Latest news with #SLGreen
Yahoo
5 days ago
- Business
- Yahoo
SL Green Realty Corp (SLG) Q2 2025 Earnings Call Highlights: Strong Leasing Activity and ...
Leasing Activity: Over 540,000 square feet leased in Q2, totaling 1.3 million square feet year-to-date. Pipeline: Over 1 million square feet for near-term execution, with 80% of leases under 25,000 square feet. Investment Profit: Nearly $90 million profit on a $130 million investment in the 522 mortgage position. Cash Proceeds: Over $300 million from the 522 transaction and 625 Madison Avenue interest sale. Fund Commitments: Over $500 million closed in Q2, totaling over $1 billion to date. Corporate Liquidity: Over $2 billion in liquidity and fund availability. Earnings Guidance: Raised by $0.40 per share at the midpoint. FFO Guidance Increase: $0.40 or 7.4% increase at the midpoint. Incremental FFO: $0.69 per share from 522 Fifth mortgage repayment. Interest Expense: Trending $0.10 per share above original expectations. NOI Performance: Slightly better than original expectations. Summit Attendance: Higher than projections in Q2, on target for the first six months. Discounted Debt Gains: Potential for gains larger than the $20 million currently in guidance. Warning! GuruFocus has detected 8 Warning Signs with SLG. Release Date: July 17, 2025 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Positive Points SL Green Realty Corp (NYSE:SLG) achieved over 540,000 square feet of leasing in the second quarter, bringing the year-to-date total to 1.3 million square feet. The company successfully monetized its investment in the 522 Fifth Avenue mortgage position, realizing nearly $90 million of profit on a $130 million investment. SL Green Realty Corp (NYSE:SLG) raised its earnings guidance at the midpoint by $0.40 per share, reflecting increased profitability. The company closed over $500 million of fund commitments, bringing the total to over $1 billion, enhancing corporate liquidity. SL Green Realty Corp (NYSE:SLG) is actively pursuing a casino license bid for Caesars Palace Times Square, which could significantly boost tax revenue and local business without displacing residents. Negative Points There was a slight dip in occupancy in the second quarter, which surprised the market. Interest expense is trending above original expectations by about $0.10 per share, primarily due to decisions around potential asset sales. The company's other income line item saw a $15 million quarter-over-quarter decline, attributed to less fee income. The unpredictability and lumpiness of income streams make modeling the company's financials complex. Concerns were raised about potential political changes in New York City affecting the business environment, although no immediate impact on tenant discussions was noted. Q & A Highlights Q: The market was surprised by a slight dip in occupancy in the second quarter. Can you explain the pipeline and any known move-outs that could affect your ability to hit the 93.2% leased occupancy by the end of the year? A: Marc Holliday, CEO, explained that the dip was due to an unbudgeted tenant default at 711 Third Avenue. He emphasized that the leasing volume remains strong, with a pipeline of 1 million square feet and reiterated confidence in hitting the year-end occupancy target. Q: Regarding the gain at 522 Fifth Avenue, did you expect it to be monetized so quickly, and why was the investment disclosure not found on your balance sheet? A: Marc Holliday, CEO, stated that while the rapid resolution was faster than expected, it was within the range of outcomes. Matthew Diliberto, CFO, explained that the investment was a CMBS investment, which does not receive the same disclosure as the preferred equity portfolio. Q: Have you noticed any change in tenant discussions since the primary elections, and is it impacting leasing decisions? A: Marc Holliday, CEO, confirmed that there has been no impact on tenant negotiations or leasing decisions due to the primary elections. Q: Can you provide more color on the strengthening demand in Midtown and its impact on investment opportunities and rent growth? A: Marc Holliday, CEO, noted that tenant demand is increasing, especially in areas like Third Avenue, due to the high costs in core Midtown. This demand, coupled with limited new supply, is expected to drive rent growth and investment opportunities. Q: How does the plan to freeze rent impact the underwriting for office-to-residential conversions? A: Marc Holliday, CEO, explained that the proposal primarily affects stabilized units and is not applicable to free market and affordable housing. He noted that SL Green does not have investments in the rent-stabilized sector, so the impact is negligible for the company. For the complete transcript of the earnings call, please refer to the full earnings call transcript. This article first appeared on GuruFocus. Sign in to access your portfolio
Yahoo
6 days ago
- Business
- Yahoo
