SL Green Raises 2026 FFO Outlook After Third-Quarter Income Rises

SL Green Realty Corp. raised its 2026 funds from operations (FFO) outlook to $6.50-$6.70 per share after third-quarter net income attributable to common stockholders climbed to $72.2 million from $24.9 million a year earlier. The quarter ended Sept. 30, 2026.

Revenue totaled $273.03 million, up from $244.82 million in the year-earlier quarter. The increase was $28.21 million, or about 11.5%. Net income rose by $47.3 million over the same period.

Quarterly FFO was $122.1 million, or $1.59 per diluted share, compared with $120.4 million, or $1.58 per share, a year earlier. The total increased by $1.7 million, while FFO per share was one cent higher.

FFO is a non-GAAP measure. SL Green’s calculation starts with GAAP net income, adds real estate depreciation and amortization, excludes property-sale gains or losses and real estate impairment charges, and adjusts for joint ventures. The measure and net income are distinct figures in the company’s results.

The new full-year FFO range replaces guidance of $5.60-$5.90 per share. SL Green also raised its net income outlook to $0.40-$0.60 per share from $0.20-$0.50. A $1.10-per-share contribution tied to the sale of a 20% hospitality joint-venture interest lifted the FFO outlook, while higher interest rates reduced it by $0.25 per share.

The October sale had a gross valuation of $200 million and generated $40 million in proceeds. The transaction was part of the company’s outlook update.

Manhattan same-store cash net operating income, including SL Green’s share of unconsolidated joint ventures and excluding lease-termination income, rose 5% year over year. SL Green is a real estate investment trust focused primarily on commercial properties in Manhattan.