES--During the 12 months ended December 31, 2002, equity in earnings
from joint ventures and unconsolidated subsidiaries decreased by $4.4 million to
$5.0 million from $9.4 million. This decrease is primarily due to lower
operating lease income on certain joint ventures and the consolidation of one of
the Company's corporate tenant lease joint venture investments (see Note 6 to
the Company's Consolidated Financial Statements).

                                       7
<Page>
    INCOME FROM DISCONTINUED OPERATIONS--For the 12-month periods ended
December 31, 2002 and 2001, operating income earned by the Company on corporate
tenant lease assets sold (prior to their sale), assets transferred to iStar
Financial and assets held for sale of approximately $14.5 million and
$28.0 million, respectively, is classified as "Income from discontinued
operations," even though such income was earned by the Company prior to the
asset dispositions, transfers or classification as "Assets held for sale."

    GAIN FROM DISCONTINUED OPERATIONS--During 2002, the Company disposed of one
corporate tenant lease asset for total proceeds of $3.7 million and recognized a
gain of approximately $595,000. In addition, one of the Company's customers
exercised an option to terminate its lease on 50.00% of the land leased from the
Company. In connection with this termination, the Company realized
$17.5 million in cash lease termination payments, offset by a $17.4 million
impairment charge in connection with the termination, resulting in a net gain of
approximately $123,000.

    During 2001, the Company disposed of four corporate tenant lease assets for
total proceeds of $26.3 million and recognized net gains of $1.1 million.

    EXTRAORDINARY LOSS ON EARLY EXTINGUISHMENT OF DEBT--During the 12 months
ended December 31, 2002, the Company did not incur any losses on the early
extinguishment of debt.

    During the 12 months ended December 31, 2001, the Company or its joint
ventures prepaid debt obligations of $133.0 million. These transactions resulted
in an extraordinary loss on early extinguishment of debt of $1.6 million.

YEAR ENDED DECEMBER 31, 2001 COMPARED TO YEAR ENDED DECEMBER 31, 2000

    Omitted pursuant to General Instruction I(2)(a) of Form 10-K.

LIQUIDITY AND CAPITAL RESOURCES

    Omitted pursuant to General Instruction I(2)(a) of Form 10-K.

CRITICAL ACCOUNTING POLICIES

    The Company's Consolidated Financial Statements include the accounts of the
Company and all majority-owned and controlled subsidiaries. The preparation of
financial statements in accordance with generally accepted accounting principles
("GAAP") requires management to make estimates and assumptions in certain
circumstances that affect amounts reported in the accompanying consolidated
financial statements. In preparing these financial statements, management has
made its best estimates and judgments of certain amounts included in the
financial statements, giving due consideration to materiality. The Company does
not believe that there is a great likelihood that materially different amounts
would be reported related to the accounting policies described below. However,
application of these accounting policies involves the exercise of judgment and
use of assumptions as to future uncertainties and, as a result, actual results
could differ from these estimates.

    Management has the obligation to ensure that its policies and methodologies
are in accordance with GAAP.  During 2002, management reviewed and evaluated its
critical accounting policies and believes them to be appropriate. The Company's
accounting policies are described in Note 3 to the Company's Consolidated
Financial Statements. Management believes the more significant of these to be as
follows:

    REVENUE RECOGNITION--The most significant sources of the Company's revenue
come from its lending operations and its corporate tenant lease operations. For
its lending operations, the Company reflects income using the effective yield
method, which recognizes periodic income over the expected term of the
investment on a constant yield basis. For corporate tenant lease assets, the
Company recognizes income on the straight-line method, which effectively
recognizes contractual lease payments to be received by the

                                       8
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Company evenly over the term of the lease. Management believes the Company's
revenue recognition policies are appropriate to reflect the substance of the
underlying transactions.

    IMPAIRMENT OF LONG-LIVED ASSETS--Corporate tenant lease assets represent
"long-lived" assets for accounting purposes. The Company periodically reviews
long-lived assets to be held and used in its leasing operations for impairment
in value whenever any events or changes in circumstances indicate that the
carrying amount of the assets may not be recoverable. In management's opinion,
based on this analysis, corporate tenant assets to be held and used are not
carried at amounts in excess of their estimated recoverable amounts.

    RISK MANAGEMENT AND FINANCIAL INSTRUMENTS--The Company has historically
utilized derivative financial instruments only as a means to help to manage its
interest rate risk exposure on a portion of its variable-rate debt obligations
(i.e., as cash flow hedges). The instruments utilized are generally either
pay-fixed swaps or LIBOR-based interest rate caps which are widely used in the
industry and typically with major financial institutions. The Company's
accounting policies generally reflect these instruments at their fair value with
unrealized changes in fair value reflected in "Accumulated other comprehensive
income" on the Company's Consolidated Balance Sheets. Realized effects on the
Company's cash flows are generally recognized currently in income.

NEW ACCOUNTING STANDARDS

    In September 2000, the FASB issued Statement of Financial Accounting
Standards No. 140 ("SFAS No. 140"), "Accounting for Transfers and Servicing of
Financial Assets and Extinguishments of Liabilities." This statement is
applicable for transfers of assets and extinguishments of liabilities occurring
after June 30, 2001. The Company adopted the provisions of this statement as
required for all transactions entered into on or after April 1, 2001. The
adoption of SFAS No. 140 did not have a significant impact on the Company.

    In July 2001, the SEC released Staff Accounting Bulletin No. 102. ("SAB
102"), "Selected Loan Loss Allowance and Documentation Issues." SAB 102
summarizes certain of the SEC's views on the development, documentation and
application of a systematic methodology for determining allowances for loan and
lease losses. Adoption of SAB 102 by the Company did not have a significant
impact on the Company.

    In July 2001, the FASB issued Statement of Financial Accounting Standards
No. 141 ("SFAS No. 141"), "Business Combinations" and Statement of Financial
Accounting Standards No. 142 ("SFAS No. 142"), "Goodwill and Other Intangible
Assets." SFAS No. 141 requires the purchase method of accounting to be used for
all business combinations initiated after June 30, 2001. SFAS No. 141 also
addresses the initial recognition and measurement of goodwill and other
intangible assets acquired in business combinations and requires intangible
assets to be recognized apart from goodwill if certain tests are met. SFAS
No. 142 requires that goodwill not be amortized but instead be measured for
impairment at least annually, or when events indicate that there may be an
impairment. The Company adopted the provisions of both statements on January 1,
2002, as required, and the adoption did not have a significant impact on the
Company.

    In October 2001, the FASB issued Statement of Financial Accounting Standards
No. 144 ("SFAS No. 144"), "Accounting for the Impairment or Disposal of
Long-Lived Assets." SFAS No. 144 provides new guidance on the recognition of
impairment losses on long-lived assets to be held and used or to be disposed of,
and also broadens the definition of what constitutes a discontinued operation
and how the results of a discontinued operation are to be measured and
presented. SFAS No. 144 requires that current operations prior to the
disposition of corporate tenant lease assets and prior period results of such
operations be presented in discontinued operations in the Company's Consolidated
Statements of Operations. The provisions of SFAS No. 144 are effective for
financial statements issued for fiscal years beginning after December 15, 2001,
and must be applied at the beginning of a fiscal year. The Company

                                       9
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adopted the provisions of this statement on January 1, 2002, as required, and it
did not have a significant financial impact on the Company.

    In April 2002, the FASB issued Statement of Financial Accounting Standards
No. 145 ("SFAS No. 145"), "Rescission of FASB Statements No. 4, 44, and 64,
Amendment of FASB Statement No. 13, and Technical Corrections." SFAS No. 145
rescinds both FASB Statements No. 4 ("SFAS No. 4"), "Reporting Gains and Losses
from Extinguishment of Debt," and the amendment to SFAS No. 4, FASB Statement
No. 64 ("SFAS No. 64"), "Extinguishments of Debt Made to Satisfy Sinking-Fund
Requirements." Through this rescission, SFAS No. 145 eliminates the requirement
(in both SFAS No. 4 and SFAS No. 64) that gains and losses from the
extinguishment of debt be aggregated and, if material, classified as an
extraordinary item, net of the related income tax effect. An entity is not
prohibited from classifying such gains and losses as extraordinary items, so
long as they meet the criteria in paragraph 20 of Accounting Principles Board
Opinion No. 30 ("APB 30"), "Reporting the Results of Operations--Reporting the
Effects of Disposal of a Segment of a Business, and Extraordinary, Unusual and
Infrequently Occurring Events and Transactions"; however, due to the nature of
the Company's operations, such treatment may not be available to the Company.
Any gains or losses on extinguishments of debt that were previously classified
as extraordinary items in prior periods presented that do not meet the criteria
in APB 30 for classification as an extraordinary item will be reclassified to
income from continuing operations. The provisions of SFAS No. 145 are effective
for financial statements issued for fiscal years beginning after May 15, 2002.
The Company will adopt the provisions of this statement, as required, on
January 1, 2003, at which time ($1.6 million) will be reclassified to continuing
operations for 2001.

    In June 2002, the FASB issued Statement of Financial Accounting Standards
No. 146 ("SFAS No. 146"), "Accounting for Exit or Disposal Activities," to
address significant issues regarding the recognition, measurement, and reporting
of costs that are associated with exit and disposal activities, including
restructuring activities that are currently accounted for pursuant to the
guidance that the Emerging Issues Task Force ("EITF") has set forth in EITF
Issue No. 94-3, "Liability Recognition for Certain Employee Termination Benefits
and Other Costs to Exit an Activity (including Certain Costs Incurred in a
Restructuring)." The scope of SFAS No. 146 also includes: (1) costs related to
terminating a contract that is not a capital lease; and (2) termination benefits
received by employees involuntarily terminated under the terms of a one-time
benefit arrangement that is not an on-going benefit arrangement or an individual
deferred-compensation contract. The provisions of SFAS No. 146 are effective for
exit or disposal activities that are initiated after December 31, 2002. The
Company does not expect SFAS No. 146 to have a material effect on the Company's
Consolidated Financial Statements.

    In September 2002, the FASB issued Statement of Financial Accounting
Standards No. 147 ("SFAS No. 147"), "Acquisitions of Certain Financial
Institutions," an amendment of FASB Statements No. 72 and 144 and FASB
Interpretation No. 9. SFAS No. 147 provides guidance on the accounting for the
acquisitions of financial institutions, except those acquisitions between two or
more mutual enterprises. SFAS No. 147 removes acquisitions of financial
institutions from the scope of both FASB No. 72, "Accounting for Certain
Acquisitions of Banking or Thrift Institutions," and FASB Interpretation No. 9,
Applying APB Opinions No. 16 and 17, "When a Savings and Loan Association or a
Similar Institution is Acquired in a Business Combination Accounted for by the
Purchase Method," and requires that those transactions be accounted for in
accordance with SFAS No. 141 and SFAS No. 142. SFAS No. 147 also amends SFAS
No. 144 to include in its scope long-term, customer-relationship intangible
assets of financial institutions such as depositor-relationship and
borrower-relationship intangible assets and credit cardholder intangible assets.
The Company adopted the provisions of this statement, as required, on
October 1, 2002, and it did not have a significant financial impact on the
Company's Consolidated Financial Statements.

    In November 2002, the FASB issued FASB Interpretation No. 45 ("FIN 45"),
"Guarantor's Accounting and Disclosure Requirements for Guarantees, Including
Indirect Guarantees of Indebtedness of Others," an interpretation of FASB
Statement of Financial Accounting Standards No. 5 ("SFAS No. 5"), "Accounting
for Contingencies," Statement of Financial Accounting Standards No. 57, "Related
Party

                                       10
<Page>
Disclosures," Statement of Financial Accounting Standards No. 107, "Disclosures
about Fair Value of Financial Instruments" and rescinds FASB Interpretation
No. 34, "Disclosure of Indirect Guarantees of Indebtedness of Others, an
Interpretation of SFAS No. 5." It requires that upon issuance of a guarantee,
the guarantor must recognize a liability for the fair value of the obligation it
assumes under that guarantee regardless if the Company receives separately
identifiable consideration (i.e., a premium). The new disclosure requirements
are effective December 31, 2002. The adoption of FIN 45 did not have a material
impact on the Company's Consolidated Financial Statements, nor is it expected to
have a material impact in the future.

    In December 2002, the FASB issued Statement of Financial Accounting
Standards No. 148 ("SFAS No. 148"), "Accounting for Stock-Based
Compensation--Transition and Disclosure," an amendment of FASB Statement
No. 123 ("SFAS No. 123"). This statement provides alternative transition methods
for a voluntary change to the fair value basis of accounting for stock-based
employee compensation. However, this Statement does not permit the use of the
original SFAS No. 123 prospective method of transition for changes to fair value
based method made in fiscal years beginning after December 15, 2003. In
addition, this Statement amends the disclosure requirements of SFAS No. 123 to
require prominent disclosures in both annual and interim financial statements
about the method of accounting for stock-based employee compensation,
description of transition method utilized and the effect of the method used on
reported results. The transition and annual disclosure provisions of SFAS
No. 148 shall be applied for fiscal years ending after December 15, 2002. The
new interim disclosure provisions are effective for the first interim period
beginning after December 15, 2002. The Company adopted SFAS No. 148 with
retroactive application to January 1, 2002 with no material effect on the
Company's Consolidated Financial Statements.

    In January 2003, the FASB issued FASB Interpretation No. 46 ("FIN 46"),
"Consolidation of Variable Interest Entities," an interpretation of ARB 51. FIN
46 provides guidance on identifying entities for which control is achieved
through means other than through voting rights (a "variable interest entity" or
"VIE"), and how to determine when and which business enterprise should
consolidate a VIE. In addition, FIN 46 requires that both the primary
beneficiary and all other enterprises with a significant variable interest in a
VIE make additional disclosures. The transitional disclosure requirements will
take effect almost immediately and are required for all financial statements
initially issued after January 31, 2003. The adoption of FIN 46 is not expected
to have a material impact on the Company.

ITEM 7A. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK

MARKET RISKS

    Market risk is the exposure to loss resulting from changes in interest
rates, foreign currency exchange rates, commodity prices and equity prices. In
pursuing its business plan, the primary market risk to which the Company is
exposed is interest rate risk. The Company's operating results will depend in
part on the interest expense incurred in connection with its variable-rate
interest bearing liabilities.

    Interest rates are highly sensitive to many factors, including governmental
monetary and tax policies, domestic and international economic and political
conditions, and other factors beyond the control of the Company. As more fully
discussed in Note 3 to the Company's Consolidated Financial Statements, the
Company hedges to limit the effects of changes in interest rates on its
operations by engaging in interest rate caps and swaps.

    While a REIT, or its qualified REIT subsidiary, may freely utilize certain
types of derivative instruments to hedge interest rate risk on its liabilities,
the use of derivatives for other purposes could generate income which is not
qualified income for purposes of maintaining REIT status. As a qualified REIT
subsidiary, the Company may only engage in such instruments to hedge such risk
on a limited basis and does not enter into derivative contracts for speculative
purposes.

