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What changed in SL GREEN REALTY CORP's 10-K — 2023 vs 2024

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Paragraph-level year-over-year comparison of SL GREEN REALTY CORP's 2023 and 2024 10-K annual filings, covering the Business, Risk Factors, Legal Proceedings, Cybersecurity, MD&A and Market Risk sections. Every new, removed and edited paragraph is highlighted side-by-side so you can see exactly what management changed in the 2024 report.

+307 added−330 removedSource: 10-K (2025-02-18) vs 10-K (2024-02-23)

Top changes in SL GREEN REALTY CORP's 2024 10-K

307 paragraphs added · 330 removed · 229 edited across 8 sections

Item 1. Business

Business — how the company describes what it does

34 edited+23 added−19 removed57 unchanged
Biggest changeOur investments located outside of Manhattan are referred to as the Suburban properties: Consolidated Unconsolidated Total Location Property Type Number of Properties Approximate Square Feet Number of Properties Approximate Square Feet Number of Properties Approximate Square Feet Weighted Average Leased Occupancy (1) Commercial: Manhattan Office 13 (2) 8,399,141 12 15,412,174 25 (2) 23,811,315 (2) 89.4 % Retail 3 (2) 40,536 7 281,796 10 (2) 322,332 (2) 91.2 % Development/Redevelopment 3 (3) 1,443,771 3 2,893,357 6 (2) 4,337,128 (2) N/A 19 9,883,448 22 18,587,327 41 28,470,775 89.5 % Suburban Office 7 862,800 — — 7 862,800 77.1 % Total commercial properties 26 10,746,248 22 18,587,327 48 29,333,575 89.0 % Residential: Manhattan Residential 1 (3) 140,382 1 221,884 2 362,266 99.0 % Total portfolio 27 10,886,630 23 18,809,211 50 29,695,841 89.2 % (1) The weighted average leased occupancy for commercial properties represents the total leased square footage divided by total square footage at acquisition.
Biggest changeOur investments located outside of Manhattan are referred to as the Suburban properties: Consolidated Unconsolidated Total Location Property Type Number of Properties Approximate Square Feet Number of Properties Approximate Square Feet Number of Properties Approximate Square Feet Weighted Average Leased Occupancy (1) Commercial: Manhattan Office 15 9,587,441 9 12,175,149 24 21,762,590 92.5 % Retail 2 30,496 1 12,946 3 43,442 100 % Development/Redevelopment 2 (2) 880,771 1 1,385,484 3 2,266,255 N/A 19 10,498,708 11 13,573,579 30 24,072,287 92.5 % Suburban Office 7 862,800 — — 7 862,800 73.5 % Total commercial properties 26 11,361,508 11 13,573,579 37 24,935,087 91.8 % Residential: Manhattan Residential 1 (2) 140,382 1 221,884 2 362,266 99.1 % Total core portfolio 27 11,501,890 12 13,795,463 39 25,297,353 91.9 % Alternative Strategy Portfolio — — 7 2,567,025 7 2,567,025 63.0 % (1) The weighted average leased occupancy for commercial properties represents the total leased square footage divided by total square footage at acquisition.
We seek to enhance the value of our company by executing strategies that include the following: • Leasing and property management, which capitalizes on our extensive presence and knowledge of the marketplaces in which we operate; • Acquiring properties and employing our local market skills to reposition these assets to create incremental cash flow and value appreciation; • Identifying properties well suited for development/redevelopment in order to maximize the value of those properties through development/redevelopment or reconfiguration to match current workplace, retail and housing trends; • Investing in debt and preferred equity positions that generate consistently strong risk-adjusted returns, increase the breadth of our market insight, foster key market relationships and source potential future investment opportunities; • Executing dispositions through sales or joint ventures that harvest embedded equity which has been generated through management's value enhancing activities; and • Maintaining a prudently levered, liquid balance sheet with consistent access to diversified sources of property level and corporate capital. 5 Table of Contents Leasing and Property Management We seek to capitalize on our management's extensive knowledge of Manhattan and the New York metropolitan area and the needs of our tenants through proactive leasing and management programs, which include: (i) use of in-depth market experience resulting from managing and leasing tens of millions of square feet of office, retail and residential space since the Company was founded; (ii) careful tenant management, which results in a high tenant retention rate, long average lease terms and a manageable lease expiration schedule; (iii) utilization of an extensive network of third-party brokers to supplement our in-house leasing team; (iv) use of comprehensive building management analysis and planning; and (v) a commitment to tenant satisfaction by understanding and appreciating our tenant's businesses and the environment in which they are operating, while providing high quality tenant services at competitive rental rates.
We seek to enhance the value of our company by executing strategies that include the following: • Leasing and property management, which capitalizes on our extensive presence and knowledge of the marketplaces in which we operate; • Acquiring properties and employing our local market skills to reposition these assets to create incremental cash flow and value appreciation; • Identifying properties well suited for development/redevelopment in order to maximize the value of those properties through development/redevelopment or reconfiguration to match current workplace, retail and housing trends; • Investing in CMBS and debt and preferred equity positions that generate consistently strong risk-adjusted returns, increase the breadth of our market insight, foster key market relationships and source potential future investment and special servicing opportunities; • Executing dispositions through sales or joint ventures that harvest embedded equity which has been generated through management's value enhancing activities; and • Maintaining a prudently levered, liquid balance sheet with consistent access to diversified sources of property level and corporate capital. 5 Table of Contents Leasing and Property Management We seek to capitalize on our management's extensive knowledge of Manhattan and the New York metropolitan area and the needs of our tenants through proactive leasing and management programs, which include: (i) use of in-depth market experience resulting from managing and leasing tens of millions of square feet of office, retail and residential space since the Company was founded; (ii) careful tenant management, which results in a high tenant retention rate, long average lease terms and a manageable lease expiration schedule; (iii) utilization of an extensive network of third-party brokers to supplement our in-house leasing team; (iv) use of comprehensive building management analysis and planning; and (v) a commitment to tenant satisfaction by understanding and appreciating our tenant's businesses and the environment in which they are operating, while providing high quality tenant services at competitive rental rates.
Business and Growth Strategies SL Green, Manhattan's largest owner of office real estate, is focused primarily on the ownership, management, operation, acquisition, development, redevelopment and repositioning of Manhattan commercial properties, principally office properties. Our primary business objective is to maximize the total return to stockholders, through dividends, earnings and asset value appreciation.
Business and Growth Strategies SL Green, Manhattan's largest owner of office real estate, is focused primarily on the ownership, management, operation, acquisition, development, redevelopment, repositioning and financing of Manhattan commercial properties, principally office properties. Our primary business objective is to maximize the total return to stockholders, through dividends, earnings and asset value appreciation.
We refer to these management, leasing and construction entities, which are owned by S.L. Green Management Corp, as the "Service Corporation." The Company is organized so as to qualify, and has elected to qualify as a REIT, under the Internal Revenue Code of 1986, as amended, or the Code.
We refer to these management, leasing and construction entities, which are owned by S.L. Green Management Corp, as the "Service Corporation." The Company is organized to qualify, and has elected to qualify, as a REIT, under the Internal Revenue Code of 1986, as amended, or the Code.
As of December 31, 2023, SUMMIT operates one location at One Vanderbilt Avenue in midtown Manhattan with the primary source of revenue generated from ticket sales. Human Capital Our employees are our most important asset. We are focused on fostering an inclusive workforce that attracts and retains highly talented and diverse individuals.
As of December 31, 2024, SUMMIT operates one location at One Vanderbilt Avenue in midtown Manhattan with the primary source of revenue generated from ticket sales. Human Capital Our employees are our most important asset. We are focused on fostering an inclusive workforce that attracts and retains highly talented and diverse individuals.
Our industry segments are discussed in Note 21, "Segment Information," in the accompanying consolidated financial statements. As of December 31, 2023, our real estate portfolio was principally located in one geographical market, Manhattan, a borough of New York City. The Company's primary sources of real estate revenue are tenant rents, escalations and reimbursement revenue.
Our industry segments are discussed in Note 21, "Segment Information," in the accompanying consolidated financial statements. As of December 31, 2024, our real estate portfolio was principally located in one geographical market, Manhattan, a borough of New York City. The Company's primary sources of real estate revenue are tenant rents, escalations and reimbursement revenue.
ITEM 1. BUSINESS General SL Green Realty Corp. is a self-managed real estate investment trust, or REIT, engaged in the ownership, management, operation, acquisition, development, redevelopment and repositioning of commercial real estate properties, principally office properties, located in the New York metropolitan area, principally in Manhattan, a borough of New York City.
ITEM 1. BUSINESS General SL Green Realty Corp. is a self-managed real estate investment trust, or REIT, primarily engaged in the ownership, management, operation, acquisition, development, redevelopment, repositioning and financing of commercial real estate properties, principally office properties, located in the New York metropolitan area, principally in Manhattan, a borough of New York City.
Green, who serves as a member and the chairman emeritus of the Company's board of directors, had been engaged in the business of owning, managing, leasing, and repositioning office properties in Manhattan. As of December 31, 2023, we owned the following interests in properties in the New York metropolitan area, primarily in midtown Manhattan.
Green, who serves as a member and the chairman emeritus of the Company's board of directors, had been engaged in the business of owning, managing, leasing, and repositioning office properties in Manhattan. As of December 31, 2024, we owned the following interests in properties in the New York metropolitan area, primarily in midtown Manhattan.
As of December 31, 2023, all of the assets underlying our debt and preferred equity investments were located in New York City. The primary sources of debt and preferred equity revenue are interest and fee income.
As of December 31, 2024, all of the assets underlying our debt and preferred equity investments were located in New York City. The primary sources of debt and preferred equity revenue are interest and fee income.
As of December 31, 2023, we also managed one office building and one retail building owned by a third party encompassing approximately 0.4 million square feet, and held debt and preferred equity investments with a book value of $346.7 million, excluding debt and preferred equity investments and other financing receivables totaling $7.9 million that are included in balance sheet line items other than the Debt and preferred equity investments line item.
As of December 31, 2024, we also managed one office building and one retail building owned by a third party encompassing approximately 0.4 million square feet, and held debt and preferred equity investments with a book value of $303.7 million, excluding debt and preferred equity investments and other financing receivables totaling $9.7 million that are included in balance sheet line items other than the Debt and preferred equity investments line item.
(3) As of December 31, 2023, we owned a building at 7 Dey Street / 185 Broadway that was comprised of approximately 140,382 square feet (unaudited) of residential space and approximately 50,206 square feet (unaudited) of office and retail space. For the purpose of this report, we have included this building in the number of residential properties we own.
(2) As of December 31, 2024, we owned a building at 7 Dey Street / 185 Broadway that was comprised of approximately 140,382 square feet (unaudited) of residential space and approximately 50,206 square feet (unaudited) of office and retail space. For the purpose of this report, we have included this building in the number of residential properties we own.
By cultivating a work culture that prioritizes our people through training, diversity, education, and volunteerism, we have been able to retain a long-tenured staff with 47% of current employees having a tenure of five years or more and an executive management team that has an average tenure of 20.9 years.
By cultivating a work culture that prioritizes our people through training, diversity, education, and volunteerism, we have been able to retain a long-tenured staff with 46% of current employees having a tenure of five years or more and an executive management team that has an average tenure of 21.9 years.
As of December 31, 2023, we held debt and preferred equity investments with a book value of $346.7 million, excluding debt and preferred equity investments and other financing receivables totaling $7.9 million that are included in balance sheet line items other than the Debt and preferred equity investments line item.
As of December 31, 2024, we held debt and preferred equity investments with a book value of $303.7 million, excluding debt and preferred equity investments and other financing receivables totaling $9.7 million that are included in balance sheet line items other than the Debt and preferred equity investments line item.
Our corporate offices are located in midtown Manhattan at One Vanderbilt Avenue, New York, New York 10017. As of December 31, 2023, we employed 1,188 employees, 308 of whom were employed in our corporate offices. We maintain a website at www.slgreen.com and can be contacted at (212) 594-2700 or by email at investor.relations@slgreen.com.
Our corporate offices are located in midtown Manhattan at One Vanderbilt Avenue, New York, New York 10017. As of December 31, 2024, we employed 1,221 employees, 313 of whom were employed in our corporate offices. We maintain a website at www.slgreen.com and can be contacted at (212) 594-2700 or by email at investor.relations@slgreen.com.
Substantially all of our assets are held by, and all of our operations are conducted through, the Operating Partnership. We are the sole managing general partner of the Operating Partnership, and as of December 31, 2023, we owned 94.25% of its economic interests.
Substantially all of our assets are held by, and all of our operations are conducted through, the Operating Partnership. We are the sole managing general partner of the Operating Partnership, and as of December 31, 2024, we owned 94.03% of its economic interests.
We earned our first certification as a Great Place to Work in 2019 and in 2023, 85% of our employees have said the Company is a great place to work as compared to 57% at a typical U.S. based company.
We earned our first certification as a Great Place to Work in 2019 and in 2024, 80% of our employees have said the Company is a great place to work as compared to 57% at a typical U.S. based company.
While the near-term addition of new supply to the Manhattan office inventory is expected to be nominal relative to the size of the overall market, we view new supply in locations near a variety of transportation options as a positive to the Manhattan office market given the older vintage of the majority of Manhattan’s office inventory and the increasing desire of tenants to occupy new, high quality, efficient office space that provides for easy commutability for their employees. 7 Table of Contents According to Cushman and Wakefield Research Services, the total volume of leases signed in Manhattan for the years ended December 31, 2023 and 2022 was 18.0 million and 24.3 million square feet, respectively.
While the near-term addition of new supply to the Manhattan office inventory is expected to be nominal relative to the size of the overall market, we view new supply in locations near a variety of transportation options would be a positive to the Manhattan office market given the older vintage of the majority of Manhattan's office inventory and the desire of tenants to occupy new, high quality, efficient office space that provides for easy commutability for their employees. 7 Table of Contents According to Cushman and Wakefield Research Services, the total volume of leases signed in Manhattan for the year ended December 31, 2024 grew to 23.4 million as compared to 18.0 million square feet for the year ended December 31, 2023.
Occupancy The following table sets forth the weighted average occupancy rates at our office properties based on space leased for properties owned by us as of December 31, 2023: Leased Occupancy as of December 31, Property 2023 2022 Same-Store office properties - Manhattan (1) 90.0% 91.2% Manhattan office properties 89.4% 90.7% Suburban office properties 77.1% 79.3% Unconsolidated joint venture office properties 91.1% 94.3% Portfolio (2) 89.2% 90.3% (1) All office properties located in Manhattan owned by us as of January 1, 2022 and still owned by us in the same manner as of December 31, 2023.
Occupancy The following table sets forth the weighted average occupancy rates at our office properties based on space leased for properties owned by us as of December 31, 2024: Leased Occupancy as of December 31, Property 2024 2023 Same-Store office properties - Manhattan (1) 92.5% 90.0% Manhattan office properties 92.5% 89.4% Suburban office properties 73.5% 77.1% Unconsolidated joint venture office properties 95.0% 91.1% Portfolio (2) 89.2% 89.2% (1) All office properties located in Manhattan owned by us as of January 1, 2023 and still owned by us in the same manner as of December 31, 2024.
Manhattan's diverse tenant base is exemplified by the following tables, which show the percentage of leasing volume attributable to each industry: Percent of Manhattan Leasing Volume (1) Industry 2023 2022 Financial Services 39.1 % 40.1 % Legal Services 17.2 % 7.6 % Technology, Advertising, Media, and Information ("TAMI") 15.2 % 18.2 % Public Sector 12.4 % 7.9 % Retail/Wholesale 6.2 % 5.7 % Professional Services 5.6 % 11.4 % Real Estate 2.2 % — % Other 2.1 % 4.9 % Health Services — % 4.2 % (1) Source: Cushman and Wakefield Research Services General Terms of Leases in the Manhattan Markets Leases entered into for space in Manhattan typically contain terms that may not be contained in leases in other U.S. office markets.
Manhattan's diverse tenant base is exemplified by the following tables, which show the percentage of leasing volume attributable to each industry: Percent of Manhattan Leasing Volume (1) Industry 2024 2023 Financial Services 31.1 % 39.1 % Technology, Advertising, Media, and Information ("TAMI") 15.5 % 15.2 % Legal Services 14.8 % 17.2 % Real Estate 9.4 % 2.2 % Retail/Wholesale 9.2 % 6.2 % Professional Services 8.0 % 5.6 % Public Sector 6.7 % 12.4 % Amusement, Arts, Entertainment 2.8 % — % Other 2.5 % 2.1 % (1) Source: Cushman and Wakefield Research Services General Terms of Leases in the Manhattan Markets Leases in Manhattan typically contain terms that may not be contained in leases in other U.S. office markets.
According to Cushman and Wakefield Research Services, as of December 31, 2023, Manhattan has a total office inventory of approximately 418.9 million square feet, including 263.1 million square feet in midtown. The properties in our portfolio are primarily concentrated in some of Manhattan's most prominent midtown locations.
According to Cushman and Wakefield Research Services, as of December 31, 2024, Manhattan has a total office inventory of approximately 419.3 million square feet, including 261.4 million square feet in midtown. The properties in our portfolio are primarily concentrated in some of Manhattan's most prominent midtown locations.
Real estate property operating expenses consist primarily of cleaning, security, maintenance, utility costs, real estate taxes and, at certain properties, ground rent expense. As of December 31, 2023, one tenant in our office portfolio, Paramount Global (formerly ViacomCBS Inc.), contributed 5.9% of our share of annualized cash rent.
Real estate property operating expenses consist primarily of cleaning, security, maintenance, utility costs, real estate taxes and, at certain properties, ground rent expense. As of December 31, 2024, one tenant in our office portfolio, Paramount Global, contributed 5.5% of our share of annualized cash rent. No other tenant contributed more than 5.0% of our share of annualized cash rent.
Annualized Cash Rent of Expiring Leases Annualized Cash Rent Per Square Foot of Expiring Leases $/psf (2) Current Weighted Average Asking Rent $/psf (3) Number of Expiring Leases (2) Rentable Square Footage of Expiring Leases Percentage of Total Sq. Ft.
Annualized Cash Rent of Expiring Leases Annualized Cash Rent Per Square Foot of Expiring Leases $/psf (2) Number of Expiring Leases (1) Rentable Square Footage of Expiring Leases Percentage of Total Sq. Ft.
The weighted average leased occupancy for residential properties represents the total leased units divided by total available units. Properties under construction are not included in the calculation of weighted average leased occupancy. (2) Includes assets within the Company's alternative strategy portfolio.
The weighted average leased occupancy for residential properties represents the total leased units divided by total available units. Properties under construction are not included in the calculation of weighted average leased occupancy.
Industry Segments The Company is a REIT that is engaged in the ownership, management, operation, acquisition, development, redevelopment and repositioning of commercial properties, principally office properties, located in the New York metropolitan area, principally Manhattan, and has three reportable segments: real estate, debt and preferred equity investments, and SUMMIT.
(3) Includes month to month holdover tenants that expired prior to December 31, 2024. 9 Table of Contents Industry Segments The Company is a REIT that is engaged in the ownership, management, operation, acquisition, development, redevelopment, repositioning and financing of commercial properties, principally office properties, located in the New York metropolitan area, principally Manhattan, and has three reportable segments: real estate, debt and preferred equity investments, and SUMMIT.
Experience at SUMMIT SUMMIT One Vanderbilt is an observation deck that offers panoramic views of New York while immersing its visitors in an art experience. SUMMIT opened in October 2021 and welcomed approximately 2.1 million and 1.6 million visitors for the years ended December 31, 2023 and 2022, respectively.
SUMMIT SUMMIT One Vanderbilt is an observation deck that offers panoramic views of New York while immersing its visitors in an art experience. SUMMIT opened in October 2021 and welcomed approximately 2.3 million in 2024.
Overall average asking rents in Manhattan increased in 2023 by 2.4% from $71.62 per square foot as of December 31, 2022 to $73.33 per square foot as of December 31, 2023, while Manhattan Class A asking rents increased to $80.98 per square foot, up 2.9% from $78.72 as of December 31, 2022.
Overall average asking rents in Manhattan decreased in 2024 by 0.8% from $73.33 per square foot as of December 31, 2023 to $72.73 per square foot as of December 31, 2024, while Manhattan Class A asking rents increased to $81.19 per square foot, up 0.3% from $80.98 as of December 31, 2023.
Our goal is to reduce emissions for our operationally controlled portfolio to align it with the 1.5 degree Celsius climate scenario.
The Company has approved near-term Scope 1 and Scope 2 science-based emissions reduction targets with the SBTi. Our goal is to reduce emissions for our operationally controlled portfolio to align it with the 1.5 degree Celsius climate scenario.
The Company has demonstrated a commitment to transparency on climate issues via annual public reporting informed by widely-adopted frameworks, including Global Reporting Initiative ("GRI"), Global Real Estate Benchmark ("GRESB"), Sustainability Accounting Standards Board ("SASB"), and the CDP (formerly the Carbon Disclosure Project).
We expect to be compliant in the first compliance period through 2029, with no material financial impact on our portfolio. 10 Table of Contents The Company has demonstrated a commitment to transparency on climate issues via annual public reporting informed by widely adopted frameworks, including Global Reporting Initiative ("GRI") since 2013, GRESB (formerly known as the Global Real Estate Sustainability Benchmark) since 2019, Sustainability Accounting Standards Board ("SASB") since 2021, and the CDP (formerly the Carbon Disclosure Project) since 2018.
No other tenant contributed more than 5.0% of our share of annualized cash rent. No property contributed in excess of 10.0% of our consolidated total revenue for 2023.
No property contributed in excess of 10.0% of our consolidated total revenue for 2024.
Dispositions • Together with our joint venture partner, the Company entered into an agreement to sell the fee ownership interest in 625 Madison Avenue for a gross sales price of $634.6 million. In connection with the sale, the Company, together with its joint venture partner, will originate a $235.5 million preferred equity investment in the property.
In connection with the closing of the sale, the Company repaid the existing $50.0 million mortgage for $32.0 million. • Together with our joint venture partner, closed on the sale of the fee ownership interest in 625 Madison Avenue for a gross sales price of $634.6 million plus certain fees payable to the Company.
As of December 31, 2023, we employed 1,188 employees, 308 of whom were employed in our corporate offices. There are currently five collective bargaining agreements which cover the union workforce that services substantially all of our properties. Climate Change Our assessment of climate-related issues includes physical risks, transitions risks, and associated opportunities.
As of December 31, 2024, we employed 1,221 employees, 313 of whom were employed in our corporate offices. There are currently five collective bargaining agreements which cover the union workforce that services substantially all of our properties. Sustainability We believe our sustained focus on Environmental, Social and Governance ("ESG") issues has led to effective risk-management practices that influence strategic decisions.
In 2021, the Company released its first Task Force on Climate-related Financial Disclosures ("TCFD") report structured in accordance with the 11 TCFD recommendations covering its climate governance, strategy, management, and metrics. In 2023, the Company released its second TCFD report expanding on our list of physical and transition risks and opportunities and to present its progress on its TCFD disclosure.
In 2023, the Company released its second Task Force on Climate related Financial Disclosures ("TCFD") report, which expanded the physical and transition risks and opportunities and progress related to TCFD disclosure originally released in 2021. This report, along with the Company's current ESG Report, is available under "Reports & Resources" in the "Sustainability" section on our website.
The Company retained a 50.1% interest in the property. • Together with our joint venture partner, closed on the sale of the retail condominiums at 121 Greene Street for a gross sales price of $14.0 million. Finance • Closed on a modification of the mortgage at 185 Broadway to extend the maturity to November 2026, as fully extended.
The modification extended the maturity date to November 2026, as fully extended, at a rate of 1.80% over Term SOFR. • Together with our joint venture partner, closed on a modification and extension of the mortgage on 220 East 42nd Street.
The new $500.0 million mortgage replaces the previous $500.0 million mortgage, matures in April 2028, as fully extended, and bears interest at a floating rate of 2.50% over Term SOFR, which the partnership swapped to a fixed rate of 6.11%.
The modification included a paydown of the principal balance by $4.6 million to $120.0 million, extended the mortgage by four years to January 2028, as fully extended, and the interest rate was maintained at 1.50% over Term SOFR, which the joint venture fixed at 5.99% through January 2026.
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Within that portfolio, office includes one building totaling 2,048,725 square feet, retail includes eight buildings totaling 286,738 square feet and development/redevelopment includes two buildings totaling 1,496,931 square feet.
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In 2024, the Company announced its intention to expand the SUMMIT experience to a location in Paris, France in the future. The Company is also evaluating several opportunities to expand SUMMIT to other locations.
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In addition, certain tenant industries saw an increase in leasing volume during the year.
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Annualized Cash Rent of Expiring Leases Annualized Cash Rent Per Square Foot of Expiring Leases $/psf (2) 2024 (3) 9 126,384 1.50 % 7,390,300 $58.47 1 1,423 — % $24,000 $16.87 1st Quarter 2025 13 235,307 2.80 % 14,979,840 $63.66 6 33,399 0.30 % $2,762,921 $82.72 2nd Quarter 2025 16 99,894 1.20 % 8,184,444 81.93 3 196,196 1.80 % 20,404,766 104.00 3rd Quarter 2025 19 60,714 0.70 % 4,544,320 74.85 1 4,576 — % 302,623 66.13 4th Quarter 2025 34 359,429 4.20 % 33,001,617 91.82 7 78,808 0.70 % 6,982,782 88.60 Total 2025 82 755,344 8.90 % $60,710,221 $80.37 17 312,979 2.80 % $30,453,092 $97.30 2026 78 847,874 10.00 % $58,604,929 $69.12 21 350,768 3.10 % $47,036,241 $134.10 2027 80 808,055 9.50 % 65,504,055 81.06 17 222,604 2.00 % 31,852,679 143.09 2028 64 675,774 8.00 % 49,898,756 73.84 21 250,810 2.20 % 30,428,097 121.32 2029 57 705,732 8.30 % 48,572,940 68.83 18 147,621 1.30 % 15,378,083 104.17 2030 45 848,373 10.00 % 59,570,712 70.22 15 329,755 2.90 % 38,410,279 116.48 2031 26 423,086 5.00 % 31,467,856 74.38 15 2,688,738 23.80 % 205,643,360 76.48 2032 20 731,991 8.60 % 45,177,103 61.72 14 992,725 8.80 % 89,598,105 90.25 2033 20 348,403 4.10 % 27,643,595 79.34 11 250,685 2.20 % 28,051,255 111.90 Thereafter 76 2,225,853 26.10 % 139,472,015 62.66 65 5,740,480 50.90 % 583,552,330 101.66 557 8,496,869 100.00 % $594,012,482 $69.91 215 11,288,588 100.00 % $1,100,427,521 $97.48 NOTE: Data excludes space currently occupied by SL Green's corporate offices (1) Tenants may have multiple leases.
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Annualized Cash Rent of Expiring Leases Annualized Cash Rent Per Square Foot of Expiring Leases $/psf (2) Current Weighted Average Asking Rent $/psf (3) 2023 (4) 16 177,309 2.30 % $10,016,868 $56.49 $59.01 6 114,048 0.80 % $11,892,355 $104.27 $83.77 1st Quarter 2024 9 40,596 0.50 % $3,623,916 $89.27 $72.65 8 122,938 0.90 % $13,392,794 $108.94 $105.28 2nd Quarter 2024 19 55,415 0.70 % 3,451,449 62.28 58.02 7 56,635 0.40 % 4,804,151 84.83 71.55 3rd Quarter 2024 11 106,551 1.40 % 4,049,418 38.00 36.79 5 604,236 4.40 % 69,411,649 114.88 81.77 4th Quarter 2024 20 288,851 3.90 % 17,558,046 60.79 57.84 8 48,235 0.30 % 5,240,414 108.64 83.63 Total 2024 59 491,413 6.50 % $28,682,829 $58.37 $54.52 28 832,044 6.00 % $92,849,008 $111.59 $84.66 2025 71 680,624 9.00 % $55,301,323 $81.25 $67.23 26 373,433 2.70 % $36,125,921 $96.74 $83.31 2026 54 776,991 10.20 % 53,956,330 69.44 65.44 42 802,152 5.80 % 89,411,068 111.46 100.46 2027 55 650,165 8.60 % 52,559,470 80.84 64.19 29 352,724 2.50 % 44,741,842 126.85 113.71 2028 53 698,668 9.20 % 52,371,028 74.96 67.99 30 305,851 2.20 % 35,200,396 115.09 113.74 2029 33 591,177 7.80 % 38,909,520 65.82 60.79 17 893,912 6.40 % 64,603,106 72.27 75.99 2030 22 696,540 9.20 % 49,396,547 70.92 66.02 21 505,445 3.60 % 51,835,737 102.55 90.09 2031 18 321,405 4.20 % 22,841,818 71.07 67.96 27 2,912,088 21.00 % 219,024,122 75.21 76.64 2032 16 669,608 8.80 % 40,664,070 60.73 54.14 15 1,075,978 7.80 % 95,341,186 88.61 91.77 Thereafter 60 1,835,137 24.20 % 112,016,314 61.04 54.67 75 5,714,468 41.20 % 556,177,116 97.33 102.86 457 7,589,037 100.00 % $516,716,117 $68.09 $61.07 316 13,882,143 100.00 % $1,297,201,857 $93.44 $92.91 NOTE: Data excludes space currently occupied by SL Green's corporate offices (1) Tenants may have multiple leases.
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(2) Represents in place annualized rent allocated by year of expiration.
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(2) Represents in place annualized rent allocated by year of expiration. 9 Table of Contents (3) Management's estimate of current average asking rents for currently occupied space as of December 31, 2023. Taking rents are typically lower than asking rents and may vary from property to property.
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This includes a comprehensive assessment of climate-related physical and transition risks, as well as the opportunities they present. The Board of Directors' Nominating and Corporate Governance Committee (NCGC) oversees the Company's ESG program, which includes assessing climate-related issues such as physical risks, transition risks, and associated opportunities.
Removed
(4) Includes month to month holdover tenants that expired prior to December 31, 2023.
Added
Climate regulation in New York City is among the most stringent and requires building owners to comply with ambitious emissions limits.
Removed
We believe our sustained focus on Environmental, Social and Governance ("ESG") issues has led to effective risk-management practices that influence strategic decisions. The Company takes a proactive approach to climate-related risk management throughout the organization.
Added
Highlights from 2024 Our significant achievements from 2024 included: Leasing • Signed 188 Manhattan office leases covering 3,607,924 square feet. • Increased same-store Manhattan office occupancy to 92.5%. • Early renewal and expansion with Bloomberg, L.P. for 924,876 square feet at 919 Third Avenue. • Early renewal and expansion with Ares Management LLC for 307,336 square feet at 245 Park Avenue. • New lease with Alvarez & Marsal Holdings, LLC for 220,221 square feet at 100 Park Avenue. • New lease with Elliot Management Corporation for 149,437 square feet at 280 Park Avenue. • Early renewal and expansion with Industrial and Commercial Bank of China Limited, New York Branch for 132,938 square feet at 1185 Avenue of the Americas. • Early renewal and expansion with The Travelers Indemnity Company for 122,788 square feet at 485 Lexington Avenue. • New leases of 67,208 square feet and 35,898 square feet with a publicly traded financial services firm and a subsidiary of Flutter Entertainment, respectively, at One Madison Avenue.
Removed
ESG considerations are embedded into our governance structure and management responsibilities, driving our climate-related risk assessment processes and enabling comprehensive risk mitigation responses to be implemented in all relevant business segments across short-term (0-3 years), medium-term (3-15 years), and long-term (15-27 years) time horizons. 10 Table of Contents With our roots in New York City, we are at the center of one of the world's most ambitious climate legislative environments.
Added
Acquisitions • Closed on the acquisition of our partner's 45.0% interest in 10 East 53rd Street for cash consideration of $7.2 million, net of all outstanding debt obligations. • Acquired equity interests in the joint venture that owns the leasehold at 2 Herald Square for no consideration, increasing the Company's interest in the joint venture to 95%.
Removed
Through the Climate Leadership and Community Protection Act signed into law in 2019, New York State mandated the adoption of a net-zero carbon economy statewide by 2050, with a zero-carbon electricity grid by 2040.
Added
Dispositions • Closed on the sale of an 11.0% interest in One Vanderbilt Avenue for a gross asset valuation of $4.7 billion. The transaction generated net proceeds to the Company of $189.5 million. • Closed on the sale of three of the Giorgio Armani Residences at 760 Madison Avenue. The transactions generated net proceeds to the Company of $61.5 million.
Removed
We do not anticipate any material financial impact on our portfolio in the first compliance period of 2024 to 2029.
Added
Sales of the remaining units, which are all under contract, are expected to close in the first quarter of 2025. • Closed on the sale of the Palisades Premier Conference Center for $26.3 million plus certain fees payable to the Company. The Company took control of the property in July 2023 in partial satisfaction of a legal judgment.
Removed
This report, along with the Company's current ESG Report, is available under "Reports & Resources" in the "Sustainability" section on our website. The Company has committed to near-term Scope 1 and Scope 2 science-based emissions reduction targets with the SBTi, which were approved in early 2023.
Added
The transaction generated net proceeds to the Company of $19.8 million. • Closed on the sale of 719 Seventh Avenue in Times Square for $30.5 million plus certain fees payable to the Company. The transaction generated net proceeds to the Company of $3.6 million after repayment of the mortgage loan.
Removed
Highlights from 2023 Our significant achievements from 2023 included: Leasing • Signed 160 Manhattan office leases covering approximately 1.8 million square feet. • Increased same-store Manhattan office occupancy sequentially in the third and fourth quarters. • Signed an early lease renewal of 141,589 square feet and expansion by an additional 128,316 square feet with a premier financial services tenant at 280 Park Avenue. • Signed an early lease renewal with CBS Broadcasting, Inc. for 184,367 square feet at 555 West 57th Street. • Signed an early lease renewal of 41,851 square feet and expansion by 49,717 square feet with one of the world's largest sovereign wealth funds at 280 Park Avenue. • Signed a new lease with Stonepeak Partners L.P. for 76,716 square feet at 245 Park Avenue. • Signed a new lease with EQT Partners Inc. for 76,204 square feet at 245 Park Avenue.
Added
In connection with the sale, the Company, together with its joint venture partner, originated a $235.5 million preferred equity investment in the property. The transaction generated net proceeds to the Company of $199.3 million. • Together with our joint venture partner, closed on the sale of the retail condominium at 717 Fifth Avenue for total consideration of $963.0 million.
Removed
Acquisitions • Following a UCC foreclosure, the Company converted its previous mezzanine debt investments in the fee interest at 625 Madison Avenue to a 90.43% ownership interest. The fee interest is subject to a $223.0 million third-party mortgage, which matures in December 2026 and bears interest at a fixed rate of 6.05%.
Added
The transaction generated net proceeds to the Company of $27.0 million. 11 Table of Contents Finance • The Company repaid the previous $60.9 million mortgage on 690 Madison Avenue for a net payment of $32.1 million. • Together with our joint venture partner, repaid the previous $182.5 million mortgage on 2 Herald Square for a net payment of $7.0 million. • Together with our joint venture partner, closed on a modification, extension and upsize of the $360.0 million mortgage on 100 Park Avenue.
Removed
The transaction is expected to close in the first quarter of 2024. • Together with our joint venture partners, closed on the sale of the equity interests in the condominium units at 21 East 66th Street for total consideration of $40.6 million. • Closed on the sale of a 49.9% joint venture interest in 245 Park Avenue for a gross asset valuation of $2.0 billion.
Added
The modification extended the maturity date to December 2027, as fully extended, while maintaining the interest rate at 2.25% over Term SOFR.
Removed
The modification also converted the previous floating rate of 2.85% over Term SOFR to a fixed rate of 6.65% per annum through November 2025 and 2.55% over Term SOFR thereafter.
Added
The lenders also provided a new $70.0 million future funding facility for leasing costs at the property. • Together with our joint venture partners, closed on a modification and extension of the $1.3 billion mortgage facility on One Madison Avenue.
Removed
The Company made a $20.0 million principal payment at closing resulting in an outstanding loan amount of $190.1 million as of December 31, 2023. 11 Table of Contents • Together with our joint venture partner, closed on a modification of the mortgage at 719 Seventh Avenue to extend the maturity date to December 2024 with no change to the interest rate of 1.31% over Term SOFR. • Together with our joint venture partner, closed on a modification of the mortgage at 115 Spring Street to extend the maturity date to March 2025.
Added
The modification extended the final maturity date to November 2027, while maintaining the interest rate at 3.10% over Term SOFR. • Together with our joint venture partner, closed on a modification and extension of the $742.8 million mortgage on 1515 Broadway.
Removed
The modification also converted the floating rate of 3.40% over Term SOFR to a fixed rate of 5.50% for the term of the extension. • Together with our joint venture partners, closed on a modification of the construction loan at One Madison Avenue, allowing the partnership to utilize the final tranche of the facility for an expanded range of uses, including additional amenities funded by construction cost savings and for hedging activities in contemplation of a permanent financing. • Together with our joint venture partner, closed on the refinancing of 919 Third Avenue.
Added
The modification extended the maturity date to March 2028, as fully extended, while maintaining the interest rate at 3.93%. • Closed on a modification and extension of a $100.0 million funded term loan component of the Company's unsecured corporate credit facility.
Removed
Debt and Preferred Equity Investments • Closed on a $20.0 million upsize and three-year extension of a $39.1 million debt and preferred equity investment that was scheduled to mature in October 2023. • Increased debt and preferred equity investments by $80.3 million, inclusive of advances under future funding obligations, discount and fee amortization, and paid-in-kind interest, net of premium amortization, and transferred investments with a carrying value of $349.9 million to equity ownership.
Added
The modification included a paydown of the principal balance by $9.0 million to $496.4 million and extended the maturity date to December 2027.
Removed
Construction in Progress • The 1.4 million square foot tower at One Madison Avenue secured its temporary certificate of occupancy in September 2023, marking completion of the development three months ahead of schedule and significantly under budget. The milestone triggered cash payments to the Company totaling $577.4 million, representing the final equity payment from its joint venture partners.
Added
The interest rate was maintained at 2.75% over Term SOFR, which the joint venture fixed at 6.77% through the extended maturity date. • Together with our joint venture partner, closed on a modification and extension of the $1.075 billion securitized mortgage on 280 Park Avenue.
Removed
The cash was used to repay unsecured corporate debt. • A temporary certificate of occupancy was issued by the New York City Buildings Department for the base building and the dormitory units at 15 Beekman. These units were turned over to Pace University, which has leased the property for a term of 30 years. 12 Table of Contents
Added
The modification extended the maturity date to September 2026, with the partnership's option to extend to a fully extended maturity date of September 2028. The interest rate was maintained at 1.78% over Term SOFR, which the partnership subsequently fixed at 5.84% through the fully extended maturity date.
Added
The partnership separately modified and extended the $125.0 million mezzanine loan on 280 Park Avenue and subsequently repaid the loan for $62.5 million. • Together with our joint venture partner, closed on a modification and extension of the mortgage on 10 East 53rd Street, which included a paydown of the principal balance by $15.0 million to $205.0 million.
Added
The modification extended the maturity date by three years to May 2028, as fully extended, and the interest rate was maintained at 1.45% over Term SOFR, which the joint venture fixed at 5.36% from May 2025 to May 2028. • Together with our joint venture partner, closed on a modification and extension of the mortgage on 15 Beekman Street.
Added
Debt and Preferred Equity Investments • The Company launched its SLG Opportunistic Debt Fund (the "Fund"). The Fund intends to capitalize on current capital markets dislocation through a strategy focused on opportunistically investing in the New York City credit market.
Added
The Company continues to close commitments for the Fund, following the $250.0 million closing with a Canadian institutional investor to anchor the Fund. 12 Table of Contents

