SL GREEN REALTY CORP. REPORTS THIRD QUARTER 2026 EPS OF $1.01 PER SHARE; AND FFO OF $1.59 PER SHARE INCREASES 2026 EARNINGS GUIDANCE Financial and Operating…
SL GREEN REALTY CORP (SLG) filed an SEC Form 8-K — Results of Operations and Financial Condition. Exhibit 99.1 SL GREEN REALTY CORP. REPORTS THIRD QUARTER 2026 EPS OF $1.01 PER SHARE; AND FFO OF $1.59 PER SHARE INCREASES 2026 EARNINGS GUIDANCE Financial and Operating Highlights • Net income attributable to common stockholders of $1.01 per share for the third quarter of 2026 a
How this was made
The 30-second read
Why it matters
The raised guidance reflects both operational performance and a $200 M joint‑venture sale, suggesting stronger cash flow generation.
Market read
The earnings beat and guidance raise are likely to drive short‑term buying interest in SLG and may influence peer REIT valuations.
What to watch
The sale of a 20% joint venture adds cash but reduces future upside from hospitality assets.
SL Green Realty Corp. reports third-quarter 2026 diluted EPS of $1.01 per share and FFO of $1.59 per share; increases 2026 FFO guidance to $6.50-$6.70 per share.
Third-quarter net income, FFO, same-store cash NOI excluding lease termination income, occupancy and leasing mark-to-market all improved against the reported prior-year comparisons, while the nine-month period remained loss-making and FFO declined from a prior-year period that included $71.6 million of income related to the repayment of the commercial mortgage investment at 522 Fifth Avenue.
Key metrics
shortened, hover for the filing’s print| Metric | Value | q/q | y/y |
|---|---|---|---|
| Total revenues, three months ended September 30, 2026GAAP | $273.0M | – | – |
| Total revenues, nine months ended September 30, 2026GAAP | $790.1M | – | – |
| Total expenses, three months ended September 30, 2026GAAP | $305.6M | – | – |
| Total expenses, nine months ended September 30, 2026GAAP | $900.0M | – | – |
| Operating expenses, three months ended September 30, 2026GAAP | $58.7M | – | – |
| Operating expenses, nine months ended September 30, 2026GAAP | $180.4M | – | – |
| Interest expense, net of interest income, three months ended September 30, 2026GAAP | $50.03M | – | – |
| Interest expense, net of interest income, nine months ended September 30, 2026GAAP | $154.9M | – | – |
| Operating income, three months ended September 30, 2026non-GAAP | $127.7M | – | – |
| Operating income, nine months ended September 30, 2026non-GAAP | $331.2M | – | – |
| Net income, three months ended September 30, 2026GAAP | $89.67M | – | – |
| Net income, nine months ended September 30, 2026GAAP | $1.38M | – | – |
| Net income attributable to SL Green common stockholders, three months ended September 30, 2026GAAP | $72.19M | – | – |
| Net income (loss) attributable to SL Green common stockholders, nine months ended September 30, 2026GAAP | −$38.70M | – | – |
| Diluted earnings per share, three months ended September 30, 2026GAAP | $1.01 | – | – |
| Diluted earnings (loss) per share, nine months ended September 30, 2026GAAP | $(0.56) | – | – |
| FFO attributable to SL Green common stockholders and unit holders, three months ended September 30, 2026non-GAAP | $122.1M | – | – |
| FFO attributable to SL Green common stockholders and unit holders, nine months ended September 30, 2026non-GAAP | $296.3M | – | – |
| Diluted FFO per share, three months ended September 30, 2026non-GAAP | $1.59 | – | – |
| Diluted FFO per share, nine months ended September 30, 2026non-GAAP | $3.85 | – | – |
| Same-store cash NOI excluding lease termination income, three months ended September 30, 2026non-GAAP | $159.7M | – | increased by 5.0% |
| Same-store cash NOI excluding lease termination income, nine months ended September 30, 2026non-GAAP | $460.1M | – | increased by 4.2% |
| Same-store cash NOI, three months ended September 30, 2026non-GAAP | $161.0M | – | – |
| Same-store cash NOI, nine months ended September 30, 2026non-GAAP | $468.6M | – | – |
| Cash and cash equivalents as of September 30, 2026GAAP | $186.4M | – | – |
| Total debt, net of deferred financing costs as of September 30, 2026GAAP | $4.27B | – | – |
| Total assets as of September 30, 2026GAAP | $11.79B | – | – |
| Total liabilities as of September 30, 2026GAAP | $7.31B | – | – |
Segments
| Segment | Revenue | q/q | y/y |
|---|---|---|---|
| Rental revenue, net, three months ended September 30, 2026Not separately stated in the filing. | $165.6M | – | – |
| Escalation and reimbursement revenues, three months ended September 30, 2026Not separately stated in the filing. | $20.38M | – | – |
| SUMMIT Operator revenue, three months ended September 30, 2026Not separately stated in the filing. | $34.66M | – | – |
| Investment income, three months ended September 30, 2026Not separately stated in the filing. | $2.62M | – | – |