                                       11
<Page>
    There can be no assurance that the Company's profitability will not be
adversely affected during any period as a result of changing interest rates. In
addition, hedging transactions using derivative instruments involve certain
additional risks such as counterparty credit risk, legal enforceability of
hedging contracts and the risk that unanticipated and significant changes in
interest rates will cause a significant loss of basis in the contract. With
regard to loss of basis in a hedging contract, indices upon which contracts are
based may be more or less variable than the indices upon which the hedged
liabilities are based, thereby making the hedge less effective. The
counterparties to these contractual arrangements are major financial
institutions with which the Company and its affiliates may also have other
financial relationships. The Company is potentially exposed to credit loss in
the event of nonperformance by these counterparties. However, because of their
high credit ratings, the Company does not anticipate that any of the
counterparties will fail to meet their obligations. There can be no assurance
that the Company will be able to adequately protect against the foregoing risks
and that the Company will ultimately realize an economic benefit from any
hedging contract it enters into which exceeds the related costs incurred in
connection with engaging in such hedges.

    The following table quantifies the potential changes in net investment
income and net fair value of financial instruments should interest rates
increase or decrease 100 or 200 basis points, assuming no change in the shape of
the yield curve (i.e., relative interest rates). Net investment income is
calculated as revenue from loans and other lending investments and operating
leases (as of December 31, 2002), less related interest expense and operating
costs on corporate tenant lease assets, for the year ended December 31, 2002.
Net fair value of financial instruments is calculated as the sum of the value of
derivative instruments and the present value of cash in-flows generated from
interest-earning assets, less cash out-flows in respect of interest-bearing
liabilities as of December 31, 2002. The base interest rate scenario assumes the
one-month LIBOR rate of 1.38% as of December 31, 2002. Actual results could
differ significantly from those estimated in the table.

                         ESTIMATED PERCENTAGE CHANGE IN

<Table>
<Caption>
                                                             NET INVESTMENT      NET FAIR VALUE OF
CHANGE IN INTEREST RATES                                         INCOME       FINANCIAL INSTRUMENTS(1)
------------------------                                     --------------   ------------------------
<S>                                                          <C>              <C>
-100 Basis Points..........................................       1.56%                 (2.55)%
-50 Basis Points...........................................       0.78%                 (1.25)%
Base Interest Rate.........................................       0.00%                  0.00%
+100 Basis Points..........................................      (1.56)%                 2.37%
+200 Basis Points..........................................      (3.13)%                 4.58%
</Table>

EXPLANATORY NOTE:
------------------------------

(1) Amounts exclude fair values of non-financial investments, primarily
    corporate tenant lease assets and certain forms of corporate finance
    investments.

                                       12
<Page>
ITEM 8. FINANCIAL STATEMENTS AND SUPPLEMENTAL DATA

Index to Financial Statements

<Table>
<Caption>
                                                                PAGE
                                                              --------
<S>                                                           <C>
Financial Statements:

  Report of Independent Accountants.........................     14
  Consolidated Balance Sheets at December 31, 2002 and
    2001....................................................     15
  Consolidated Statements of Operations for each of the
    three years in the period ended December 31, 2002.......     16
  Consolidated Statements of Changes in Shareholder's Equity
    for each of the three years in the period ended December
    31, 2002................................................     17
  Consolidated Statements of Cash Flows for each of the
    three years in the period ended December 31, 2002.......     18
  Notes to Consolidated Financial Statements................     19

Financial Statement Schedule:

For the period ended December 31, 2002:
  Schedule III--Corporate Tenant Lease Assets and
    Accumulated Depreciation................................     35
</Table>

    All other schedules are omitted because they are not applicable or the
required information is shown in the financial statements or notes thereto.

    Financial statements of four companies or joint ventures accounted for under
the equity method have been omitted because the Company's proportionate share of
the income from continuing operations before income taxes is less than 20.00% of
the respective consolidated amount and the investments in and advances to each
company are less than 20.00% of consolidated total assets.

                                       13
<Page>
                       REPORT OF INDEPENDENT ACCOUNTANTS

To the Board of Directors and Shareholder
of TriNet Corporate Realty Trust, Inc.

In our opinion, the consolidated financial statements listed in the accompanying
index present fairly, in all material respects, the financial position of TriNet
Corporate Realty Trust, Inc. and its subsidiaries (the "Company") at
December 31, 2002 and 2001, and the results of their operations and their cash
flows for each of the three years in the period ended December 31, 2002 in
conformity with accounting principles generally accepted in the United States of
America. In addition, in our opinion, the financial statement schedule listed in
the accompanying index present fairly, in all material respects, the information
set forth therein when read in conjunction with the related consolidated
financial statements. These financial statements and financial statement
schedule are the responsibility of the Company's management; our responsibility
is to express an opinion on these financial statements and financial statement
schedule based on our audits. We conducted our audits of these statements in
accordance with auditing standards generally accepted in the United States of
America, which require that we plan and perform the audit to obtain reasonable
assurance about whether the financial statements are free of material
misstatement. An audit includes examining, on a test basis, evidence supporting
the amounts and disclosures in the financial statements, assessing the
accounting principles used and significant estimates made by management, and
evaluating the overall financial statement presentation. We believe that our
audits provide a reasonable basis for our opinion.

PricewaterhouseCoopers LLP
New York, NY
February 14, 2003, except for Note 12, which is as of March 11, 2003

                                       14
<Page>
                      TRINET CORPORATE REALTY TRUST, INC.

              (A WHOLLY-OWNED SUBSIDIARY OF ISTAR FINANCIAL INC.)

                          CONSOLIDATED BALANCE SHEETS

                (IN THOUSANDS, EXCEPT SHARE AND PER SHARE DATA)

<Table>
<Caption>
                                                                AS OF DECEMBER 31,
                                                              -----------------------
                                                                 2002        2001*
                                                              ----------   ----------
<S>                                                           <C>          <C>
                                       ASSETS
Loans and other lending investments, net....................  $    1,900   $   81,743
Corporate tenant lease assets, net..........................     914,317    1,136,784
Investments in and advances to joint ventures and
  unconsolidated subsidiaries...............................      24,865       55,000
Assets held for sale........................................      28,501           --
Cash and cash equivalents...................................      12,219        8,872
Restricted cash.............................................          --          167
Accrued interest and operating lease income receivable......       5,495        3,885
Deferred operating lease income receivable..................      19,845       18,621
Deferred expenses and other assets..........................      26,421       19,099
                                                              ----------   ----------
  Total assets..............................................  $1,033,563   $1,324,171
                                                              ==========   ==========

                        LIABILITIES AND SHAREHOLDER'S EQUITY
Liabilities:
Accounts payable, accrued expenses and other liabilities....  $   54,806   $   50,816
Debt obligations............................................     543,470      558,395
                                                              ----------   ----------
  Total liabilities.........................................     598,276      609,211
                                                              ----------   ----------
Commitments and contingencies...............................          --           --

Minority interest in consolidated entities..................       2,496        2,565

Shareholder's equity:
Common stock, $0.01 par value, 100 shares authorized:
  100 shares issued and outstanding at December 31, 2002 and
  2001, respectively........................................          --           --
Additional paid-in capital..................................     479,859      751,969
Retained earnings...........................................          --           --
Accumulated other comprehensive income (losses) (See
  Note 9)...................................................      (6,772)         722
Common stock of iStar Financial (parent) held in treasury
  (at cost).................................................     (40,296)     (40,296)
                                                              ----------   ----------
  Total shareholder's equity................................     432,791      712,395
                                                              ----------   ----------
  Total liabilities and shareholder's equity................  $1,033,563   $1,324,171
                                                              ==========   ==========
</Table>

------------------------

*   RECLASSIFIED TO CONFORM TO 2002 PRESENTATION.

    The accompanying notes are an integral part of the financial statements.

                                       15
<Page>
                      TRINET CORPORATE REALTY TRUST, INC.

              (A WHOLLY-OWNED SUBSIDIARY OF ISTAR FINANCIAL INC.)

                     CONSOLIDATED STATEMENTS OF OPERATIONS

                     (IN THOUSANDS, EXCEPT PER SHARE DATA)

<Table>
<Caption>
                                                               FOR THE YEAR ENDED DECEMBER 31,
                                                              ---------------------------------
                                                                2002        2001*       2000*
                                                              ---------   ---------   ---------
<S>                                                           <C>         <C>         <C>
REVENUES:
  Interest income...........................................  $  3,769    $  8,764    $  8,296
  Operating lease income....................................   110,745     125,555     137,532
  Other income..............................................     4,911       2,857       4,907
                                                              --------    --------    --------
    Total revenue...........................................   119,425     137,176     150,735
                                                              --------    --------    --------

COSTS AND EXPENSES:
  Interest expense..........................................    40,777      43,167      51,448
  Operating costs--corporate tenant lease assets............    12,368      12,208      12,129
  Depreciation and amortization.............................    18,140      20,242      22,533
  General and administrative................................     6,674       7,642       9,198
                                                              --------    --------    --------
    Total costs and expenses................................    77,959      83,259      95,308
                                                              --------    --------    --------
Net income before equity in earnings from joint ventures and
  unconsolidated subsidiaries, minority interest and other
  items.....................................................    41,466      53,917      55,427
Equity in earnings from joint ventures and unconsolidated
  subsidiaries..............................................     5,049       9,442       5,016
Minority interest in consolidated entities..................      (162)       (164)       (164)
Extraordinary loss on early extinguishment of debt..........        --      (1,620)       (705)
Cumulative effect of change in accounting principle (See
  Note 3)...................................................        --        (269)         --
                                                              --------    --------    --------
Net income before discontinued operations...................    46,353      61,306      59,574
Income from discontinued operations.........................    14,513      28,034      20,608
Gain from discontinued operations...........................       717       1,146       2,948
                                                              --------    --------    --------
Net income..................................................  $ 61,583    $ 90,486    $ 83,130
                                                              ========    ========    ========
</Table>

------------------------

*   RECLASSIFIED TO CONFORM TO 2002 PRESENTATION.

    The accompanying notes are an integral part of the financial statements.

                                       16
<Page>
                      TRINET CORPORATE REALTY TRUST, INC.

              (A WHOLLY-OWNED SUBSIDIARY OF ISTAR FINANCIAL INC.)

           CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDER'S EQUITY

                                 (IN THOUSANDS)

<Table>
<Caption>
                                                                                        ACCUMULATED
                                                                                           OTHER
                                                              ADDITIONAL   RETAINED    COMPREHENSIVE
                                                               PAID-IN     EARNINGS        INCOME       TREASURY
                                                               CAPITAL     (DEFICIT)      (LOSSES)       STOCK         TOTAL
                                                              ----------   ---------   --------------   --------   -------------
<S>                                                           <C>          <C>         <C>              <C>        <C>
Balance at January 1, 2000..................................  $ 890,271    $ 11,655       $     --      $(39,994)    $ 861,932
Purchase of iStar Financial shares held in treasury.........         --          --             --         (302)          (302)
Dividends paid to iStar Financial...........................         --     (37,500)            --           --        (37,500)
Dividends received on iStar Financial shares held in
  treasury..................................................         --       5,366             --           --          5,366
Net income for the period...................................         --      83,130             --           --         83,130
                                                              ---------    --------       --------      --------     ---------
Balance at December 31, 2000................................  $ 890,271    $ 62,651       $     --      $(40,296)    $ 912,626
Contribution from iStar Financial...........................     97,045          --             --           --         97,045
Non-cash distribution of assets to iStar Financial..........   (217,746)    (61,208)            --           --       (278,954)
Dividends paid to iStar Financial...........................    (17,601)    (98,869)            --           --       (116,470)
Dividends received on iStar Financial shares held in
  treasury..................................................         --       6,940             --           --          6,940
Net income for the period...................................         --      90,486             --           --         90,486
Cumulative effect of change in accounting principle.........         --          --         (1,517)          --         (1,517)
Change in accumulated other comprehensive income............         --          --          2,239           --          2,239
                                                              ---------    --------       --------      --------     ---------
Balance at December 31, 2001................................  $ 751,969    $     --       $    722      $(40,296)    $ 712,395
Contribution from iStar Financial...........................     30,550          --             --           --         30,550
Non-cash distribution of assets to iStar Financial..........   (270,155)    (12,870)            --           --       (283,025)
Dividends paid to iStar Financial...........................    (32,505)    (54,447)            --           --        (86,952)
Dividends received on iStar Financial shares held in
  treasury..................................................         --       5,734             --           --          5,734
Net income for the period...................................         --      61,583             --           --         61,583
Change in accumulated other comprehensive income............         --          --         (7,494)          --         (7,494)
                                                              ---------    --------       --------      --------     ---------
Balance at December 31, 2002................................  $ 479,859    $     --       $ (6,772)     $(40,296)    $ 432,791
                                                              =========    ========       ========      ========     =========
</Table>

    The accompanying notes are an integral part of the financial statements.

                                       17
<Page>
                      TRINET CORPORATE REALTY TRUST, INC.

              (A WHOLLY-OWNED SUBSIDIARY OF ISTAR FINANCIAL INC.)