Item 1A. Risk Factors

Risk Factors — what could go wrong, per management

62 edited+10 added−6 removed123 unchanged
Biggest changeWe may not be able to refinance existing indebtedness, which may require substantial principal payments at maturity. $382.8 million of consolidated mortgage debt and $1.6 billion of unconsolidated joint venture debt is scheduled to mature in 2024 after giving effect to our as-of-right extension options and repayments and refinancing of consolidated and joint venture debt between December 31, 2023 and February 22, 2024 as discussed in the "Financial Statements and Supplementary Data" section.
Biggest changeForeclosure on mortgaged properties or an inability to make payments under our 2021 credit facility or our senior unsecured notes could trigger defaults under the terms of our other financings, making such financings at risk of being declared immediately payable, and would have a negative impact on our financial condition and results of operations. 17 Table of Contents We may not be able to refinance existing indebtedness, which may require substantial principal payments at maturity. $373.6 million of consolidated mortgage debt and $1.2 billion of unconsolidated joint venture debt is scheduled to mature in 2025 after giving effect to our as-of-right extension options and repayments and refinancing of consolidated and joint venture debt between December 31, 2024 and February 13, 2025 as discussed in the "Financial Statements and Supplementary Data" section.
Over time, and in an extreme scenario, these conditions could potentially result in declining demand for office space, specifically in coastal areas of New York City, or potentially an inability to fully operate buildings.
Over time, and in an extreme scenario, these conditions could result in declining demand for office space, specifically in coastal areas of New York City, or potentially an inability to fully operate buildings.
In addition, borrowings under our existing term loan and revolving credit facilities bear interest at a rate based on the term SOFR, which is a relatively new reference rate that replaced U.S. dollar London Interbank Offered Rate ("LIBOR"). As a result of SOFR’s limited performance history, the future performance of SOFR cannot be reliably predicted.
In addition, borrowings under our existing term loan and revolving credit facilities bear interest at a rate based on term SOFR, which is a relatively new reference rate that replaced U.S. dollar London Interbank Offered Rate ("LIBOR"). As a result of SOFR's limited performance history, the future performance of SOFR cannot be reliably predicted.
Our procedures encompass a range of potential impacts, including those stemming from natural disasters such as storms, heatwaves, hurricanes, flooding, and other severe weather. We recognize that the intensity of weather events and the rise in sea levels have the potential to impact our properties, operations, and overall business.
Our procedures encompass a range of potential impacts, including those stemming from natural disasters such as storms, heatwaves, hurricanes, flooding and other severe weather. We recognize, however, that the intensity of weather events and the rise in sea levels have the potential to impact our properties, operations and overall business.
Any of these direct or indirect effects of climate change may have a material adverse effect on our properties, operations or business. 16 Table of Contents We may incur significant costs to comply with climate change initiatives, and in particular those implemented in New York City.
However, any of these direct or indirect effects of climate change may have a material adverse effect on our properties, operations or business. 16 Table of Contents We may incur significant costs to comply with climate change initiatives, and in particular those implemented in New York City.
Our properties may be subject to risks relating to current or future laws, including laws benefiting disabled persons, such as the Americans with Disabilities Act, or ADA, and state or local zoning, construction or other regulations. Compliance with such laws may require significant property modifications in the future, which could be costly.
Our properties may be subject to risks relating to current or future laws, including laws benefiting disabled persons, such as the Americans with Disabilities Act, and state or local zoning, construction or other regulations. Compliance with such laws may require significant property modifications in the future, which could be costly.
As a result, the value of our properties and our results of operations could materially decline. We face possible risks associated with the natural disasters and the effects of climate change. We are committed to enhancing the resilience of our properties and we have established comprehensive procedures to effectively manage and respond to climate-related risks.
As a result, the value of our properties and our results of operations could materially decline. We face possible risks associated with natural disasters and the effects of climate change. We are committed to enhancing the resilience of our properties and we have established comprehensive procedures intended to effectively manage and respond to climate-related risks.
Additionally, one of our captive insurance companies, Belmont Insurance Company, or Belmont, provides coverage for NBCR terrorist acts above a specified trigger. Belmont's retention is reinsured by our other captive insurance company, Ticonderoga Insurance Company ("Ticonderoga").
Additionally, one of our captive insurance companies, Belmont Insurance Company ("Belmont"), provides coverage for NBCR terrorist acts above a specified trigger. Belmont's retention is reinsured by our other captive insurance company, Ticonderoga Insurance Company ("Ticonderoga").
Rent payments under leasehold or operating sublease interests are adjusted, within the parameters of the contractual arrangements, at certain intervals. Rent adjustments may result in higher rents that could adversely affect our financial condition and results of operation. 13 Table of Contents We rely on five large properties for a significant portion of our revenue.
Rent payments under leasehold or operating sublease interests are adjusted, within the parameters of the contractual arrangements, at certain intervals. Rent adjustments typically result in higher rents that could adversely affect our financial condition and results of operation. 13 Table of Contents We rely on five large properties for a significant portion of our revenue.
As of December 31, 2023, the expiration dates of these long-term leases range from 2043 to 2119, including the effect of our unilateral extension rights at each of these properties. Pursuant to the leasehold arrangements, we, as tenant under the long-term leasehold or the operating sublease, perform the functions traditionally performed by landlords with respect to our subtenants.
As of December 31, 2024, the expiration dates of these long-term leases range from 2043 to 2119, including the effect of our unilateral extension rights at each of these properties. Pursuant to the leasehold arrangements, we, as tenant under the long-term leasehold or the operating sublease, perform the functions traditionally performed by landlords with respect to our subtenants.
Our charter authorizes our Board of Directors to issue additional shares of common stock, preferred stock and convertible equity or debt without stockholder approval and without the requirement to offer rights of pre-emption to existing stockholders. Any such issuance could dilute our existing stockholders' interests.
Future issuances of common stock, preferred stock or convertible debt could dilute existing stockholders' interests. Our charter authorizes our Board of Directors to issue additional shares of common stock, preferred stock and convertible equity or debt without stockholder approval and without the requirement to offer rights of pre-emption to existing stockholders. Any such issuance could dilute our existing stockholders' interests.
These limitations could result in us holding properties which we would otherwise sell, or prevent us from paying down or refinancing existing indebtedness, any of which may have adverse consequences on our business and result in a material adverse effect on our financial condition and results of operations. 15 Table of Contents Potential losses may not be covered by insurance.
These limitations could result in us holding properties which we would otherwise sell, or prevent us from paying down or refinancing existing indebtedness, any of which may have adverse consequences on our business and result in a material adverse effect on our financial condition and results of operations. Potential losses may not be covered by insurance.
We may face competition for acquisition opportunities from other investors, particularly those investors who are willing to incur more leverage, and this competition may adversely affect us by subjecting us to the following risks: • an inability to acquire a desired property because of competition from other well-capitalized real estate investors, including publicly traded and privately held REITs, private real estate funds, domestic and foreign financial institutions, life insurance companies, sovereign wealth funds, pension trusts, partnerships and individual investors; and • an increase in the purchase price for such acquisition property.
We may face competition for acquisition or other investment opportunities from other investors, particularly those investors who are willing to incur more leverage, and this competition may adversely affect us by subjecting us to the following risks: • an inability to acquire or otherwise make an investment in a desired property or asset because of competition from other well-capitalized real estate investors, including publicly traded and privately held REITs, private real estate funds, domestic and foreign financial institutions, life insurance companies, sovereign wealth funds, pension trusts, partnerships and individual investors; and • an increase in the purchase price for such acquisition property.
As of December 31, 2023, borrowings under our term loans and junior subordinated deferrable interest debentures totaled $1.3 billion and $100.0 million, respectively. We may incur indebtedness in the future that also bears interest at a variable rate or may be required to refinance our debt at higher rates.
As of December 31, 2024, borrowings under our term loans and junior subordinated deferrable interest debentures totaled $1.2 billion and $100.0 million, respectively. We may incur indebtedness in the future that also bears interest at a variable rate or may be required to refinance our debt at higher rates.
We maintain “all-risk” property and rental value coverage (including coverage regarding the perils of flood, earthquake and terrorism, excluding nuclear, biological, chemical, and radiological terrorism ("NBCR")) within two property insurance programs and liability insurance. Separate property and liability coverage may be purchased on a stand-alone basis for certain assets, such as development projects.
We maintain "all-risk" property and rental value coverage (including coverage regarding the perils of flood, earthquake and terrorism, excluding nuclear, biological, chemical, and radiological terrorism ("NBCR")) within two property insurance programs and liability insurance. Separate property and liability coverage may be purchased on a stand-alone basis for certain assets, such as development projects.
If we are unable to meet the required emissions reductions, we may be subject to material fines that will continue to be assessed each year we fail to comply. Based on current emissions data available from 2022, our portfolio is expected to be compliant through 2024, with no material financial impact to our properties.
If we are unable to meet the required emissions reductions, we may be subject to material fines that will continue to be assessed each year we fail to comply. Based on current emissions data available from 2023, our portfolio is expected to be compliant through 2029, with no material financial impact to our properties.
The continuation or expansion of remote work policies and flexible work arrangements may cause office tenants to reassess their long-term physical needs, which would have an adverse effect on our business, results of operations, liquidity, cash flows, prospects, and our ability to achieve forward-looking targets and expectations. We may be unable to renew leases or relet space as leases expire.
Remote work policies and flexible work arrangements could cause office tenants to reassess their long-term physical needs, which could have an adverse effect on our business, results of operations, liquidity, cash flows, prospects, and our ability to achieve forward-looking targets and expectations. We may be unable to renew leases or relet space as leases expire.
We are, therefore, dependent on the results of operations of our subsidiaries and their ability to provide us with cash, whether in the form of dividends paid through our Operating Partnership, loans or otherwise, to meet our obligations and to pay any dividends to our equity holders.
Substantially all of our assets are held through subsidiaries of our Operating Partnership. We are, therefore, dependent on the results of operations of our subsidiaries and their ability to provide us with cash, whether in the form of dividends paid through our Operating Partnership, loans or otherwise, to meet our obligations and to pay any dividends to our equity holders.
Borrowings under our revolving credit facility and two term loans bore interest at the adjusted term Secured Overnight Financing Rate ("SOFR") plus 10 basis points, and the applicable spreads of 140 basis points, 160 basis points, and 165 basis points, respectively, as of December 31, 2023.
Borrowings under our revolving credit facility and two term loans bore interest at the adjusted term Secured Overnight Financing Rate ("SOFR") plus 10 basis points, and the applicable spreads of 140 basis points, 160 basis points, and 180 basis points, respectively, as of December 31, 2024.
This limitation on ownership of stock could delay or prevent a change in control of our company. Maryland takeover statutes may prevent a change of control of our company, which could depress our stock price.
This limitation on ownership of stock could delay or prevent a change in control of our company. 20 Table of Contents Maryland takeover statutes may prevent a change of control of our company, which could depress our stock price.
As of December 31, 2023, a hypothetical 100 basis point increase in interest rates across each of our variable interest rate instruments, including our variable rate debt and preferred equity investments which mitigate our exposure to interest rate changes, would increase our net annual interest costs by $1.0 million and would increase our share of joint venture annual interest costs by $12.2 million.
As of December 31, 2024, a hypothetical 100 basis point increase in interest rates across each of our variable interest rate instruments, including our variable rate debt and preferred equity investments which mitigate our exposure to interest rate changes, would increase our net annual interest costs by $2.3 million and would increase our share of joint venture annual interest costs by $1.9 million.
As our portfolio is principally located in Manhattan, our business is subject to transition risks related to these climate change policies. Costs of compliance or penalties in later compliance periods may be significant.
As our portfolio is principally located in Manhattan, our business is subject to transition risks related to these climate change policies. Costs of compliance or penalties in later compliance periods have the potential to be significant.
While only 4.7% of our Portfolio annualized cash rent was generated by retail properties as of December 31, 2023, principally in Manhattan, we are subject to risks that affect the retail environment generally, including the level of consumer spending and preferences, consumer confidence, electronic retail competition and levels of tourism in Manhattan.
While only 1.5% of our Portfolio annualized cash rent was generated by retail properties as of December 31, 2024, principally in Manhattan, we are subject to risks that affect the retail environment generally, including the level of consumer spending and preferences, consumer confidence, electronic retail competition and levels of tourism in Manhattan.
Numerous states and municipalities have adopted laws and policies on climate change and emission reduction targets. In particular, through the Climate Leadership and Community Protection Act signed into law in 2019, New York State mandated the adoption of a net-zero carbon economy statewide by 2050, with a zero-carbon electricity grid by 2040.
Numerous states and municipalities have adopted laws and policies on climate change and emission reduction targets. In particular, New York State passed the Climate Leadership and Community Protection Act in 2019, mandating the adoption of a net-zero carbon economy statewide by 2050, with a zero-carbon electricity grid by 2040.
Contractual provisions that limit the assumption of certain of our debt may prevent a change in control. Certain of our consolidated debt is not assumable and may be subject to significant prepayment penalties. These limitations could deter a change in control of our company.
Contractual provisions that limit the assumption of certain of our debt may prevent a change in control. Certain of our consolidated debt is not assumable and may be subject to significant prepayment penalties.
The total principal amount of our outstanding consolidated indebtedness was $3.5 billion as of December 31, 2023, consisting of $1.3 billion in unsecured bank term loans, $0.1 billion under our senior unsecured notes, $0.1 billion of junior subordinated deferrable interest debentures, $1.5 billion of non-recourse mortgages and loans payable on certain of our properties and debt and preferred equity investments and $560.0 million drawn under our revolving credit facility.
The total principal amount of our outstanding consolidated indebtedness was $3.6 billion as of December 31, 2024, consisting of $1.2 billion in unsecured bank term loans, $100.0 million under our senior unsecured notes, $100.0 million of junior subordinated deferrable interest debentures, $1.9 billion of non-recourse mortgages and loans payable on certain of our properties and debt and preferred equity investments and $320.0 million drawn under our revolving credit facility.
This need is exacerbated by the distribution requirements imposed on us for SL Green to qualify as a REIT. We therefore rely on third-party sources of capital, which may not be available on favorable terms or at all.
We need a substantial amount of capital to operate and grow our business. This need is exacerbated by the distribution requirements imposed on us for SL Green to qualify as a REIT. We therefore rely on third-party sources of capital, which may not be available on favorable terms or at all.
Scheduled debt payments could adversely affect our results of operations. Cash flow could be insufficient to meet the payments of principal and interest required under our current mortgages, our 2021 credit facility, our senior unsecured notes, our debentures and indebtedness outstanding at our joint venture properties.
Cash flow could be insufficient to meet the payments of principal and interest required under our current mortgages, our 2021 credit facility, our senior unsecured notes, our debentures and indebtedness outstanding at our joint venture properties.
As of December 31, 2023, we had an aggregate carrying value in joint ventures totaling $3.0 billion. Certain of our joint venture agreements contain terms in favor of our partners that could have an adverse effect on the value of our investments in the joint ventures.
As of December 31, 2024, we had an aggregate carrying value in joint ventures totaling $2.7 billion. Certain of our joint venture agreements contain terms in favor of our partners that could have an adverse effect on the value of our investments in the joint ventures.
Giving effect to leases in effect as of December 31, 2023 for consolidated properties and unconsolidated joint venture properties, as of that date, our five largest tenants, based on annualized cash rent, accounted for 15.4% of our share of Portfolio annualized cash rent, with one tenant, Paramount Global (formerly ViacomCBS Inc.), accounting for 5.9% of our share of Portfolio annualized cash rent.
Giving effect to leases in effect as of December 31, 2024, for consolidated properties and unconsolidated joint venture properties, as of that date, our five largest tenants, based on annualized cash rent, accounted for 15.1% of our share of Portfolio annualized cash rent, with one tenant, Paramount Global, accounting for 5.5% of our share of Portfolio annualized cash rent.
Five of our properties, One Vanderbilt Avenue, 11 Madison Avenue, 420 Lexington Avenue, 1515 Broadway and 1185 Avenue of the Americas accounted for 38.9% of our Portfolio annualized cash rent, which includes our share of joint venture annualized cash rent, as of December 31, 2023.
Five of our properties, One Vanderbilt Avenue, 11 Madison Avenue, 420 Lexington Avenue, 1515 Broadway and 245 Park Avenue accounted for 38.9% of our Portfolio annualized cash rent, which includes our share of joint venture annualized cash rent, as of December 31, 2024.
In addition, we could increase the amount of our outstanding consolidated indebtedness in the future, in part by borrowing under the revolving credit facility. As of December 31, 2023, the total principal amount of indebtedness outstanding at the joint venture properties was $14.9 billion, of which our proportionate share was $7.4 billion.
In addition, we could increase the amount of our outstanding consolidated indebtedness in the future, in part by borrowing under the revolving credit facility. As of December 31, 2024, the total principal amount of indebtedness outstanding at the joint venture properties was $12.3 billion, of which our proportionate share was $6.0 billion.
Additionally, we have less visibility into the future performance of acquired properties than properties that we have owned for a period of time, and therefore, recently acquired properties may not be as profitable as our existing portfolio.
Additionally, we have less visibility into the future performance of acquired properties (or properties in which we may seek to make other future investments) than properties that we have owned for a period of time, and therefore, recently acquired properties (or properties in which we have recently made other investments) may not be as profitable as our existing portfolio.
For example, our partner may be entitled to a specified portion of the profits of the joint venture before we are entitled to any portion of such profits. We may also enter into similar arrangements in the future. We are dependent on external sources of capital. We need a substantial amount of capital to operate and grow our business.
For example, our partner may be entitled to a specified portion of the profits of the joint venture before we are entitled to any portion of such profits. We may also enter into similar arrangements in the future. 19 Table of Contents We are dependent on external sources of capital.
Annualized cash rents, including our share of joint venture annualized cash rents, from properties held through long-term leases or operating sublease interests as of December 31, 2023 totaled $249.7 million, or 18.7%, of our share of total Portfolio annualized cash rent.
Annualized cash rents, including our share of joint venture annualized cash rents, from properties held through long-term leases or operating sublease interests as of December 31, 2024 totaled $236.0 million, or 17.8%, of our share of total Portfolio annualized cash rent.
Competition for acquisitions may reduce the number of acquisition opportunities available to us and increase the costs of those acquisitions. We may acquire properties when we are presented with attractive opportunities.
Competition for acquisitions and other investments may reduce the number of opportunities available to us and increase the costs of those acquisitions or other investments. We may acquire properties or make other debt and preferred equity investments when we are presented with attractive opportunities.
Loss of key personnel could harm our operations and our stock price. We are dependent on the efforts of Marc Holliday, our chairman, chief executive officer and interim president. Mr. Holliday has an employment agreement which expires in January 2025. A loss of Mr.
Loss of key personnel could harm our operations and our stock price. We are dependent on the efforts of Marc Holliday, our chairman, chief executive officer and interim president. Mr. Holliday entered into a new employment agreement in December 2024, which expires in July 2028. A loss of Mr.
These consequences could adversely affect our financial results or the amount of interest we pay on our existing credit facilities. Our hedging strategies may not effectively limit exposure against interest rate changes, which may adversely affect results of operations.
Changes in the levels of SOFR will affect the amount of interest we pay on our existing credit facilities. Our hedging strategies may not effectively limit exposure against interest rate changes, which may adversely affect results of operations.
We are responsible for not only collecting rent from our subtenants, but also maintaining the property and paying expenses relating to the property.
We are responsible for collecting rent from our subtenants, as well as maintaining the property and paying expenses relating to the property.
Limitations on our ability to sell or reduce the indebtedness on specific properties could adversely affect the value of our common stock. In connection with past and future acquisitions of interests in properties, we have or may agree to restrictions on our ability to sell or refinance the acquired properties for certain periods.
In connection with past and future acquisitions of interests in properties, we have or may agree to restrictions on our ability to sell or refinance the acquired properties for certain periods.
Any changes that increase our leverage could be viewed negatively by investors and could have a material effect on our financial condition, results of operations, cash flows, the trading price of our securities and our ability to pay dividends and distributions to security holders. 18 Table of Contents Debt and preferred equity investments could cause us to incur expenses, which could adversely affect our results of operations.
Any changes that increase our leverage could be viewed negatively by investors and could have a material effect on our financial condition, results of operations, cash flows, the trading price of our securities and our ability to pay dividends and distributions to security holders.
In the event of a default under these obligations, we may take possession of the collateral securing these interests. Borrowers may contest enforcement of foreclosure or other remedies, seek bankruptcy protection against such enforcement and/or bring claims for lender liability in response to actions to enforce their obligations to us.
Borrowers may contest enforcement of foreclosure or other remedies, seek bankruptcy protection against such enforcement and/or bring claims for lender liability in response to actions to enforce their obligations to us.
When existing interest rate hedges terminate, we may incur increased costs in putting in place further interest rate hedges. Failure to hedge effectively against interest rate changes may adversely affect our results of operations. Increases in our leverage could adversely affect our stock price. Our organizational documents do not contain any limitation on the amount of indebtedness we may incur.
When existing interest rate hedges terminate, we may incur increased costs in putting in place further interest rate hedges. Failure to hedge effectively against interest rate changes may adversely affect our results of operations. 18 Table of Contents Increases in our leverage could adversely affect our results of operations and the trading price of our stock.
The fact that we hold our assets through the Operating Partnership and its subsidiaries further complicates the application of the REIT requirements. Even a technical or inadvertent mistake could jeopardize our REIT status.
We are also required to distribute to stockholders at least 90% of our REIT taxable income excluding capital gains. The fact that we hold our assets through the Operating Partnership and its subsidiaries further complicates the application of the REIT requirements. Even a technical or inadvertent mistake could jeopardize our REIT status.
An interested stockholder is defined as: • any person who beneficially owns 10% or more of the voting power of the corporation's outstanding voting stock; or • an affiliate or associate of the corporation who, at any time within the two year period prior to the date in question, was the beneficial owner of 10% or more of the voting power of the then outstanding voting stock of the corporation. 20 Table of Contents A person is not an interested stockholder under the statute if the board of directors approves in advance the transaction by which he otherwise would have become an interested stockholder.
An interested stockholder is defined as: • any person who beneficially owns 10% or more of the voting power of the corporation's outstanding voting stock; or • an affiliate or associate of the corporation who, at any time within the two year period prior to the date in question, was the beneficial owner of 10% or more of the voting power of the then outstanding voting stock of the corporation.
As of December 31, 2023, approximately 44.1% of the rentable square feet at our consolidated properties and approximately 20.6% of the rentable square feet at our unconsolidated joint venture properties are scheduled to expire by December 31, 2028. As of December 31, 2023, these leases had annualized escalated rent totaling $265.5 million and $384.0 million, respectively.
As of December 31, 2024, approximately 44.8% of the rentable square feet at our consolidated properties and approximately 11.8% of the rentable square feet at our unconsolidated joint venture properties are scheduled to expire by December 31, 2029. As of December 31, 2024, these leases had annualized escalated rent totaling $308.4 million and $191.7 million, respectively.
If SL Green fails to qualify as a REIT, the funds available for distribution to our stockholders would be substantially reduced as we would not be allowed a deduction for dividends paid to our stockholders in computing our taxable income and would be subject to federal income tax at regular corporate rates and possibly increased state and local taxes. 21 Table of Contents Also, unless the IRS grants us relief under specific statutory provisions, SL Green would remain disqualified as a REIT for four years following the year in which SL Green first failed to qualify.
If SL Green fails to qualify as a REIT, the funds available for distribution to our stockholders would be substantially reduced as we would not be allowed a deduction for dividends paid to our stockholders in computing our taxable income and would be subject to federal income tax at regular corporate rates and possibly increased state and local taxes.
An increase in the assessed value of our properties or our property tax rates could adversely impact our financial condition, results of operations and our ability to satisfy our debt service obligations and to pay dividends and distributions to our security holders. 22 Table of Contents GENERAL RISK FACTORS The trading price of our common stock has been and may continue to be subject to wide fluctuations.
An increase in the assessed value of our properties or our property tax rates could adversely impact our financial condition, results of operations and our ability to satisfy our debt service obligations and to pay dividends and distributions to our security holders.
If we are unable to successfully acquire additional properties, our ability to grow our business could be adversely affected. We face risks associated with property acquisitions. Our acquisition activities may not be successful if we are unable to meet required closing conditions or unable to finance acquisitions and developments of properties on favorable terms or at all.
Our acquisition and investment activities may not be successful if we are unable to meet required closing conditions or unable to finance acquisitions and developments of properties (or make other investments) on favorable terms or at all.
These restrictions could adversely affect operations (including reducing our flexibility and our ability to incur additional debt), our ability to pay debt obligations and our ability to pay dividends and distributions to security holders. 17 Table of Contents High interest rates could adversely affect our cash flow.
These restrictions could adversely affect operations (including reducing our flexibility and our ability to incur additional debt), our ability to pay debt obligations and our ability to pay dividends and distributions to security holders. High interest rates could adversely affect our cash flow. Advances under our 2021 credit facility and certain property-level mortgage debt bear interest at a variable rate.
Our business and results of operations would be adversely affected if any of our major tenants became insolvent, declared bankruptcy, or otherwise refused to pay rent in a timely fashion or at all.
Our business and results of operations would be adversely affected if any of our major tenants become insolvent, file for bankruptcy, or otherwise fail to timely make rental payments or at all.
Our efforts to comply with evolving laws, regulations and standards have resulted in, and are likely to continue to result in, increased general and administrative expenses and a diversion of management time and attention from revenue-generating activities to compliance activities.
If our efforts to comply with new or changed laws, regulations and standards differ from the activities intended by regulatory or governing bodies due to ambiguities related to practice, our reputation may be harmed. 22 Table of Contents Our efforts to comply with evolving laws, regulations and standards have resulted in, and are likely to continue to result in, increased general and administrative expenses and a diversion of management time and attention from revenue-generating activities to compliance activities.
In addition, we could increase the amount of our outstanding variable rate debt in the future, in part by borrowing additional amounts under our 2021 credit facility.
After giving effect to derivatives, our consolidated variable rate borrowings totaled just $0.4 billion as of December 31, 2024. In addition, we could increase the amount of our outstanding variable rate debt in the future, in part by borrowing additional amounts under our 2021 credit facility.
The COVID-19 pandemic caused severe disruptions with wide ranging impacts to virtually every segment of society and the global economy. Office companies in particular have been affected by the subsequent increased acceptance of flexible or hybrid work schedules, allowing employees to work remotely and collaborate through video or teleconferencing instead of in-office attendance.
Following the COVID-19 pandemic, office companies continue to be affected by the increased acceptance of flexible or hybrid work schedules, allowing employees to work remotely and collaborate through video or teleconferencing instead of in-office attendance.
Moreover, additional equity offerings may result in substantial dilution of our stockholders' interests, and additional debt financing may substantially increase our leverage. 19 Table of Contents RISKS RELATED TO OUR ORGANIZATION AND STRUCTURE We depend on dividends and distributions from our direct and indirect subsidiaries. Substantially all of our assets are held through subsidiaries of our Operating Partnership.
At any time, conditions may exist which effectively prevent us, or REITs in general, from accessing these markets. Moreover, additional equity offerings may result in substantial dilution of our stockholders' interests, and additional debt financing may substantially increase our leverage. RISKS RELATED TO OUR ORGANIZATION AND STRUCTURE We depend on dividends and distributions from our direct and indirect subsidiaries.
Additionally, even if we can achieve compliance under LL97 in a given year, it is not a certainty that we will remain in compliance in subsequent years. RISKS RELATED TO OUR LIQUIDITY AND CAPITAL RESOURCES Debt financing, financial covenants, degree of leverage, and increases in interest rates could adversely affect our economic performance.
Additionally, even if we can achieve compliance under LL97 in a given year, it is not a certainty that we will remain in compliance in subsequent years. Our management of the Fund involves certain risks, which could adversely affect our business, financial condition and results of operations.
For example, to qualify as a REIT, at least 95% of our gross income must come from designated sources that are listed in the applicable tax laws. We are also required to distribute to stockholders at least 90% of our REIT taxable income excluding capital gains.
These matters, some of which are not totally within our control, can affect SL Green's qualification as a REIT. For example, to qualify as a REIT, at least 95% of our gross income must come from designated sources that are listed in the applicable tax laws.
SL Green's failure to qualify as a REIT would be costly and would have a significant effect on the value of our securities. We believe we have operated in a manner for SL Green to qualify as a REIT for federal income tax purposes and intend to continue to so operate.
These limitations could deter a change in control of our company. 21 Table of Contents SL Green's failure to qualify as a REIT would be costly and would have a significant effect on the value of our securities.
Between January 1, 2023 and December 31, 2023, the closing sale price of our common stock on the New York Stock Exchange, or the NYSE, ranged from $19.96 to $48.00 per share. Our stock price may fluctuate in response to a number of events and factors, such as those described elsewhere in this "Risk Factors" section.
GENERAL RISK FACTORS The trading price of our common stock has been and may continue to be subject to wide fluctuations. Between January 1, 2024 and December 31, 2024, the closing sale price of our common stock on the New York Stock Exchange, or the NYSE, ranged from $42.45 to $81.13 per share.
Many of the REIT compliance requirements, however, are highly technical and complex. The determination that SL Green is a REIT requires an analysis of factual matters and circumstances. These matters, some of which are not totally within our control, can affect SL Green's qualification as a REIT.
We believe we have operated in a manner for SL Green to qualify as a REIT for federal income tax purposes and intend to continue to so operate. Many of the REIT compliance requirements, however, are highly technical and complex. The determination that SL Green is a REIT requires an analysis of factual matters and circumstances.
Equity issuances or buybacks by us or the perception that such issuances or buybacks may occur may also affect the market price of our common stock. Future issuances of common stock, preferred stock or convertible debt could dilute existing stockholders' interests.
Our stock price may fluctuate in response to a number of events and factors, such as those described elsewhere in this "Risk Factors" section. Equity issuances or buybacks by us or the perception that such issuances or buybacks may occur may also affect the market price of our common stock.
We held first mortgages, mezzanine loans, junior participations and preferred equity interests with an aggregate net book value of $346.7 million as of December 31, 2023. Some of these instruments may have some recourse to their sponsors, while others are limited to the collateral securing the loan.
Debt and preferred equity investments could cause us to incur expenses, which could adversely affect our results of operations. We held consolidated first mortgages, mezzanine loans, junior participations and preferred equity interests with an aggregate net book value of $303.7 million as of December 31, 2024.
Removed
Foreclosure on mortgaged properties or an inability to make payments under our 2021 credit facility or our senior unsecured notes could trigger defaults under the terms of our other financings, making such financings at risk of being declared immediately payable, and would have a negative impact on our financial condition and results of operations.
Added
If we are unable to successfully acquire or make investments in additional properties, our ability to grow our business could be adversely affected. We face risks associated with property acquisitions and other investments.
Removed
Advances under our 2021 credit facility and certain property-level mortgage debt bear interest at a variable rate. After giving effect to derivatives, our consolidated variable rate borrowings totaled $0.3 billion as of December 31, 2023.
Added
Similarly, the due diligence process that we undertake in connection with investments may not reveal all facts that may be relevant in connection with making such an investment, including unknown liabilities, that may impact the value of our investment.
Removed
Changes in the levels of SOFR will affect the amount of interest we pay on our existing credit facilities. Additionally, there can be no assurance that SOFR will gain long-term market acceptance.
Added
Such investments may also be in relatively high-risk, illiquid assets, including structured products, and may fail to realize any profits for a considerable period of time or lose some or all of the principal investments. 15 Table of Contents Limitations on our ability to sell or reduce the indebtedness on specific properties could adversely affect the value of our common stock.
Removed
Market participants may not consider SOFR to be a suitable substitute or successor for all of the purposes for which U.S. dollar LIBOR historically has been used (including, without limitation, as a representation of the unsecured short-term funding costs of banks), which may, in turn, lessen market acceptance of SOFR and cause SOFR to be modified or discontinued.
Added
In addition to the risks generally described in this report, our management of the Fund, as well as our investment in the Fund, may be subject to market and performance risks and risks related to the regulatory environment, which include, but are not limited to: • Market Risk: Difficult market conditions can adversely affect the Fund in many ways, including by negatively impacting Fund performance and reducing the Fund’s ability to raise or deploy capital, reducing our assets under management, which we refer to as our assets under management ("AUM"), and lowering management fee income and incentive income, increasing the cost of financial instruments and executing transactions. • Historical Returns: Any historical returns attributable to the Fund should not be considered as indicative of the future results of the Fund or any future funds we may raise. • Regulatory Risk: Our investment management subsidiary is regulated by the Securities and Exchange Commission under the Investment Advisers Act of 1940, which we sometimes refer to as the Advisers Act.
Removed
At any time, conditions may exist which effectively prevent us, or REITs in general, from accessing these markets.
Added
Regulatory investigations, sanctions or penalties may harm our reputation and adversely impact our ability to attract investors to our funds and the amount of our AUM. Any expansion of our Fund business may affect our business, financial condition and results of operations.
Removed
If our efforts to comply with new or changed laws, regulations and standards differ from the activities intended by regulatory or governing bodies due to ambiguities related to practice, our reputation may be harmed.
Added
RISKS RELATED TO OUR LIQUIDITY AND CAPITAL RESOURCES Debt financing, financial covenants, degree of leverage and increases in interest rates could adversely affect our economic performance. Scheduled debt payments could adversely affect our results of operations.
Added
Our organizational documents do not contain any limitation on the amount of indebtedness we may incur.
Added
Some of these instruments may have some recourse to their sponsors, while others are limited to the collateral securing the loan. In the event of a default under these obligations, we may take possession of the collateral securing these interests.
Added
A person is not an interested stockholder under the statute if the board of directors approves in advance the transaction by which he otherwise would have become an interested stockholder.
Added
Also, unless the IRS grants us relief under specific statutory provisions, SL Green would remain disqualified as a REIT for four years following the year in which SL Green first failed to qualify.

