SL Green Realty (SLG) Q2 2026 earnings summary

Executive summary

• Achieved a 300 basis point increase in economic occupancy and reported a net loss of $26.5 million ($0.38/share) for Q2 2026, with FFO at $109.6 million ($1.43/share), down from Q2 2025 due to prior one-time income.

• Manhattan same-store office occupancy rose to 94.7% as of June 30, 2026, with 53 office leases signed in Q2 totaling 445,161 sq. ft. at starting rents 18% higher than previous escalated rents.

• Portfolio comprised 42 commercial properties totaling 26.3 million sq. ft. with 94.2% occupancy as of June 30, 2026.

• SUMMIT observatory outperformed competitors in attendance and ticket pricing, with international expansion plans in Paris (2027) and Tokyo (2030).

• Acquired Park Avenue Tower and a retail condo at 610 Park Avenue for $786.9 million; disposed of interests in 346 Madison Avenue, 7 Dey Street, and 690 Madison Avenue.

Financial highlights

• Q2 2026 revenues were $264.0 million, up 9.2% year-over-year, with rental revenue up 15.4% for the first half, driven by acquisitions and higher occupancy.

• FFO for Q2 2026 was $109.6 million ($1.43/share), down from $124.5 million ($1.63/share) in Q2 2025, which included significant one-time income.

• Property NOI including share of unconsolidated JVs was $208.5 million for Q2 2026, up from $196.5 million in Q1 2026.

• Operating expenses rose 13.1% year-over-year for the first half, reflecting new acquisitions and higher variable costs.

• Weighted average consolidated debt balance was $4.7 billion for the first half, with a weighted average interest rate of 4.88%.

Outlook and guidance

• Raised 2026 FFO guidance to $5.60–$5.90/share (from $4.40–$4.70), and net income guidance to $0.20–$0.50/share (from $(0.27)–$0.03/share), reflecting higher NOI, incremental fees, and additional income from One Vanderbilt Avenue.

• Expects Manhattan same-store office occupancy to reach 95.0% by year-end 2026.

• Management expects principal funding sources to include operating cash flow, asset sales, credit facility borrowings, and potential equity/debt offerings.

• Estimated $70 million in leasing capital expenditures and $25.2 million in recurring capex for the remainder of 2026.

• Liquidity as of June 30, 2026 was $0.6 billion, including $393 million undrawn credit facility and $202.1 million cash.