                     CONSOLIDATED STATEMENTS OF CASH FLOWS

                                 (IN THOUSANDS)

<Table>
<Caption>
                                                               FOR THE YEAR ENDED DECEMBER 31,
                                                              ----------------------------------
                                                                2002       2001*        2000*
                                                              --------   ---------   -----------
<S>                                                           <C>        <C>         <C>
Cash flows from operating activities:
Net income..................................................  $ 61,583   $  90,486   $    83,130
Adjustments to reconcile net income to cash flows provided
  by operating activities:
  Minority interest in consolidated entities................       162         164           164
  Depreciation and amortization.............................    24,112      24,720        26,746
  Depreciation and amortization from discontinued
    operations..............................................     3,426       7,155         6,262
  Amortization of discounts/premiums........................    (1,057)     (2,025)       (4,299)
  Discounts, loan fees and deferred interest received.......        --          --           450
  Equity in earnings from joint ventures and unconsolidated
    subsidiaries............................................    (5,049)     (9,439)       (5,016)
  Distributions from operations of joint ventures...........     5,547       4,895         4,511
  Deferred operating lease income receivable................    (7,214)    (10,923)       (9,130)
  Gain from discontinued operations.........................      (717)     (1,146)       (2,948)
  Extraordinary loss on early extinguishment of debt........        --       1,620           705
  Cumulative effect of a change in accounting principle.....        --         269            --
  Changes in assets and liabilities:
    (Increase) decrease in accrued interest and operating
     lease income receivable................................    (4,647)        866          (741)
    Increase in deferred expenses and other assets..........   (12,953)     (5,060)       (7,500)
    Increase (decrease) in accounts payable, accrued
     expenses and other liabilities.........................     4,661       6,113        (4,989)
                                                              --------   ---------   -----------
    Cash flows provided by operating activities.............    67,854     107,695        87,345
                                                              --------   ---------   -----------
Cash flows from investing activities:
  New investment originations...............................   (27,851)   (101,282)     (183,974)
  Net proceeds from sale of corporate tenant lease assets...     3,702      26,306       146,265
  Net proceeds from lease termination payments..............    17,500          --            --
  Repayments of and principal collections on loans and other
    lending investments.....................................        --      93,596        15,448
  Investments in and advances to unconsolidated joint
    ventures................................................      (127)     (1,601)      (23,540)
  Distributions from unconsolidated joint ventures..........        --      24,265        31,129
  Capital improvements for build-to-suit projects...........      (326)    (14,266)       (5,022)
  Capital improvement projects on corporate tenant lease
    assets..................................................    (2,072)     (6,629)       (6,831)
  Other capital expenditures on corporate tenant lease
    assets..................................................    (3,111)     (4,467)       (1,179)
                                                              --------   ---------   -----------
    Cash flows (used in) provided by investing activities...   (12,285)     15,922       (27,704)
                                                              --------   ---------   -----------
Cash flows from financing activities:
  Borrowings under revolving credit facility................        --     757,800     1,409,534
  Repayments under revolving credit facility................        --    (931,250)   (1,422,784)
  Borrowings under term loans...............................        --     277,664            --
  Repayments under term loans...............................    (1,263)   (117,175)      (13,559)
  Repayments under unsecured notes..........................        --    (100,000)           --
  (Increase) decrease in restricted cash held in connection
    with debt obligations...................................      (115)      6,865          (335)
  Payments on early extinguishment of debt..................        --      (1,037)         (317)
  Payments for deferred financing costs.....................        55      (6,505)          (50)
  Distributions to minority interest in consolidated
    entities................................................      (231)       (164)         (164)
  Purchase of iStar Financial's treasury stock..............        --          --          (302)
  Contributions from iStar Financial........................    30,550      97,046            --
  Dividends paid to iStar Financial.........................   (86,952)   (116,470)      (37,500)
  Dividends received on iStar Financial shares held in
    treasury................................................     5,734       6,940         5,366
                                                              --------   ---------   -----------
    Cash flows used in financing activities.................   (52,222)   (126,286)      (60,111)
                                                              --------   ---------   -----------
Increase (decrease) in cash and cash equivalents............     3,347      (2,669)         (470)
Cash and cash equivalents at beginning of period............     8,872      11,541        12,011
                                                              --------   ---------   -----------
Cash and cash equivalents at end of period..................  $ 12,219   $   8,872   $    11,541
                                                              ========   =========   ===========
Supplemental disclosure of cash flow information:
  Cash paid during the period for interest, net of
    capitalized interest....................................  $ 31,740   $  42,384   $     6,586
                                                              ========   =========   ===========
</Table>

----------------------------------

*   RECLASSIFIED TO CONFORM TO 2002 PRESENTATION.

    The accompanying notes are an integral part of the financial statements.

                                       18
<Page>
                      TRINET CORPORATE REALTY TRUST, INC.

              (A WHOLLY-OWNED SUBSIDIARY OF ISTAR FINANCIAL INC.)

                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

NOTE 1--BUSINESS AND ORGANIZATION

    BUSINESS--TriNet Corporate Realty Trust, Inc., a Maryland Corporation (the
"Company"), is a wholly-owned subsidiary of iStar Financial Inc., a Maryland
Corporation ("iStar Financial"). iStar Financial and its subsidiaries provide
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 typically provides
capital to corporations, as well as borrowers, who control facilities leased to
single creditworthy tenants. The Company's net leased assets are generally
mission-critical headquarters or distribution facilities that are subject to
long-term leases with rated corporate credit tenants, and which provide for all
expenses at the property to be paid by the corporate tenant on a triple net
lease basis. Corporate tenant lease transactions have terms generally ranging
from ten to 20 years and typically range in size from $20 million to
$150 million. As of December 31, 2002, the Company's portfolio consisted of 100
facilities principally subject to net leases to approximately 115 customers,
comprising 9.9 million square feet in 21 states. Of the 100 total facilities,
there are nine facilities held in two unconsolidated joint ventures.

    ORGANIZATION--The Company became a wholly-owned subsidiary of iStar
Financial through a merger on November 4, 1999. As a wholly-owned subsidiary of
iStar Financial, a real estate investment trust ("REIT"), the Company operates
as a qualified real estate investment trust subsidiary ("QRS") under the
Internal Revenue Code of 1986, as amended (the "Code").

NOTE 2--BASIS OF PRESENTATION

    The accompanying audited Consolidated Financial Statements have been
prepared in conformity with generally accepted accounting principles in the
United States of America ("GAAP") for complete financial statements. The
Consolidated Financial Statements include the accounts of the Company, its
wholly-owned subsidiary corporations and partnerships, and its majority-owned
and controlled partnership.

    Certain other investments in partnerships or joint ventures which the
Company does not control are also accounted for under the equity method (see
Notes 5 and 6). All significant intercompany balances and transactions have been
eliminated in consolidation.

NOTE 3--SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

    LOANS AND OTHER LENDING INVESTMENTS, NET--As described in Note 4, "Loans and
Other Lending Investments," includes corporate/partnership loans. Management
considers its investments in this category to be either held-to-maturity or
available-for-sale. Items classified as held-to-maturity are reflected at
amortized historical cost, while items classified as available-for-sale are
reported at fair value, with unrealized gains and losses included in
"Accumulated other comprehensive income" on the Company's Consolidated Balance
Sheets, and are not included in the Company's net income.

    CORPORATE TENANT LEASE ASSETS AND DEPRECIATION--Corporate tenant lease
assets are generally recorded at cost less accumulated depreciation. Certain
improvements and replacements are capitalized when they extend the useful life,
increase capacity or improve the efficiency of the asset. Repairs and
maintenance items are expensed as incurred. Depreciation is computed using the
straight line method of cost recovery over estimated useful lives of 40.0 years
for buildings, five years for furniture and equipment, the shorter of the
remaining lease term or expected life for tenant improvements and the remaining
life of the building for building improvements.

                                       19
<Page>
                      TRINET CORPORATE REALTY TRUST, INC.

              (A WHOLLY-OWNED SUBSIDIARY OF ISTAR FINANCIAL INC.)

             NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)

NOTE 3--SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
    Corporate tenant lease assets to be disposed of are reported at the lower of
their carrying amount or fair value less cost to sell. The Company also
periodically reviews long-lived assets to be held and used for an impairment in
value whenever events or changes in circumstances indicate that the carrying
amount of such assets may not be recoverable. In accordance with management's
opinion, corporate tenant lease assets to be held and used are not carried at
amounts in excess of their estimated recoverable amounts.

    CAPITALIZED INTEREST--The Company capitalizes interest costs incurred during
the construction period on qualified build-to-suit projects for corporate
tenants, including investments in joint ventures accounted for under the equity
method. Interest capitalized was approximately $70,000 and $1.0 million during
the 12-month periods ended December 31, 2002 and 2001, respectively.

    CASH AND CASH EQUIVALENTS--Cash and cash equivalents include all cash held
in banks or invested in money market funds with original maturity terms of less
than 90 days.

    RESTRICTED CASH--Restricted cash represents amounts required to be
maintained in escrow under certain of the Company's debt obligations and leasing
transactions.

    NON-CASH ACTIVITY--During the 12 months ended December 31, 2002, the Company
disposed of 19 corporate tenant lease assets and their related liabilities by
transferring them to iStar Financial at their respective carrying values. In
addition, the Company disposed of one structured finance asset by transferring
it to iStar Financial at its respective carrying value.

    During the 12 months ended December 31, 2002, the Company acquired three
corporate tenant lease assets and their related liabilities through a transfer
from iStar Financial at their respective carrying values.

    The following is a summary of the effects of these transactions on the
Company's consolidated financial position for the year ended December 31, 2002
(in thousands):

<Table>
<S>                                                           <C>
Carrying value of:
  Assets....................................................  $ 394,178
  Liabilities...............................................   (101,774)
  Accumulated other comprehensive income....................     (9,379)
  Additional paid-in capital................................   (270,155)
  Retained earnings.........................................    (12,870)
                                                              ---------
  Net cash for transaction..................................  $      --
                                                              =========
</Table>

    REVENUE RECOGNITION--The Company's revenue recognition policies are as
follows:

    LOANS AND OTHER LENDING INVESTMENTS:  The Company classifies loans and other
lending investments as either held-to-maturity or available-for-sale. The
Company reflects held-to-maturity investments at amortized cost less acquisition
premiums or discounts, deferred loan fees and undisbursed loan funds. Items
reflected as available-for-sale are reported at fair value, with unrealized
gains and losses included in "Accumulated other comprehensive income" on the
Company's Consolidated Balance Sheets and are not included in the Company's net
income. On occasion, the Company may acquire loans at small premiums or
discounts based on the credit characteristics of such loans. These premiums or
discounts are recognized as yield adjustments over the lives of the related
loans. If loans that were acquired at a premium or discount are prepaid, the
Company immediately recognizes the unamortized premium or discount as a decrease
or increase, respectively, in the prepayment gain or loss. Loan origination or
exit fees, as well as direct loan

                                       20
<Page>
                      TRINET CORPORATE REALTY TRUST, INC.

              (A WHOLLY-OWNED SUBSIDIARY OF ISTAR FINANCIAL INC.)

             NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)

NOTE 3--SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
origination costs, are also deferred and recognized over the lives of the
related loans as a yield adjustment. Interest income is recognized using the
effective interest method applied on a loan-by-loan basis.

    LEASING INVESTMENTS:  Operating lease revenue is recognized on the
straight-line method of accounting from the later of the date of the origination
of the lease or the date of acquisition of the facility subject to existing
leases. Accordingly, contractual lease payment increases are recognized evenly
over the term of the lease. The cumulative difference between lease revenue
recognized under this method and contractual lease payment terms is recorded as
"Deferred operating lease income receivable" on the Company's Consolidated
Balance Sheets.

    INCOME TAXES--The Company is taxed as a QRS under the Code. As a QRS, the
Company is included in the consolidated tax return of iStar Financial.
Accordingly, no provision has been made for federal income taxes in the
accompanying Consolidated Financial Statements. Prior to the merger, the Company
was taxed as a REIT under the Code.

    INTEREST RATE RISK MANAGEMENT--The Company has entered into various interest
rate protection agreements that, together with a swap agreement, fix the
interest rate on a portion of the Company's LIBOR-based borrowings. The related
cost of these agreements is amortized over their respective lives and such
amortization is recorded as "Interest expense" on the Company's Consolidated
Statements of Operations. The Company enters into interest rate risk management
arrangements with financial institutions meeting certain minimum financial
criteria, and the related credit risk of non-performance by counterparties is
not considered to be significant.

    CREDIT RISK CONCENTRATION--The Company underwrites the credit of prospective
customers and may require them to provide some form of additional credit support
such as corporate guarantees, letters of credit and/or cash security deposits.
Although the Company's assets are geographically diverse and its customers
operate in a variety of industries, to the extent the Company has a significant
concentration of operating lease revenue from any single customer, the inability
of that customer to make its payments could have an adverse effect on the
Company.

    EARNINGS PER SHARE--Earnings per share is not calculated for any of the
three years in the period ended December 31, 2002 since all 100 shares
outstanding are held by iStar Financial.

    RECLASSIFICATIONS--Certain prior year amounts have been reclassified in the
Consolidated Financial Statements and the related notes to conform to the 2002
presentation.

    USE OF ESTIMATES--The preparation of financial statements in conformity with
generally accepted accounting principles requires management to make estimates
and assumptions that affect the reported amounts of assets and liabilities and
disclosure of contingent assets and liabilities at the dates of the financial
statements and the reported amounts of revenues and expenses during the
reporting periods. Actual results could differ from those estimates.

    CHANGE IN ACCOUNTING PRINCIPLE--In June 1998, the FASB issued Statement of
Financial Accounting Standards No. 133 ("SFAS No. 133"), "Accounting for
Derivative Instruments and Hedging Activities." SFAS No. 133 establishes
accounting and reporting standards for derivative financial instruments and
hedging activities. It requires that an entity recognize all derivatives as
either assets or liabilities in the statement of financial position and measure
those instruments at fair value. If certain conditions are met, a derivative may
be specifically designated as: (1) a hedge of the exposure to changes in the
fair value of a

                                       21
<Page>
                      TRINET CORPORATE REALTY TRUST, INC.

              (A WHOLLY-OWNED SUBSIDIARY OF ISTAR FINANCIAL INC.)

             NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)

NOTE 3--SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
recognized asset or liability or an unrecognized firm commitment; (2) a hedge of
the exposure to variable cash flows of a forecasted transaction; or (3) in
certain circumstances, a hedge of a foreign currency exposure. On January 1,
2001, the Company adopted this pronouncement, as amended by Statement of
Financial Accounting Standards No. 137 "Accounting for Derivative Instruments
and Hedging Activities--deferral of the Effective Date of FASB Statement
No. 133" and Statement of Financial Accounting Standards No. 138 "Accounting for
Certain Derivative Instruments and Certain Hedging Activities--an Amendment of
FASB Statement No. 133." Because the Company has primarily used derivatives as
cash flow hedges of interest rate risk only, the adoption of SFAS No. 133 did
not have a material financial impact on the financial position and results of
operations of the Company. However, should the Company change its current use of
such derivatives, the adoption and continued application of SFAS No. 133 could
have a more significant effect on the Company prospectively.

    Upon adoption, the Company recognized a charge to net income of
approximately $269,000 and an additional charge of $1.5 million to "Accumulated
other comprehensive income," representing the cumulative effect of change in
accounting principle.

    OTHER NEW ACCOUNTING STANDARDS--In September 2000, the FASB issued Statement
of Financial Accounting Standards No. 140 ("SFAS No. 140"), "Accounting for
Transfers and Servicing of Financial Assets and Extinguishments of Liabilities."
This statement is applicable for transfers of assets and extinguishments of
liabilities occurring after June 30, 2001. The Company adopted the provisions of
this statement as required for all transactions entered into on or after
April 1, 2001. The adoption of SFAS No. 140 did not have a significant impact on
the Company.

    In July 2001, the SEC released Staff Accounting Bulletin No. 102. ("SAB
102"), "Selected Loan Loss Allowance and Documentation Issues." SAB 102
summarizes certain of the SEC's views on the development, documentation and
application of a systematic methodology for determining allowances for loan and
lease losses. Adoption of SAB 102 by the Company did not have a significant
impact on the Company.

