SL Green Realty Corp. (NYSE: SLG) observed a marginal decrease in its stock value on Monday, registering a modest 0.47% decline to conclude the trading activity at $34.24. This transpired despite a substantial divestiture by a key company executive.
In a filing submitted to the Securities and Exchange Commission (SEC) yesterday, it was detailed that SL Green’s President, Mr. Andrew Mathias, liquidated 176,960 shares on November 2, 2023. This transaction was executed at a per-share price of $32.08, yielding total proceeds of $5,676,877. Notably, Mr. Mathias, who is slated to depart from the company at the close of December 31, 2023, currently retains ownership of 6,049 shares in the firm.
However, amidst this notable insider transaction, recent developments appeared to contribute to the stability of SLG stock. Last month, SL Green entered into an agreement for the disposition of its equity interests pertaining to the condominium units situated at 21 East 66th Street, commanding a total consideration of $40.6 million. The sale is expected to conclude in the fourth quarter of 2023, subject to customary closing conditions.
Subsequent to a UCC foreclosure event, SL Green successfully converted its prior mezzanine debt investments into a 90.43% ownership interest in the fee interest associated with 625 Madison Avenue. This fee interest is encumbered by a third-party mortgage with a principal value of $223.0 million, scheduled to mature in December 2026 and bearing interest at a fixed rate of 6.05%.
Moreover, in September, the 1.4 million square foot office tower at One Madison Avenue attained its Temporary Certificate of Occupancy (TCO), signifying the completion of the development project three months ahead of the scheduled timeline and significantly under budget. This achievement triggered cash payments to the Company, totaling $577.4 million, representing the ultimate equity payment from its joint venture partners.
Throughout the year 2023, SL Green has effectively executed a series of refinancings, extensions, or modifications, totaling $3.2 billion, while concurrently reducing its combined debt burden by $1.0 billion.
