SL Green President to Step Down

SL Green President Andrew Mathias will step down on Dec. 31st. Image courtesy of SL Green

After 17 years at SL Green Realty Corp., Manhattan’s largest landlord, Andrew Mathias will step down as president of the office REIT on Dec. 31, when his current employment agreement ends.

He will remain a member of the company’s board of directors and will serve as an advisor to CEO Marc Holliday. Mathias, who joined the company in 1999 as vice president, rose through the executive leadership ranks as he helped SL Green become New York City’s largest commercial office landlord and one of the nation’s leading REITs. He was named chief investment officer in 2004 and president in 2007. Mathias was appointed to the SL Green board of directors in July 2014.

In prepared remarks, Holliday described Mathias as a true partner in all that the company has accomplished, working side-by-side to take the company from an IPO to the office market leader in New York City. Holliday stated Mathias’ imprint will be felt on the company for years to come and credited his vision, leadership and role as a mentor.

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Mathias said in a prepared statement his time at SL Green has been an extraordinary experience. He said he was proud of everything they had achieved for shareholders, company employees and the city.

He received numerous recognitions and honors during his tenure at SL Green including being featured in Crain’s New York Business “40 under 40” in 2007 and was named to the New York Commercial Observer’s “Power 100” more than a dozen times. Mathias has been honored by New York City major institutions including Pace University and Memorial Sloan Kettering, and currently serves on the board of directors for the Regional Plan Association.

Marc Holliday, Chairman & CEO, SL Green. Image courtesy of SL Green

Bisnow reported Mathias had a two-year contract that began Jan. 1, 2022, with an annual base salary of $950,000 and laid out performance benchmarks that if hit, could have boosted his compensation to more than $6 million. Other media reports put Mathias’ 2022 compensation at approximately $12 million. An 8-K filing with the U.S. Securities and Exchange Commission states his departure was not the result of any disagreement or dispute between Mathias and the company. To assist with an orderly transition, Mathias signed a non-renewal and advisory agreement with the company which will run from Jan. 1, 2024, through Dec. 31, 2024, and will be subject to successive one-year renewal periods. For the first six months, Mathias will continue to use his existing office space at One Vanderbilt, the 93-story office tower developed by SL Green, Hines and the National Pension Service of Korea that opened in September 2020 in Midtown Manhattan at 42nd Street and Vanderbilt Avenue.

SL Green’s growth

One Vanderbilt was just one very big, actually supertall, example of Mathias’ impact on the company. During Mathias’ tenure at SL Green, he played a key role in the company’s historic growth as it acquired, developed and managed some of the city’s largest office buildings. As of June 30, SL Green held interests in 60 buildings totaling 33.1 million square feet. This includes ownership interests in 28.8 million square feet of Manhattan buildings and 3.4 million square feet securing debt and preferred equity investments.

On Sept. 27, SL Green and joint venture partners Hines and the National Pension Service of Korea announced the completion of the $2.3 billion redevelopment of One Madison Avenue, a 1.4 million-square-foot office building in Manhattan’s Gramercy Park. The project was completed three months ahead of schedule. Major tenants include Palo Alto Networks, Franklin Templeton and IBM Corp.

In June, SL Green sold a 49.9 percent stake in 245 Park Ave., a 1.8 million-square-foot Midtown Manhattan office tower, to a U.S. affiliate of Mori Trust Co., in a deal that valued the asset at $2 billion. The sale is a key step in SL Green’s planned repositioning and redevelopment of the property.

While no decisions have been made, SL Green is one of several development companies seeking a gaming license for a Manhattan casino. SL Green has teamed up with Caesars Entertainment for its bid, which would entail redeveloping the company’s 54-story, 1.9 million-square-foot mixed-use tower at 1515 Broadway in Times Square.