Item 1C. Cybersecurity

Cybersecurity — threats and controls disclosure

2 edited+0 added−0 removed9 unchanged
Biggest changeRefer to the risk factor captioned “Our business and operations would suffer in the event of system failures or cyber security attacks” in Part I, Item 1A. “Risk Factors” for additional description of cybersecurity risks and potential related impacts on the Company. Governance 24 Table of Contents The Board oversees the Company’s risk management process directly and through its committees.
Biggest changeRefer to the risk factor captioned “Our business and operations would suffer in the event of system failures or cyber security attacks” in Part I, Item 1A. “Risk Factors” for additional description of cybersecurity risks and potential related impacts on the Company. 24 Table of Contents Governance The Board oversees the Company's risk management process directly and through its committees.
ITEM 1C. CYBERSECURITY Risk Management and Strategy The Company's business and proprietary information, information technology and operational technology assets are important to its success. The Company’s cybersecurity program is designed to protect its information assets and operations from external and internal cyber threats by seeking to mitigate and manage risks while helping to ensure business resiliency.
ITEM 1C. CYBERSECURITY Risk Management and Strategy The Company's business and proprietary information, information technology and operational technology assets are important to its success. The Company's cybersecurity program is designed to protect its information assets and operations from external and internal cyber threats by seeking to mitigate and manage risks while helping to ensure business resilience.

