SL GREEN REALTY CORP. Overview
SL Green Realty Corp. , which is referred to as SL Green or the Company, aMaryland corporation, andSL Green Operating Partnership, L.P. , which is referred to as SLGOP or theOperating Partnership , aDelaware limited partnership, were formed inJune 1997 for the purpose of combining the commercial real estate business ofS.L. Green Properties, Inc. and its affiliated partnerships and entities. The Company is a self-managed real estate investment trust, or REIT, engaged in the acquisition, development, ownership, management and operation of commercial and residential real estate properties, principally office properties, located in theNew York metropolitan area. Unless the context requires otherwise, all references to "we," "our" and "us" means the Company and all entities owned or controlled by the Company, including theOperating Partnership . The following discussion related to our consolidated financial statements should be read in conjunction with the financial statements appearing in this Quarterly Report on this Form 10-Q and in Item 8 of our Annual Report on Form 10-K for the year endedDecember 31, 2020 . As ofMarch 31, 2021 , we owned the following interests in properties in theNew York metropolitan area, primarily in midtownManhattan . Our investments located outside ofManhattan are referred to as the Suburban properties: Consolidated Unconsolidated Total Property Approximate Square Feet Approximate Square Feet Approximate Square Feet Weighted Average Location Type Number of Buildings (unaudited) Number of Buildings (unaudited) Number of Buildings (unaudited) Occupancy(1) (unaudited) Commercial:Manhattan Office 18 10,526,345 9 10,869,183 27 21,395,528 93.4 % Retail 1 10,040 9 301,996 10 312,036 94.6 % Development/Redevelopment (1) 9 1,890,614 3 2,927,782 12 4,818,396 N/A 28 12,426,999 21 14,098,961 49 26,525,960 93.5 % Suburban Office 7 862,800 - - 7 862,800 81.6 % Total commercial properties 35 13,289,799 21 14,098,961 56 27,388,760 93.0 % Residential:Manhattan Residential 1 82,250 8 1,663,774 9 1,746,024 79.1 % Total portfolio 36 13,372,049 29 15,762,735 65 29,134,784 92.2 % (1)The weighted average occupancy for commercial properties represents the total occupied square footage divided by the total square footage at acquisition. The weighted average occupancy for residential properties represents the total occupied units divided by the total available units. Properties under construction are not included in the calculation of weighted average occupancy. As ofMarch 31, 2021 , we also managed two office buildings owned by third parties encompassing approximately 2.1 million square feet (unaudited), and held debt and preferred equity investments with a book value of$1.1 billion , excluding$0.1 billion of debt and preferred equity investments and other financing receivables that are included in other balance sheet line items other than the Debt and preferred equity investments line item. Critical Accounting Policies Refer to the 2020 Annual Report on Form 10-K of the Company and theOperating Partnership for a discussion of our critical accounting policies, which include investment in commercial real estate properties, investment in unconsolidated joint ventures, lease classification, revenue recognition, and debt and preferred equity investments. During the three months endedMarch 31, 2021 , there were no material changes to these policies. 60
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Results of Operations The COVID-19 pandemic has caused, and continues to cause, severe disruptions with wide ranging impacts to the global economy and everyday life. Our business, results of operations, liquidity, cash flows, prospects, and our ability to achieve forward-looking targets and expectations could be materially and adversely affected for at least the duration of the COVID-19 pandemic and likely longer. This could also cause significant volatility in the trading prices of our securities. The extent of the impact of the COVID-19 pandemic will depend on future developments, including the duration, severity and spread of the pandemic, health and safety actions taken to contain its spread including vaccination efforts, and how quickly and to what extent normal economic and operating conditions can resume. Additionally, the COVID-19 pandemic could increase the magnitude of many of the other risks described in our latest Annual Report on Form 10-K and our otherSEC filings and may have other adverse effects on our operations that we are not currently able to predict. Comparison of the three months endedMarch 31, 2021 to the three months endedMarch 31, 2020 The following comparison for the three months endedMarch 31, 2021 , or 2021, to the three months endedMarch 31, 2020 , or 2020, makes reference to the effect of the following: i."Same-Store Properties ," which represents all operating properties owned by us atJanuary 1, 2020 and still owned by us in the same manner atMarch 31, 2021 (Same-Store Properties totaled 25 of our 36 consolidated operating buildings), ii."Acquisition Properties ," which represents all properties or interests in properties acquired in 2021 and 2020 and all non-Same-Store Properties , including properties that are under development or redevelopment, iii."Disposed Properties ," which represents all properties or interests in properties sold in 2021 and 2020, and iv."Other," which represents properties where we sold an interest resulting in deconsolidation and corporate level items not allocable to specific properties, as well as the Service Corporation and eEmerge Inc.
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