| Interest income from real estate loans held by consolidated securitization vehicles, three months ended September 30, 2026Not separately stated in the filing. | $14.69M | – | – |
| Fee income, three months ended September 30, 2026Not separately stated in the filing. | $30.60M | – | – |
| Other income, three months ended September 30, 2026Not separately stated in the filing. | $4.54M | – | – |
| Rental revenue, net, nine months ended September 30, 2026Not separately stated in the filing. | $503.4M | – | – |
| Escalation and reimbursement revenues, nine months ended September 30, 2026Not separately stated in the filing. | $61.30M | – | – |
| SUMMIT Operator revenue, nine months ended September 30, 2026Not separately stated in the filing. | $90.31M | – | – |
| Investment income, nine months ended September 30, 2026Not separately stated in the filing. | $7.62M | – | – |
| Interest income from real estate loans held by consolidated securitization vehicles, nine months ended September 30, 2026Not separately stated in the filing. | $44.08M | – | – |
| Fee income, nine months ended September 30, 2026Not separately stated in the filing. | $70.04M | – | – |
| Other income, nine months ended September 30, 2026Not separately stated in the filing. | $13.38M | – | – |
Amounts quoted below without a unit are in thousands, as in the filing’s tables. Per-share figures are as printed.
year ending December 31, 2026 outlook
- NoteFFO guidance of $6.50-$6.70 per share.
- NoteNet income guidance of $0.40-$0.60 per share.
Capital returns
- A quarterly ordinary dividend on outstanding common stock of $0.6175 per share was paid in cash on October 15, 2026, equivalent to an annualized dividend of $2.47 per share.
- A quarterly dividend on outstanding 6.50% Series I Cumulative Redeemable Preferred Stock of $0.40625 per share was paid in cash on October 15, 2026, equivalent to an annualized dividend of $1.625 per share.
What drove it
- Manhattan same-store cash NOI excluding lease termination income increased by 5.0% for the third quarter of 2026.
- The Company signed 38 Manhattan office leases totaling 591,108 square feet in the third quarter of 2026.
- Replacement leases comprising 449,076 square feet had average starting rents of $110.88 per rentable square foot, representing a 13.6% increase over previous fully escalated rents on the same office spaces.
- Manhattan same-store office occupancy increased to 95.0% as of September 30, 2026, inclusive of leases signed but not yet commenced, compared with 92.9% at the end of 2025.
- Gain on sale of real estate, net was $91,445 in the third quarter of 2026.
- The Company deployed $100.7 million of the $1.3 billion Fund during the third quarter.
Concerns
- Interest expense, net of interest income, was $50,026 for the third quarter of 2026, compared with $47,235 for the same period in 2025.
- The increased 2026 FFO guidance reflects $0.25 per share attributable to the higher interest rate environment.
- Net loss attributable to SL Green common stockholders was $(38,702), or $(0.56) per diluted share, for the nine months ended September 30, 2026.
- Nine-month diluted FFO per share was $3.85, compared with $4.60 for the same period in 2025; the 2025 period included $71.6 million, or $0.94 per share, of income excluding interest income related to the repayment of the commercial mortgage investment at 522 Fifth Avenue.
- Total debt, net of deferred financing costs, was $4,266,834 as of September 30, 2026, compared with $3,931,436 as of December 31, 2025.
What to watch
- Closing of the 110 Greene Street sale, expected in the fourth quarter of 2026, and the use of approximately $216.0 million of expected net cash proceeds for corporate debt repayment.
- Delivery of the increased full-year FFO guidance range of $6.50-$6.70 per share and net income guidance range of $0.40-$0.60 per share.
- Manhattan same-store office occupancy of 95.0% and commencement of leases signed but not yet commenced.
- Leasing economics, including the 13.6% third-quarter mark-to-market on replacement leases, average concessions of 8.2 months of free rent, and average tenant improvement allowance of $85.20 per rentable square foot.
- Further deployment and funding of the SLG Opportunistic Debt Fund, which had total deployment of $643.1 million, including $528.8 million funded and $18.9 million repaid.
Balance sheet and cash flow
- Cash and cash equivalents were $186,439 as of September 30, 2026, compared with $155,747 as of December 31, 2025.
- Total debt, net of deferred financing costs, was $4,266,834 as of September 30, 2026, compared with $3,931,436 as of December 31, 2025.
- Revolving credit facility was $930,000 as of September 30, 2026, compared with $640,000 as of December 31, 2025.