SL Green Raises Over $1.0 Billion for Opportunistic Debt Fund
Over $500.0 Million in New Commitments This Week Alone NEW YORK, July 17, 2025 (GLOBE NEWSWIRE) -- SL Green Realty Corp. (NYSE: SLG), Manhattan's largest office landlord, today announced that it has surpassed its initial $1.0 billion fundraising goal for the SLG Opportunistic Debt Fund. The discretionary fund is backed by a distinguished group of global institutional investors, including public pensions, insurance companies, and select high-net-worth platforms. The fund has received over $500.0 million in new commitments this week alone, with several additional closings expected to occur shortly. 'We have seen an overwhelming appetite for New York City investment from sophisticated domestic and international investors who recognize the opportunity and share the desire to invest alongside SL Green in this market,' said Harrison Sitomer, Chief Investment Officer at SL Green. 'It is especially gratifying to work with so many existing institutional partners, while bringing on capital from new relationships as well. Reaching this milestone marks an important first step in the continued growth of SL Green's asset management platform.' The SLG Opportunistic Debt Fund, which launched in 2024, is focused on capitalizing on the dislocation between rapidly improving leasing fundamentals and the early stages of improving debt capital markets. The fund targets high quality assets in New York City, where traditional financing remains constrained, delivering flexible capital solutions to both borrowers and lenders. 'The strong global demand underscores the market's confidence in SL Green's ability to source and execute high-conviction opportunities in New York City and is a clear testament to our track record as a disciplined investor and operator in one of the world's most competitive markets,' said Young Hahn, Senior Vice President at SL Green. 'We deeply appreciate the continued support of our partners as we now turn our focus to deploying capital into a robust pipeline of opportunities.' The fund is being actively deployed into investments sourced through long-standing sponsor and lender relationships, and proprietary networks. The fund seeks to provide both current income and capital appreciation through structured debt investments, while maintaining a focus on downside protection. The SLG Opportunistic Debt Fund will originate new loans and/or purchase existing loans, loan portfolios and controlling CMBS securities. About SL Green Realty Green Realty Corp., Manhattan's largest office landlord, is a fully integrated real estate investment trust, or REIT, that is focused primarily on acquiring, managing and maximizing the value of Manhattan commercial properties. As of June 30, 2025, SL Green held interests in 53 buildings totaling 30.7 million square feet. This included ownership interests in 27.2 million square feet of Manhattan buildings and 2.7 million square feet securing debt and preferred equity investments. SLG Opportunistic Debt Fund DisclaimerAn investment in the fund involves a high degree of risk, is suitable only for sophisticated investors and requires the financial ability and willingness to accept the high risks and lack of liquidity inherent in an investment in the fund. This press release is not an offer to sell to any person, or a solicitation to any person to buy, securities. Any offers and sales of securities in the fund will be made pursuant to and in accordance with the fund's private placement memorandum. To invest in the fund, each prospective limited partner will be required to execute certain other documents and prior to making any investment in the fund, such documents should be reviewed carefully. Forward Looking StatementsThis press release includes certain statements that may be deemed to be 'forward-looking statements' within the meaning of the Private Securities Litigation Reform Act of 1995 and are intended to be covered by the safe harbor provisions thereof. All statements, other than statements of historical facts, included in this press release that address activities, events or developments that we expect, believe or anticipate will or may occur in the future, including such matters as future capital expenditures, dividends and acquisitions (including the amount and nature thereof), development trends of the real estate industry and the New York metropolitan area markets, occupancy, business strategies, expansion and growth of our operations and other similar matters, are forward-looking statements. These forward-looking statements are based on certain assumptions and analyses made by us in light of our experience and our perception of historical trends, current conditions, expected future developments and other factors we believe are appropriate. Forward-looking statements are not guarantees of future performance and actual results or developments may differ materially, and we caution you not to place