    In July 2001, the FASB issued Statement of Financial Accounting Standards
No. 141 ("SFAS No. 141"), "Business Combinations" and Statement of Financial
Accounting Standards No. 142 ("SFAS No. 142"), "Goodwill and Other Intangible
Assets." SFAS No. 141 requires the purchase method of accounting to be used for
all business combinations initiated after June 30, 2001. SFAS No. 141 also
addresses the initial recognition and measurement of goodwill and other
intangible assets acquired in business combinations and requires intangible
assets to be recognized apart from goodwill if certain tests are met. SFAS
No. 142 requires that goodwill not be amortized but instead be measured for
impairment at least annually, or when events indicate that there may be an
impairment. The Company adopted the provisions of both statements on January 1,
2002, as required, and the adoption did not have a significant impact on the
Company.

    In October 2001, the FASB issued Statement of Financial Accounting Standards
No. 144 ("SFAS No. 144"), "Accounting for the Impairment or Disposal of
Long-Lived Assets." SFAS No. 144 provides new guidance on the recognition of
impairment losses on long-lived assets to be held and used or to be disposed of,
and also broadens the definition of what constitutes a discontinued operation
and how the results of a discontinued operation are to be measured and
presented. SFAS No. 144 requires that current operations prior to the
disposition of corporate tenant lease assets and prior period results of such
operations be presented in discontinued operations in the Company's Consolidated
Statements of

                                       22
<Page>
                      TRINET CORPORATE REALTY TRUST, INC.

              (A WHOLLY-OWNED SUBSIDIARY OF ISTAR FINANCIAL INC.)

             NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)

NOTE 3--SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
Operations. The provisions of SFAS No. 144 are effective for financial
statements issued for fiscal years beginning after December 15, 2001, and must
be applied at the beginning of a fiscal year. The Company adopted the provisions
of this statement on January 1, 2002, as required, and it did not have a
significant financial impact on the Company.

    In April 2002, the FASB issued Statement of Financial Accounting Standards
No. 145 ("SFAS No. 145"), "Rescission of FASB Statements No. 4, 44, and 64,
Amendment of FASB Statement No. 13, and Technical Corrections." SFAS No. 145
rescinds both FASB Statements No. 4 ("SFAS No. 4"), "Reporting Gains and Losses
from Extinguishment of Debt," and the amendment to SFAS No. 4, FASB Statement
No. 64 ("SFAS No. 64"), "Extinguishments of Debt Made to Satisfy Sinking-Fund
Requirements." Through this rescission, SFAS No. 145 eliminates the requirement
(in both SFAS No. 4 and SFAS No. 64) that gains and losses from the
extinguishment of debt be aggregated and, if material, classified as an
extraordinary item, net of the related income tax effect. An entity is not
prohibited from classifying such gains and losses as extraordinary items, so
long as they meet the criteria in paragraph 20 of Accounting Principles Board
Opinion No. 30 ("APB 30"), "Reporting the Results of Operations--Reporting the
Effects of Disposal of a Segment of a Business, and Extraordinary, Unusual and
Infrequently Occurring Events and Transactions"; however, due to the nature of
the Company's operations, such treatment may not be available to the Company.
Any gains or losses on extinguishments of debt that were previously classified
as extraordinary items in prior periods presented that do not meet the criteria
in APB 30 for classification as an extraordinary item will be reclassified to
income from continuing operations. The provisions of SFAS No. 145 are effective
for financial statements issued for fiscal years beginning after May 15, 2002.
The Company will adopt the provisions of this statement, as required, on
January 1, 2003, at which time ($1.6 million) will be reclassified to continuing
operations.

    In June 2002, the FASB issued Statement of Financial Accounting Standards
No. 146 ("SFAS No. 146"), "Accounting for Exit or Disposal Activities," to
address significant issues regarding the recognition, measurement, and reporting
of costs that are associated with exit and disposal activities, including
restructuring activities that are currently accounted for pursuant to the
guidance that the Emerging Issues Task Force ("EITF") has set forth in EITF
Issue No. 94-3, "Liability Recognition for Certain Employee Termination Benefits
and Other Costs to Exit an Activity (including Certain Costs Incurred in a
Restructuring)." The scope of SFAS No. 146 also includes: (1) costs related to
terminating a contract that is not a capital lease; and (2) termination benefits
received by employees involuntarily terminated under the terms of a one-time
benefit arrangement that is not an on-going benefit arrangement or an individual
deferred-compensation contract. The provisions of SFAS No. 146 are effective for
exit or disposal activities that are initiated after December 31, 2002. The
Company does not expect SFAS No. 146 to have a material effect on the Company's
Consolidated Financial Statements.

    In September 2002, the FASB issued Statement of Financial Accounting
Standards No. 147 ("SFAS No. 147"), "Acquisitions of Certain Financial
Institutions," an amendment of FASB Statements No. 72 and 144 and FASB
Interpretation No. 9. SFAS No. 147 provides guidance on the accounting for the
acquisitions of financial institutions, except those acquisitions between two or
more mutual enterprises. SFAS No. 147 removes acquisitions of financial
institutions from the scope of both FASB No. 72, "Accounting for Certain
Acquisitions of Banking or Thrift Institutions," and FASB Interpretation No. 9,
Applying APB Opinions No. 16 and 17, "When a Savings and Loan Association or a
Similar Institution is Acquired in a Business Combination Accounted for by the
Purchase Method," and requires that those transactions be accounted for in
accordance with SFAS No. 141 and SFAS No. 142. SFAS No. 147 also amends SFAS
No. 144 to

                                       23
<Page>
                      TRINET CORPORATE REALTY TRUST, INC.

              (A WHOLLY-OWNED SUBSIDIARY OF ISTAR FINANCIAL INC.)

             NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)

NOTE 3--SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
include in its scope long-term, customer-relationship intangible assets of
financial institutions such as depositor-relationship and borrower-relationship
intangible assets and credit cardholder intangible assets. The Company adopted
the provisions of this statement, as required, on October 1, 2002, and it did
not have a significant financial impact on the Company's Consolidated Financial
Statements.

    In November 2002, the FASB issued FASB Interpretation No. 45 ("FIN 45"),
"Guarantor's Accounting and Disclosure Requirements for Guarantees, Including
Indirect Guarantees of Indebtedness of Others," an interpretation of FASB
Statement of Financial Accounting Standards No. 5 ("SFAS No. 5"), "Accounting
for Contingencies," Statement of Financial Accounting Standards No. 57, "Related
Party Disclosures," Statement of Financial Accounting Standards No. 107,
"Disclosures about Fair Value of Financial Instruments" and rescinds FASB
Interpretation No. 34, "Disclosure of Indirect Guarantees of Indebtedness of
Others, an Interpretation of SFAS  No. 5." It requires that upon issuance of a
guarantee, the guarantor must recognize a liability for the fair value of the
obligation it assumes under that guarantee regardless if the Company receives
separately identifiable consideration (i.e., a premium). The new disclosure
requirements are effective December 31, 2002. The adoption of FIN 45 did not
have a material impact on the Company's Consolidated Financial Statements, nor
is it expected to have a material impact in the future.

    In December 2002, the FASB issued Statement of Financial Accounting
Standards No. 148 ("SFAS No. 148"), "Accounting for Stock-Based
Compensation--Transition and Disclosure," an amendment of FASB Statement
No. 123 ("SFAS No. 123"). This statement provides alternative transition methods
for a voluntary change to the fair value basis of accounting for stock-based
employee compensation. However, this Statement does not permit the use of the
original SFAS No. 123 prospective method of transition for changes to fair value
based method made in fiscal years beginning after December 15, 2003. In
addition, this Statement amends the disclosure requirements of SFAS No. 123 to
require prominent disclosures in both annual and interim financial statements
about the method of accounting for stock-based employee compensation,
description of transition method utilized and the effect of the method used on
reported results. The transition and annual disclosure provisions of SFAS
No. 148 shall be applied for fiscal years ending after December 15, 2002. The
new interim disclosure provisions are effective for the first interim period
beginning after December 15, 2002. The Company adopted SFAS No. 148 with
retroactive application to January 1, 2002. No additional options have been
granted under the Company's stock incentive plans subsequent to the merger. As a
result, this statement has no material effect on the Company's Consolidated
Financial Statements.

    In January 2003, the FASB issued FASB Interpretation No. 46 ("FIN 46"),
"Consolidation of Variable Interest Entities," an interpretation of ARB 51. FIN
46 provides guidance on identifying entities for which control is achieved
through means other than through voting rights (a "variable interest entity" or
"VIE"), and how to determine when and which business enterprise should
consolidate a VIE. In addition, FIN 46 requires that both the primary
beneficiary and all other enterprises with a significant variable interest in a
VIE make additional disclosures. The transitional disclosure requirements will
take effect almost immediately and are required for all financial statements
initially issued after January 31, 2003. The adoption of FIN 46 is not expected
to have a material impact on the Company.

NOTE 4--LOANS AND OTHER LENDING INVESTMENTS

    On July 6, 2001, the Company financed a $75.0 million term preferred
investment in a publicly-traded real estate customer with a $50.0 million term
loan bearing interest at LIBOR + 2.50%. The investment

                                       24
<Page>
                      TRINET CORPORATE REALTY TRUST, INC.

              (A WHOLLY-OWNED SUBSIDIARY OF ISTAR FINANCIAL INC.)

             NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)

NOTE 4--LOANS AND OTHER LENDING INVESTMENTS (CONTINUED)
had a maturity of July 2006, including a one-year extension at the Company's
option. The Company's investment carried an initial current yield of 10.50%,
with annual increases of 0.50% in each of the next two years. In addition, the
Company's investment was convertible into the customer's common stock at a
strike price of $25.00 per share. During the second quarter of 2002, the asset
was transferred to iStar Financial at its carrying value of $86.7 million.

NOTE 5--CORPORATE TENANT LEASE ASSETS

    During the 12-month periods ended December 31, 2002 and 2001, respectively,
the Company acquired an aggregate of approximately $27.9 million and
$26.8 million in corporate tenant lease assets and disposed of corporate tenant
lease assets for net proceeds of approximately $3.7 million and $26.3 million.

    During the 12 months ended December 31, 2002, the Company disposed of 19
corporate tenant lease assets at their respective carrying value by transferring
them to iStar Financial. During the same period, the Company acquired three
corporate tenant lease assets transferred from iStar Financial at their
respective carrying amounts. No gain or loss resulted from these transfers.

    During the 12 months ended December 31, 2001, the Company disposed of 19
corporate tenant lease assets at their respective carrying value by transferring
them to iStar Financial. No gain or loss resulted from these transfers.

    The Company's investments in corporate tenant lease assets, at cost, were as
follows (in thousands):

<Table>
<Caption>
                                                      DECEMBER 31,   DECEMBER 31,
                                                          2002           2001
                                                      ------------   ------------
<S>                                                   <C>            <C>
Facilities and improvements.........................    $722,764      $  923,996
Land and land improvements..........................     246,107         259,678
Less: accumulated depreciation......................     (54,554)        (46,890)
                                                        --------      ----------
  Corporate tenant lease assets, net................    $914,317      $1,136,784
                                                        ========      ==========
</Table>

    The Company's corporate tenant lease assets are leased to customers with
initial expiration dates from 2003 to 2023. Future operating lease payments
under non-cancellable leases, excluding customer reimbursements of expenses, in
effect at December 31, 2002, are approximately as follows (in thousands):

<Table>
<Caption>
YEAR                                                           AMOUNT
----                                                          --------
<S>                                                           <C>
2003........................................................  $107,252
2004........................................................    92,330
2005........................................................    79,869
2006........................................................    65,128
2007........................................................    48,245
Thereafter..................................................   331,050
</Table>

    The Company receives reimbursements from customers for certain facility
operating expenses including common area costs, insurance and real estate taxes.
Customer expense reimbursements for the 12 months ended December 31, 2002, 2001
and 2000 were approximately $19.1 million, $19.0 million and $20.4 million,
respectively, and are included as a reduction of "Operating costs--corporate
tenant lease assets" on the Company's Consolidated Statements of Operations.

                                       25
<Page>
                      TRINET CORPORATE REALTY TRUST, INC.

              (A WHOLLY-OWNED SUBSIDIARY OF ISTAR FINANCIAL INC.)

             NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)

NOTE 5--CORPORATE TENANT LEASE ASSETS (CONTINUED)

    The Company is subject to expansion option agreements with one existing
customer which could require the Company to fund and to construct up to 126,100
square feet of additional adjacent space on which the Company would receive
additional operating lease income under the terms of the option agreements. In
addition, upon exercise of such expansion option agreements, the corporate
tenant would be required to simultaneously extend its existing lease terms for
an additional six years.

    On September 30, 2002, one of the Company's customers exercised an option to
terminate its lease on 50.00% of the land leased from the Company. In connection
with this termination, the Company realized $17.5 million in cash lease
termination payments, offset by a $17.4 million impairment charge in connection
with the termination, resulting in a net gain of approximately $123,000. In the
fourth quarter of 2002, the customer completed a recapitalization transaction
that significantly enhanced its credit. In connection with this
recapitalization, the Company agreed to amend the customer's lease, effective
October 1, 2002. In the lease amendment, the Company received $12.5 million in
cash as prepaid lease payments and the customer agreed to fixed minimum
increases on future lease payments. In exchange, the Company agreed to reduce
the customer's lease obligations for a period not to exceed nine quarters.
Following the reduction period, the customer is required to make additional
lease payments over a 10-year period sufficient to reimburse the Company for a
portion of the temporary reduction in the lease payments.

    In addition, on May 30, 2002, the Company sold one corporate tenant lease
asset for net proceeds of $3.7 million, and realized a gain of approximately
$595,000. As of December 31, 2002, there were two corporate tenant lease assets
with a combined book value of $28.5 million classified as "Assets held for sale"
on the Company's Consolidated Balance Sheets.

    The results of operations from corporate tenant lease assets sold or held
for sale in the current period are classified as "Income from discontinued
operations," even though such income was actually received by the Company prior
to the asset sale. Gains on sale from corporate tenant lease assets are
classified as "Gain from discontinued operations" on the Company's Consolidated
Statements of Operations.

                                       26
<Page>
                      TRINET CORPORATE REALTY TRUST, INC.

              (A WHOLLY-OWNED SUBSIDIARY OF ISTAR FINANCIAL INC.)

             NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)

NOTE 6--JOINT VENTURES AND UNCONSOLIDATED SUBSIDIARIES

    The Company's ownership percentages, its investments in and advances to
unconsolidated joint ventures and subsidiaries, its respective income (loss) and
the Company's pro rata share of its ventures' third-party, non-recourse debt as
of December 31, 2002 are presented below (in thousands):

<Table>
<Caption>
                                                   JV INCOME        PRO RATA
                                                 (LOSS) FOR THE     SHARE OF                  THIRD-PARTY DEBT
UNCONSOLIDATED JOINT                               YEAR ENDED      THIRD-PARTY    ----------------------------------------
VENTURES               OWNERSHIP      EQUITY      DECEMBER 31,    NON-RECOURSE        INTEREST             SCHEDULED
AND SUBSIDIARIES           %        INVESTMENT        2002           DEBT(1)            RATE             MATURITY DATE
--------------------   ----------   ----------   --------------   -------------   ----------------   ---------------------
<S>                    <C>          <C>          <C>              <C>             <C>                <C>
UNCONSOLIDATED JOINT
  VENTURES:
  Sunnyvale..........    44.70%      $12,323         $2,144          $10,728      LIBOR + 1.25%        November 2004(2)
  CTC I..............    50.00%       12,407          1,429           60,115      7.66% - 7.87%      Various through 2011
  Milpitas...........      N/A           N/A          1,512              N/A           N/A                    N/A
  Sierra.............      N/A           N/A            (36)             N/A           N/A                    N/A
UNCONSOLIDATED
  SUBSIDIARIES:
TMOC.................    95.00%          135             --               --           N/A                    N/A
                                     -------         ------          -------
  Total..............                $24,865         $5,049          $70,843
                                     =======         ======          =======
</Table>

EXPLANATORY NOTES:
------------------------------

(1) The Company reflects its pro rata share of third-party, non-recourse debt,
    rather than the total amount of the joint venture debt, because the
    third-party, non-recourse debt held by the joint ventures is not guaranteed
    by the Company nor does the Company have any additional commitments to fund
    such debt obligations.

(2) Maturity date reflects a one-year extension at the venture's option.

    INVESTMENTS IN AND ADVANCES TO UNCONSOLIDATED JOINT VENTURES:  At
December 31, 2002, the Company had investments in two joint ventures:
(1) TriNet Sunnyvale Partners, L.P. ("Sunnyvale"), whose external partners are
John D. O'Donnell, Trustee, John W. Hopkins, and Donald S. Grant, Trustee; and
(2) Corporate Technology Centre Associates LLC ("CTC I"), whose external member
is Corporate Technology Centre Partners LLC. These ventures were formed for the
purpose of operating, acquiring and, in certain cases, developing corporate
tenant lease facilities.

    At December 31, 2002, the ventures comprised nine net leased facilities. The
Company's combined investment in these joint ventures at December 31, 2002 was
$24.9 million. The joint ventures' carrying value for the nine facilities owned
at December 31, 2002 was $155.1 million. In aggregate, the joint ventures had
total assets of $192.5 million and total liabilities of $153.1 million as of
December 31, 2002, and net income of $6.4 million for the 12 months ended
December 31, 2002. The Company accounts for these investments under the equity
method because the Company's joint venture partners have certain participating
rights giving them shared control over the ventures.

    Effective September 29, 2000, iStar Sunnyvale Partners, LP entered into an
interest rate cap agreement limiting the venture's exposure to interest rate
movements on its $24.0 million LIBOR-based mortgage loan to an interest rate of
9.00% through November 9, 2003. Currently, the limited partners of Sunnyvale
have the option to convert their partnership interest into cash; however, the
Company may elect to deliver 297,728 shares of common stock of iStar Financial
in lieu of cash.

    On April 1, 2002, the former Sierra Land Ventures ("Sierra") joint venture
partner assigned its 50.00% ownership interest in Sierra to the Company. There
were no cash or shares exchanged in this

                                       27
<Page>
                      TRINET CORPORATE REALTY TRUST, INC.

              (A WHOLLY-OWNED SUBSIDIARY OF ISTAR FINANCIAL INC.)

             NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)

NOTE 6--JOINT VENTURES AND UNCONSOLIDATED SUBSIDIARIES (CONTINUED)
transaction. As of April 1, 2002, the Company owns 100.00% of the corporate
tenant lease asset previously held by Sierra and therefore consolidates this
asset for accounting purposes.

    On July 2, 2002, the Company paid approximately $27.9 million in cash to the
former member of TriNet Milpitas Associates ("Milpitas") joint venture in
exchange for its 50.00% ownership interest. Pursuant to the terms of the joint
venture agreement, the former external member had the right to convert its
interest into 984,476 shares of common stock of iStar Financial at any time
during the period February 1, 2002 through January 31, 2003. On May 2, 2002, the
former Milpitas external member exercised this right. Upon the external member's
exercise of its conversion right, the Company had the option to acquire the
partner's interest for cash, instead of shares, for a payment equal to the value
of 984,476 shares of common stock of iStar Financial multiplied by the ten-day
average closing stock price as of the transaction date. The Company made such
election and, as of July 2, 2002, owns 100.00% of Milpitas, and therefore
consolidates these assets for accounting purposes. The Company accounted for the
acquisition of the external interest using the purchase method.

    Income generated from the Company's joint venture investments and
unconsolidated subsidiaries is included in "Equity in earnings from joint
ventures and unconsolidated subsidiaries" on the Company's Consolidated
Statements of Operations.

    INVESTMENTS IN AND ADVANCES TO UNCONSOLIDATED SUBSIDIARIES:  The Company has
an investment in TriNet Management Operating Company, Inc. ("TMOC"), a taxable
noncontrolled subsidiary that has a $2.0 million debt investment in a real
estate company based in Mexico. The Company owns 95.00% of the outstanding
voting and non-voting common stock (representing 1.00% voting power and 95.00%
of the economic interest) in TMOC. The other two owners of TMOC stock are
executives of the Company, who own a combined 5.00% of the outstanding voting
and non-voting common stock (representing 99.00% voting power and 5.00% economic
interest) in TMOC. As of December 31, 2002, there have never been any
distributions to the common shareholders, nor does the Company expect to make
any in the future. At any time, the Company has the right to acquire all of the
common stock of TMOC at fair market value, which the Company believes to be
nominal.

    TMOC has elected to be treated as a taxable REIT subsidiary for the purpose
of maintaining compliance with the REIT provisions of the Code and is accounted
for under the equity method for financial statement reporting purposes and is
presented in "Investments in and advances to joint ventures and unconsolidated
subsidiaries" on the Company's Consolidated Balance Sheets. If TMOC were
consolidated with the Company for financial statement purposes, it would not
have a material impact on the Company's operations. As of December 31, 2002,
TMOC has no debt obligations.

                                       28
<Page>
                      TRINET CORPORATE REALTY TRUST, INC.

              (A WHOLLY-OWNED SUBSIDIARY OF ISTAR FINANCIAL INC.)

             NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)

NOTE 7--DEBT OBLIGATIONS

    As of December 31, 2002 and 2001, the Company has debt obligations under
various arrangements with financial institutions as follows (in thousands):

<Table>
<Caption>
                                                  CARRYING VALUE AS OF
                                               ---------------------------        STATED
                                               DECEMBER 31,   DECEMBER 31,       INTEREST          SCHEDULED MATURITY
                                                   2002           2001           RATES(1)                 DATE
                                               ------------   ------------   -----------------   -----------------------
<S>                                            <C>            <C>            <C>                 <C>
SECURED TERM LOANS:
  Secured by corporate tenant lease assets...    $193,000       $193,000      LIBOR + 1.85%           July 2006(2)
  Secured by corporate tenant lease
    assets(3)................................      87,309         55,819     6.00% - 11.38%       Various through 2011
  Secured by corporate lending
    investment(4)............................          --         50,000      LIBOR + 2.50%             July 2006
                                                 --------       --------
  Total term loans...........................     280,309        298,819
  Less: debt (discount) premium..............        (236)           274
                                                 --------       --------
  Total secured term loans...................     280,073        299,093
UNSECURED NOTES(5):
  6.75% Dealer Remarketable Securities(6)....     125,000        125,000          6.75%                March 2013
  7.70% Notes................................     100,000        100,000          7.70%                 July 2017
  7.95% Notes................................      50,000         50,000          7.95%                 May 2006
                                                 --------       --------
  Total unsecured notes......................     275,000        275,000
  Less: debt discount(7).....................     (11,603)       (15,698)
                                                 --------       --------
  Total unsecured notes......................     263,397        259,302
                                                 --------       --------
TOTAL DEBT OBLIGATIONS.......................    $543,470       $558,395
                                                 ========       ========
</Table>

EXPLANATORY NOTES:
------------------------------

(1) Substantially all variable-rate debt obligations are based on 30-day LIBOR
    and reprice monthly. The 30-day LIBOR rate on December 31, 2002 was 1.38%.

(2) Maturity date reflects two one-year extensions at the Company's option.

(3) During the 12 months ended December 31, 2002, debt obligations of
    $46.9 million were transferred to iStar Financial along with their
    underlying collateral. In addition, $79.1 million of secured term debt is
    reflected in the Company's debt obligations as a result of the consolidation
    of the Milpitas joint venture.

(4) On May 1, 2002, this debt obligation was transferred to iStar Financial
    along with its underlying collateral.

(5) The notes are callable by the Company at any time for an amount equal to the
    total of principal outstanding, accrued interest and the applicable
    make-whole prepayment premium.

(6) Subject to mandatory tender on March 1, 2003 to either the dealer or the
    Company. The initial coupon of 6.75% applies to the first five-year term
    through the mandatory tender date. If tendered to the dealer, the notes must
    be remarketed. The rates reset to then-prevailing market rates upon
    remarketing. Subsequent to December 31, 2002, the terms of the notes were
    modified (see Note 12).

(7) As part of the accounting for the merger these fixed-rate obligations were
    considered to have stated interest rates which were below the
    then-prevailing market rates at which the Company could issue new debt
    obligations and, accordingly, the Company ascribed a market discount to each
    obligation. Such discounts are amortized as an adjustment to interest
    expense using the effective interest method over the related term of the
    obligations. As adjusted, the effective annual interest rates on these
    obligations were 8.81%, 9.51% and 9.04% for the 6.75% Dealer Remarketable
    Securities, 7.70% Notes and 7.95% Notes, respectively.

    On May 15, 2001, the Company repaid its $100.0 million 7.30% unsecured
notes. These notes were senior unsecured obligations of the Company and ranked
equally with the Company's other senior unsecured and unsubordinated
indebtedness.

    On June 14, 2001, the Company closed $193.0 million of term loan financing
secured by 15 corporate tenant lease assets. The variable-rate loan bears
interest at LIBOR + 1.85% (not to exceed 10.00% in aggregate) and has two
one-year extensions at the Company's option. The Company used these proceeds

                                       29
<Page>
                      TRINET CORPORATE REALTY TRUST, INC.

              (A WHOLLY-OWNED SUBSIDIARY OF ISTAR FINANCIAL INC.)

             NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)

NOTE 7--DEBT OBLIGATIONS (CONTINUED)
to repay a $77.8 million secured term loan maturing in June 2001 and to pay down
a portion of its revolving credit facilities.

    On July 6, 2001, the Company financed a $75.0 million structured finance
asset with a $50.0 million term loan bearing interest at LIBOR + 2.50%. The loan
had a maturity of July 2006, including a one-year extension at the Company's
option. The Company's investment carried an initial current yield of 10.50%,
with annual increases of 0.50% in each of the next two years. In addition, the
Company's investment was convertible into the customer's common stock at a
strike price of $25.00 per share. During the second quarter of 2002, this asset
was transferred to iStar Financial along with the associated liability.

    On July 27, 2001, the Company repaid the unsecured revolving credit
facility. iStar Financial replaced this subsidiary facility with a
$300.0 million unsecured revolving credit facility with a group of leading
financial institutions.

    On July 2, 2002 the Company purchased the remaining interest in the Milpitas
joint venture from the former Milpitas external member for $27.9 million. Upon
purchase of the interest, the Milpitas venture became fully consolidated for
accounting purposes and approximately $79.1 million of secured term debt is
reflected on the Company's Consolidated Balance Sheets.

    Subsequent to December 31, 2002, the terms of the 6.75% Dealer Remarketable
Securities were modified (see Note 12).

    The 30-day LIBOR rate as of December 31, 2002 was 1.38%. The Company has
entered into an interest rate swap agreement which, together with an existing
LIBOR interest rate cap agreement struck at 7.75%, effectively fixes the
interest rate on $75.0 million of the Company's LIBOR-based borrowings at 5.58%
plus the applicable margin through December 1, 2004. The actual borrowing cost
to the Company with respect to indebtedness covered by the protection agreements
will depend upon the applicable margin over LIBOR for such indebtedness, which
will be determined by the terms of the relevant debt instruments.

    The Company has also entered into a LIBOR interest rate cap struck at 7.75%
in the notional amount of $35.0 million, which expires in December 2004.

    During the years ended December 31, 2002 and 2001, the Company incurred an
extraordinary loss of approximately $0 and $1.6 million, respectively, as a
result of the early retirement of certain debt obligations.

                                       30
<Page>
                      TRINET CORPORATE REALTY TRUST, INC.

              (A WHOLLY-OWNED SUBSIDIARY OF ISTAR FINANCIAL INC.)

             NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)

NOTE 7--DEBT OBLIGATIONS (CONTINUED)

    As of December 31, 2002, future expected/scheduled maturities of outstanding
long-term debt obligations are as follows (in thousands)(1):

<Table>
<S>                                                           <C>
2003........................................................  $     --
2004........................................................        --
2005........................................................    82,211
2006........................................................   243,000
2007........................................................     2,975
Thereafter..................................................   227,123
                                                              --------
Total principal maturities..................................   555,309
Net unamortized debt discounts..............................   (11,839)
                                                              --------
Total debt obligations......................................  $543,470
                                                              ========
</Table>

EXPLANATORY NOTE:
------------------------------

(1) Assumes exercise of extensions to the extent such extensions are at the
    Company's option.

NOTE 8--STOCK OPTION PLANS AND EMPLOYEE BENEFITS

    IMPACT OF MERGER--The Company's stock incentive plans were terminated
effective with the merger, at which time each holder of a stock option, with the
exception of the Company's directors and certain senior executives, elected to
receive one of the following for each stock option: (1) cash equal to the
difference between the market price and the exercise price of the stock option,
whether vested or unvested; or (2) a number of options to purchase iStar
Financial common stock on substantially the same terms, in each case giving
effect to the 1.15 exchange ratio. Unvested options were exchanged for unvested
iStar Financial options and resumed the same vesting schedules.

    EMPLOYEE BENEFITS--Effective January 1, 1994, the Company implemented the
TriNet Corporate Realty Trust, Inc. Savings and Retirement Plan, which is a
voluntary, defined contribution plan. On November 4, 1999, as a result of the
merger with iStar Financial, all participants became part of the iStar Financial
Inc. Savings and Retirement Plan.

NOTE 9--COMPREHENSIVE INCOME

    In June 1997, the FASB issued Statement of Financial Accounting Standards
No. 130 ("SFAS No. 130"), "Reporting Comprehensive Income" effective for fiscal
years beginning after December 15, 1997. The statement changes the reporting of
certain items currently reported as changes in the shareholder's equity section
of the balance sheet and establishes standards for the reporting and display of
comprehensive income and its components in a full set of general-purpose
financial statements. SFAS No. 130 requires that all components of comprehensive
income shall be reported in the financial statements in the period in which they
are recognized. Furthermore, a total amount for comprehensive income shall be
displayed in the financial statements. The Company has adopted this standard
effective January 1, 1998. Total comprehensive income was $54.1 million,
$91.2 million and $83.1 million for the years ended December 31, 2002, 2001 and
2000 respectively. The primary component of comprehensive

                                       31
<Page>
                      TRINET CORPORATE REALTY TRUST, INC.

