We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
SL Green Sees Solid Leasing Velocity in First 2 Months of 2020
Read MoreHide Full Article
SL Green Realty Corp. (SLG - Free Report) is witnessing solid leasing velocity across its markets. The company made an encouraging start to 2020 by signing 239,771 square feet of office leases during the first two months of the year, at a mark-to-market of 12.2% over the prior fully escalated rents on the same spaces.
Management noted that there is continued tenant demand in the TAMI, legal and financial services sectors. This is driving solid leasing velocity across all market segments and price points.
Among the significant leases signed in the initial months of the current year, one includes a renewal and expansion with Hudson Yards Construction LLC for 75,704-square-foot lease at 410 Tenth Avenue, for 25 years. The other one is a new lease with Memorial Hospital for Cancer and Allied Diseases, for the full second floor at 485 Lexington Avenue spanning 54,199 square feet, for 10 years. Furthermore, a new lease has been signed with an internationally-renowned fashion brand — KCP Holdco, Inc. — for 37,169 square feet of space at 707 Eleventh Avenue, for 10 years.
In a separate press release, the company also announced the acquisition of 126-132 Nassau Street and plans to build new 215,000-square-foot building for long-term tenant on the site by demolishing the existing 98,412-square-foot office building.
This marks the company’s fourth ground-up construction project in Lower Manhattan, aimed at capitalizing on the region’s solid growth potential. In fact, serving as a center of commercial, residential and retail activity, Lower Manhattan has emerged as a preferred global destination.
Notably, SL Green owns premium office properties in Manhattan and enjoys a solid balance sheet. The company is well poised to benefit from the resilient economy and stable job-market environment that has been spurring demand for office spaces, given its large footprint in New York Metropolitan area. However, rising supply of office properties and a competitive landscape might curb its pricing power.
Shares of this Zacks Rank #3 (Hold) company have gained 0.7% in the past six months, as against the industry’s loss of 8.8%.
Highwoods Properties’ (HIW - Free Report) Zacks Consensus Estimate for the current-year FFO per share has moved marginally upward to $3.63 over the past month. Shares of this Zacks #2 Ranked company have gained 3.4% over the past year.
Piedmont Office Realty Trust, Inc. (PDM - Free Report) also carries a Zacks Rank of 2, currently. The company’s ongoing-year FFO per share estimate moved 3.2% north to $1.96 in a month’s time. The stock has rallied 9.5% in the past 12 months.
Note: Anything related to earnings presented in this write-up represents funds from operations (FFO) — a widely used metric to gauge the performance of REITs.
Breakout Biotech Stocks with Triple-Digit Profit Potential
The biotech sector is projected to surge beyond $775 billion by 2024 as scientists develop treatments for thousands of diseases. They’re also finding ways to edit the human genome to literally erase our vulnerability to these diseases.
Zacks has just released Century of Biology: 7 Biotech Stocks to Buy Right Now to help investors profit from 7 stocks poised for outperformance. Our recent biotech recommendations have produced gains of +50%, +83% and +164% in as little as 2 months. The stocks in this report could perform even better.
Image: Bigstock
SL Green Sees Solid Leasing Velocity in First 2 Months of 2020
SL Green Realty Corp. (SLG - Free Report) is witnessing solid leasing velocity across its markets. The company made an encouraging start to 2020 by signing 239,771 square feet of office leases during the first two months of the year, at a mark-to-market of 12.2% over the prior fully escalated rents on the same spaces.
Management noted that there is continued tenant demand in the TAMI, legal and financial services sectors. This is driving solid leasing velocity across all market segments and price points.
Among the significant leases signed in the initial months of the current year, one includes a renewal and expansion with Hudson Yards Construction LLC for 75,704-square-foot lease at 410 Tenth Avenue, for 25 years. The other one is a new lease with Memorial Hospital for Cancer and Allied Diseases, for the full second floor at 485 Lexington Avenue spanning 54,199 square feet, for 10 years. Furthermore, a new lease has been signed with an internationally-renowned fashion brand — KCP Holdco, Inc. — for 37,169 square feet of space at 707 Eleventh Avenue, for 10 years.
In a separate press release, the company also announced the acquisition of 126-132 Nassau Street and plans to build new 215,000-square-foot building for long-term tenant on the site by demolishing the existing 98,412-square-foot office building.
This marks the company’s fourth ground-up construction project in Lower Manhattan, aimed at capitalizing on the region’s solid growth potential. In fact, serving as a center of commercial, residential and retail activity, Lower Manhattan has emerged as a preferred global destination.
Notably, SL Green owns premium office properties in Manhattan and enjoys a solid balance sheet. The company is well poised to benefit from the resilient economy and stable job-market environment that has been spurring demand for office spaces, given its large footprint in New York Metropolitan area. However, rising supply of office properties and a competitive landscape might curb its pricing power.
Shares of this Zacks Rank #3 (Hold) company have gained 0.7% in the past six months, as against the industry’s loss of 8.8%.
Stocks to Consider
Prologis, Inc. (PLD - Free Report) currently carries a Zacks Rank of 2. The company’s FFO per share estimate for 2020 has been revised 1.4% upward to $3.72 in a month’s time. The stock has rallied 25.5% in 12 months’ time. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Highwoods Properties’ (HIW - Free Report) Zacks Consensus Estimate for the current-year FFO per share has moved marginally upward to $3.63 over the past month. Shares of this Zacks #2 Ranked company have gained 3.4% over the past year.
Piedmont Office Realty Trust, Inc. (PDM - Free Report) also carries a Zacks Rank of 2, currently. The company’s ongoing-year FFO per share estimate moved 3.2% north to $1.96 in a month’s time. The stock has rallied 9.5% in the past 12 months.
Note: Anything related to earnings presented in this write-up represents funds from operations (FFO) — a widely used metric to gauge the performance of REITs.
Breakout Biotech Stocks with Triple-Digit Profit Potential
The biotech sector is projected to surge beyond $775 billion by 2024 as scientists develop treatments for thousands of diseases. They’re also finding ways to edit the human genome to literally erase our vulnerability to these diseases.
Zacks has just released Century of Biology: 7 Biotech Stocks to Buy Right Now to help investors profit from 7 stocks poised for outperformance. Our recent biotech recommendations have produced gains of +50%, +83% and +164% in as little as 2 months. The stocks in this report could perform even better.
See these 7 breakthrough stocks now>>