undue reliance on such statements. Forward-looking statements are generally identifiable by the use of the words 'may,' 'will,' 'should,' 'expect,' 'anticipate,' 'estimate,' 'believe,' 'intend,' 'project,' 'continue,' or the negative of these words, or other similar words or terms. Forward-looking statements contained in this press release are subject to a number of risks and uncertainties, many of which are beyond our control, that may cause our actual results, performance or achievements to be materially different from future results, performance or achievements expressed or implied by forward-looking statements made by us. Factors and risks to our business that could cause actual results to differ from those contained in the forward-looking statements include risks and uncertainties described in our filings with the Securities and Exchange Commission. Except to the extent required by law, we undertake no obligation to publicly update or revise any forward-looking statements, whether as a result of future events, new information or otherwise. Press Contactslgreen@
Yahoo
6 days ago
- Business
- Yahoo
SL Green Secures 64K Square Feet New Lease at One Madison Avenue
SL Green Realty Corp. SLG recently announced the signing of a new lease with Sigma Computing, Inc. for 64,077 square feet on a portion of the 3rd floor at One Madison Avenue, resulting in the property being 78.1% leased. Since the beginning of the year through July 16, 2025, SL Green has signed Manhattan office leases aggregating 1,260,707 square feet, while maintaining a current pipeline of around 1 million square feet. Per Steven Durels, executive vice president and director of Leasing and Real Property at SL Green, 'Midtown South leasing momentum has accelerated and we are encouraged by advanced discussions covering a significant portion of the remaining available space at the property.' One Madison Avenue is recognized as the most ambitious adaptive reuse project in New York City, strategically located with a view of Madison Square Park. The place provides top-tier amenities and a wellness-centric work environment, aimed at boosting productivity and well-being. SL Green: In a Nutshell SL Green has a mono-market strategy focus with an enviable footprint in the large and high-barrier-to-entry New York real estate market. The high demand for premium office spaces has been propelling SLG's leasing momentum. Moreover, with long-term leases to tenants with strong credit profiles, SL Green is well-poised to generate stable rental revenues over the long term. In the second quarter of 2025, the company signed 46 office leases in its Manhattan office portfolio totaling 541,721 square feet. Notably, during the second quarter, the company signed a new lease with Pinterest, Inc. for 82,812 square feet at Eleven Madison Avenue. In the past three months, shares of this Zacks Rank #3 (Hold) company have gained 22% compared with the industry's rise of 3.2%. Image Source: Zacks Investment Research Stocks to Consider Some better-ranked stocks from the broader REIT sector include Digital Realty Trust DLR and Cousins Properties CUZ, each carrying a Zacks Rank #2 (Buy) at present. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. The Zacks Consensus Estimate for DLR's 2025 FFO per share has moved a cent northward to $7.04 over the past week. The Zacks Consensus Estimate for CUZ's 2025 FFO per share has moved a cent northward to $2.80 over the past two months. Note: Anything related to earnings presented in this write-up represents funds from operations (FFO), a widely used metric to gauge the performance of REITs. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Cousins Properties Incorporated (CUZ) : Free Stock Analysis Report Digital Realty Trust, Inc. (DLR) : Free Stock Analysis Report SL Green Realty Corporation (SLG) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Globe and Mail
6 days ago
- Business
- Globe and Mail
SL Green Raises Over $1.0 Billion for Opportunistic Debt Fund
NEW YORK, July 17, 2025 (GLOBE NEWSWIRE) -- SL Green Realty Corp. (NYSE: SLG), Manhattan's largest office landlord, today announced that it has surpassed its initial $1.0 billion fundraising goal for the SLG Opportunistic Debt Fund. The discretionary fund is backed by a distinguished group of global institutional investors, including public pensions, insurance companies, and select high-net-worth platforms. The fund has received over $500.0 million in new commitments this week alone, with several additional closings expected to occur shortly. 'We have seen an overwhelming appetite for New York City investment from sophisticated domestic and international investors who recognize the opportunity and share the desire to invest alongside SL Green in this market,' said Harrison Sitomer, Chief Investment Officer at SL Green. 