Item 2. Properties

Properties — owned and leased real estate

15 edited+2 added−4 removed5 unchanged
Biggest changeThe following tables set forth certain information with respect to each of the Manhattan and Suburban office, prime retail, residential, development and redevelopment properties in the portfolio as of December 31, 2023 (dollars in thousands): Properties Ownership Interest (%) SubMarket Square Feet (1) % Occupied (2) % Leased (3) Annualized Contractual Cash Rent ($'s) Annualized Contractual Cash Rent SLG Share ($'s) Total Tenants MANHATTAN CONSOLIDATED OFFICE PROPERTIES "Same Store" 100 Church Street 100.0 Downtown 1,047,500 90.3 92.9 $ 47,097 $ 47,097 18 110 Greene Street 100.0 Soho 223,600 89.7 90.3 17,966 17,966 55 125 Park Avenue 100.0 Grand Central 604,245 99.3 99.3 48,039 48,039 24 304 Park Avenue South 100.0 Midtown South 215,000 100.0 100.0 18,547 18,547 7 420 Lexington Ave (Graybar) 100.0 Grand Central North 1,188,000 86.6 87.3 81,510 81,510 167 461 Fifth Avenue 100.0 Midtown 200,000 76.0 76.0 13,949 13,949 13 485 Lexington Avenue 100.0 Grand Central North 921,000 73.9 76.3 46,469 46,469 27 555 West 57th Street 100.0 Midtown West 941,000 97.8 97.8 55,679 55,679 10 711 Third Avenue 100.0 (3) Grand Central North 524,000 95.3 95.3 34,953 34,953 21 810 Seventh Avenue 100.0 Times Square 692,000 81.3 82.0 40,523 40,523 40 1185 Avenue of the Americas 100.0 Rockefeller Center 1,062,000 70.7 74.4 67,582 67,582 12 1350 Avenue of the Americas 100.0 Rockefeller Center 562,000 72.0 75.2 32,790 32,790 43 Subtotal / Weighted Average 8,180,345 85.1% 86.6% $ 505,104 $ 505,104 437 "Non Same Store" 885 Third Avenue 100.0 Midtown/Plaza District 218,796 81.3 81.3 $ 11,612 $ 11,612 12 Subtotal / Weighted Average 218,796 81.3% 81.3% $ 11,612 $ 11,612 12 Total / Weighted Average Manhattan Consolidated Office Properties 8,399,141 85.0% 86.4% $ 516,716 $ 516,716 449 MANHATTAN UNCONSOLIDATED OFFICE PROPERTIES "Same Store" 10 East 53rd Street 55.0 Plaza District 354,300 98.1 98.1 $ 33,529 $ 18,441 40 11 Madison Avenue 60.0 Park Avenue South 2,314,000 96.2 96.2 168,090 100,854 9 100 Park Avenue 50.0 Grand Central South 834,000 77.4 77.4 55,913 27,956 36 280 Park Avenue 50.0 Park Avenue 1,219,158 94.1 94.1 134,037 67,019 37 800 Third Avenue 60.5 Grand Central North 526,000 78.8 83.4 31,670 19,161 38 919 Third Avenue 51.0 Grand Central North 1,454,000 80.0 80.0 83,623 42,648 9 1515 Broadway 56.9 Times Square 1,750,000 99.7 99.7 136,705 77,785 7 Worldwide Plaza (4) 25.0 Westside 2,048,725 91.8 91.8 146,260 36,491 22 Added to Same Store in 2023 One Vanderbilt Avenue 71.0 Grand Central 1,657,198 97.8 99.4 272,560 193,545 39 220 East 42nd Street 51.0 Grand Central 1,135,000 88.4 88.4 67,721 34,538 31 Subtotal / Weighted Average 13,292,381 91.7% 92.1% $ 1,130,108 $ 618,438 268 "Non Same Store" 245 Park Avenue 50.1 Park Avenue 1,782,793 74.6 83.2 $ 132,115 $ 66,189 13 450 Park Avenue 25.1 Park Avenue 337,000 82.3 92.5 34,979 8,780 21 Subtotal / Weighted Average 2,119,793 75.8% 84.7% $ 167,094 $ 74,969 34 Total / Weighted Average Manhattan Unconsolidated Office Properties 15,412,174 89.5% 91.1% $ 1,297,202 $ 693,407 302 Manhattan Office Grand Total / Weighted Average 23,811,315 87.9% 89.4% $ 1,813,918 $ 1,210,123 751 Manhattan Office Same Store Occupancy %—Combined 21,472,726 89.2% 90.0% 26 Table of Contents Properties Ownership Interest (%) SubMarket Square Feet (1) % Occupied (2) % Leased (3) Annualized Contractual Cash Rent ($'s) Annualized Contractual Cash Rent SLG Share ($'s) Total Tenants SUBURBAN CONSOLIDATED OFFICE PROPERTIES "Same Store" Suburban Landmark Square 100.0 Stamford, Connecticut 862,800 77.1 77.1 $ 19,378 $ 19,378 100 Subtotal/Weighted Average 862,800 77.1% 77.1% $ 19,378 $ 19,378 100 Total / Weighted Average Suburban Consolidated Office Properties 862,800 77.1% 77.1% $ 19,378 $ 19,378 100 Suburban Office Grand Total / Weighted Average 862,800 77.1% 77.1% $ 19,378 $ 19,378 100 Properties Ownership Interest (%) SubMarket Square Feet (1) % Occupied (2) % Leased (3) Annualized Contractual Cash Rent ($'s) Annualized Contractual Cash Rent SLG Share ($'s) Total Tenants RETAIL PROPERTIES "Same Store" Retail 85 Fifth Avenue 36.3 Midtown South 12,946 100.0 100.0 $ 2,250 $ 816 1 Subtotal/Weighted Average 12,946 100.0% 100.0% $ 2,250 $ 816 1 "Non Same Store" Retail 760 Madison Avenue 100.0 Plaza District 22,648 100.0 100.0 $ 18,362 $ 18,362 1 Subtotal/Weighted Average 22,648 100.0% 100.0% $ 18,362 $ 18,362 1 Total / Weighted Average Retail Properties 35,594 100.0% 100.0% $ 20,612 $ 19,178 2 Properties Ownership Interest (%) SubMarket Square Feet (1) Total Units % Occupied (2) % Leased (3) Annualized Contractual Cash Rent ($'s) Annualized Contractual Cash Rent SLG Share ($'s) Average Monthly Rent Per Unit ($'s) (5) RESIDENTIAL "Non Same Store" Residential 7 Dey Street 100.0 Lower Manhattan 140,382 209 95.2 96.7 $ 11,385 $ 11,384 $ 4,767 15 Beekman Street 20.0 Downtown 221,884 484 (6) 100.0 100.0 13,473 2,695 — Subtotal/Weighted Average 362,266 693 98.6% 99.0% $ 24,858 $ 14,079 $ 4,767 Total / Weighted Average Residential Properties 362,266 693 98.6% 99.0% $ 24,858 $ 14,079 $ 4,767 Properties Ownership Interest (%) SubMarket Square Feet (1) % Occupied (2) % Leased (3) Annualized Contractual Cash Rent ($'s) Annualized Contractual Cash Rent SLG Share ($'s) Total Tenants DEVELOPMENT/REDEVELOPMENT 19 East 65th Street 100.0 Plaza District 14,639 5.5 5.5 $ 32 $ 32 1 185 Broadway 100.0 Lower Manhattan 50,206 34.5 34.5 3,323 3,323 4 625 Madison Avenue 90.4 Plaza District 563,000 — — — — — 750 Third Avenue 100.0 Grand Central North 780,000 17.7 17.7% 10,876 10,876 21 One Madison Avenue 25.5 N/A 1,396,426 N/A N/A N/A N/A N/A 760 Madison - Residential Condominiums 100.0 N/A 35,926 N/A N/A N/A N/A N/A Subtotal/Weighted Average 2,840,197 11.1% 11.1% $ 14,231 $ 14,231 26 Total / Weighted Average Development/Redevelopment Properties 2,840,197 11.1% 11.1% $ 14,231 $ 14,231 26 27 Table of Contents Properties Ownership Interest (%) SubMarket Square Feet (1) % Occupied (2) % Leased (3) Annualized Contractual Cash Rent ($'s) Annualized Contractual Cash Rent SLG Share ($'s) Total Tenants ALTERNATIVE STRATEGY PORTFOLIO 2 Herald Square (7) 51.0 Herald Square 369,000 34.5 34.5 $ 19,815 $ 10,106 4 5 Times Square 31.6 Times Square 1,127,931 23.3 23.3 27,069 8,540 3 11 West 34th Street 30.0 Herald Square/Penn Station 17,150 100.0 100.0 3,480 1,044 1 115 Spring Street 51.0 Soho 5,218 100.0 100.0 3,984 2,032 1 650 Fifth Avenue 50.0 Plaza District 69,214 100.0 100.0 40,064 20,032 1 690 Madison Avenue 100.0 Plaza District 7,848 100.0 100.0 1,505 1,505 1 717 Fifth Avenue (8) 10.9 Midtown/Plaza District 119,550 90.4 90.4 29,362 3,206 5 719 Seventh Avenue 75.0 Times Square 10,040 — — — — — 1552-1560 Broadway 50.0 Times Square 57,718 88.3 88.3 30,764 15,382 3 Worldwide Plaza (9) 25.0 Westside 2,048,725 91.8 91.8 146,256 36,490 22 Subtotal/Weighted Average 3,832,394 66.0% 66.0% $ 302,299 $ 98,337 41 Total / Weighted Average Alternative Strategy Portfolio Properties 3,832,394 66.0% 66.0% $ 302,299 $ 98,337 41 (1) Represents the rentable square footage at the time the property was acquired.
Biggest changeIn addition, we manage one office building and one retail building owned by a third party encompassing approximately 0.4 million square feet and held debt and preferred equity investments with a book value of $303.7 million, excluding $9.7 million of investments recorded in balance sheet line items other than the Debt and preferred equity investments line item. 25 Table of Contents The following tables set forth certain information with respect to each of the Manhattan and Suburban office, prime retail, residential, development and redevelopment properties in the portfolio as of December 31, 2024 (dollars in thousands): Properties Ownership Interest (%) SubMarket Square Feet (1) % Occupied (2) % Leased (3) Annualized Contractual Cash Rent ($'s) Annualized Contractual Cash Rent SLG Share ($'s) Total Tenants MANHATTAN CONSOLIDATED OFFICE PROPERTIES "Same Store" 10 East 53rd Street 100.0 Plaza District 354,300 97.6 98.1 $ 33,872 $ 33,872 39 100 Church Street 100.0 Downtown 1,047,500 86.9 86.9 46,125 46,125 19 100 Park Avenue 50.0 Grand Central South 834,000 60.8 95.8 40,294 20,147 33 110 Greene Street 100.0 Soho 223,600 89.3 92.2 18,145 18,145 55 125 Park Avenue 100.0 Grand Central 604,245 95.7 99.5 46,465 46,465 23 304 Park Avenue South 100.0 Midtown South 215,000 100.0 100.0 18,741 18,741 7 420 Lexington Ave (Graybar) 100.0 Grand Central North 1,188,000 86.9 90.1 82,350 82,350 170 461 Fifth Avenue 100.0 Midtown 200,000 98.2 98.2 17,673 17,673 18 485 Lexington Avenue 100.0 Grand Central North 921,000 78.9 83.2 48,211 48,211 33 555 West 57th Street 100.0 Midtown West 941,000 88.1 88.1 51,890 51,890 12 711 Third Avenue 100.0 (4) Grand Central North 524,000 93.7 93.7 33,735 33,735 20 810 Seventh Avenue 100.0 Times Square 692,000 80.6 85.4 41,795 41,795 44 1185 Avenue of the Americas 100.0 Rockefeller Center 1,062,000 75.0 85.9 68,903 68,903 15 1350 Avenue of the Americas 100.0 Rockefeller Center 562,000 78.5 80.7 35,732 35,732 45 Added to Same Store in 2024 885 Third Avenue 100.0 Midtown/Plaza District 218,796 74.5 74.5 $ 10,081 $ 10,081 11 Subtotal / Weighted Average 9,587,441 83.3% 89.2% $ 594,012 $ 573,865 544 Total / Weighted Average Manhattan Consolidated Office Properties 9,587,441 83.3% 89.2% $ 594,012 $ 573,865 544 MANHATTAN UNCONSOLIDATED OFFICE PROPERTIES "Same Store" One Vanderbilt Avenue 60.0 Grand Central 1,657,198 99.4 100.0 $ 287,129 $ 172,277 40 11 Madison Avenue 60.0 Park Avenue South 2,314,000 96.1 96.1 172,839 103,704 7 220 East 42nd Street 51.0 Grand Central 1,135,000 89.0 93.7 69,332 35,359 31 280 Park Avenue 50.0 Park Avenue 1,219,158 89.0 91.1 121,544 60,772 33 800 Third Avenue 60.5 Grand Central North 526,000 84.6 84.6 32,995 19,962 43 919 Third Avenue 51.0 Grand Central North 1,454,000 80.9 95.6 82,200 41,922 10 1515 Broadway 56.9 Times Square 1,750,000 99.7 99.7 139,119 79,159 7 Added to Same Store in 2024 450 Park Avenue 25.1 Park Avenue 337,000 89.3 89.3 37,886 9,509 23 Subtotal / Weighted Average 10,392,356 92.7% 95.6% $ 943,044 $ 522,664 194 "Non Same Store" 245 Park Avenue 50.1 Park Avenue 1,782,793 85.4 91.7 $ 157,384 $ 78,849 14 Subtotal / Weighted Average 1,782,793 85.4% 91.7% $ 157,384 $ 78,849 14 Total / Weighted Average Manhattan Unconsolidated Office Properties 12,175,149 91.6% 95.0% $ 1,100,428 $ 601,513 208 Manhattan Office Grand Total / Weighted Average 21,762,590 88.0% 92.5% $ 1,694,440 $ 1,175,378 752 Manhattan Office Same Store Occupancy %—Combined 19,979,797 88.2% 92.5% Properties Ownership Interest (%) SubMarket Square Feet (1) % Occupied (2) % Leased (3) Annualized Contractual Cash Rent ($'s) Annualized Contractual Cash Rent SLG Share ($'s) Total Tenants SUBURBAN CONSOLIDATED OFFICE PROPERTIES "Same Store" Suburban Landmark Square 100.0 Stamford, Connecticut 862,800 72.6 73.5 $ 18,080 $ 18,080 92 Subtotal/Weighted Average 862,800 72.6% 73.5% $ 18,080 $ 18,080 92 Total / Weighted Average Suburban Consolidated Office Properties 862,800 72.6% 73.5% $ 18,080 $ 18,080 92 Suburban Office Grand Total / Weighted Average 862,800 72.6% 73.5% $ 18,080 $ 18,080 92 26 Table of Contents Properties Ownership Interest (%) SubMarket Square Feet (1) % Occupied (2) % Leased (3) Annualized Contractual Cash Rent ($'s) Annualized Contractual Cash Rent SLG Share ($'s) Total Tenants RETAIL PROPERTIES "Same Store" Retail 85 Fifth Avenue 36.3 Midtown South 12,946 100.0 100.0 $ 2,800 $ 1,016 1 Subtotal/Weighted Average 12,946 100.0% 100.0% $ 2,800 $ 1,016 1 "Non Same Store" Retail 690 Madison Avenue 90.0 Plaza District 7,848 100.0 100.0 $ 1,505 $ 1,355 1 760 Madison Avenue 100.0 Plaza District 22,648 100.0 100.0 $ 18,046 $ 18,046 1 Subtotal/Weighted Average $ 30,496 100.0% 100.0% $ 19,551 $ 19,401 2 Total / Weighted Average Retail Properties 43,442 100.0% 100.0% $ 22,351 $ 20,417 3 Properties Ownership Interest (%) SubMarket Square Feet (1) Total Units % Occupied (2) % Leased (3) Annualized Contractual Cash Rent ($'s) Annualized Contractual Cash Rent SLG Share ($'s) Average Monthly Rent Per Unit ($'s) (5) RESIDENTIAL "Non Same Store" Residential 7 Dey Street 100.0 Lower Manhattan 140,382 209 94.3 97.1 $ 11,707 $ 11,707 $ 4,952 15 Beekman Street 20.0 Downtown 221,884 484 (6) 100.0 100.0 13,810 2,762 — Subtotal/Weighted Average 362,266 693 98.3% 99.1% $ 25,517 $ 14,469 $ 4,952 Total / Weighted Average Residential Properties 362,266 693 98.3% 99.1% $ 25,517 $ 14,469 $ 4,952 Properties Ownership Interest (%) SubMarket Square Feet (1) % Occupied (2) % Leased (3) Annualized Contractual Cash Rent ($'s) Annualized Contractual Cash Rent SLG Share ($'s) Total Tenants DEVELOPMENT/REDEVELOPMENT One Madison Avenue 25.5 Park Avenue South 1,385,484 62.9 66.6 $ 105,999 $ 27,030 10 19 East 65th Street 100.0 Plaza District 14,639 5.5 5.5 32 32 1 185 Broadway 100.0 Lower Manhattan 50,206 34.5 34.5 3,454 3,454 4 750 Third Avenue 100.0 Grand Central North 780,000 9.5 9.5 6,299 6,300 9 Subtotal/Weighted Average 2,230,329 43.2% 45.5% $ 115,784 $ 36,816 24 Total / Weighted Average Development/Redevelopment Properties 2,230,329 43.2% 45.5% $ 115,784 $ 36,816 24 Properties Ownership Interest (%) SubMarket Square Feet (1) % Occupied (2) % Leased (3) Annualized Contractual Cash Rent ($'s) Annualized Contractual Cash Rent SLG Share ($'s) Total Tenants ALTERNATIVE STRATEGY PORTFOLIO 2 Herald Square 95.0 Herald Square 369,000 60.3 60.3 $ 20,291 $ 19,276 5 11 West 34th Street 30.0 Herald Square/Penn Station 17,150 100.0 100.0 3,561 1,068 1 115 Spring Street 51.0 Soho 5,218 100.0 100.0 4,098 2,090 1 650 Fifth Avenue 50.0 Plaza District 69,214 100.0 100.0 41,308 20,655 1 1552-1560 Broadway 50.0 Times Square 57,718 12.6 12.6 2,000 1,000 1 Worldwide Plaza 25.0 Westside 2,048,725 63.3 63.3 77,129 19,244 22 Subtotal/Weighted Average 2,567,025 63.0% 63.0% $ 148,387 $ 63,333 31 Total / Weighted Average Alternative Strategy Portfolio Properties 2,567,025 63.0% 63.0% $ 148,387 $ 63,333 31 (1) Represents the rentable square footage at the time the property was acquired.
Many of these buildings include some amount of retail space on the lower floors, as well as basement/storage space. As of December 31, 2023, our portfolio also included ownership interests in one consolidated property, encompassing seven commercial office buildings totaling approximately 0.9 million rentable square feet, in Stamford Connecticut, which we refer to as our Suburban property.
Many of these buildings include some amount of retail space on the lower floors, as well as basement/storage space. As of December 31, 2024, our portfolio also included ownership interests in one consolidated property, encompassing seven commercial office buildings totaling approximately 0.9 million rentable square feet, in Stamford Connecticut, which we refer to as our Suburban property.
(2) Represents the monthly contractual rent under existing leases as of December 31, 2023 multiplied by 12. This amount reflects total rent before any rent abatements, deferrals, concessions and includes expense reimbursements, which may be estimated as of such date.
(2) Represents the monthly contractual rent under existing leases as of December 31, 2024 multiplied by 12. This amount reflects total rent before any rent abatements, deferrals, concessions and includes expense reimbursements, which may be estimated as of such date.
(2) Represents the monthly contractual rent under existing leases as of December 31, 2023 multiplied by 12. This amount reflects total rent before any rent abatements, deferrals, concessions and includes expense reimbursements, which may be estimated as of such date.
(2) Represents the monthly contractual rent under existing leases as of December 31, 2024 multiplied by 12. This amount reflects total rent before any rent abatements, deferrals, concessions and includes expense reimbursements, which may be estimated as of such date.
Tenant Diversification As of December 31, 2023, our properties were leased to 920 tenants, which are engaged in a variety of businesses, including, but not limited to, financial services, professional services, technology, advertising, media, information, apparel, business services and government/non-profit.
Tenant Diversification As of December 31, 2024, our properties were leased to 902 tenants, which are engaged in a variety of businesses, including, but not limited to, financial services, professional services, technology, advertising, media, information, apparel, business services and government/non-profit.
For the five years ending December 31, 2028, the average annual lease expirations at our Manhattan consolidated and unconsolidated operating properties is expected to be approximately 0.7 million square feet and approximately 0.6 million square feet, respectively, representing an average annual expiration rate of approximately 9.2% and approximately 4.0%, respectively, per year (assuming no tenants exercise renewal or cancellation options and there are no tenant bankruptcies or other tenant defaults).
For the five years ending December 31, 2029, the average annual lease expirations at our Manhattan consolidated and unconsolidated operating properties is expected to be approximately 0.8 million square feet and approximately 0.3 million square feet, respectively, representing an average annual expiration rate of approximately 8.9% and approximately 2.3%, respectively, per year (assuming no tenants exercise renewal or cancellation options and there are no tenant bankruptcies or other tenant defaults).
ITEM 2. PROPERTIES Our Portfolio General As of December 31, 2023, we owned or held interests in 13 consolidated commercial office buildings encompassing approximately 8.4 million rentable square feet and 12 unconsolidated commercial office buildings encompassing approximately 15.4 million rentable square feet located primarily in midtown Manhattan.
ITEM 2. PROPERTIES Our Portfolio General As of December 31, 2024, we owned or held interests in 15 consolidated commercial office buildings encompassing approximately 9.6 million rentable square feet and 9 unconsolidated commercial office buildings encompassing approximately 12.2 million rentable square feet located primarily in midtown Manhattan.
Historical Occupancy Historically, we have achieved materially higher occupancy rates in our Manhattan office portfolio as compared to the overall midtown Manhattan office market, as shown in the following table: Occupancy Rate of Manhattan Operating Portfolio (1) Occupancy Rate of Class A Office Properties in the Midtown Manhattan Markets (2)(3) Occupancy Rate of Class B Office Properties in the Midtown Manhattan Markets (2)(3) December 31, 2023 89.4% 78.4% 75.5% December 31, 2022 90.7% 78.4% 76.6% December 31, 2021 92.1% 80.6% 77.1% December 31, 2020 92.4% 85.0% 81.1% December 31, 2019 94.5% 88.8% 87.4% (1) Includes our consolidated and unconsolidated Manhattan office properties.
(6) Property occupied by Pace University and used as an academic center and dormitory space. 484 represents number of beds. 27 Table of Contents Historical Occupancy Historically, we have achieved materially higher occupancy rates in our Manhattan office portfolio as compared to the overall midtown Manhattan office market, as shown in the following table: Occupancy Rate of Manhattan Operating Portfolio (1) Occupancy Rate of Class A Office Properties in the Midtown Manhattan Markets (2)(3) Occupancy Rate of Class B Office Properties in the Midtown Manhattan Markets (2)(3) December 31, 2024 92.5% 78.0% 73.6% December 31, 2023 89.4% 78.4% 75.5% December 31, 2022 90.7% 78.4% 76.6% December 31, 2021 92.1% 80.6% 77.1% December 31, 2020 92.4% 85.0% 81.1% (1) Includes our consolidated and unconsolidated Manhattan office properties.
Some of these buildings also include a small amount of retail space on the lower floors, as well as basement/storage space. 25 Table of Contents As of December 31, 2023, we also owned or held interests in 10 prime retail properties encompassing approximately 0.3 million square feet, 6 buildings in differing stages of development or redevelopment encompassing approximately 4.3 million square feet, and 2 residential building encompassing 209 residential units and 484 dormitory beds, respectively, encompassing approximately 0.4 million square feet.
As of December 31, 2024, we also owned or held interests in three prime retail properties encompassing approximately 43.4 thousand square feet, three buildings in differing stages of development or redevelopment encompassing approximately 2.3 million square feet, and two residential building encompassing 209 residential units and 484 dormitory beds, respectively, encompassing approximately 0.4 million square feet.
The following table sets forth information regarding the leases with respect to the 20 largest tenants in our properties, which are not intended to be representative of our tenants as a whole, based on the amount of our share of annualized cash rent as of December 31, 2023: 29 Table of Contents Tenant Name Property Lease Expiration (1) Total Rentable Square Feet Annualized Cash Rent SLG Share of Annualized Cash Rent ($) % of SLG Share of Annualized Cash Rent (2) Annualized Cash Rent per Square Foot Paramount Global (formerly ViacomCBS Inc.) 1515 Broadway June 2031 1,603,126 $ 105,728 $ 60,159 4.5 % $ 65.95 555 West 57th Street April 2029 180,779 10,048 10,047 0.8 % 55.58 555 West 57th Street December 2023 137,072 7,251 7,251 0.5 % 52.90 1515 Broadway March 2028 9,106 2,113 1,203 0.1 % 232.09 Worldwide Plaza January 2027 32,598 2,526 630 — % 77.49 1,962,681 $ 127,666 $ 79,290 5.9 % $ 65.05 Credit Suisse Securities (USA), Inc. 11 Madison Avenue May 2037 1,184,762 $ 75,934 $ 45,561 3.4 % $ 64.09 Sony Corporation 11 Madison Avenue January 2031 578,791 $ 50,959 $ 30,575 2.3 % $ 88.04 TD Bank US Holding Company One Vanderbilt Avenue July 2041 193,159 $ 25,412 $ 18,045 1.3 % $ 131.56 One Vanderbilt Avenue August 2041 6,843 3,234 2,296 0.2 % 472.58 125 Park Avenue October 2025 6,234 2,029 2,029 0.2 % 325.47 125 Park Avenue October 2030 26,536 1,835 1,835 0.1 % 69.16 125 Park Avenue March 2034 25,171 1,611 1,611 0.1 % 64.00 257,943 $ 34,121 $ 25,816 1.9 % $ 132.28 Bloomberg L.P. 919 Third Avenue February 2029 749,216 $ 50,549 $ 25,780 1.9 % $ 67.47 Societe Generale 245 Park Avenue October 2032 520,831 $ 50,566 $ 25,334 1.9 % $ 97.09 Carlyle Investment Management LLC One Vanderbilt Avenue September 2036 194,702 $ 32,994 $ 23,429 1.7 % $ 169.46 The City of New York 100 Church Street March 2034 510,007 $ 21,145 $ 21,145 1.6 % $ 41.46 King & Spalding 1185 Avenue of the Americas October 2025 218,275 $ 21,134 $ 21,134 1.6 % $ 96.82 Metro-North Commuter Railroad Company (3) 420 Lexington Avenue November 2034 344,873 $ 19,905 $ 19,905 1.5 % $ 57.72 420 Lexington Avenue January 2027 7,537 444 444 — % 58.89 352,410 $ 20,349 $ 20,349 1.5 % $ 57.74 Nike Retail Services, Inc. 650 Fifth Avenue January 2033 69,214 $ 40,064 $ 20,032 1.5 % $ 578.84 WME IMG, LLC 304 Park Avenue April 2028 174,069 $ 13,641 $ 13,641 1.0 % $ 78.36 11 Madison Avenue September 2030 104,618 10,504 6,303 0.5 % 100.41 278,687 $ 24,145 $ 19,944 1.5 % $ 86.64 Giorgio Armani Corporation 760 Madison Avenue October 2038 22,648 $ 18,362 $ 18,362 1.4 % $ 810.76 717 Fifth Avenue (4) December 2023 46,940 2,300 251 — % 49.00 69,588 $ 20,662 $ 18,613 1.4 % $ 296.92 McDermott Will & Emery LLP One Vanderbilt Avenue December 2042 146,642 $ 24,857 $ 17,651 1.4 % $ 169.51 420 Lexington Avenue October 2026 10,043 619 619 — % 61.60 156,685 $ 25,476 $ 18,270 1.4 % $ 162.59 Toronto Dominion Bank One Vanderbilt Avenue April 2042 142,892 $ 20,466 $ 14,533 1.1 % $ 143.23 125 Park Avenue April 2042 52,450 3,583 3,583 0.2 % 68.32 195,342 $ 24,049 $ 18,116 1.3 % $ 123.12 Cravath, Swaine & Moore LLP Worldwide Plaza August 2024 617,135 $ 70,134 $ 17,498 1.3 % $ 113.64 Stone Ridge Holdings Group LP (3) One Vanderbilt Avenue December 2037 97,652 $ 22,014 $ 15,632 1.2 % 225.43 Hess Corp 1185 Avenue of the Americas December 2027 167,169 $ 15,540 $ 15,540 1.2 % $ 92.96 BMW of Manhattan, Inc. 555 West 57th Street July 2032 226,556 $ 12,857 $ 12,857 1.0 % $ 56.75 Greenberg Traurig LLP One Vanderbilt Avenue October 2037 99,888 $ 12,661 $ 8,990 0.7 % $ 126.75 420 Lexington Avenue November 2037 49,049 $ 3,355 $ 3,356 0.2 % $ 68.41 148,937 $ 16,016 $ 12,346 0.9 % $ 107.54 Total 8,556,583 $ 756,374 $ 487,261 36.4 % $ 88.40 (1) Expiration of current lease term and does not reflect extension options.
The following table sets forth information regarding the leases with respect to the 20 largest tenants in our properties (based on commenced leases), which are not intended to be representative of our tenants as a whole, based on the amount of our share of annualized cash rent as of December 31, 2024: 29 Table of Contents Tenant Name Property Lease Expiration (1) Total Rentable Square Feet Annualized Cash Rent SLG Share of Annualized Cash Rent ($) % of SLG Share of Annualized Cash Rent (2) Annualized Cash Rent per Square Foot Paramount Global 1515 Broadway June 2031 1,603,121 $ 107,314 $ 61,062 4.6 % $ 66.94 555 West 57th Street April 2029 186,266 10,790 10,790 0.8 % 57.93 1515 Broadway March 2028 9,106 2,166 1,232 0.1 % 237.84 Worldwide Plaza January 2027 32,598 2,488 621 — % 76.34 1,831,091 $ 122,758 $ 73,705 5.5 % $ 67.04 UBS Americas, Inc. 11 Madison Avenue May 2037 1,184,762 $ 78,221 $ 46,933 3.5 % $ 66.02 Sony Corporation 11 Madison Avenue January 2031 578,791 $ 52,130 $ 31,278 2.3 % $ 90.07 Bloomberg L.P. 919 Third Avenue February 2040 749,216 $ 49,782 $ 25,389 1.9 % $ 66.45 Societe Generale 245 Park Avenue October 2032 520,831 $ 50,328 $ 25,215 1.9 % $ 96.63 TD Bank US Holding Company One Vanderbilt Avenue July 2041 193,159 $ 26,065 $ 15,639 1.2 % $ 134.94 (3) One Vanderbilt Avenue August 2041 6,843 3,234 1,940 0.1 % 472.58 125 Park Avenue October 2025 6,234 2,129 2,129 0.2 % 341.56 125 Park Avenue October 2030 26,536 1,842 1,842 0.1 % 69.40 125 Park Avenue March 2034 25,171 1,612 1,612 0.1 % 64.06 257,943 $ 34,882 $ 23,162 1.7 % $ 135.23 The City of New York 100 Church Street March 2034 510,007 $ 22,709 $ 22,709 1.7 % $ 44.53 King & Spalding 1185 Avenue of the Americas October 2025 218,275 $ 21,010 $ 21,010 1.6 % $ 96.25 Carlyle Investment Management LLC One Vanderbilt Avenue September 2036 194,702 $ 34,586 $ 20,752 1.6 % $ 177.64 (3) Nike Retail Services, Inc. 650 Fifth Avenue January 2033 69,214 $ 41,308 $ 20,654 1.5 % $ 596.82 Metro-North Commuter Railroad Company 420 Lexington Avenue November 2034 344,873 $ 20,113 $ 20,113 1.5 % $ 58.32 420 Lexington Avenue January 2027 7,537 448 448 — % 59.48 352,410 $ 20,561 $ 20,561 1.5 % $ 58.34 (3) WME IMG, LLC 304 Park Avenue April 2028 174,069 $ 13,775 $ 13,775 1.0 % $ 79.13 11 Madison Avenue September 2030 104,618 10,717 6,430 0.5 % 102.44 278,687 $ 24,492 $ 20,205 1.5 % $ 87.88 McDermott Will & Emery LLP One Vanderbilt Avenue December 2042 169,586 $ 31,475 $ 18,885 1.4 % $ 185.60 420 Lexington Avenue October 2026 10,043 621 621 — % 61.82 179,629 $ 32,096 $ 19,506 1.4 % $ 178.68 Frank Templeton Companies LLC One Madison Avenue May 2040 354,976 $ 48,439 $ 12,351 0.9 % $ 136.45 280 Park Avenue November 2031 128,993 13,565 6,783 0.5 % 105.16 483,969 $ 62,004 $ 19,134 1.4 % $ 128.12 Giorgio Armani Corporation 760 Madison Avenue October 2038 22,648 $ 18,046 $ 18,046 1.4 % $ 796.82 Ares Management LLC 245 Park Avenue May 2026 36,316 $ 3,740 $ 1,874 0.1 % $ 103.00 245 Park Avenue June 2043 251,175 $ 29,869 $ 14,964 1.1 % $ 118.92 287,491 $ 33,609 $ 16,838 1.2 % $ 116.90 Toronto Dominion Bank One Vanderbilt Avenue April 2042 142,892 $ 21,302 $ 12,781 1.0 % $ 149.08 (3) 125 Park Avenue April 2042 52,450 3,603 3,603 0.3 % 68.69 195,342 $ 24,905 $ 16,384 1.3 % $ 127.49 Hess Corp 1185 Avenue of the Americas December 2027 167,169 $ 15,439 $ 15,439 1.2 % $ 92.36 Stone Ridge Holdings Group LP (3) One Vanderbilt Avenue December 2037 97,652 $ 23,013 $ 13,808 1.0 % 235.67 (3) BMW of Manhattan, Inc. 555 West 57th Street July 2032 226,556 $ 13,116 $ 13,116 1.0 % $ 57.89 Total 8,406,385 774,997 483,844 36.1 % $ 92.19 (1) Expiration of current lease term and does not reflect extension options.
(2) SLG Share of Annualized Cash Rent includes Manhattan, Suburban, Retail, Residential and Development / Redevelopment properties. (3) Tenant pays rent on a net basis. Rent PSF reflects gross equivalent.
(2) SLG Share of Annualized Cash Rent includes Manhattan, Suburban, Retail, Residential, Development / Redevelopment and Alternative Strategy Portfolio properties. (3) Tenant pays rent on a net basis. Rent PSF reflects gross equivalent. 30 Table of Contents Environmental Matters Phase I environmental site assessments have been prepared on the properties in our portfolio, in order to assess existing environmental conditions.
(3) Represents Annualized Cash Rent of Expiring Leases, as described in footnote (2) above, presented on a per square foot basis. (4) Includes approximately 177,309 square feet and annualized cash rent of $10.0 million occupied by month-to-month holdover tenants whose leases expired prior to December 31, 2023.
(3) Represents Annualized Cash Rent of Expiring Leases, as described in footnote (2) above, presented on a per square foot basis.
(2) Occupancy for commenced leases. (3) Occupancy inclusive of leases signed but not yet commenced. (4) Alternative Strategy Portfolio property. (5) Calculated based on occupied units. Amount in dollars. (6) Property occupied by Pace University and used as an academic center and dormitory space. 484 represents number of beds.
(2) Occupancy for commenced leases. (3) Occupancy inclusive of leases signed but not yet commenced. (4) The company also owns 50% of the fee interest. (5) Calculated based on occupied units. Amount in dollars.
The following tables set forth a schedule of the annual lease expirations at our Manhattan consolidated and unconsolidated operating properties, respectively, with respect to leases in place as of December 31, 2023 for each of the next ten years and thereafter (assuming that no tenants exercise renewal or cancellation options and that there are no tenant bankruptcies or other tenant defaults): 28 Table of Contents Manhattan Consolidated Operating Properties Year of Lease Expiration Number of Expiring Leases (1) Square Footage of Expiring Leases Percentage of Total Square Feet Annualized Cash Rent of Expiring Leases (2) Percentage of Annualized Cash Rent of Expiring Leases Annualized Cash Rent per Square Foot of Expiring Leases (3) 2024 (4) 75 668,722 8.8% $ 38,699,697 7.5% $ 57.87 2025 71 680,624 9.0 55,301,323 10.7 81.25 2026 54 776,991 10.2 53,956,330 10.4 69.44 2027 55 650,165 8.6 52,559,470 10.2 80.84 2028 53 698,668 9.2 52,371,028 10.1 74.96 2029 33 591,177 7.8 38,909,520 7.5 65.82 2030 22 696,540 9.2 49,396,547 9.6 70.92 2031 18 321,405 4.2 22,841,818 4.4 71.07 2032 16 669,608 8.8 40,664,070 7.9 60.73 2033 & thereafter 60 1,835,137 24.2 112,016,314 21.7 61.04 Total/weighted average 457 7,589,037 100.0% $ 516,716,117 100.0% $ 68.09 (1) Tenants may have multiple leases.
The following tables set forth a schedule of the annual lease expirations at our Manhattan consolidated and unconsolidated operating properties, respectively, with respect to leases in place as of December 31, 2024 for each of the next ten years and thereafter (assuming that no tenants exercise renewal or cancellation options and that there are no tenant bankruptcies or other tenant defaults): Manhattan Consolidated Operating Properties Year of Lease Expiration Number of Expiring Leases (1) Square Footage of Expiring Leases Percentage of Total Square Feet Annualized Cash Rent of Expiring Leases (2) Percentage of Annualized Cash Rent of Expiring Leases Annualized Cash Rent per Square Foot of Expiring Leases (3) 2025 82 755,344 9.0% 60,710,221 10.3% $ 80.37 2026 78 847,874 10.1 58,604,929 10.0 69.12 2027 80 808,055 9.7 65,504,055 11.2 81.06 2028 64 675,774 8.1 49,898,756 8.5 73.84 2029 57 705,732 8.4 48,572,940 8.3 68.83 2030 45 848,373 10.1 59,570,712 10.1 70.22 2031 26 423,086 5.1 31,467,856 5.4 74.38 2032 20 731,991 8.7 45,177,103 7.7 61.72 2033 20 348,403 4.2 27,643,595 4.7 79.34 2034 & thereafter 76 2,225,853 26.6 139,472,014 23.8 62.66 Total/weighted average 548 8,370,485 100.0% $ 586,622,181 100.0% $ 70.08 (1) Tenants may have multiple leases.
(4) The asset was sold in January 2024. 30 Table of Contents Environmental Matters Phase I environmental site assessments have been prepared on the properties in our portfolio, in order to assess existing environmental conditions. All of the Phase I assessments met the American Society for Testing and Materials (ASTM) Standard.
All of the Phase I assessments met the American Society for Testing and Materials (ASTM) Standard.
Removed
In addition, we manage one office building and one retail building owned by a third party encompassing approximately 0.4 million square feet and held debt and preferred equity investments with a book value of $346.7 million, excluding $7.9 million of investments recorded in balance sheet line items other than the Debt and preferred equity investments line item.
Added
Some of these buildings also include a small amount of retail space on the lower floors, as well as basement/storage space.
Removed
(7) The Company closed on the acquisition of additional interests in the joint venture in January 2024, which increased the Company's interest to 95%. (8) Along with its joint venture partner, the Company closed on the sale of this property in January 2024. (9) Property included in Manhattan Operating Properties as of December 31, 2023.
Added
(3) Represents Annualized Cash Rent of Expiring Leases, as described in footnote (2) above, presented on a per square foot basis. 28 Table of Contents Manhattan Unconsolidated Operating Properties Year of Lease Expiration Number of Expiring Leases (1) Square Footage of Expiring Leases Percentage of Total Square Feet Annualized Cash Rent of Expiring Leases (2) Percentage of Annualized Cash Rent of Expiring Leases Annualized Cash Rent per Square Foot of Expiring Leases (3) 2025 17 312,979 2.8% 30,453,092 2.8% $ 97.30 2026 21 350,768 3.1 47,036,241 4.3 211.30 2027 17 222,604 2.0 31,852,679 2.9 143.09 2028 21 250,810 2.2 30,428,097 2.8 121.32 2029 18 147,621 1.3 15,378,083 1.4 104.17 2030 15 329,755 2.9 38,410,279 3.5 116.48 2031 15 2,688,738 23.8 205,643,360 18.7 76.48 2032 14 992,725 8.8 89,598,105 8.1 90.25 2033 11 250,685 2.2 28,051,255 2.5 111.90 2034 & thereafter 65 5,740,480 50.9 583,552,328 53.0 101.66 Total/weighted average 214 11,287,165 100.0% $ 1,100,403,519 100.0% $ 97.49 (1) Tenants may have multiple leases.
Removed
Manhattan Unconsolidated Operating Properties Year of Lease Expiration Number of Expiring Leases (1) Square Footage of Expiring Leases Percentage of Total Square Feet Annualized Cash Rent of Expiring Leases (2) Percentage of Annualized Cash Rent of Expiring Leases Annualized Cash Rent per Square Foot of Expiring Leases (3) 2024 (4) 34 946,092 6.8% $ 104,741,363 8.1% $ 110.71 2025 26 373,433 2.7 36,125,921 2.8 96.74 2026 42 802,152 5.8 89,411,068 6.9 111.46 2027 29 352,724 2.5 44,741,842 3.4 126.85 2028 30 305,851 2.2 35,200,396 2.7 115.09 2029 17 893,912 6.4 64,603,106 5.0 72.27 2030 21 505,445 3.6 51,835,737 4.0 102.55 2031 27 2,912,088 21.0 219,024,122 16.9 75.21 2032 15 1,075,978 7.8 95,341,186 7.3 88.61 2033 & thereafter 75 5,714,468 41.2 556,177,116 42.9 97.33 Total/weighted average 316 13,882,143 100.0% $ 1,297,201,857 100.0% $ 93.44 (1) Tenants may have multiple leases.
Removed
(3) Represents Annualized Cash Rent of Expiring Leases, as described in footnote (2) above, presented on a per square foot basis. (4) Includes approximately 114,048 square feet and annualized cash rent of $11.9 million occupied by month-to-month holdover tenants whose leases expired prior to December 31, 2023.

