SLG

SL Green is the largest Manhattan office landlord, with 16 consolidated buildings (~9.5M sq ft) plus 10 unconsolidated buildings (~13.9M sq ft) concentrated in midtown. The 2025 numbers show a real top-line recovery — revenue grew 13.2% to $1.00B, the first material acceleration in years after FY2021-2024 stagnated in the $861M-$919M band. Operating margin remains exceptional at 65.0%, reflecting the structural economics of owning trophy office assets. However, the same filing shows the recovery is uneven beneath the headline: net income swung back to -$96.9M from a slim +$22.0M in FY2024, diluted EPS is -$1.61, and ROE is negative at -2.6%. This is the third loss in five years (FY2022, FY2023, FY2025), and accumulated retained earnings are now -$742M (down another 65.2%), reflecting the long hangover from the post-2020 Manhattan office reset.

The Properties disclosure is the pivot point. Same-store Manhattan office is 87.8% leased / 84.1% occupied on a weighted basis — respectable for midtown post-pandemic, with trophy assets (125 Park Ave at 99.2% leased, 100 Church at 93.5%) carrying weaker towers (485 Lex 79.7%, 555 W 57th 77.2%, 711 Third 77.0%, 1185 Ave of Americas 89.0%/74.5% occupied). The economic occupancy gap (82.5% vs 84.1% physical) signals free-rent concessions are still being amortized — a recurring drag on cash rent vs GAAP rent. The MD&A's emphasis on fair-value estimates ('cash flow projections... discount rates and capitalization rates') is a tell: in a higher-rate world, cap-rate expansion is what produced the recurring impairments visible in the loss history.