'It is especially gratifying to work with so many existing institutional partners, while bringing on capital from new relationships as well. Reaching this milestone marks an important first step in the continued growth of SL Green's asset management platform.' The SLG Opportunistic Debt Fund, which launched in 2024, is focused on capitalizing on the dislocation between rapidly improving leasing fundamentals and the early stages of improving debt capital markets. The fund targets high quality assets in New York City, where traditional financing remains constrained, delivering flexible capital solutions to both borrowers and lenders. 'The strong global demand underscores the market's confidence in SL Green's ability to source and execute high-conviction opportunities in New York City and is a clear testament to our track record as a disciplined investor and operator in one of the world's most competitive markets,' said Young Hahn, Senior Vice President at SL Green. 'We deeply appreciate the continued support of our partners as we now turn our focus to deploying capital into a robust pipeline of opportunities.' The fund is being actively deployed into investments sourced through long-standing sponsor and lender relationships, and proprietary networks. The fund seeks to provide both current income and capital appreciation through structured debt investments, while maintaining a focus on downside protection. The SLG Opportunistic Debt Fund will originate new loans and/or purchase existing loans, loan portfolios and controlling CMBS securities. About SL Green Realty Corp. SL Green Realty Corp., Manhattan's largest office landlord, is a fully integrated real estate investment trust, or REIT, that is focused primarily on acquiring, managing and maximizing the value of Manhattan commercial properties. As of June 30, 2025, SL Green held interests in 53 buildings totaling 30.7 million square feet. This included ownership interests in 27.2 million square feet of Manhattan buildings and 2.7 million square feet securing debt and preferred equity investments. SLG Opportunistic Debt Fund Disclaimer An investment in the fund involves a high degree of risk, is suitable only for sophisticated investors and requires the financial ability and willingness to accept the high risks and lack of liquidity inherent in an investment in the fund. This press release is not an offer to sell to any person, or a solicitation to any person to buy, securities. Any offers and sales of securities in the fund will be made pursuant to and in accordance with the fund's private placement memorandum. To invest in the fund, each prospective limited partner will be required to execute certain other documents and prior to making any investment in the fund, such documents should be reviewed carefully. Forward Looking Statements This press release includes certain statements that may be deemed to be 'forward-looking statements' within the meaning of the Private Securities Litigation Reform Act of 1995 and are intended to be covered by the safe harbor provisions thereof. All statements, other than statements of historical facts, included in this press release that address activities, events or developments that we expect, believe or anticipate will or may occur in the future, including such matters as future capital expenditures, dividends and acquisitions (including the amount and nature thereof), development trends of the real estate industry and the New York metropolitan area markets, occupancy, business strategies, expansion and growth of our operations and other similar matters, are forward-looking statements. These forward-looking statements are based on certain assumptions and analyses made by us in light of our experience and our perception of historical trends, current conditions, expected future developments and other factors we believe are appropriate. Forward-looking statements are not guarantees of future performance and actual results or developments may differ materially, and we caution you not to place undue reliance on such statements. Forward-looking statements are generally identifiable by the use of the words 'may,' 'will,' 'should,' 'expect,' 'anticipate,' 'estimate,' 'believe,' 'intend,' 'project,' 'continue,' or the negative of these words, or other similar words or terms. Forward-looking statements contained in this press release are subject to a number of risks and uncertainties, many of which are beyond our control, that may cause our actual results, performance or achievements to be materially different from future results, performance or achievements expressed or implied by forward-looking statements made by us. Factors and risks to our business that could cause actual results to differ from those contained in the forward-looking statements include risks and uncertainties described in our filings with the Securities and Exchange Commission. Except to the extent required by law, we undertake no obligation to publicly update or revise any forward-looking statements, whether as a result of future events, new information or otherwise.
