NEW YORK CITY-SL Green has reported its fourth quarter earnings, as well as its full-year activity for 2013—and the company has much to brag about.
The city's largest building owner last year formed a joint venture to acquire a 49-year leasehold interest covering the entire retail portion of 650 Fifth Ave. The venture subsequently entered an agreement to buy out the lease of retailer Juicy Couture, accelerating the venture's ability to reposition the building's premier retail corner location.
SL Green also closed on the sale of its joint venture interest in 27-29 W. 34th St. for an allocated sales price of $70.1 million, 21-25 W. 34th Street for an allocated sales price of $114.9 million and on the acquisition of a cluster of retail development properties located on Fifth avenue for $146.2 million. The company originated new debt investments totaling $412.3 million in the fourth quarter.
A total of 57 Manhattan office leases covering 3,391,447 square feet were signed by SL Green during the fourth quarter, including the 2,634,670-square-foot extension with an affiliate of Citigroup. The firm also signed a total of 35 suburban office leases covering 183,896 square feet during the fourth quarter. Meanwhile, the company closed on a $79.2 million, 2.4-year loan extension of the mortgage at 16 Court St. in Brooklyn and on a $300 million refinancing of its debt and preferred equity liquidity facility.
SL Green reported funds from operations, or FFO, of $134.5 million, or $1.38 per share, after giving consideration to transaction costs of $3.6 million, or $0.04 per share, for the quarter ended December 31, 2013, compared to $107.2 million, or $1.14 per share, after giving consideration to transaction costs of $1.5 million, or $0.02 per share for the same quarter in 2012.
The company also reported FFO of $491.6 million, or $5.16 per share, after giving consideration to transaction costs of $4.3 million, or $0.5 per share, for the year ended December 31, 2013, compared to $490.3 million, or $5.28 per share, after giving consideration to transaction costs of $6.6 million, or $0.07 per share, for the year ended December 31, 2012. The prior year results reflect additional income of $67.9 million, or $0.73 per share, relating to profit from the recapitalization of 717 Fifth Ave.
SL Green increased its quarterly dividend by 52% to a new annual rate of $2.00 per share, beginning with the fourth quarter dividend, which was paid in January 2014.
Want to continue reading?
Become a Free ALM Digital Reader.
Once you are an ALM Digital Member, you’ll receive:
- Breaking commercial real estate news and analysis, on-site and via our newsletters and custom alerts
- Educational webcasts, white papers, and ebooks from industry thought leaders
- Critical coverage of the property casualty insurance and financial advisory markets on our other ALM sites, PropertyCasualty360 and ThinkAdvisor
Already have an account? Sign In Now
*May exclude premium content© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
Rayna Katz
Rayna Katz is a seasoned business journalist whose extensive experience includes coverage of the lodging sector, travel and the culinary space. She was most recently content director for a business-to-business publisher, overseeing four publications. While at Meeting News, a travel trade publication, she received a Best Reporting award for a story on meeting cancellations in New Orleans during Hurricane Katrina.