              (A WHOLLY-OWNED SUBSIDIARY OF ISTAR FINANCIAL INC.)

             NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)

NOTE 9--COMPREHENSIVE INCOME (CONTINUED)
income other than net income was the adoption and continued application of SFAS
No. 133 to the Company's cash flow hedges and changes in the fair value of the
Company's available-for-sale investment.

    For the years ended December 31, 2002 and 2001, the change in the fair
market value of the Company's cash flow hedges was a decrease of $1.8 million
and $3.5 million, respectively, and was recorded as an adjustment to other
comprehensive income. The reconciliation to other comprehensive income is as
follows (in thousands):

<Table>
<Caption>
                                                               FOR THE YEAR ENDED DECEMBER 31,
                                                              ---------------------------------
                                                                2002        2001        2000
                                                              ---------   ---------   ---------
<S>                                                           <C>         <C>         <C>
Net income..................................................   $61,583     $90,486     $83,130
Other comprehensive income:
  Unrealized gains (losses) on available-for-sale
    investments.............................................    (5,715)      5,715          --
  Cumulative effect of change in accounting principle (SFAS
    No. 133) on other comprehensive income..................        --      (1,517)         --
  Unrealized gains (losses) on cash flow hedges.............    (1,779)     (3,476)         --
                                                               -------     -------     -------
Comprehensive income........................................   $54,089     $91,208     $83,130
                                                               =======     =======     =======
</Table>

    Unrealized gains on available-for-sale investments are recorded as
adjustments to shareholder's equity (through "Accumulated other comprehensive
income" on the Company's Consolidated Balance Sheets), and are not included in
net income unless realized.

    As of December 31, 2002 and 2001, accumulated other comprehensive income
reflected in the Company's shareholder's equity is comprised of the following:

<Table>
<Caption>
                                                                     AS OF
                                                                 DECEMBER 31,
                                                              -------------------
                                                                2002       2001
                                                              --------   --------
<S>                                                           <C>        <C>
Unrealized gains on available-for-sale investments..........  $    --     $5,715
Unrealized losses on cash flow hedges.......................   (6,772)    (4,993)
                                                              -------     ------
Accumulated other comprehensive income (loss)...............  $(6,772)    $  722
                                                              =======     ======
</Table>

NOTE 10--FAIR VALUES OF FINANCIAL INSTRUMENTS

    SFAS No. 107, "Disclosures About Fair Value of Financial Instruments" ("SFAS
No. 107"), requires the disclosure of the estimated fair values of financial
instruments. The fair value of a financial instrument is the amount at which the
instrument could be exchanged in a current transaction between willing parties,
other than in a forced or liquidation sale. Quoted market prices, if available,
are utilized as estimates of the fair values of financial instruments. Because
no quoted market prices exist for a significant part of the Company's financial
instruments, the fair values of such instruments have been derived based on
management's assumptions, the amount and timing of future cash flows and
estimated discount rates. The estimation methods for individual classifications
of financial instruments are described more fully below. Different assumptions
could significantly affect these estimates. Accordingly, the net realizable
values could be materially different from the estimates presented below. The
provisions of SFAS No. 107 do not

                                       32
<Page>
                      TRINET CORPORATE REALTY TRUST, INC.

              (A WHOLLY-OWNED SUBSIDIARY OF ISTAR FINANCIAL INC.)

             NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)

NOTE 10--FAIR VALUES OF FINANCIAL INSTRUMENTS (CONTINUED)
require the disclosure of the fair value of non-financial instruments, including
intangible assets or the Company's corporate tenant lease assets.

    In addition, the estimates are only indicative of the value of individual
financial instruments and should not be considered an indication of the fair
value of the Company as an operating business.

    SHORT-TERM FINANCIAL INSTRUMENTS--The carrying values of short-term
financial instruments including cash and cash equivalents and short-term
investments approximate the fair values of these instruments. These financial
instruments generally expose the Company to limited credit risk and have no
stated maturities, or have an average maturity of less than 90 days and carry
interest rates which approximate market.

    LOANS AND OTHER LENDING INVESTMENTS--For the Company's interests in loans
and other lending investments, the fair values were estimated by discounting the
future contractual cash flows (excluding participation interests in the sale or
refinancing proceeds of the underlying collateral) using estimated current
market rates at which similar loans would be made to borrowers with similar
credit ratings for the same remaining maturities.

    MARKETABLE SECURITIES--Securities held for investment, securities available
for sale, loans held for sale, trading account instruments, long-term debt and
trust preferred securities traded actively in the secondary market have been
valued using quoted market prices.

    OTHER FINANCIAL INSTRUMENTS--The carrying value of other financial
instruments including, restricted cash, accrued interest receivable, accounts
payable, accrued expenses and other liabilities approximate the fair values of
the instruments.

    DEBT OBLIGATIONS--A portion of the Company's existing debt obligations bear
interest at fixed margins over LIBOR. Such margins or spreads may be higher or
lower than those at which the Company could currently replace the related
financing arrangements. Other obligations of the Company bear interest at fixed
rates, which may differ from prevailing market interest rates. As a result, the
fair values of the Company's debt obligations were estimated by discounting
current debt balances from December 31, 2002 and 2001 to maturity using
estimated current market rates at which the Company could enter into similar
financing arrangements.

    INTEREST RATE PROTECTION AGREEMENTS--The fair value of interest rate
protection agreements such as interest rate caps, floors, collars and swaps used
for hedging purposes is the estimated amount the Company would receive or pay to
terminate these agreements at the reporting date, taking into account current
interest rates and current creditworthiness of the respective counterparties.

                                       33
<Page>
                      TRINET CORPORATE REALTY TRUST, INC.

              (A WHOLLY-OWNED SUBSIDIARY OF ISTAR FINANCIAL INC.)

             NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)

NOTE 10--FAIR VALUES OF FINANCIAL INSTRUMENTS (CONTINUED)
    The book and fair values of financial instruments as of December 31, 2002
and 2001 were (in thousands):

<Table>
<Caption>
                                                             2002                  2001
                                                      -------------------   -------------------
                                                        BOOK       FAIR       BOOK       FAIR
                                                       VALUE      VALUE      VALUE      VALUE
                                                      --------   --------   --------   --------
<S>                                                   <C>        <C>        <C>        <C>
FINANCIAL ASSETS:
  Loans and other lending investments...............  $  1,900   $  1,980   $ 81,743   $ 81,728

FINANCIAL LIABILITIES:
  Debt obligations..................................   543,470    550,016    558,395    568,141
  Interest rate protection agreements...............    (5,714)    (5,714)    (3,175)    (3,175)
</Table>

NOTE 11--QUARTERLY FINANCIAL INFORMATION (UNAUDITED)

    The following table sets forth the selected quarterly financial data for the
Company (in thousands):

<Table>
<Caption>
                                                                      QUARTER ENDED
                                                   ---------------------------------------------------
                                                   DECEMBER 31,   SEPTEMBER 30,   JUNE 30,   MARCH 31,
                                                   ------------   -------------   --------   ---------
<S>                                                <C>            <C>             <C>        <C>
2002:
Revenue..........................................     $33,064        $29,473      $26,682     $30,206
Net income.......................................      13,232         11,576       16,353      20,422
Net income per common share......................         N/A            N/A          N/A         N/A

2001:
Revenue..........................................     $32,123        $32,818      $36,473     $35,762
Net income.......................................      23,686         21,202       24,843      20,755
Net income per common share......................         N/A            N/A          N/A         N/A
</Table>

NOTE 12--SUBSEQUENT EVENTS

    Subsequent to December 31, 2002, the 6.75% Dealer Remarketable Securities
were repaid by the Company and reissued by iStar Financial.

                                       34
<Page>
                      TRINET CORPORATE REALTY TRUST, INC.
              (A WHOLLY-OWNED SUBSIDIARY OF ISTAR FINANCIAL INC.)
    SCHEDULE III--CORPORATE TENANT LEASE ASSETS AND ACCUMULATED DEPRECIATION
                            AS OF DECEMBER 31, 2002
                             (DOLLARS IN THOUSANDS)
<Table>
<Caption>

                                                            INITIAL COST TO COMPANY        COST
                                                            ------------------------    CAPITALIZED
                                                                        BUILDING AND   SUBSEQUENT TO
LOCATION                           STATE     ENCUMBRANCES     LAND      IMPROVEMENTS    ACQUISITION
--------------------------------  --------   ------------   ---------   ------------   -------------
<S>                               <C>        <C>            <C>         <C>            <C>

OFFICE FACILITIES:
Tempe...........................     AZ        $     --     $  1,033      $  6,652        $    --
Tempe...........................     AZ              --        1,033         6,652             56
Tempe...........................     AZ              --        1,033         6,652             --
Tempe...........................     AZ           3,534          701         4,339             --
Anaheim.........................     CA          12,879        3,512        13,379             46
Cupertino.......................     CA          17,093        7,994        19,037             --
Fremont.........................     CA              --          880         4,846             --
Milpitas........................     CA           8,646        9,526        11,655            785
Milpitas........................     CA           5,500        4,139         5,064            529
Milpitas........................     CA          20,243        9,802        12,116            115
Mountain View...................     CA              --        5,798        12,720             --
Palo Alto.......................     CA              --           --        19,168             37
Redondo Beach...................     CA           8,331        2,598         9,212             --
Englewood.......................     CO              --        2,967        15,008             --
Englewood.......................     CO              --        8,536        27,428          7,596
Westminster.....................     CO              --          307         3,524             --
Westminster.....................     CO              --          616         7,290             --
Jacksonville....................     FL              --        1,384         3,911             --
Jacksonville....................     FL              --          877         2,237             39
Jacksonville....................     FL              --        2,366         6,072             --
Alpharetta......................     GA              --          905         6,744             18
Lisle...........................     IL              --        6,153        14,993             --
Vernon Hills....................     IL           8,999        1,400        12,597             --
New Orleans.....................     LA              --        1,427        24,252          1,846
New Orleans.....................     LA          52,439        1,665        16,653          1,253
Andover.........................     MA              --        1,787         8,486             --
Braintree.......................     MA              --          792         4,929             44
Braintree.......................     MA              --        2,225         7,403             91
Canton..........................     MA              --          742         3,155            103
Canton..........................     MA              --        1,409         3,890             41
Canton..........................     MA              --        1,077         2,746             81
Foxborough......................     MA           2,975        1,218         3,756             --

<Caption>
                                        GROSS AMOUNT CARRIED AT
                                            CLOSE OF PERIOD
                                  ------------------------------------                             DEPRECIABLE
                                             BUILDING AND                ACCUMULATED      DATE        LIFE
LOCATION                            LAND     IMPROVEMENTS     TOTAL      DEPRECIATION   ACQUIRED     (YEARS)
--------------------------------  --------   ------------   ----------   ------------   --------   -----------
<S>                               <C>        <C>            <C>          <C>            <C>        <C>
OFFICE FACILITIES:
Tempe...........................  $  1,033     $  6,652     $    7,685     $    527       1999         40.0
Tempe...........................     1,033        6,708          7,741          527       1999         40.0
Tempe...........................     1,033        6,652          7,685          527       1999         40.0
Tempe...........................       701        4,339          5,040          343       1999         40.0
Anaheim.........................     3,512       13,425         16,937        1,063       1999         40.0
Cupertino.......................     7,994       19,037         27,031        1,507       1999         40.0
Fremont.........................       880        4,846          5,726          384       1999         40.0
Milpitas........................     9,526       12,440         21,966          465       2002         40.0
Milpitas........................     4,139        5,593          9,732          308       2002         40.0
Milpitas........................     9,802       12,231         22,033          541       2002         40.0
Mountain View...................     5,798       12,720         18,518        1,007       1999         40.0
Palo Alto.......................        --       19,205         19,205        1,519       1999         40.0
Redondo Beach...................     2,598        9,212         11,810          729       1999         40.0
Englewood.......................     2,967       15,008         17,975        1,188       1999         40.0
Englewood.......................     8,536       35,024         43,560        2,346       1999         40.0
Westminster.....................       307        3,524          3,831          279       1999         40.0
Westminster.....................       616        7,290          7,906          577       1999         40.0
Jacksonville....................     1,384        3,911          5,295          310       1999         40.0
Jacksonville....................       877        2,276          3,153          180       1999         40.0
Jacksonville....................     2,366        6,072          8,438          481       1999         40.0
Alpharetta......................       905        6,762          7,667          535       1999         40.0
Lisle...........................     6,153       14,993         21,146        1,187       1999         40.0
Vernon Hills....................     1,400       12,597         13,997          997       1999         40.0
New Orleans.....................     1,427       26,098         27,525        2,182       1999         40.0
New Orleans.....................     1,665       17,906         19,571        1,514       1999         40.0
Andover.........................     1,787        8,486         10,273          672       1999         40.0
Braintree.......................       792        4,973          5,765          393       1999         40.0
Braintree.......................     2,225        7,494          9,719          589       1999         40.0
Canton..........................       742        3,258          4,000          255       1999         40.0
Canton..........................     1,409        3,931          5,340          310       1999         40.0
Canton..........................     1,077        2,827          3,904          225       1999         40.0
Foxborough......................     1,218        3,756          4,974          297       1999         40.0
</Table>

                                       35
<Page>
                      TRINET CORPORATE REALTY TRUST, INC.
              (A WHOLLY-OWNED SUBSIDIARY OF ISTAR FINANCIAL INC.)
    SCHEDULE III--CORPORATE TENANT LEASE ASSETS AND ACCUMULATED DEPRECIATION
                                  (CONTINUED)
                            AS OF DECEMBER 31, 2002
                             (DOLLARS IN THOUSANDS)
<Table>
<Caption>

                                                            INITIAL COST TO COMPANY        COST
                                                            ------------------------    CAPITALIZED
                                                                        BUILDING AND   SUBSEQUENT TO
LOCATION                           STATE     ENCUMBRANCES     LAND      IMPROVEMENTS    ACQUISITION
--------------------------------  --------   ------------   ---------   ------------   -------------
<S>                               <C>        <C>            <C>         <C>            <C>
Mansfield.......................     MA             823          584         1,443             42
Norwell.........................     MA              --        1,140         1,658             32
Norwell.........................     MA           1,953          506         2,277            522
Norwell.........................     MA              --        1,357         5,429            635
Norwell.........................     MA              --          973         3,805             29
Rockland........................     MA              --        2,011        11,761             83
Westborough.....................     MA           7,265        1,651        10,758             --
Lanham..........................     MD          10,435        2,486        12,047            164
Arden Hills.....................     MN              --          719         6,541             --
Roseville.......................     MN           3,533        1,113         4,452             --
Memphis.........................     TN          17,387        2,702        25,129             --
Irving..........................     TX              --        1,364        10,628             --
Irving..........................     TX              --        1,804         5,815            323
Irving..........................     TX          17,307        3,363        21,376             --
Richardson......................     TX              --        1,233        15,160             --
Richardson......................     TX              --        2,932        31,235             --
Richardson......................     TX              --        1,230         5,660            238
Reston..........................     VA              --        4,436        22,362            101
Milwaukee.......................     WI          10,833        1,875        13,914             --
                                               --------     --------      --------        -------
Subtotal........................                210,175      119,381       518,016         14,849
                                               --------     --------      --------        -------