New York Post
6 days ago
- Business
- New York Post
Mayor Eric Adams pulls in massive $1.5m haul for re-election after Andrew Cuomo's embarrassing Dem primary defeat
Mayor Eric Adams' independent bid to hold onto City Hall received a massive injection of cash after the embarrassing shellacking of former Gov. Andrew Cuomo by relatively unknown socialist lawmaker Zohran Mamdani. Hizzoner's re-election bid raked in an impressive $1.5 million from more than 1,600 donors between June 25 and July 11 — the roughly two weeks following Mamdani's stunning Democratic primary victory, according to the latest campaign fundraising records. By comparison, Adams raised a meager $8,000 in the earlier two weeks in the filing period, prior to Cuomo being trounced by Queens state Assemblyman Mamdani. Advertisement 4 Adams still needs to rehabilitate his image with voters after a first term marred by scandals. Kevin C Downs forThe New York Post The campaign's notable totals were propped up by New York City's largest commercial landlord, SL Green, with 60 of the employees donating to Adams during a fundraiser hosted by the real estate group's CEO, Marc Holliday. Dozens of other donations came from other real estate groups and developers, including Cushman & Wakefield, CBRE, JLL and Silverstein Properties. Advertisement 'Coming out of the Democratic primary, our campaign is thriving — and the fundraising proves it,' Adams campaign spokesperson Todd Shapiro said of the surge post-primary. 'There's also a growing concern about what's at stake if we take a wrong turn. Voters are looking at the alternative and saying, 'We can't afford to go backwards,'' he said. 'That's why support is pouring in — this campaign is energized, unified, and ready to win.' 4 Adams' camp hopes the haul can help boost his numbers in the polls. Stephen Yang Still, without public matching funds, Adams has just over $4.2 million of cash on hand. Advertisement He faces an uphill battle to reclaim his grasp on Gracie Mansion — with a series of polls having him in a distant third or fourth place, more than 20 points behind Democratic nominee and frontrunner Mamdani. A bombshell lawsuit that dropped Wednesday, accusing Adams and his cop pals of a massive criminal conspiracy, came at the worst time for the mayor as he tries to rebrand himself following a scandal-plagued first term. Adams, Cuomo and GOP nominee Curtis Sliwa will all jockey for a seemingly similar voter base in November, made up of moderate Dems and Republicans as well as the largest swath of the independent voter bloc. The trio has repeatedly called for each other to drop out of the race, claiming only they can stave off a young far-left socialist from being handed the keys to New York City. Advertisement 4 Cuomo officially launched his own independent bid on Monday. Matthew McDermott But the sitting mayor hopes he can boost his numbers and galvanize support over the summer, starting with a slate of law enforcement unions set to formally back his re-election bid on Thursday. For his part, Cuomo did little fundraising following his stunning defeat, only raising $80,000 during the full period. Sliwa has a gigantic gap to make up in the race with only $100,000 on hand after raising under $170,000 between June 10 and July 11. 4 GOP firebrand Curtis Sliwa sees the split field as a chance to get a Republican in Gracie Mansion again. Michael McWeeney Attorney Jim Walden, who has yet to register in the polls, raised a meager $59,000 and has just over $1.3 million in his war chest. Mamdani's roughly $850,000 haul in the days since his primary win has around $2.6 million in his campaign coffers as he heads into a bruising general election.