Item 3. Legal Proceedings

Legal Proceedings — active lawsuits and investigations

1 edited+0 added−0 removed1 unchanged
Biggest changeITEM 3. LEGAL PROCEEDINGS As of December 31, 2023, the Company and the Operating Partnership were not involved in any material litigation nor, to management's knowledge, was any material litigation threatened against us or our portfolio which if adversely determined could have a material adverse impact on us. ITEM 4.
Biggest changeITEM 3. LEGAL PROCEEDINGS As of December 31, 2024, the Company and the Operating Partnership were not involved in any material litigation nor, to management's knowledge, was any material litigation threatened against us or our portfolio which if adversely determined could have a material adverse impact on us. ITEM 4.

Item 5. Market for Registrant's Common Equity

Market for Common Equity — stock, dividends, buybacks

5 edited+2 added−1 removed6 unchanged
Biggest changeISSUER PURCHASES OF EQUITY SECURITIES In August 2016, our Board of Directors approved a share repurchase program under which we could buy up to $1.0 billion of shares of our common stock.
Biggest changeISSUER PURCHASES OF EQUITY SECURITIES Our Board of Directors has approved a $3.5 billion share repurchase program under which we can buy shares of our common stock.
As of December 31, 2023, there were 3,949,448 units of limited partnership interest of the Operating Partnership outstanding and held by persons other than the Company, which received distributions per unit of the same amount and in the same manner as dividends per share were distributed to common stockholders.
As of December 31, 2024, there were 4,509,953 units of limited partnership interest of the Operating Partnership outstanding and held by persons other than the Company, which received distributions per unit of the same amount and in the same manner as dividends per share were distributed to common stockholders.
The following table summarizes share repurchases executed under the program, excluding the redemption of OP units, during the three months ended December 31, 2023: Period Shares repurchased Average price paid per share Cumulative number of shares repurchased as part of the repurchase plan or programs October 1-31 — $— 36,107,719 November 1-30 — $— 36,107,719 December 1-31 — $— 36,107,719 SALE OF UNREGISTERED SECURITIES During the years ended December 31, 2023, 2022, and 2021 we did not issue any shares of our common stock to holders of units of limited partnership interest in the Operating Partnership upon the redemption of such units pursuant to the partnership agreement of the Operating Partnership.
The following table summarizes share repurchases executed under the program, excluding the redemption of OP units, during the three months ended December 31, 2024: Period Shares repurchased Average price paid per share Cumulative number of shares repurchased as part of the repurchase plan or programs October 1-31 — $— 36,107,719 November 1-30 — $— 36,107,719 December 1-31 — $— 36,107,719 SALE OF UNREGISTERED SECURITIES During the year ended December 31, 2024, we issued 124,801 shares of our common stock to holders of units of limited partnership interest in the Operating Partnership upon the redemption of such units pursuant to the partnership agreement of the Operating Partnership.
Our common stock trades on the New York Stock Exchange, or the NYSE, under the symbol "SLG." On February 22, 2024, the reported closing sale price per share of common stock on the NYSE was $46.76 and there were 419 holders of record of our common stock. SL GREEN OPERATING PARTNERSHIP, L.P.
Our common stock trades on the New York Stock Exchange, or the NYSE, under the symbol "SLG." On February 13, 2025, the reported closing sale price per share of common stock on the NYSE was $64.48 and there were 377 holders of record of our common stock. SL GREEN OPERATING PARTNERSHIP, L.P.
There is no established public trading market for the common units of the Operating Partnership. On February 22, 2024, there were 52 holders of record and 69,221,575 common units outstanding, 64,799,013 of which were held by SL Green.
There is no established public trading market for the common units of the Operating Partnership. On February 13, 2025, there were 48 holders of record and 75,595,939 common units outstanding, 71,004,564 of which were held by SL Green.
Removed
The Board of Directors has since authorized five separate $500.0 million increases to the size of the share repurchase program in the fourth quarter of 2017, second quarter of 2018, fourth quarter of 2018, fourth quarter of 2019, and fourth quarter of 2020 bringing the total program size to $3.5 billion.
Added
The issuance of such shares was exempt from registration under the Securities Act, pursuant to the exemption contemplated by Section 4(a)(2) thereof for transactions not involving a public offering. The units were exchanged for an equal number of shares of our common stock.
Added
During the years ended December 31, 2023 and 2022, we did not issue any shares of our common stock to holders of units of limited partnership interest in the Operating Partnership upon the redemption of such units pursuant to the partnership agreement of the Operating Partnership. ITEM 6. [RESERVED] 32 Table of Contents

