Earlier this year, in a story reported by GlobeSt.com, sources had indicated that a term sheet had been signed to merge the companies, along with another Goldman, Sachs affiliate, Whitehall Industrial. The just-announced move involves only Archon and WP Commercial, with sources now telling GlobeSt.com that the Whitehall portion of the transaction "has not been finalized yet."

In that earlier story, sources had indicated to GlobeSt.com that a price tag of $1.2 billion had been placed on the three-way merger, a number subsequently denied by a Goldman Sachs spokesperson. Goldman issued a statement indicating that "although some discussions are taking place about a restructuring among Goldman Sachs-controlled affiliates, no asset sales are taking place."

A prepared statement just issued through Archon to formally announce the Archon-WP marriage reads, simply, "Management of the two companies said the integration will enable them to take advantage of numerous economic and operating synergies that exist between the two companies in the northeastern United States."

According to Archon officials, and as reported by GlobeSt.com, WP Commercial will become known as the Atlantic Region of Archon. Headed by Richard Previdi, the former CEO of WP Commercial, the new division will continue to be based at WP Commercial's former headquarters here.

"The regional unit will continue to focus its efforts on maximizing value for the existing combined asset base, in addition to sourcing new commercial real estate opportunities in the eastern US for Goldman, Sachs & Co. and its affiliated real estate funds," the latest statement reads. Officials from the various groups declined further comment.

Archon currently manages 143 domestic real estate assets, 33 of them handled through its eastern regional office. WP brings 35 such assets, most of them in New Jersey, Boston and Washington, DC, to the Archon mix.