SL Green’s FFO Hits $179M in Q2, But Tiptoes Into Second Half

NEW YORK CITY-Despite strong gains thus far in 2012, SL Green Realty Corp., the city’s largest office landlord, is moving from an aggressive stance to a more neutral one as the REIT approaches the second half of the year, company officials explained during its second quarter earnings call on Thursday afternoon. The REIT reported funds from operations of $179 million in Q2, an uptick of nearly $67.9 million from Q2 2011’s FFO of $92.9 million, mainly due to the recapitalization of 717 Fifth Ave. shortly before the quarter ended on June 30.

Marc Holliday, CEO of SL Green, told investors on the call that several other recent deals put a capstone on the quarter, including major retail leases to Express and Sam Ash in Midtown, the completion of the $500 million sale of One Court Square in Long Island City and $48.5 million disposition of 379 West Broadway in SoHo, the $135 million acquisition of 304 Park Avenue South and major lease renewals to Viacom, Random House and the City of New York and a $775 million refinancing at 1515 Broadway.