Item 7. Management's Discussion & Analysis

Management's Discussion & Analysis (MD&A) — revenue / margin commentary

106 edited+41 added−71 removed80 unchanged
Biggest changeSame-Store Disposed Other Consolidated (in millions) 2023 2022 $ Change % Change 2023 2022 2023 2022 2023 2022 $ Change % Change Rental revenue $ 549.6 $ 556.7 $ (7.1) (1.3) % $ — $ 0.9 $ 133.7 $ 113.9 $ 683.3 $ 671.5 $ 11.8 1.8 % SUMMIT Operator revenue — — — — % — — 118.3 89.0 118.3 89.0 29.3 32.9 % Investment income — — — — % — — 34.7 81.1 34.7 81.1 (46.4) (57.2) % Other income 4.1 3.9 0.2 5.1 % — 10.4 73.3 63.5 77.4 77.8 (0.4) (0.5) % Total revenues 553.7 560.6 (6.9) (1.2) % — 11.3 360.0 347.5 913.7 919.4 (5.7) (0.6) % Property operating expenses 277.0 266.7 10.3 3.9 % 0.2 2.0 90.3 70.5 367.5 339.2 28.3 8.3 % SUMMIT Operator expenses — — — — % — — 101.2 89.2 101.2 89.2 12.0 13.5 % Transaction related costs — — — — % — — 1.1 0.4 1.1 0.4 0.7 175.0 % Marketing, general and administrative — — — — % — — 111.4 93.8 111.4 93.8 17.6 18.8 % 277.0 266.7 10.3 3.9 % 0.2 2.0 304.0 253.9 581.2 522.6 58.6 11.2 % Other income (expenses): Interest expense and amortization of deferred financing costs, net of interest income $ (145.0) $ (97.3) $ (47.7) 49.0 % SUMMIT Operator tax expense (9.2) (2.6) (6.6) 253.8 % Depreciation and amortization (247.8) (216.2) (31.6) 14.6 % Equity in net loss from unconsolidated joint ventures (76.5) (58.0) (18.5) 31.9 % Equity in net loss on sale of interest in unconsolidated joint venture/real estate (13.4) (0.1) (13.3) 13,300.0 % Purchase price and other fair value adjustments (17.3) (8.1) (9.2) 113.6 % Loss on sale of real estate, net (32.4) (84.5) 52.1 (61.7) % Depreciable real estate reserves and impairments (382.4) (6.3) (376.1) 5,969.8 % Loss on early extinguishment of debt (0.9) — (0.9) — % Loan loss and other investment reserves, net of recoveries (6.9) — (6.9) — % Net loss $ (599.3) $ (76.3) $ (523.0) 685.5 % 39 Table of Contents Rental Revenue Rental revenues increased due primarily to the acquisition of 245 Park Avenue ($23.3 million) during the third quarter of 2022 and prior to its deconsolidation in the second quarter of 2023, offset by a lower contribution from our Same-Store Properties due primarily to reduced occupancy ($7.0 million).
Biggest changeSame-Store Disposed Other Consolidated (in millions) 2024 2023 $ Change % Change 2024 2023 2024 2023 2024 2023 $ Change % Change Rental revenue $ 563.4 $ 549.6 $ 13.8 2.5 % $ 0.8 $ — $ 41.8 $ 133.7 $ 606.0 $ 683.3 $ (77.3) (11.3) % SUMMIT Operator revenue — — — — % — — 133.2 118.3 133.2 118.3 14.9 12.6 % Investment income — — — — % — — 24.4 34.7 24.4 34.7 (10.3) (29.7) % Interest income from real estate loans held by consolidated securitization vehicles — — — — % — — 19.0 — 19.0 — 19.0 100.0 % Other income 8.0 4.1 3.9 95.1 % — — 95.7 73.3 103.7 77.4 26.3 34.0 % Total revenues 571.4 553.7 17.7 3.2 % 0.8 — 314.1 360.0 886.3 913.7 (27.4) (3.0) % Property operating expenses 328.0 277.0 51.0 18.4 % 0.7 0.2 13.7 90.3 342.4 367.5 (25.1) (6.8) % SUMMIT Operator expenses — — — — % — — 111.7 101.2 111.7 101.2 10.5 10.4 % SUMMIT Operator tax expense 0.7 9.2 (8.5) (92.4) % Transaction related costs — — — — % — — 0.4 1.1 0.4 1.1 (0.7) (63.6) % Marketing, general and administrative — — — — % — — 85.2 111.4 85.2 111.4 (26.2) (23.5) % 328.0 277.0 51.0 18.4 % 0.7 0.2 211.0 304.0 540.4 590.4 (50.0) (8.5) % Other income (expenses): Interest expense and amortization of deferred financing costs, net of interest income $ (153.8) $ (145.0) $ (8.8) 6.1 % Interest expense on senior obligations of consolidated securitization vehicles (14.6) — (14.6) 100.0 % Depreciation and amortization (207.4) (247.8) 40.4 (16.3) % Equity in net loss from unconsolidated joint ventures (179.7) (76.5) (103.2) 134.9 % Equity in net gain (loss) on sale of interest in unconsolidated joint venture/real estate 208.1 (13.4) 221.5 (1,653.0) % Purchase price and other fair value adjustments 89.0 (17.3) 106.3 (614.5) % Gain (loss) on sale of real estate, net 3.0 (32.4) 35.4 (109.3) % Depreciable real estate reserves and impairments (104.1) (382.4) 278.3 (72.8) % Gain (loss) on early extinguishment of debt 43.8 (0.9) 44.7 (4,966.7) % Loan loss and other investment reserves, net of recoveries — (6.9) 6.9 (100.0) % Net income (loss) $ 30.2 $ (599.3) $ 629.5 (105.0) % 36 Table of Contents Rental Revenue Rental revenues decreased due primarily to the deconsolidation of 245 Park Avenue ($77.6 million) as a result of the sale of a joint venture interest during the second quarter of 2023 and increased vacancy at 555 West 57th Street ($10.7 million), 1350 Avenue of the Americas ($4.1 million) and 885 Third Avenue ($3.6 million).
These investments all have varying ownership structures. A majority of our joint venture arrangements are accounted for under the equity method of accounting as we have the ability to exercise significant influence, but not control, over the operating and financial decisions of these joint venture arrangements.
These investments all have varying ownership structures. A majority of our joint venture arrangements are accounted for under the equity method of accounting as we have the ability to exercise significant influence over, but not control, the operating and financial decisions of these joint venture arrangements.
For the year ended December 31, 2023, we recorded $38.9 million of rent expense under the lease, including percentage rent, of which $26.2 million was recognized as income as a component of Equity in net loss from unconsolidated joint ventures in our consolidated statements of operations.
For the year ended December 31, 2023, we recorded $38.9 million of rent expense under the lease, including percentage rent, of which $26.2 million was recognized as income as a component of Equity in net income (loss) from unconsolidated joint ventures in our consolidated statements of operations.
For the year ended December 31, 2022, we recorded $33.0 million of rent expense under the lease, including percentage rent, of which $22.8 million was recognized as income as a component of Equity in net loss from unconsolidated joint ventures in our consolidated statements of operations.
For the year ended December 31, 2022, we recorded $33.0 million of rent expense under the lease, including percentage rent, of which $22.8 million was recognized as income as a component of Equity in net income (loss) from unconsolidated joint ventures in our consolidated statements of operations.
All statements, other than statements of historical facts, included in this report 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, business strategies, expansion and growth of our operations and other similar matters, are forward-looking statements.
All statements, other than statements of historical facts, included in this report 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.
We believe the following critical accounting policies affect our more significant judgments and estimates used in the preparation of our consolidated financial statements. Investment in Commercial Real Estate Properties Real estate properties are presented at cost less accumulated depreciation and amortization. Costs directly related to the development or redevelopment of properties are capitalized.
We believe the following critical accounting estimates affect our more significant judgments and estimates used in the preparation of our consolidated financial statements. Investment in Commercial Real Estate Properties Real estate properties are presented at cost less accumulated depreciation and amortization. Costs directly related to the development or redevelopment of properties are capitalized.
Green Properties, Inc. and its affiliated partnerships and entities. The Company is a self-managed real estate investment trust, or REIT, engaged in the ownership, management, operation, acquisition, development, redevelopment and repositioning of commercial real estate properties, principally office properties, located in the New York metropolitan area, principally Manhattan.
Green Properties, Inc. and its affiliated partnerships and entities. The Company is a self-managed real estate investment trust, or REIT, engaged in the ownership, management, operation, acquisition, development, redevelopment, repositioning and financing of commercial real estate properties, principally office properties, located in the New York metropolitan area, principally Manhattan.
Mathias paid $1.4 million and $1.0 million, respectively, which equaled the fair market value of the interests acquired as of the date the investment agreements were entered into as determined by an independent third party appraisal that we obtained. Messrs.
Holliday and Mathias paid $1.4 million and $1.0 million, respectively, which equaled the fair market value of the interests acquired as of the date the investment agreements were entered into as determined by an independent third-party appraisal that we obtained. Messrs.
As of December 31, 2023, the 2021 credit facility consisted of a $1.25 billion revolving credit facility, a $1.05 billion term loan (or "Term Loan A"), and a $200.0 million term loan (or "Term Loan B") with maturity dates of May 15, 2026, May 15, 2027, and November 21, 2024, respectively.
As of December 31, 2024, the 2021 credit facility consisted of a $1.25 billion revolving credit facility, a $1.05 billion term loan (or "Term Loan A"), and a $200.0 million term loan (or "Term Loan B") with maturity dates of May 15, 2026, May 15, 2027, and November 21, 2024, respectively.
Our consolidated long-term debt of $3.2 billion bears interest at fixed rates, and therefore the fair value of these instruments is affected by changes in the market interest rates.
Our consolidated long-term debt of $3.3 billion bears interest at fixed rates, and therefore the fair value of these instruments is affected by changes in the market interest rates.
Aside from charges noted in Note 6, "Investment in Unconsolidated Joint Ventures," we do not believe that the values of any of our equity investments were impaired as of December 31, 2023. We may originate loans for real estate acquisition, development and construction ("ADC loans") where we expect to receive some of the residual profit from such projects.
Aside from charges noted in Note 6, "Investment in Unconsolidated Joint Ventures," we do not believe that the values of any of our equity investments were impaired as of December 31, 2024. We may originate loans for real estate acquisition, development and construction ("ADC loans") where we expect to receive some of the residual profit from such projects.
We are required to pay quarterly in arrears a 12.5 to 30 basis point facility fee on the total commitments under the revolving credit facility based on the credit rating assigned to the senior unsecured long-term indebtedness of the Company. As of December 31, 2023, the facility fee was 30 basis points.
We are required to pay quarterly in arrears a 12.5 to 30 basis point facility fee on the total commitments under the revolving credit facility based on the credit rating assigned to the senior unsecured long-term indebtedness of the Company. As of December 31, 2024, the facility fee was 30 basis points.
In 2023, we continued to sell joint venture interests in quality assets as well as dispose of properties that were considered non-core or had a more limited growth trajectory, raising efficiently priced capital that was used primarily for debt reduction.
In 2024, we continued to sell joint venture interests in quality assets as well as dispose of properties that were considered non-core or had a more limited growth trajectory, raising efficiently priced capital that was used primarily for debt reduction.
We also have the right to repurchase these interests on the 7-year anniversary of the stabilization of the project or upon the occurrence of certain separation events prior to the stabilization of the project relating to each of Messrs. Holliday’s and Mathias’s continued service with us.
We also have the right to repurchase these interests on the seven-year anniversary of the stabilization of the project or upon the occurrence of certain separation events prior to the stabilization of the project relating to each of Messrs. Holliday's and Mathias's continued service with us.
“Acquisition Properties,” which represents all properties or interests in properties acquired in 2023 and 2022 and all non-Same-Store Properties, including properties that are under development or redevelopment, iii. "Disposed Properties" which represents all properties or interests in properties sold in 2023 and 2022, iv. "Alternative Strategy Portfolio," which represents non-core assets, and v.
“Acquisition Properties,” which represents all properties or interests in properties acquired in 2024 and 2023 and all non-Same-Store Properties, including properties that are under development or redevelopment, iii. "Disposed Properties." which represents all properties or interests in properties sold in 2024 and 2023, iv. "Alternative Strategy Portfolio," which represents non-core assets, and v.
Loan loss and other investment reserves, net of recoveries During the year ended December 31, 2023, we recorded $6.9 million of loan loss reserve on one debt and preferred equity investment. During the year ended December 31, 2022, we did not recognize any loan loss and other investment reserves.
Loan loss and other investment reserves, net of recoveries During the year ended December 31, 2024, we did not recognize any loan loss and other investment reserves. During the year ended December 31, 2023, we recorded $6.9 million of loan loss reserve on one debt and preferred equity investment.
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. 52 Table of Contents
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. 50 Table of Contents
(2) Escalated rent includes base rent plus all additional amounts paid by the tenant in the form of real estate taxes, operating expenses, porters wage or a consumer price index (CPI) adjustment. (3) Includes expiring space, relocating tenants and move-outs where tenants vacated. Excludes lease expirations where tenants held over.
(2) Annual initial base rent. (3) Escalated rent includes base rent plus all additional amounts paid by the tenant in the form of real estate taxes, operating expenses, porters wage or a consumer price index (CPI) adjustment. (4) Includes expiring space, relocating tenants and move-outs where tenants vacated. Excludes lease expirations where tenants held over.
In determining the fair value of the real estate acquired, the Company will use a third-party valuation which primarily utilizes cash flow projections that apply, among other things, estimated revenue and expense growth rates, discount rates and capitalization rates, as well as sales comparison approach, which utilizes comparable sales, listings and sales contracts.
In determining the fair value of the real estate acquired, the Company will use a third-party valuation which primarily utilizes cash flow projections that apply, among other things, estimated revenue and expense growth rates, future market rents, discount rates and capitalization rates, as well as sales comparison approach, which utilizes comparable sales, listings and sales contracts.
“Other,” which represents properties where we sold an interest resulting in deconsolidation and corporate level items not allocable to specific properties, as well as the Service Corporation and eEmerge Inc.
“Other,” which represents properties where we sold an interest resulting in deconsolidation and corporate level items not allocable to specific properties, as well as the Service Corporation and Emerge Inc.
These sources generate a relatively consistent stream of cash flow that provides us with resources to pay operating expenses, debt service, and fund dividend and distribution requirements. Cash is used in investing activities to fund acquisitions, development or redevelopment projects and recurring and nonrecurring capital expenditures.
These sources generate a relatively consistent stream of cash flow that provides us with resources to pay operating expenses, debt service, and fund dividend and distribution requirements. 41 Table of Contents Cash is used in investing activities to fund acquisitions, development or redevelopment projects and recurring and nonrecurring capital expenditures.
As of December 31, 2023, the 2021 credit facility bore interest at a spread over adjusted Term SOFR plus 10 basis points with an interest period of one or three months, as we may elect, ranging from (i) 72.5 basis points to 140 basis points for loans under the revolving credit facility, (ii) 80 basis points to 160 basis points for loans under Term Loan A, and (iii) 85 basis points to 165 basis points for loans under Term Loan B, in each case based on the credit rating assigned to the senior unsecured long term indebtedness of the Company.
As of December 31, 2024, the 2021 credit facility bore interest at a spread over adjusted Term SOFR plus 10 basis points with an interest period of one or three months, as we may elect, ranging from (i) 72.5 basis points to 140 basis points for loans under the revolving credit facility, (ii) 80 basis points to 160 basis points for loans under Term Loan A, and (iii) 85 basis points 44 Table of Contents to 165 basis points for loans under Term Loan B, in each case based on the credit rating assigned to the senior unsecured long term indebtedness of the Company.
Business - Highlights from 2023." 33 Table of Contents Critical Accounting Policies and Estimates Our discussion and analysis of financial condition and results of operations is based on our consolidated financial statements, which have been prepared in accordance with accounting principles generally accepted in the United States.
Business - Highlights from 2024." 33 Table of Contents Critical Accounting Estimates Our discussion and analysis of financial condition and results of operations is based on our consolidated financial statements, which have been prepared in accordance with accounting principles generally accepted in the United States.
If a derivative is considered a hedge, depending on the nature of the hedge, changes in the fair value of the derivative will either be offset against the change in fair value of the hedged asset, liability, or firm commitment through earnings, or recognized in other comprehensive income (loss) until the hedged item is recognized in earnings.
If a derivative is considered a hedge for accounting purposes, depending on the nature of the hedge, changes in the fair value of the derivative will either be offset against the change in fair value of the hedged asset, liability, or firm commitment through earnings, or recognized in other comprehensive income (loss) until the hedged item is recognized in earnings.
A discussion of our results of operations for the year ended December 31, 2022 compared to the year ended December 31, 2021 is included in Part II, Item 7 Management's Discussion and Analysis of Financial Condition and Results of Operations of our Annual Report on Form 10-K for the year ended December 31, 2022, filed with the SEC on February 17, 2023, and is incorporated by reference into this Annual Report on Form 10-K.
A discussion of our results of operations for the year ended December 31, 2023 compared to the year ended December 31, 2022 is included in Part II, Item 7 Management's Discussion and Analysis of Financial Condition and Results of Operations of our Annual Report on Form 10-K for the year ended December 31, 2023, filed with the SEC on February 23, 2024, and is incorporated by reference into this Annual Report on Form 10-K.
The price paid upon a tender of the interests will equal the liquidation value of the interests at the time, with the value being based on the project's sale price, if applicable, or fair market value as determined by an independent third party appraiser. In 2022, stabilization of the property (but not SUMMIT One Vanderbilt) was achieved. Therefore, Messrs.
The price paid upon a tender of the interests will equal the liquidation value of the interests at the time, with the value based on the project's sale price, if applicable, or fair market value as determined by an independent third party appraiser. In 2022, stabilization of the property (excluding SUMMIT One Vanderbilt) was achieved. Therefore, Messrs.
These risks and uncertainties include: • the effect of general economic, business and financial conditions, and their effect on the New York City real estate market in particular; • dependence upon the New York City real estate market; • risks of real estate acquisitions, dispositions, development and redevelopment, including the cost of construction delays and cost overruns; • risks relating to debt and preferred equity investments; • availability and creditworthiness of prospective tenants and borrowers; • bankruptcy or insolvency of a major tenant or a significant number of smaller tenants or borrowers; • adverse changes in the real estate markets, including reduced demand for office space, increasing vacancy, and increasing availability of sublease space; • availability of debt and equity capital for our operational needs and investment strategy; • unanticipated increases in financing and other costs, including a rise in interest rates; • our ability to comply with financial covenants in our debt instruments; • our ability to maintain our status as a REIT; • risks of investing through joint venture structures, including the fulfillment by our partners of their financial obligations; • the threat of terrorist attacks; • our ability to obtain adequate insurance coverage at a reasonable cost and the potential for losses in excess of our insurance coverage, including as a result of environmental contamination; and • legislative, regulatory and/or safety requirements adversely affecting REITs and the real estate business including costs of compliance with the Americans with Disabilities Act, the Fair Housing Act and other similar laws and regulations.
These risks and uncertainties include: • the effect of general economic, business and financial conditions, and their effect on the New York City real estate market in particular; • dependence upon the New York City real estate market; • risks of real estate acquisitions, dispositions, development and redevelopment, including the cost of construction delays and cost overruns; • risks relating to debt and preferred equity investments; • availability and creditworthiness of prospective tenants and borrowers; • bankruptcy or insolvency of a major tenant or a significant number of smaller tenants or borrowers; • adverse changes in the real estate markets, including reduced demand for office space, increasing vacancy, and increasing availability of sublease space; • availability of debt and equity capital for our operational needs and investment strategy; • unanticipated increases in financing and other costs, including a rise in interest rates; • our ability to comply with financial covenants in our debt instruments; • our ability to maintain our status as a REIT; • risks of investing through joint venture structures, including the fulfillment by our partners of their financial obligations; • the threat of terrorist attacks; • our ability to obtain adequate insurance coverage at a reasonable cost and the potential for losses in excess of our insurance coverage, including as a result of environmental contamination; • risks related to our asset management business, including our ability to identify suitable investments, manage actual and potential conflicts of interest and comply with regulations on our asset management subsidiary under the Investment Advisers Act of 1940; and • legislative, regulatory and/or safety requirements adversely affecting REITs and the real estate business including costs of compliance with the Americans with Disabilities Act, the Fair Housing Act and other similar laws and regulations.
Our exposure to interest rate fluctuations are managed through either the use of interest rate derivative instruments and/or through our variable rate debt and preferred equity investments.
Our exposure to interest rate fluctuations are managed through the use of interest rate derivative instruments and through our variable rate debt and preferred equity investments.
In March 2021, the lease commenced and we relocated our corporate headquarters to the leased space. For the year ended December 31, 2023 and 2022 we recorded $3.0 million and $3.0 million, respectively, of rent expense under the lease.
In March 2021, the lease commenced and we relocated our corporate headquarters to the leased space. For the years ended December 31, 2024, 2023, and 2022 we recorded $3.0 million, $3.0 million, and $3.0 million respectively, of rent expense under the lease.
As of December 31, 2023 and 2022, we were in compliance with all such covenants. Junior Subordinated Deferrable Interest Debentures In June 2005, the Company and the Operating Partnership issued $100.0 million in unsecured trust preferred securities through a newly formed trust, SL Green Capital Trust I, or the Trust, which is a wholly-owned subsidiary of the Operating Partnership.
As of December 31, 2024 and 2023, we were in compliance with all such covenants. 45 Table of Contents Junior Subordinated Deferrable Interest Debentures In June 2005, the Company and the Operating Partnership issued $100.0 million in unsecured trust preferred securities through a newly formed trust, SL Green Capital Trust I, or the Trust, which is a wholly owned subsidiary of the Operating Partnership.
The following table presents a summary of the commenced leasing activity for the year ended December 31, 2023 in our Manhattan portfolio: Usable SF Rentable SF New Cash Rent (per rentable SF) (1) Prev.
The following table presents a summary of the commenced leasing activity for the year ended December 31, 2024 in our Manhattan portfolio: Usable SF Rentable SF (1) New Cash Rent (per rentable SF) (2) Prev.
Comparison of the year ended December 31, 2022 to the year ended December 31, 2021 For a comparison of the year ended December 31, 2022 to the year ended December 31, 2021, see "Management's Discussion and Analysis of Financial Condition and Results of Operations" in Part II, Item 7 of our Form 10-K for the year ended December 31, 2022, which was filed with the SEC on February 17, 2023.
Comparison of the year ended December 31, 2023 to the year ended December 31, 2022 For a comparison of the year ended December 31, 2023 to the year ended December 31, 2022, see "Management's Discussion and Analysis of Financial Condition and Results of Operations" in Part II, Item 7 of our Form 10-K for the year ended December 31, 2023, which was filed with the SEC on February 23, 2024.
Loss on sale of real estate, net During the year ended December 31, 2023, we recognized a loss on the sale of a 49.9% joint venture interest in 245 Park Avenue ($32.8 million).
During the year ended December 31, 2023, we recognized a loss on the sale of a 49.9% joint venture interest in 245 Park Avenue ($32.8 million).
Inclusive of the mitigating effect of these investments, the net ratio of our variable rate debt to total debt was 3.0% and 7.0% as of December 31, 2023 and 2022, respectively.
Inclusive of the mitigating effect of these investments, the net ratio of our consolidated variable rate debt to total debt was 7.0% and 3.0% as of December 31, 2024 and 2023, respectively.
The following table summarizes SL Green common stock issued, and proceeds received from dividend reinvestments and/or stock purchases under the DRSPP for the years ended December 31, 2023, 2022, and 2021, respectively (dollars in thousands): Year Ended December 31, 2023 2022 2021 Shares of common stock issued 17,180 10,839 10,387 Dividend reinvestments/stock purchases under the DRSPP $ 525 $ 525 $ 738 Fifth Amended and Restated 2005 Stock Option and Incentive Plan The Fifth Amended and Restated 2005 Stock Option and Incentive Plan, or the 2005 Plan, was approved by the Company's Board of Directors in April 2022 and its stockholders in June 2022 at the Company's annual meeting of stockholders.
The following table summarizes SL Green common stock issued, and proceeds received from dividend reinvestments and/or stock purchases under the DRSPP for the years ended December 31, 2024, 2023, and 2022, respectively (dollars in thousands): Year Ended December 31, 2024 2023 2022 Shares of common stock issued 728,352 17,180 10,839 Dividend reinvestments/stock purchases under the DRSPP $ 52,308 $ 525 $ 525 Fifth Amended and Restated 2005 Stock Option and Incentive Plan The Fifth Amended and Restated 2005 Stock Option and Incentive Plan, or the 2005 Plan, was approved by the Company's Board of Directors in April 2022 and its stockholders in June 2022 at the Company's annual meeting of stockholders.
As of December 31, 2023, the applicable spread over adjusted Term SOFR plus 10 basis points for the 2021 credit facility was 140 basis points for the revolving credit facility, 160 basis points for Term Loan A, and 165 basis points for Term Loan B.
As of December 31, 2024, the applicable spread over adjusted Term SOFR plus 10 basis points for the 2021 credit facility was 140 basis points for the revolving credit facility, 160 basis points for Term Loan A, and 180 basis points for Term Loan B.
“Same-Store Properties,” which represents all operating properties owned by us at January 1, 2022 and still owned by us in the same manner as of December 31, 2023 (Same-Store Properties totaled 20 of our 27 consolidated operating properties), ii.
“Same-Store Properties,” which represents all operating properties owned by us at January 1, 2023 and still owned by us in the same manner as of December 31, 2024 (Same-Store Properties totaled 21 of our 27 consolidated operating buildings), ii.
Based on the debt outstanding as of December 31, 2023, a hypothetical 100 basis point increase in the floating rate interest rate curve would increase our consolidated annual interest cost, net of interest income from variable rate debt and preferred equity investments, by $1.0 million and would increase our share of joint venture annual interest cost by $12.2 million.
Based on the debt outstanding as of December 31, 2024, a hypothetical 100 basis point increase in the applicable floating interest rate curve would increase our consolidated annual interest cost, net of interest income from variable rate debt and preferred equity investments, by $2.3 million and would increase our share of joint venture annual interest cost by $1.9 million.
We expect our share of capital expenditures at our joint venture properties will be $183.6 million, of which $99.2 million will be funded by construction financing facilities or loan reserves. We expect to fund capital expenditures from operating cash flow, existing liquidity, and borrowings from construction financing facilities.
We expect our share of capital expenditures at our joint venture properties will be $134.1 million, of which $22.6 million will be funded by construction financing facilities or loan reserves. We expect to fund capital expenditures from operating cash flow, existing liquidity, and borrowings from construction financing facilities.
As of December 31, 2023, 3.9 million fungible units were available for issuance under the 2005 Plan after reserving for shares underlying outstanding restricted stock units and phantom stock units granted pursuant to our Non-Employee Directors' Deferral Program and LTIP Units.
As of December 31, 2024, 1.5 million fungible units were available for issuance under the 2005 Plan after reserving for shares underlying outstanding restricted stock units and phantom stock units granted pursuant to our Non-Employee Directors' Deferral Program and LTIP Units.
Certain of our debt and equity investments and other investments, with carrying values of $168.7 million as of December 31, 2023 and $144.1 million as of December 31, 2022, are variable rate investments, which mitigate our exposure to interest rate changes on our unhedged variable rate debt.