<Caption>
                                        GROSS AMOUNT CARRIED AT
                                            CLOSE OF PERIOD
                                  ------------------------------------                             DEPRECIABLE
                                             BUILDING AND                ACCUMULATED      DATE        LIFE
LOCATION                            LAND     IMPROVEMENTS     TOTAL      DEPRECIATION   ACQUIRED     (YEARS)
--------------------------------  --------   ------------   ----------   ------------   --------   -----------
<S>                               <C>        <C>            <C>          <C>            <C>        <C>
Mansfield.......................       584        1,485          2,069          116       1999         40.0
Norwell.........................     1,140        1,690          2,830          133       1999         40.0
Norwell.........................       506        2,799          3,305          244       1999         40.0
Norwell.........................     1,357        6,064          7,421          469       1999         40.0
Norwell.........................       973        3,834          4,807          303       1999         40.0
Rockland........................     2,011       11,844         13,855          933       1999         40.0
Westborough.....................     1,651       10,758         12,409          852       1999         40.0
Lanham..........................     2,486       12,211         14,697          965       1999         40.0
Arden Hills.....................       719        6,541          7,260          518       1999         40.0
Roseville.......................     1,113        4,452          5,565          352       1999         40.0
Memphis.........................     2,702       25,129         27,831        1,989       1999         40.0
Irving..........................     1,364       10,628         11,992          841       1999         40.0
Irving..........................     1,804        6,138          7,942          477       1999         40.0
Irving..........................     3,363       21,376         24,739        1,692       1999         40.0
Richardson......................     1,233       15,160         16,393          916       1999         40.0
Richardson......................     2,932       31,235         34,167        2,473       1999         40.0
Richardson......................     1,230        5,898          7,128          450       1999         40.0
Reston..........................     4,436       22,463         26,899        1,775       1999         40.0
Milwaukee.......................     1,875       13,914         15,789        1,102       1999         40.0
                                  --------     --------     ----------     --------
Subtotal........................   119,381      532,865        652,246       40,564
                                  --------     --------     ----------     --------
</Table>

                                       36
<Page>
                      TRINET CORPORATE REALTY TRUST, INC.
              (A WHOLLY-OWNED SUBSIDIARY OF ISTAR FINANCIAL INC.)
    SCHEDULE III--CORPORATE TENANT LEASE ASSETS AND ACCUMULATED DEPRECIATION
                                  (CONTINUED)
                            AS OF DECEMBER 31, 2002
                             (DOLLARS IN THOUSANDS)
<Table>
<Caption>

                                                            INITIAL COST TO COMPANY        COST
                                                            ------------------------    CAPITALIZED
                                                                        BUILDING AND   SUBSEQUENT TO
LOCATION                           STATE     ENCUMBRANCES     LAND      IMPROVEMENTS    ACQUISITION
--------------------------------  --------   ------------   ---------   ------------   -------------
<S>                               <C>        <C>            <C>         <C>            <C>

INDUSTRIAL FACILITIES:
Phoenix.........................     AZ              --        1,000         1,997             --
Burlingame......................     CA              --        1,219         3,470             --
Millbrae........................     CA              --          741         2,107             --
Milpitas........................     CA           6,637        5,051         6,170            329
Milpitas........................     CA           8,703        6,856         8,378             --
Milpitas........................     CA           2,247        2,633         3,219            280
Milpitas........................     CA           3,732        4,120         5,033             --
Milpitas........................     CA           2,704        3,044         3,716            590
Milpitas........................     CA           9,227        4,095         8,323            566
Milpitas........................     CA           9,965        5,617         6,877            477
Milpitas........................     CA              --        4,880        12,367          1,498
Milpitas........................     CA           7,645        4,600         5,627            165
Milpitas........................     CA           3,104        3,000         3,669             --
San Jose........................     CA              --        9,677        23,288             --
Miami...........................     FL              --        3,048         8,676             --
Miami...........................     FL              --        1,394         3,967             --
Miami...........................     FL              --        1,612         4,586             --
Orlando.........................     FL              --        1,475         4,198             --
St. Petersburg..................     FL              --          723         3,061             --
St. Petersburg..................     FL              --          634         2,685            224
Marion..........................     IN              --          131         4,254             --
South Bend......................     IN              --          140         4,640             --
Wichita.........................     KS              --          213         3,189             --
Lakeville.......................     MA              --        1,012         4,048             --
Randolph........................     MA           2,432          615         3,471             --
Bloomington.....................     MN              --          403         1,147             --
Reno............................     NV              --          248           707             --
Astoria.........................     NY              --          897         2,555             --
Astoria.........................     NY              --        1,796         5,109             --

<Caption>
                                        GROSS AMOUNT CARRIED AT
                                            CLOSE OF PERIOD
                                  ------------------------------------                             DEPRECIABLE
                                             BUILDING AND                ACCUMULATED      DATE        LIFE
LOCATION                            LAND     IMPROVEMENTS     TOTAL      DEPRECIATION   ACQUIRED     (YEARS)
--------------------------------  --------   ------------   ----------   ------------   --------   -----------
<S>                               <C>        <C>            <C>          <C>            <C>        <C>
INDUSTRIAL FACILITIES:
Phoenix.........................     1,000        1,997          2,997          158       1999         40.0
Burlingame......................     1,219        3,470          4,689          275       1999         40.0
Millbrae........................       741        2,107          2,848          167       1999         40.0
Milpitas........................     5,051        6,499         11,550          289       2002         40.0
Milpitas........................     6,856        8,378         15,234          371       2002         40.0
Milpitas........................     2,633        3,499          6,132          155       2002         40.0
Milpitas........................     4,120        5,033          9,153          221       2002         40.0
Milpitas........................     3,044        4,306          7,350          324       2002         40.0
Milpitas........................     4,095        8,889         12,984          666       1999         40.0
Milpitas........................     5,617        7,354         12,971          375       2002         40.0
Milpitas........................     4,880       13,865         18,745        1,439       1999         40.0
Milpitas........................     4,600        5,792         10,392          294       2002         40.0
Milpitas........................     3,000        3,669          6,669          165       2002         40.0
San Jose........................     9,677       23,288         32,965        1,844       1999         40.0
Miami...........................     3,048        8,676         11,724          687       1999         40.0
Miami...........................     1,394        3,967          5,361          314       1999         40.0
Miami...........................     1,612        4,586          6,198          363       1999         40.0
Orlando.........................     1,475        4,198          5,673          332       1999         40.0
St. Petersburg..................       723        3,061          3,784          242       1999         40.0
St. Petersburg..................       634        2,909          3,543          214       1999         40.0
Marion..........................       131        4,254          4,385          337       1999         40.0
South Bend......................       140        4,640          4,780          367       1999         40.0
Wichita.........................       213        3,189          3,402          252       1999         40.0
Lakeville.......................     1,012        4,048          5,060          320       1999         40.0
Randolph........................       615        3,471          4,086          275       1999         40.0
Bloomington.....................       403        1,147          1,550           91       1999         40.0
Reno............................       248          707            955           56       1999         40.0
Astoria.........................       897        2,555          3,452          202       1999         40.0
Astoria.........................     1,796        5,109          6,905          404       1999         40.0
</Table>

                                       37
<Page>
                      TRINET CORPORATE REALTY TRUST, INC.
              (A WHOLLY-OWNED SUBSIDIARY OF ISTAR FINANCIAL INC.)
    SCHEDULE III--CORPORATE TENANT LEASE ASSETS AND ACCUMULATED DEPRECIATION
                                  (CONTINUED)
                            AS OF DECEMBER 31, 2002
                             (DOLLARS IN THOUSANDS)
<Table>
<Caption>

                                                            INITIAL COST TO COMPANY        COST
                                                            ------------------------    CAPITALIZED
                                                                        BUILDING AND   SUBSEQUENT TO
LOCATION                           STATE     ENCUMBRANCES     LAND      IMPROVEMENTS    ACQUISITION
--------------------------------  --------   ------------   ---------   ------------   -------------
<S>                               <C>        <C>            <C>         <C>            <C>
Columbus........................     OH              --          375         7,191              --
Philadelphia....................     PA              --          620         1,765              --
Farmers Branch..................     TX           6,935        1,314         8,903              --
Richardson......................     TX           6,803          858         8,556              --
Seattle.........................     WA              --          828         2,355              --
                                               --------     --------      --------        --------
Subtotal........................                 70,134       74,869       179,304           4,129
                                               --------     --------      --------        --------

GROUND LEASE:
San Jose........................     CA              --       41,106            --              --

LAND:
Concord.........................     MA              --        1,267            --              --
Irving..........................     TX              --        5,243            --              --
                                               --------     --------      --------        --------
Subtotal........................                     --        6,510            --              --
                                               --------     --------      --------        --------

PARKING GARAGE:
New Orleans.....................     LA              --        4,241         6,462               4
                                               --------     --------      --------        --------
Total corporate tenant lease
  assets........................               $280,309     $246,107      $703,782        $ 18,982
                                               ========     ========      ========        ========

<Caption>
                                        GROSS AMOUNT CARRIED AT
                                            CLOSE OF PERIOD
                                  ------------------------------------                             DEPRECIABLE
                                             BUILDING AND                ACCUMULATED      DATE        LIFE
LOCATION                            LAND     IMPROVEMENTS     TOTAL      DEPRECIATION   ACQUIRED     (YEARS)
--------------------------------  --------   ------------   ----------   ------------   --------   -----------
<S>                               <C>        <C>            <C>          <C>            <C>        <C>
Columbus........................       375        7,191          7,566          569       1999         40.0
Philadelphia....................       620        1,765          2,385          140       1999         40.0
Farmers Branch..................     1,314        8,903         10,217          705       1999         40.0
Richardson......................       858        8,556          9,414          677       1999         40.0
Seattle.........................       828        2,355          3,183          186       1999         40.0
                                  --------     --------     ----------     --------
Subtotal........................    74,869      183,433        258,302       13,476
                                  --------     --------     ----------     --------
GROUND LEASE:
San Jose........................    41,106           --         41,106           --       2000
LAND:
Concord.........................     1,267           --          1,267           --       1999
Irving..........................     5,243           --          5,243           --       2002
                                  --------     --------     ----------     --------
Subtotal........................     6,510           --          6,510           --
                                  --------     --------     ----------     --------
PARKING GARAGE:
New Orleans.....................     4,241        6,466         10,707          514       1999         40.0
                                  --------     --------     ----------     --------
Total corporate tenant lease
  assets........................  $246,107     $722,764     $  968,871     $ 54,554
                                  ========     ========     ==========     ========
</Table>

                                       38
<Page>
                      TRINET CORPORATE REALTY TRUST, INC.
              (A WHOLLY-OWNED SUBSIDIARY OF ISTAR FINANCIAL INC.)
                             NOTES TO SCHEDULE III
                               DECEMBER 31, 2002
                             (DOLLARS IN THOUSANDS)

1. RECONCILIATION OF CORPORATE TENANT LEASE ASSETS:

    The following table reconciles Corporate Tenant Lease Assets from January 1,
2000 to December 31, 2002:

<Table>
<Caption>
                                                              2002         2001         2000
                                                           ----------   ----------   ----------
<S>                                                        <C>          <C>          <C>
Balance at January 1.....................................  $1,183,674   $1,444,830   $1,453,550
Additions................................................     175,630       51,670      137,995
Dispositions.............................................    (345,414)    (312,826)    (146,715)
Assets classified as held for sale.......................     (45,019)          --           --
                                                           ----------   ----------   ----------
Balance at December 31...................................  $  968,871   $1,183,674   $1,444,830
                                                           ==========   ==========   ==========
</Table>

2. RECONCILIATION OF ACCUMULATED DEPRECIATION:

    The following table reconciles Accumulated Depreciation from January 1, 2000
to December 31, 2002:

<Table>
<Caption>
                                                              2002         2001         2000
                                                           ----------   ----------   ----------
<S>                                                        <C>          <C>          <C>
Balance at January 1.....................................  $  (46,890)  $  (31,764)  $   (5,111)
Additions................................................     (19,342)     (28,287)     (28,277)
Dispositions.............................................      11,482       13,161        1,624
Assets classified as held for sale.......................         196           --           --
                                                           ----------   ----------   ----------
Balance at December 31...................................  $  (54,554)  $  (46,890)  $  (31,764)
                                                           ==========   ==========   ==========
</Table>

                                       39
<Page>
ITEM 9. CHANGES IN AND DISAGREEMENTS WITH ACCOUNTANTS ON ACCOUNTING AND
  FINANCIAL DISCLOSURE

    None.

                                    PART III

ITEM 10. DIRECTORS AND EXECUTIVE OFFICERS OF THE REGISTRANT

    Omitted pursuant to General Instruction I(2)(c) of Form 10-K.

ITEM 11. EXECUTIVE COMPENSATION

    Omitted pursuant to General Instruction I(2)(c) of Form 10-K.

ITEM 12. SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT

    Omitted pursuant to General Instruction I(2)(c) of Form 10-K.

ITEM 13. CERTAIN RELATIONSHIPS AND RELATED TRANSACTIONS

    Omitted pursuant to General Instruction I(2)(c) of Form 10-K.

ITEM 14. CONTROLS AND PROCEDURES

    The Company maintains disclosure controls and procedures that are designed
to ensure that information required to be disclosed in the Company's Securities
and Exchange Act of 1934 (the "Exchange Act") reports is recorded, processed,
summarized and reported within the time periods specified in the SEC's rules and
forms, and that such information is accumulated and communicated to the
Company's management, including its Chief Executive Officer and Chief Financial
Officer, as appropriate, to allow timely decisions regarding required
disclosure.

    Within the 90-day period prior to the date of this report, the Company
carried out an evaluation, under the supervision of members of management,
including its Chief Executive Officer and Chief Financial Officer, of the
effectiveness of Act Rule 13a-14. Based upon that evaluation, the Chief
Executive Officer and Chief Financial Officer concluded that the Company's
disclosure controls and procedures are effective to timely alert them to
material information relating to the Company (including its consolidated
subsidiaries) required to be included in the Company's Exchange Act filings.

    There have been no significant changes in the Company's internal controls or
in other factors that could significantly affect internal controls subsequent to
the date that the Company carried out its evaluation.