- The Company entered into a contract to sell 110 Greene Street for total consideration of $226.0 million and expects approximately $216.0 million of net cash proceeds to be used for corporate debt repayment.
- The Company received net cash proceeds of $99.0 million from the sale of 10 East 53rd Street.
- In October, the Company received proceeds of $40.0 million from the sale of a 20% joint venture interest in an entity related to its food and beverage hospitality operations.
- In October, the Company received net cash proceeds of $8.7 million from the sale of the office condominium at 185 Broadway.
- The Company and its joint venture partner closed on a $2.0 billion refinancing of 245 Park Avenue with a five-year fixed-rate financing at 6.52%; SL Green hedged its share to an effective interest rate of 6.37%.
Analysis
SL Green reported a materially higher third-quarter GAAP result, with net income attributable to common stockholders of $72.2 million, or $1.01 per diluted share, compared with $24.9 million, or $0.34 per diluted share, in the same period in 2025. The quarter included a $91.445 million gain on sale of real estate, net. FFO attributable to common stockholders and unit holders was $122.074 million, while diluted FFO per share was $1.59, compared with $1.58 in the prior-year quarter.
Core Manhattan office indicators strengthened. Manhattan same-store cash NOI excluding lease termination income increased 5.0% in the quarter. The company signed 38 Manhattan office leases totaling 591,108 square feet, and replacement leases totaling 449,076 square feet carried average starting rents of $110.88 per rentable square foot, a 13.6% increase over prior fully escalated rents on the same spaces. Occupancy reached 95.0% as of September 30, 2026, inclusive of signed leases not yet commenced, versus 92.9% at the end of 2025.
Revenue was $273,025 in the third quarter, compared with $244,817 in the prior-year period. Rental revenue, net was $165,552, fee income was $30,596, and SUMMIT Operator revenue was $34,655. Total expenses were $305,643, including $50,026 of interest expense, net of interest income, compared with $47,235 a year earlier. The filing specifically identifies a $0.25 per share impact from the higher interest rate environment in its revised annual FFO guidance.
The nine-month figures were weaker than the third-quarter presentation. The company reported a net loss attributable to common stockholders of $38.7 million, or $0.56 per diluted share, and diluted FFO per share of $3.85, compared with $4.60 in the prior-year period. The company stated that the prior-year nine-month FFO included $71.6 million, or $0.94 per share, of income excluding interest income related to the repayment of the commercial mortgage investment at 522 Fifth Avenue.
Capital activity included the completed sale of 10 East 53rd Street, which generated $99.0 million of net cash proceeds, and an agreement to sell 110 Greene Street for $226.0 million of total consideration and approximately $216.0 million of expected net cash proceeds for corporate debt repayment. The company also completed a $2.0 billion refinancing of 245 Park Avenue at 6.52%, with SL Green hedging its share to an effective interest rate of 6.37%. Total debt, net of deferred financing costs, was $4,266,834 at September 30, 2026, compared with $3,931,436 at December 31, 2025.
Management raised full-year 2026 FFO guidance to $6.50-$6.70 per share from $5.60-$5.90 per share and raised net income guidance to $0.40-$0.60 per share from $0.20-$0.50 per share. The FFO increase reflects $1.10 per share of incremental income from selling a 20% joint venture interest related to the food and beverage hospitality operations, offset by the stated $0.25 per share interest-rate impact.
Not in the filing
stated, not guessed- Gross margin was not reported.
- Operating cash flow was not reported.
- Free cash flow was not reported.
- Share repurchases were not reported.
- Revenue, gross margin, operating expense, and tax-rate guidance were not reported.
- Prior-quarter comparisons were not reported for the reported metrics.
- Named executive quotes were not included in the filing text.
- A separately provided previous earnings release outlook for formal actual-versus-prior-guidance comparison was not provided.
AlphAI analysis generated from the company’s SEC earnings filing (Form 8-K Item 2.02, or Form 6-K for a foreign private issuer). Every figure was cross-checked against the filing text; consensus estimates, price targets and share-price reactions are not shown because they are not in the filing. AI-generated research, not investment advice.
Background
SL Green Realty Corp. filed a Form 8‑K with quarterly results and updated guidance.
Ticker impact
SL Green Realty Corp. reported Q3 2026 EPS of $1.01 and raised its 2026 FFO guidance to $6.50‑$6.70 per share.
likely upward pressure as investors price in higher earnings outlook
The company disclosed a material increase in FFO guidance and a strong quarterly EPS beat, which typically supports a price rally.
Market effects
Higher FFO guidance may lift other Manhattan office REITs as it signals strong demand for office space.
Positive for New York commercial real estate market.
Limited to US REIT sector.
Counterpoint
If the higher interest rate environment persists, the incremental income may be offset, limiting upside.
Key entities
- CompanySL Green Realty Corp.
NYC office REIT that issued the earnings and guidance update.