Certain of our debt and equity investments and other investments, with carrying values of $117.0 million as of December 31, 2024 and $168.7 million as of December 31, 2023, are variable rate investments which mitigate our exposure to interest rate changes on our unhedged variable rate debt.
Financial Statements" and is not meant to be an all-inclusive discussion of the changes in our cash flows for the years presented below. Cash, restricted cash, and cash equivalents were $335.5 million and $384.1 million as of December 31, 2023 and 2022, respectively, representing a decrease of $48.6 million.
Financial Statements" and is not meant to be an all-inclusive discussion of the changes in our cash flows for the years presented below. Cash, restricted cash, and cash equivalents were $331.6 million and $335.5 million as of December 31, 2024 and 2023, respectively, representing a decrease of $3.9 million.
Leasing and Operating As of December 31, 2023, our same-store Manhattan office property occupancy inclusive of leases signed but not commenced, was 90.0% compared to 91.2% as of December 31, 2022. We signed office leases in Manhattan encompassing approximately 1.8 million square feet, of which approximately 1.2 million square feet represented office leases that replaced previously occupied space.
Leasing and Operating As of December 31, 2024, our same-store Manhattan office property occupancy inclusive of leases signed but not commenced, was 92.5% compared to 90.0% as of December 31, 2023. We signed office leases in Manhattan encompassing approximately 3.6 million square feet, of which approximately 2.3 million square feet represented office leases that replaced previously occupied space.
Liquidity and Capital Resources We currently expect that the principal sources of funds to meet our short-term and long-term liquidity requirements for working capital, acquisitions, development or redevelopment of properties, tenant improvements, leasing costs, share repurchases, dividends to shareholders, distributions to unitholders, repurchases or repayments of outstanding indebtedness and for debt and preferred equity investments will include: (1) Cash flow from operations; (2) Cash on hand; (3) Net proceeds from divestitures of properties and redemptions, participations, dispositions and repayments of debt and preferred equity investments; (4) Borrowings under the revolving credit facility; (5) Other forms of secured or unsecured financing; and (6) Proceeds from common or preferred equity or debt offerings by the Company or the Operating Partnership (including issuances of units of limited partnership interest in the Operating Partnership and Trust preferred securities). 42 Table of Contents Cash flow from operations is primarily dependent upon the collectability of rent, the occupancy level of our portfolio, the net effective rental rates achieved on our leases, the collectability of rent, operating escalations and recoveries from our tenants and the level of operating and other costs.
Liquidity and Capital Resources We currently expect that the principal sources of funds to meet our short-term and long-term liquidity requirements for working capital, acquisitions, development or redevelopment of properties, tenant improvements, leasing costs, dividends to shareholders, distributions to unitholders, repurchases or repayments of outstanding indebtedness and for debt and preferred equity investments will include: (1) Cash flow from operations; (2) Cash on hand; (3) Net proceeds from divestitures of properties and redemptions, participations, dispositions and repayments of debt and preferred equity investments; (4) Borrowings under the revolving credit facility; (5) Other forms of secured or unsecured financing; and (6) Proceeds from common or preferred equity or debt offerings by the Company or the Operating Partnership (including issuances of units of limited partnership interest in the Operating Partnership and Trust preferred securities).
As of December 31, 2023, there were 230,295 phantom stock units outstanding pursuant to our Non-Employee Director's Deferral Program. 45 Table of Contents Employee Stock Purchase Plan In 2007, the Company's Board of Directors adopted the 2008 Employee Stock Purchase Plan, or ESPP, to provide equity-based incentives to eligible employees.
As of December 31, 2024, there were 125,654 phantom stock units outstanding pursuant to our Non-Employee Director's Deferral Program. Employee Stock Purchase Plan In 2007, the Company's Board of Directors adopted the 2008 Employee Stock Purchase Plan, or ESPP, to provide equity-based incentives to eligible employees.
Our variable rate debt and variable rate joint venture debt as of December 31, 2023 bore interest based on a spread to LIBOR of 145 basis points and Term SOFR of 50 basis points to 565 basis points. 48 Table of Contents Off-Balance Sheet Arrangements We have off-balance sheet investments, including joint ventures and debt and preferred equity investments.
Our variable rate debt and variable rate joint venture debt as of December 31, 2024 bore interest based on a spread to LIBOR of 145 basis points and Term SOFR of 175 basis points to 275 basis points. Off-Balance Sheet Arrangements We have off-balance sheet investments, including joint ventures and debt and preferred equity investments.
Leases qualify as finance leases if i) the lease transfers ownership of the asset at the end of the lease term, ii) the lease grants an option to purchase the asset that we are reasonably certain to exercise, iii) the lease term is for a major part of the remaining economic life of the asset, or iv) the present value of the lease payments exceeds substantially all of the fair value of the asset.
Leases qualify as finance leases if i) the lease transfers ownership of the asset at the end of the lease term, ii) the lease grants an option to purchase the asset that we are reasonably certain to exercise, iii) the lease term is for a major part of the remaining economic life of the asset, iv) the present value of the lease payments exceeds substantially all of the fair value of the asset, or v) the underlying asset is of such a specialized nature that it is expected to have no alternative use to the lessor at the end of the lease term.
As of December 31, 2023 and December 31, 2022, the revolving credit facility had a carrying value of $554.8 million and $443.2 million, respectively, net of deferred financing costs. As of December 31, 2023 and December 31, 2022, the term loan facilities had a carrying value of $1.2 billion and $1.2 billion, respectively, net of deferred financing costs.
As of December 31, 2024 and December 31, 2023, the revolving credit facility had a carrying value of $316.2 million and $554.8 million, respectively, net of deferred financing costs. As of December 31, 2024 and December 31, 2023, the term loans had a carrying value of $1.1 billion and $1.2 billion, respectively, net of deferred financing costs.
As of December 31, 2022, the 2022 term loan had a carrying value of $398.2 million, net of deferred financing costs. 47 Table of Contents Senior Unsecured Notes The following table sets forth our senior unsecured notes and other related disclosures as of December 31, 2023 and 2022, respectively, by scheduled maturity date (dollars in thousands): December 31, 2023 December 31, 2022 Issuance Unpaid Principal Balance Accreted Balance Accreted Balance Interest Rate (1) Initial Term (in Years) Maturity Date December 17, 2015 (2) $ 100,000 $ 100,000 $ 100,000 4.27 % 10 December 2025 $ 100,000 $ 100,000 $ 100,000 Deferred financing costs, net — (205) (308) $ 100,000 $ 99,795 $ 99,692 (1) Interest rate as of December 31, 2023.
Senior Unsecured Notes The following table sets forth our senior unsecured notes and other related disclosures as of December 31, 2024 and 2023, respectively, by scheduled maturity date (dollars in thousands): December 31, 2024 December 31, 2023 Issuance Unpaid Principal Balance Accreted Balance Accreted Balance Interest Rate (1) Initial Term (in Years) Maturity Date December 17, 2015 (2) $ 100,000 $ 100,000 $ 100,000 4.27 % 10 December 2025 $ 100,000 $ 100,000 $ 100,000 Deferred financing costs, net — (103) (205) $ 100,000 $ 99,897 $ 99,795 (1) Interest rate as of December 31, 2024.
This liquidity excludes $161.9 million representing our share of cash at unconsolidated joint venture properties.
This liquidity excludes $131.6 million representing our share of cash at unconsolidated joint venture properties.
Average starting office rent for office space (leased and early renewals, excluding new tenants replacing vacancies) was $81.27 per rentable square feet for 1,208,614 rentable square feet. 40 Table of Contents SUMMIT Operator revenue SUMMIT Operator revenues were higher for the year ended December 31, 2023, compared to the same period in 2022 due primarily to increased attendance.
Average starting office rent for office space (leased and early renewals, excluding new tenants replacing vacancies) was $88.48 per rentable square feet for 2,048,251 rentable square feet. 37 Table of Contents SUMMIT Operator revenue SUMMIT Operator revenues were higher for the year ended December 31, 2024, compared to the same period in 2023 due primarily to increased attendance.
Debt and Preferred Equity In 2022 and 2023, in our debt and preferred equity portfolio we continued to focus on underwriting financings for owners, acquirers or developers of properties in New York City.
Debt and Preferred Equity In 2023 and 2024, in our debt and preferred equity portfolio we continued to focus on underwriting financings for owners, acquirers or developers of properties in New York City as well as expanding our special servicing business.
As of December 31, 2023, $168.7 million, or 90.5%, of our $346.7 million debt and preferred equity portfolio was indexed to SOFR. We recognize most derivatives on the balance sheet at fair value. Derivatives that are not hedges are adjusted to fair value through income.
As of December 31, 2024, $117.0 million, or 38.5%, of our $303.7 million debt and preferred equity portfolio was indexed to SOFR. We recognize most derivatives on the balance sheet at fair value. Derivatives that are not hedges for accounting purposes are adjusted to fair value through income.
Depreciable Real Estate Reserves and Impairments During the year ended December 31, 2023, we recognized depreciable real estate reserves and impairments related to our leasehold interest at 625 Madison Avenue ($272.6 million), which was under contract for sale as of December 31, 2023, 2 Herald Square ($101.7 million) and 1552-1560 Broadway ($8.0 million) following an assessment of the investments for recoverability.
During the year ended December 31, 2023, we recognized depreciable real estate reserves and impairments related to our leasehold interest at 625 Madison Avenue ($272.6 million), which was under contract for sale as of December 31, 2023, 2 Herald Square ($101.7 million) and 1552-1560 Broadway ($8.0 million) following an assessment of the investments for recoverability. 39 Table of Contents Gain (loss) on early extinguishment of debt During the year ended December 31, 2024, we recognized a $26.0 million gain on discounted debt extinguishment at 690 Madison Avenue and a $17.8 million gain on discounted debt extinguishment at 719 Seventh Avenue.
In 2023 and 2022, approximately 14.0% to 16.0% of our annual SUMMIT revenue was realized in the first quarter, 24.0% to 26.0% was realized in the second quarter, 28.0% to 30.0% was realized in the third quarter, and 29.0% to 31.0% was realized in the fourth quarter.
In 2024 and 2023, approximately 16.0% to 19.0% of our annual SUMMIT revenue was realized in the first quarter, 26.0% to 26.0% was realized in the second quarter, 28.0% to 29.0% was realized in the third quarter, and 27.0% to 29.0% was realized in the fourth quarter.
Equity in net loss on sale of interest in unconsolidated joint venture/real estate During the year ended December 31, 2023, we recognized losses on the sales of our interests in 21 East 66th Street ($12.7 million) and 121 Greene Street ($0.3 million).
During the year ended December 31, 2023, we recognized losses on the sales of our interests in 21 East 66th Street ($12.7 million) and 121 Greene Street ($0.3 million).
A consolidated property's value is considered impaired if management's estimate of the aggregate future cash flows (undiscounted) to be generated by the property is less than the carrying value of the property.
A consolidated property's value is considered impaired if management's estimate of the aggregate future cash flows (undiscounted) to be generated by the property is less than the carrying value of the property taking into account the appropriate capitalization rate in determining the future terminal value.
Marketing, General and Administrative Expenses Marketing, general and administrative expenses increased to $111.4 million for the year ended December 31, 2023, compared to $93.8 million for the same period in 2022 due to increased compensation expense related to the non-renewal of the Company's former President ($18.7 million).
Marketing, General and Administrative Expenses Marketing, general and administrative expenses decreased to $85.2 million for the year ended December 31, 2024, compared to $111.4 million for the same period in 2023, due primarily to compensation expense related to the non-renewal of the Company's former President ($18.7 million) recorded in the fourth quarter of 2023.
For the years ended December 31, 2023 and 2022, the weighted average balance of our debt and preferred equity investment portfolio and the weighted average yield were $0.6 billion and 6.2%, respectively, compared to $1.0 billion and 8.3%, respectively.
For the years ended December 31, 2024 and 2023, the weighted average balance of our debt and preferred equity investment portfolio and the weighted average yield were $328.9 million and 6.9%, respectively, compared to $563.0 million and 6.2%, respectively.
Indebtedness The table below summarizes our consolidated mortgages and other loans payable, 2021 credit facility, 2022 term loan, senior unsecured notes and trust preferred securities outstanding as of December 31, 2023 and 2022, (amounts in thousands).
As of December 31, 2024, 245,445 shares of our common stock had been issued under the ESPP. 43 Table of Contents Indebtedness The table below summarizes our consolidated mortgages and other loans payable, 2021 credit facility, 2022 term loan, senior unsecured notes and trust preferred securities outstanding as of December 31, 2024 and 2023, (amounts in thousands).
Future property acquisitions may require substantial capital investments for refurbishment and leasing costs. As of December 31, 2023, we had liquidity of $0.9 billion, comprised of $688.0 million of availability under our revolving credit facility and $231.4 million of consolidated cash on hand, inclusive of $9.6 million of marketable securities.
Future property acquisitions may require substantial capital investments for refurbishment and leasing costs. As of December 31, 2024, we had liquidity of $1.1 billion, comprised of $922.5 million of availability under our revolving credit facility and $201.6 million of consolidated cash on hand, inclusive of $17.3 million of available-for-sale marketable securities.
FFO does not represent cash generated from operating activities in accordance with GAAP and should not be considered as an alternative to net income (determined in accordance with GAAP), as an indication of the Company’s financial performance or to cash flow from operating activities (determined in accordance with GAAP) as a measure of the Company’s liquidity, nor is it indicative of funds available to fund the Company’s cash needs, including our ability to make cash distributions. 50 Table of Contents FFO for the years ended December 31, 2023, 2022, and 2021 are as follows (in thousands): Year Ended December 31, 2023 2022 2021 Net (loss) income attributable to SL Green common stockholders $ (579,509) $ (93,024) $ 434,804 Add: Depreciation and amortization 247,810 216,167 216,969 Joint venture depreciation and noncontrolling interest adjustments 284,284 252,893 249,087 Net (loss) income attributable to noncontrolling interests (42,033) (4,672) 23,573 Less: Equity in net loss on sale of interest in unconsolidated joint venture/real estate (13,368) (131) (32,757) Purchase price and other fair value adjustments (6,813) — 209,443 (Loss) gain on sale of real estate, net (32,370) (84,485) 287,417 Depreciable real estate reserves and impairments (382,374) (6,313) (23,794) Depreciation on non-rental real estate assets 4,136 3,466 2,890 Funds from Operations attributable to SL Green common stockholders and unit holders $ 341,341 $ 458,827 $ 481,234 Cash flows provided by operating activities $ 229,503 $ 276,088 $ 255,979 Cash flows provided by investing activities $ 171,345 $ 425,805 $ 993,581 Cash flows used in financing activities $ (449,383) $ (654,823) $ (1,285,371) Seasonality Our business at SUMMIT is subject to tourism trends and weather conditions, resulting in seasonal fluctuation.
FFO does not represent cash generated from operating activities in accordance with GAAP and should not be considered as an alternative to net income (determined in accordance with GAAP), as an indication of the Company's financial performance or to cash flow from operating activities (determined in accordance with GAAP) as a measure of the Company's liquidity, nor is it indicative of funds available to fund the Company's cash needs, including our ability to make cash distributions. 48 Table of Contents FFO for the years ended December 31, 2024, 2023, and 2022 are as follows (in thousands): Year Ended December 31, 2024 2023 2022 Net income (loss) attributable to SL Green common stockholders $ 7,060 $ (579,509) $ (93,024) Add: Depreciation and amortization 207,443 247,810 216,167 Joint venture depreciation and noncontrolling interest adjustments 287,671 284,284 252,893 Net loss attributable to noncontrolling interests (431) (42,033) (4,672) Less: Equity in net gain (loss) on sale of interest in unconsolidated joint venture/real estate 208,144 (13,368) (131) Purchase price and other fair value adjustments 83,430 (6,813) — Gain (loss) on sale of real estate, net 3,025 (32,370) (84,485) Depreciable real estate reserves and impairments (104,071) (382,374) (6,313) Depreciable real estate reserves in unconsolidated joint venture (263,190) — — Depreciation on non-rental real estate assets 4,583 4,136 3,466 Funds from Operations attributable to SL Green common stockholders and unit holders $ 569,822 $ 341,341 $ 458,827 Seasonality Our business at SUMMIT is subject to tourism trends and weather conditions, resulting in seasonal fluctuation.
According to Cushman & Wakefield, 2023 leasing activity in Manhattan totaled approximately 18.0 million square feet. Of the total 2023 leasing activity in Manhattan, the Midtown submarket accounted for approximately 12.6 million square feet, or approximately 70.0%. Manhattan's overall office vacancy went from 22.2% as of December 31, 2022 to 22.8% as of December 31, 2023.
According to Cushman & Wakefield, 2024 leasing activity in Manhattan totaled approximately 23.4 million square feet. Of the total 2024 leasing activity in Manhattan, the Midtown submarket accounted for approximately 16.7 million square feet, or approximately 71.4%. Manhattan's overall office vacancy went from 22.8% as of December 31, 2023 to 23.3% as of December 31, 2024.
Mathias to receive approximately 1.27% and 0.85%, respectively, on account of the property and 1.92% and 1.28%, respectively, on account of SUMMIT One Vanderbilt, of any profits realized by the Company from its One Vanderbilt project in excess of the Company's capital contributions. Mr. Holliday and Mr.
This investment entitles these entities to receive a percentage of any profits realized by the Company from its One Vanderbilt project in excess of the Company's capital contributions, of approximately 1.27% and 0.85%, respectively, on account of the property and 1.92% and 1.28%, respectively, on account of SUMMIT One Vanderbilt. The entities had no right to any return of capital.
During the year ended December 31, 2023, 39,302 phantom stock units and 27,739 shares of common stock were issued to our Board of Directors. We recorded compensation expense of $2.7 million during the year ended December 31, 2023 related to the Deferred Compensation Plan.
During the year ended December 31, 2024, 15,945 phantom stock units and 25,590 shares of common stock were issued to our Board of Directors. We recorded compensation expense of $2.8 million during the year ended December 31, 2024, respectively, related to the Deferred Compensation Plan.
Forward-Looking Information This report 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.
Accounting Standards Updates The Accounting Standards Updates are discussed in Note 2, "Significant Accounting Policies Accounting Standards Updates" in the accompanying consolidated financial statements. 49 Table of Contents Forward-Looking Information This report 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.
Purchase price and other fair value adjustments During the year ended December 31, 2023, we recorded a $17.0 million fair value adjustment relating to the 50.1% interest we retained in 245 Park Avenue, which was deconsolidated when a 49.9% joint venture interest was sold.
During the year ended December 31, 2023, we recorded a $17.0 million negative fair value adjustment relating to the 50.1% interest we retained in 245 Park Avenue, which was deconsolidated when a 49.9% joint venture interest was sold, and a $10.4 million negative fair value adjustment related to derivatives that are not designated as hedges for accounting purposes.
Our goal is to reduce emissions for our operationally controlled portfolio to align it with the 1.5 degree Celsius climate scenario. We consider the successful management and mitigation of climate-related risks across our portfolio as an opportunity to raise the financial value of our buildings and pass on these benefits to our stakeholders, tenants, and investors.
We consider the successful management and mitigation of climate-related risks across our portfolio as an opportunity to raise the financial value of our buildings and pass on these benefits to our stakeholders, tenants, and investors.
Overall average asking rents in Manhattan increased in 2023 by 2.4% from $71.62 per square foot as of December 31, 2022 to $73.33 per square foot as of December 31, 2023, while Manhattan Class A asking rents increased to $80.98 per square foot, up 2.9% from $78.72 as of December 31, 2022.
Overall average asking rents in Manhattan decreased in 2024 by 0.8% from $73.33 per square foot as of December 31, 2023 to $72.73 per square foot as of December 31, 2024, while Manhattan Class A asking rents increased to $81.19 per square foot, up 0.3% from $80.98 as of December 31, 2023.
At the same time, we selectively sold certain investments, some investments were repaid, and we converted some investments into equity ownership, the proceeds of which were utilized to repurchase shares of common stock or for debt repayment.
At the same time, some investments were repaid, the proceeds of which were utilized for debt repayment, and we converted one investment into equity ownership.
Debt Summary: December 31, 2023 December 31, 2022 Balance Fixed rate $ 1,117,386 $ 2,695,814 Variable rate—hedged 2,120,000 2,320,000 Total fixed rate 3,237,386 5,015,814 Total variable rate 270,000 520,148 Total debt $ 3,507,386 $ 5,535,962 Debt, preferred equity, and other investments subject to variable rate 168,745 144,056 Net exposure to variable rate debt 101,255 376,092 Percent of Total Debt : Fixed rate 92.3 % 90.6 % Variable rate (1) 7.7 % 9.4 % Total 100.0 % 100.0 % Effective Interest Rate for the Year: Fixed rate 4.68 % 3.60 % Variable rate 6.11 % 3.23 % Effective interest rate 4.71 % 3.55 % (1) Inclusive of the mitigating effect of our debt, preferred equity, and other investments subject to variable rates, the percent of total debt of our net exposure to variable rate debt was 3.0% and 7.0% as of December 31, 2023 and December 31, 2022, respectively.
Debt Summary: December 31, 2024 December 31, 2023 Balance Fixed rate $ 1,182,474 $ 1,117,386 Variable rate—hedged 2,075,000 2,120,000 Total fixed rate 3,257,474 3,237,386 Total variable rate 363,550 270,000 Total debt $ 3,621,024 $ 3,507,386 Debt, preferred equity, and other investments subject to variable rate 117,006 168,745 Net exposure to variable rate debt 246,544 101,255 Percent of Total Debt : Fixed rate 90.0 % 92.3 % Variable rate (1) 10.0 % 7.7 % Total 100.0 % 100.0 % Effective Interest Rate for the Year: Fixed rate 5.18 % 4.68 % Variable rate 5.17 % 6.11 % Effective interest rate 5.17 % 4.71 % (1) Inclusive of the mitigating effect of our debt, preferred equity, and other investments subject to variable rates, the percent of total debt of our net exposure to variable rate debt was 7.0% and 3.0% as of December 31, 2024 and December 31, 2023, respectively.
As of December 31, 2023, we had $2.0 million of outstanding letters of credit, $560.0 million drawn under the revolving credit facility and $1.25 billion outstanding under the term loan facilities, with total undrawn capacity of $688.0 million under the 2021 credit facility.
As of December 31, 2024, we had $7.5 million of outstanding letters of credit, $320.0 million drawn under the revolving credit facility and $1.15 billion of outstanding term loans, with total undrawn capacity of $922.5 million under the 2021 credit facility.
During the year ended December 31, 2023, when compared to the year ended December 31, 2022, we used cash for the following financing activities (in thousands): Proceeds from our debt obligations $ (1,367,980) Repayments of our debt obligations 1,302,538 Net distribution to noncontrolling interests (41,817) Other financing activities 94,213 Repurchase of common stock 151,197 Redemption of preferred stock 6,267 Acquisition of subsidiary interest from noncontrolling interest 29,817 Dividends and distributions paid 31,205 Increase in net cash used in financing activities $ 205,440 Capitalization Our authorized capital stock consists of 260,000,000 shares, $0.01 par value per share, consisting of 160,000,000 shares of common stock, $0.01 par value per share, 75,000,000 shares of excess stock, at $0.01 par value per share, and 25,000,000 shares of preferred stock, $0.01 par value per share.
During the year ended December 31, 2024, when compared to the year ended December 31, 2023, we used cash for the following financing activities (in thousands): Proceeds from our debt obligations $ 636,450 Repayments of our debt obligations (725,151) Net distribution to noncontrolling interests (7,760) Other financing activities (158,974) Proceeds from stock options exercised and DRSPP issuance 51,783 Proceeds from issuance of common stock 386,790 Redemption of preferred stock 9,197 Acquisition of subsidiary interest from noncontrolling interest (7,289) Dividends and distributions paid 12,108 Increase in net cash used in financing activities $ 197,154 Capitalization Our authorized capital stock consists of 260,000,000 shares, $0.01 par value per share, consisting of 160,000,000 shares of common stock, $0.01 par value per share, 75,000,000 shares of excess stock, at $0.01 par value per share, and 25,000,000 shares of preferred stock, $0.01 par value per share.
The Company and the Operating Partnership are borrowers jointly and severally obligated under the 2021 credit facility. The 2021 credit facility includes certain restrictions and covenants (see Restrictive Covenants below). 2022 Term Loan In October 2022, we entered into a term loan agreement, referred to as the 2022 term loan.
The Company and the Operating Partnership are borrowers jointly and severally obligated under the 2021 credit facility. The 2021 credit facility includes certain restrictions and covenants (see Restrictive Covenants below).
Property Operating Expenses Property operating expenses increased due primarily to acquiring 245 Park Avenue ($8.6 million) in the third quarter of 2022 and prior to its deconsolidation in the second quarter of 2023, increased variable expenses ($7.5 million) and real estate taxes ($2.8 million) at our Same-Store Properties, and increased variable expenses at our Acquired Properties ($7.8 million), partially offset by decreased variable expenses at our Disposed Properties ($1.2 million).
Property Operating Expenses Property operating expenses decreased due primarily to the deconsolidation of 245 Park Avenue in the second quarter of 2023 ($26.8 million) and decreases in variable expenses ($5.3 million) and real estate taxes ($3.3 million) at our Acquired properties.
The decrease was a result of the following changes in cash flows (in thousands): Year Ended December 31, 2023 2022 (Decrease) Increase Net cash provided by operating activities $ 229,503 $ 276,088 $ (46,585) Net cash provided by investing activities $ 171,345 $ 425,805 $ (254,460) Net cash used in financing activities $ (449,383) $ (654,823) $ 205,440 43 Table of Contents Our principal sources of operating cash flow are the properties in our consolidated and joint venture portfolios and our debt and preferred equity portfolio.
The decrease was a result of the following changes in cash flows (in thousands): Year Ended December 31, 2024 2023 (Decrease) Increase Net cash provided by operating activities $ 129,595 $ 229,503 $ (99,908) Net cash provided by investing activities $ 118,753 $ 171,345 $ (52,592) Net cash used in financing activities $ (252,229) $ (449,383) $ 197,154 Our principal sources of operating cash flow are the properties in our consolidated and joint venture portfolios, third party fees and our debt and preferred equity portfolio.
(4) Average starting office rent excluding new tenants replacing vacancies was $77.08 per rentable square feet for 485,280 rentable square feet.
(5) Average starting office rent excluding new tenants replacing vacancies was $95.92 per rentable square feet for 514,272 rentable square feet.
Additionally, one of our captive insurance companies, Belmont Insurance Company, or Belmont, provides coverage for NBCR terrorist acts above a specified trigger. Belmont's retention is reinsured by our other captive insurance company, Ticonderoga Insurance Company ("Ticonderoga").
Separate property and liability coverage may be purchased on a stand-alone basis for certain assets, such as development projects. Additionally, one of our captive insurance companies, Belmont Insurance Company ("Belmont"), provides coverage for NBCR terrorist acts above a specified trigger. Belmont's retention is reinsured by our other captive insurance company, Ticonderoga Insurance Company ("Ticonderoga").
Investment Income Investment income decreased due to a lower weighted average debt and preferred equity investment balance and a lower weighted average yield for the period ended December 31, 2023 as compared to the same period in 2022 as well as the recognition of previously unrecorded default interest on our preferred equity investment at 245 Park Avenue in the third quarter of 2022.
Investment Income Investment income decreased due to a lower weighted average debt and preferred equity investment balance for the period ended December 31, 2024 as compared to the same period in 2023.
We do not consider any other components of our business to be subject to material seasonal fluctuations. Climate Change With our roots in New York City, we are at the center of one of the world's most ambitious climate legislative environments.
We do not consider any other components of our business to be subject to material seasonal fluctuations. Climate Change Climate regulation in New York City is among the most stringent and requires building owners to comply with ambitious emissions limits.

