SL Green Realty (SLG) Q4 2025 earnings summary

Executive summary

• Entered 2026 with strong momentum, executing on $7B in refinancing and $2.5B in asset dispositions, despite reporting a net loss attributable to common stockholders of $1.49 per share for Q4 2025 and $1.61 per share for the year.

• Fourth quarter operating metrics exceeded expectations, with notable FFO and FAD outperformance, though FFO per share was $1.13 for Q4 and $5.72 for the year, both down from the prior year.

• Manhattan office sector fundamentals remain robust, with strong leasing, business growth, and investor demand, especially from global capital sources.

• Signed 56 Manhattan office leases totaling 766,783 sq ft in Q4 and 199 leases totaling 2,568,551 sq ft for the year, with positive mark-to-market rent increases.

• Manhattan same-store office occupancy rose to 93.0% as of December 31, 2025.

Financial highlights

• Fourth quarter FFO beat by $0.02 per share, driven by higher NOI from lower expenses and improved hospitality business, but overall FFO per share declined year-over-year.

• FAD exceeded initial 2024 guidance by $65M, with $20M of that in Q4.

• Q4 other income rose to nearly $40M, mainly from fee income and transaction closings.

• Total revenues for Q4 2025 were $276.5 million, up from $245.9 million in Q4 2024; full-year revenues reached $1.0 billion.

• Same-store cash NOI excluding lease termination income decreased by 3.4% in Q4 and 2.0% for the year compared to 2024.

Outlook and guidance

• Targeting 94.8% same-store occupancy by end of 2026, with over 1M sq ft in the leasing pipeline.

• Projecting same-store NOI growth of 3.5%-4.5% in 2026 and 10%+ in 2027.

• Asset sales ($2.5B) expected to impact mostly in the second half of 2026.

• Board to review dividend policy in March, considering long-term earnings and cash flow, not just FAD or FFO.