Whateveropportunity might open in the U.K.'s office sector as a result of the Brexit referendumwill not likely be enough to persuade SLGreen Realty Corp. to enter the market.
An analystasked executives during the Q&A segment of the company's July 21 second-quarterearnings if the Brexit tumult had piqued theirinterest in London. CEO Marc Holliday said the event had, ifanything, bolstered the company's commitment to New York, which he said has superior"liquidity, stability, transparency [and] depth of market participants"relative to the U.K. capital city.
"Idon't think there's any more desire in our part to diversify into that market orother markets, which we would almost deem as … adverse diversification," Hollidaysaid. "There's plenty for us to do in [New York] in office, retail, multi,debt and preferred equity. We've got actually quite a full plate. And while theremay be some good opportunities in London that emerge, my guess is that they willbe taken advantage of by people who have, or groups that have, significant footprintsin that market."
Investorsgave SL Green's stock a sizeable lift in afternoon trading July 21, after the companydetailed a robust Manhattan leasing market on the earnings call.