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Item 7A. Quantitative and Qualitative Disclosures About Market Risk

Market Risk — interest-rate, FX, commodity exposure

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Biggest changeThe table below presents the principal cash flows based upon maturity dates of our share of our joint venture debt obligations and the weighted-average interest rates by expected maturity dates, including as-of-right extension options, as of December 31, 2023 (in thousands): Long Term Debt Fixed Rate Average Interest Rate Variable Rate Average Interest Rate 2024 $ 524,511 4.12 % $ 1,298,467 8.10 % 2025 1,670,861 3.98 % — — % 2026 542,968 3.60 % — — % 2027 1,185,168 3.32 % — — % 2028 — 2.86 % — — % Thereafter 2,130,300 2.86 % — — % Total $ 6,053,808 3.76 % $ 1,298,467 8.10 % Fair Value $ 5,387,516 $ 1,292,853 53 Table of Contents The table below lists our consolidated derivative instruments, which are hedging variable rate debt, and their related fair values as of December 31, 2023 (in thousands): Asset Hedged Benchmark Rate Notional Value Strike Rate Effective Date Expiration Date Fair Value Interest Rate Swap Credit Facility SOFR $ 150,000 2.600 % December 2021 January 2024 $ 11 Interest Rate Swap Credit Facility SOFR 200,000 4.490 % November 2022 January 2024 5 Interest Rate Swap Credit Facility SOFR 200,000 4.411 % November 2022 January 2024 5 Interest Rate Cap Mortgage SOFR 370,000 3.250 % June 2023 June 2024 3,158 Interest Rate Cap Credit Facility SOFR 370,000 3.250 % June 2023 June 2024 (3,145) Interest Rate Swap Credit Facility SOFR 150,000 2.621 % December 2021 January 2026 4,011 Interest Rate Swap Credit Facility SOFR 200,000 2.662 % December 2021 January 2026 5,196 Interest Rate Swap Credit Facility SOFR 100,000 2.903 % February 2023 February 2027 2,281 Interest Rate Swap Credit Facility SOFR 100,000 2.733 % February 2023 February 2027 2,775 Interest Rate Swap Credit Facility SOFR 50,000 2.463 % February 2023 February 2027 1,781 Interest Rate Swap Credit Facility SOFR 200,000 2.591 % February 2023 February 2027 6,378 Interest Rate Swap Credit Facility SOFR 300,000 2.866 % July 2023 May 2027 7,306 Interest Rate Swap Credit Facility SOFR 150,000 3.524 % January 2024 May 2027 549 Interest Rate Swap Credit Facility SOFR 370,000 3.888 % November 2022 June 2027 (3,044) Interest Rate Swap Credit Facility SOFR 300,000 4.487 % November 2024 November 2027 (10,273) Interest Rate Swap Credit Facility SOFR 100,000 3.756 % January 2023 January 2028 (646) Total Consolidated Hedges $ 16,348 In addition to these derivative instruments, some of our joint venture loan agreements require the joint venture to purchase interest rate caps on its debt.
Biggest changeThe table below presents the principal cash flows based upon maturity dates of our share of our joint venture debt obligations and the weighted-average interest rates by expected maturity dates, including as-of-right extension options, as of December 31, 2024 (in thousands): Long Term Debt Debt and Preferred Equity Investments Fixed Rate Average Interest Rate Variable Rate Average Interest Rate Amount Weighted Yield 2025 $ 989,934 4.35 % $ 208,466 7.14 % — — % 2026 936,639 4.27 % — 7.02 % 214,657 8.86 % 2027 1,619,766 3.99 % 90,463 7.03 % — — % 2028 382,294 2.86 % — — % — — % 2029 — 2.86 % — — % — — % Thereafter 1,800,300 2.86 % — — % — — % Total $ 5,728,933 3.97 % $ 298,929 7.07 % $ 214,657 8.86 % Fair Value $ 5,058,674 $ 207,929 51 Table of Contents The table below lists our consolidated derivative instruments, which are hedging variable rate debt, and their related fair values as of December 31, 2024 (in thousands): Asset Hedged Benchmark Rate Notional Value Strike Rate Effective Date Expiration Date Fair Value Interest Rate Cap Mortgage SOFR $ 205,000 4.000 % February 2024 February 2025 $ 75 Interest Rate Cap Mortgage SOFR 370,000 3.250 % June 2024 June 2025 1,653 Interest Rate Cap Credit Facility SOFR 370,000 3.250 % June 2024 June 2025 (1,649) Interest Rate Cap Credit Facility SOFR 68,678 4.000 % August 2024 July 2025 (102) Interest Rate Swap Credit Facility SOFR 150,000 2.621 % December 2021 January 2026 2,196 Interest Rate Swap Credit Facility SOFR 200,000 2.662 % December 2021 January 2026 2,849 Interest Rate Swap Credit Facility SOFR 125,000 3.667 % August 2024 December 2026 828 Interest Rate Swap Credit Facility SOFR 125,000 3.670 % August 2024 December 2026 820 Interest Rate Swap Credit Facility SOFR 100,000 2.903 % February 2023 February 2027 2,225 Interest Rate Swap Credit Facility SOFR 100,000 2.733 % February 2023 February 2027 2,568 Interest Rate Swap Credit Facility SOFR 50,000 2.463 % February 2023 February 2027 1,557 Interest Rate Swap Credit Facility SOFR 200,000 2.591 % February 2023 February 2027 5,711 Interest Rate Swap Credit Facility SOFR 300,000 2.866 % July 2023 May 2027 7,637 Interest Rate Swap Credit Facility SOFR 150,000 3.524 % January 2024 May 2027 1,618 Interest Rate Swap Credit Facility SOFR 370,000 3.888 % November 2022 June 2027 970 Interest Rate Swap Credit Facility SOFR 68,678 4.466 % August 2024 June 2027 (765) Interest Rate Swap Credit Facility SOFR 300,000 4.487 % November 2024 November 2027 (3,953) Interest Rate Swap Credit Facility SOFR 100,000 3.756 % January 2023 January 2028 722 Interest Rate Swap Mortgage SOFR 204,963 3.915 % February 2025 May 2028 431 Total Consolidated Hedges $ 25,391 In addition to these derivative instruments, some of our joint venture loan agreements require the joint venture to purchase interest rate caps on its debt.
All such interest rate caps represented an asset of $30.7 million in the aggregate as of December 31, 2023. We also swapped certain floating rate debt at some of our joint ventures. These swaps represented an asset of $12.3 million in the aggregate as of December 31, 2023.
All such interest rate caps represented an asset of $1.2 million in the aggregate as of December 31, 2024. We also swapped certain floating rate debt at some of our joint ventures. These swaps represented an asset of $4.7 million in the aggregate as of December 31, 2024.
The table below presents the principal cash flows based upon maturity dates of our debt obligations and debt and preferred equity investments and the weighted-average interest rates by expected maturity dates, including as-of-right extension options, as of December 31, 2023 (in thousands): Long-Term Debt Debt and Preferred Equity Investments (1) Fixed Rate Average Interest Rate Variable Rate Average Interest Rate Amount Weighted Yield 2024 $ 477,238 4.98 % $ 110,000 6.03 % $ 120,422 9.07 % 2025 470,000 4.82 % — 4.57 % 30,000 8.52 % 2026 190,148 4.72 % — 4.57 % 48,323 10.46 % 2027 2,000,000 4.74 % 160,000 4.55 % 128,000 6.55 % 2028 — 4.75 % — — % — — % Thereafter 100,000 4.92 % — — % 20,000 8.11 % Total $ 3,237,386 4.84 % $ 270,000 5.19 % $ 346,745 8.23 % Fair Value $ 3,184,338 $ 268,787 (1) Our debt and preferred equity investments had an estimated fair value of approximately $0.3 billion as of December 31, 2023.
The table below presents the principal cash flows based upon maturity dates of our debt obligations and debt and preferred equity investments and the weighted-average interest rates by expected maturity dates, including as-of-right extension options, as of December 31, 2024 (in thousands): Long-Term Debt Debt and Preferred Equity Investments (1) Fixed Rate Average Interest Rate Variable Rate Average Interest Rate Amount Weighted Yield 2025 $ 470,001 5.29 % $ 3,550 6.34 % 92,525 4.35 % 2026 290,148 5.30 % — 6.17 % 54,481 9.59 % 2027 1,920,000 5.97 % 360,000 6.18 % 136,720 6.55 % 2028 205,000 7.15 % — — % — — % 2029 — 7.50 % — — % — — % Thereafter 372,325 7.81 % — — % 20,000 8.11 % Total $ 3,257,474 5.62 % $ 363,550 6.23 % $ 303,726 6.53 % Fair Value $ 3,225,767 $ 355,364 (1) Our debt and preferred equity investments had an estimated fair value of approximately $0.3 billion as of December 31, 2024.
Asset Hedged Benchmark Rate Notional Value Strike Rate Effective Date Expiration Date Fair Value Interest Rate Cap Mortgage SOFR $ 220,000 4.000 % February 2023 February 2024 $ 318 Interest Rate Cap Mortgage SOFR 484,069 0.490 % February 2022 May 2024 8,331 Interest Rate Cap Mortgage SOFR 484,069 0.490 % February 2022 May 2024 8,330 Interest Rate Cap Mortgage SOFR 505,412 3.000 % June 2023 June 2024 4,948 Interest Rate Cap Mortgage SOFR 272,000 4.000 % August 2023 August 2024 1,675 Interest Rate Cap Mortgage SOFR 477,783 3.500 % September 2023 September 2024 5,213 Interest Rate Cap Mortgage SOFR 278,161 4.000 % May 2024 November 2024 948 Interest Rate Cap Mortgage SOFR 278,161 4.000 % May 2024 November 2024 948 Interest Rate Swap Mortgage SOFR 250,000 3.608 % April 2023 February 2026 1,819 Interest Rate Swap Mortgage SOFR 250,000 3.608 % April 2023 February 2026 1,818 Interest Rate Swap Mortgage SOFR 177,000 1.555 % December 2022 February 2026 8,686 Total Unconsolidated Hedges $ 43,034 54 Table of Contents
Asset Hedged Benchmark Rate Notional Value Strike Rate Effective Date Expiration Date Fair Value Interest Rate Cap Mortgage SOFR $ 658,357 4.000 % November 2024 May 2025 $ 727 Interest Rate Cap Mortgage SOFR 285,000 4.000 % August 2024 July 2025 423 Interest Rate Swap Mortgage SOFR 250,000 3.608 % April 2023 February 2026 1,309 Interest Rate Swap Mortgage SOFR 250,000 3.608 % April 2023 February 2026 1,309 Interest Rate Swap Mortgage SOFR 177,000 1.555 % December 2022 February 2026 4,964 Interest Rate Swap Mortgage SOFR 268,750 4.039 % July 2024 September 2028 (534) Interest Rate Swap Mortgage SOFR 268,750 4.058 % July 2024 September 2028 (711) Interest Rate Swap Mortgage SOFR 537,500 4.065 % July 2024 September 2028 (1,628) Total Unconsolidated Hedges $ 5,859 52 Table of Contents

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