                                       40
<Page>
                                    PART IV

ITEM 15. EXHIBITS, FINANCIAL STATEMENTS, SCHEDULES AND REPORTS ON FORM 8-K

       a.  and (d). Financial Statements and Schedules--see Index to Financial
           Statements and Schedules included in Item 8.

       b.  Reports on Form 8-K

           None.

       c.  Exhibits--see index on following page.

                                       41
<Page>
                               INDEX TO EXHIBITS

<Table>
<Caption>
       EXHIBIT
       NUMBER                               DOCUMENT DESCRIPTION
---------------------   ------------------------------------------------------------
<C>                     <S>
         3.1            Amended and Restated Charter. (Incorporated by reference to
                        Exhibit 3.1 to the 2000 Annual Report on Form 10-K, dated
                        March 30, 2001, of TriNet Corporate Realty Trust, Inc.)

         3.2            Amended and Restated Bylaws. (Incorporated by reference to
                        Exhibit 3.2 to the 2000 Annual Report on Form 10-K, dated
                        March 30, 2001, of TriNet Corporate Realty Trust, Inc.)

         4.1            Definitive Indenture, dated as of May 22, 1996.
                        (Incorporated by reference to Exhibit 4.2 to the Current
                        Report on Form 8-K, dated June 14, 1996, of TriNet Corporate
                        Realty Trust, Inc.)

         4.2            Definitive Supplemental Indenture No. 1, dated as of May 22,
                        1996, relating to the 7.30% Notes due 2001 and the 7.95%
                        Notes due 2006. (Incorporated by reference to Exhibit 4.1 to
                        the Current Report on Form 8-K, dated June 14, 1996, of
                        TriNet Corporate Realty Trust, Inc.)

         4.3            Definitive Supplemental Indenture No. 2, dated as of July
                        14, 1997, relating to the 7.70% Notes due 2017 and including
                        the form of the 7.70% Notes due 2006. (Incorporated by
                        reference to Exhibit 4.2 to the Current Report on Form 8-K,
                        dated July 9, 1997, of TriNet Corporate Realty Trust, Inc.)

         4.4            Remarketing Agreement, dated February 27, 1998 (Incorporated
                        by reference to Exhibit 1.2 to the Current Report on Form
                        8-K, dated March 4, 1998, of TriNet Corporate Realty Trust,
                        Inc.)

         4.5            Senior Debt Securities Indenture, dated February 27, 1998
                        (Incorporated by reference to Exhibit 1.3 to the Current
                        Report on Form 8-K, dated March 4, 1998, of TriNet Corporate
                        Realty Trust, Inc.)

         4.6            Supplemental Indenture No. 1, dated February 27, 1998
                        (Incorporated by reference to Exhibit 1.4 to the Current
                        Report on Form 8-K, dated March 4, 1998, of TriNet Corporate
                        Realty Trust, Inc.)

        10.1            Loan Agreement dated December 6, 1994, by and among Nomura
                        Asset Capital Corporation, Pacific Mutual Life Insurance
                        Company and TriNet Essential Facilities XII, Inc.
                        (Incorporated by reference to Exhibit 10.1 to the
                        Registration Statement on Form S-3 of TriNet Corporate
                        Realty Trust, Inc., Registration No. 33-87256.)

        10.2            Interest Rate Protection Agreement dated May 21, 1993,
                        between certain of the Company's subsidiaries and UBS
                        Securities (Swaps), Inc. (Incorporated by reference to
                        Exhibit 10.32 to the Registration Statement on Form S-11 of
                        TriNet Corporate Realty Trust, Inc., Registration
                        No. 33-74284.)

        10.3            Interest Rate Protection Agreement dated December 6, 1994,
                        between TriNet Essential Facilities XII, Inc. and Morgan
                        Guaranty Trust Company of New York. (Incorporated by
                        reference to Exhibit 4.6 to the 1997 Annual Report on Form
                        10-K, dated March 30, 1998, of TriNet Corporate Realty
                        Trust, Inc.)

        10.4            Amended and Restated Agreement of Limited Partnership
                        between TriNet Corporate Realty Trust, Inc. and the
                        O'Donnell Revocable Trust, the Donald S. Grant Revocable
                        Trust and John W. Hopkins, dated June 26, 1996.
                        (Incorporated by reference to Exhibit 10.1 of Form 8-K of
                        TriNet Corporate Realty Trust, Inc., and dated July 3, 1996,
                        filed with the Securities and Exchange Commission on
                        July 17, 1996 and as amended by Form 8-K/A of TriNet
                        Corporate Realty Trust, Inc., dated July 3, 1996, filed with
                        the Securities and Exchange Commission on August 7, 1996.)

        10.5            Agreement of Limited Partnership of TriNet Property
                        Partners, L.P. (Incorporated by reference to Exhibit 4.6 to
                        the 1997 Annual Report on Form 10-K, dated March 30, 1998,
                        of TriNet Corporate Realty Trust, Inc.)
</Table>

                                       42
<Page>

<Table>
<Caption>
       EXHIBIT
       NUMBER                               DOCUMENT DESCRIPTION
---------------------   ------------------------------------------------------------
<C>                     <S>
        10.6            Registration Rights Agreement between TriNet Corporate
                        Realty Trust, Inc. and Ronald A. Davis, Joseph P. Keller,
                        Dean M. Boylan, Stephen G. Mack and Lewis L. Whitman dated
                        December 31, 1997. (Incorporated by reference to
                        Exhibit 4.6 to the 1997 Annual Report on Form 10-K, dated
                        March 30, 1998, of TriNet Corporate Realty Trust, Inc.)

        10.7            Registration Rights Agreement dated March 16, 1998 between
                        TriNet Corporate Realty Trust, Inc. and Whitehall Street
                        Real Estate Limited Partnership IX. (Incorporated by
                        reference to Exhibit 4.3 to Form S-3 dated March 21, 2000 of
                        iStar Financial Inc.)

        21.1            Subsidiaries of the Company.
</Table>

    SUPPLEMENTAL INFORMATION TO BE FURNISHED WITH REPORTS FILED PURSUANT TO
   SECTION 15 OF THE SECURITIES AND EXCHANGE ACT OF 1934 BY REGISTRANTS WHICH
        HAVE NOT REGISTERED SECURITIES PURSUANT TO SECTION 12 OF THE ACT

    No annual report covering the registrant's last fiscal year has been sent to
security holders, nor has any proxy soliciting material been sent to security
holders.

                                       43
<Page>
                                   SIGNATURES

    Pursuant to the requirements of Section 13 or 15(d) of the Securities
Exchange Act of 1934, as amended, the Registrant has duly caused this report to
be signed on its behalf by the undersigned thereunto duly authorized.

<Table>
<S>                                                    <C>
                                                       TriNet Corporate Realty Trust, Inc.
                                                       REGISTRANT

Date: March 27, 2003                                   /s/ JAY SUGARMAN
                                                       ---------------------------------------------
                                                       Jay Sugarman
                                                       CHAIRMAN OF THE BOARD OF DIRECTORS AND CHIEF
                                                       EXECUTIVE OFFICER

Date: March 27, 2003                                   /s/ CATHERINE D. RICE
                                                       ---------------------------------------------
                                                       Catherine D. Rice
                                                       CHIEF FINANCIAL OFFICER
</Table>

    Pursuant to the requirements of the Securities Exchange Act of 1934, as
amended, this report has been signed below by the following persons on behalf of
the registrant and in the capacities and on the dates indicated.

<Table>
<C>                                 <S>
Date: March 27, 2003                /s/ JAY SUGARMAN
                                    -------------------------------------------
                                    Jay Sugarman
                                    CHIEF EXECUTIVE OFFICER AND DIRECTOR

Date: March 27, 2003                /s/ WILLIS ANDERSEN JR.
                                    -------------------------------------------
                                    Willis Andersen Jr.
                                    DIRECTOR

Date: March 27, 2003                /s/ JEFFREY G. DISHNER
                                    -------------------------------------------
                                    Jeffrey G. Dishner
                                    DIRECTOR

Date: March 27, 2003                /s/ ANDREW L. FARKAS
                                    -------------------------------------------
                                    Andrew L. Farkas
                                    DIRECTOR

Date: March 27, 2003                /s/ MADISON F. GROSE
                                    -------------------------------------------
                                    Madison F. Grose
                                    DIRECTOR
</Table>

                                       44
<Page>
<Table>
<C>                                 <S>
Date: March 27, 2003                /s/ SPENCER B. HABER
                                    -------------------------------------------
                                    Spencer B. Haber
                                    DIRECTOR

Date: March 27, 2003                /s/ ROBERT W. HOLMAN, JR.
                                    -------------------------------------------
                                    Robert W. Holman, Jr.
                                    DIRECTOR

Date: March 27, 2003                /s/ ROBIN JOSEPHS
                                    -------------------------------------------
                                    Robin Josephs
                                    DIRECTOR

Date: March 27, 2003                /s/ MERRICK R. KLEEMAN
                                    -------------------------------------------
                                    Merrick R. Kleeman
                                    DIRECTOR

Date: March 27, 2003                /s/ H. CABOT LODGE III
                                    -------------------------------------------
                                    H. Cabot Lodge III
                                    DIRECTOR

Date: March 27, 2003                /s/ MATTHEW J. LUSTIG
                                    -------------------------------------------
                                    Matthew J. Lustig
                                    DIRECTOR

Date: March 27, 2003                /s/ WILLIAM M. MATTHES
                                    -------------------------------------------
                                    William M. Matthes
                                    DIRECTOR

Date: March 27, 2003                /s/ JOHN G. MCDONALD
                                    -------------------------------------------
                                    John G. McDonald
                                    DIRECTOR

Date: March 27, 2003                /s/ STEPHEN B. ORESMAN
                                    -------------------------------------------
                                    Stephen B. Oresman
                                    DIRECTOR

Date: March 27, 2003                /s/ GEORGE R. PUSKAR
                                    -------------------------------------------
                                    George R. Puskar
                                    DIRECTOR

Date: March 27, 2003                -------------------------------------------
                                    Barry S. Sternlicht
                                    DIRECTOR
</Table>

                                       45
<Page>
                                 CERTIFICATIONS

I, Jay Sugarman, certify that:

    1.  I have reviewed this annual report on Form 10-K of TriNet Corporate
       Realty Trust, Inc.;

    2.  Based on my knowledge, this annual report does not contain any untrue
       statement of a material fact or omit to state a material fact necessary
       to make the statements made, in light of the circumstances under which
       such statements were made, not misleading with respect to the period
       covered by this annual report;

    3.  Based on my knowledge, the financial statements, and other financial
       information included in this annual report, fairly present in all
       material respects the financial condition, results of operations and cash
       flows of the registrant as of, and for, the periods presented in this
       annual report;

    4.  The registrant's other certifying officers and I are responsible for
       establishing and maintaining disclosure controls and procedures (as
       defined in Exchange Act Rules 13a-14 and 15d-14) for the registrant and
       we have:

       a.  designed such disclosure controls and procedures to ensure that
           material information relating to the registrant, including its
           consolidated subsidiaries, is made known to us by others within those
           entities, particularly during the period in which this annual report
           is being prepared;

       b.  evaluated the effectiveness of the registrant's disclosure controls
           and procedures as of a date within 90 days prior to the filing date
           of this annual report (the "Evaluation Date"); and

       c.  presented in this annual report our conclusions about the
           effectiveness of the disclosure controls and procedures based on our
           evaluation as of the Evaluation Date;

    5.  The registrant's other certifying officers and I have disclosed, based
       on our most recent evaluation, to the registrant's auditors and the audit
       committee of registrant's board of directors (or persons performing the
       equivalent functions):

       a.  all significant deficiencies in the design or operation of internal
           controls which could adversely affect the registrant's ability to
           record, process, summarize and report financial data and have
           identified for the registrant's auditors any material weaknesses in
           internal controls; and

       b.  any fraud, whether or not material, that involves management or other
           employees who have a significant role in the registrant's internal
           controls; and

    6.  The registrant's other certifying officers and I have indicated in this
       annual report whether or not there were significant changes in internal
       controls or in other factors that could significantly affect internal
       controls subsequent to the date of our most recent evaluation, including
       any corrective actions with regard to significant deficiencies and
       material weaknesses.

Date: March 27, 2003

<Table>
<S>                                                    <C>
                                                       /s/ JAY SUGARMAN
                                                       ---------------------------------------------
                                                       Name: Jay Sugarman
                                                       Title:  Chief Executive Officer
</Table>

                                       46
<Page>
I, Catherine D. Rice, certify that:

    1.  I have reviewed this annual report on Form 10-K of TriNet Corporate
       Realty Trust, Inc.;

    2.  Based on my knowledge, this annual report does not contain any untrue
       statement of a material fact or omit to state a material fact necessary
       to make the statements made, in light of the circumstances under which
       such statements were made, not misleading with respect to the period
       covered by this annual report;

    3.  Based on my knowledge, the financial statements, and other financial
       information included in this annual report, fairly present in all
       material respects the financial condition, results of operations and cash
       flows of the registrant as of, and for, the periods presented in this
       annual report;

    4.  The registrant's other certifying officers and I are responsible for
       establishing and maintaining disclosure controls and procedures (as
       defined in Exchange Act Rules 13a-14 and 15d-14) for the registrant and
       we have:

       a.  designed such disclosure controls and procedures to ensure that
           material information relating to the registrant, including its
           consolidated subsidiaries, is made known to us by others within those
           entities, particularly during the period in which this annual report
           is being prepared;

       b.  evaluated the effectiveness of the registrant's disclosure controls
           and procedures as of a date within 90 days prior to the filing date
           of this annual report (the "Evaluation Date"); and

       c.  presented in this annual report our conclusions about the
           effectiveness of the disclosure controls and procedures based on our
           evaluation as of the Evaluation Date;

    5.  The registrant's other certifying officers and I have disclosed, based
       on our most recent evaluation, to the registrant's auditors and the audit
       committee of registrant's board of directors (or persons performing the
       equivalent functions):

       a.  all significant deficiencies in the design or operation of internal
           controls which could adversely affect the registrant's ability to
           record, process, summarize and report financial data and have
           identified for the registrant's auditors any material weaknesses in
           internal controls; and

       b.  any fraud, whether or not material, that involves management or other
           employees who have a significant role in the registrant's internal
           controls; and

    6.  The registrant's other certifying officers and I have indicated in this
       annual report whether or not there were significant changes in internal
       controls or in other factors that could significantly affect internal
       controls subsequent to the date of our most recent evaluation, including
       any corrective actions with regard to significant deficiencies and
       material weaknesses.

    Date: March 27, 2003

<Table>
<S>                                                    <C>
                                                       /s/ CATHERINE D. RICE
                                                       ---------------------------------------------
                                                       Name: Catherine D. Rice
                                                       Title:  Chief Financial Officer
</Table>

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