Segment Information

12 Months Ended

Dec. 31, 2011

Segment Information

Segment Information

19. Segment Information

        We are a REIT engaged in owning, managing, leasing, acquiring and repositioning commercial office and retail properties in the New York Metropolitan area and have two reportable segments, real estate and debt and preferred equity investments. We evaluate real estate performance and allocate resources based on earnings contribution to income from continuing operations.

        Our real estate portfolio is primarily located in the geographical markets of the New York Metropolitan area. The primary sources of revenue are generated from tenant rents and escalations and reimbursement revenue. Real estate property operating expenses consist primarily of security, maintenance, utility costs, real estate taxes and ground rent expense (at certain applicable properties). See Note 5 for additional details on our debt and preferred equity investments.

        Selected results of operations for the years ended December 31, 2011, 2010 and 2009, and selected asset information as of December 31, 2011 and 2010, regarding our operating segments are as follows (in thousands):

	Real Estate Segment		Debt and Preferred Equity Segment			Total Company
Total revenues
Year ended:
December 31, 2011	$	1,143,010	$	120,418		$	1,263,428
December 31, 2010		936,460		147,926			1,084,386
December 31, 2009		912,753		65,608			978,361
Income from continuing operations before equity in net gain on sale of unconsolidated joint venture/ partial interest and purchase price fair value adjustments:
Year ended:
December 31, 2011	$	22,890	$	101,254		$	124,144
December 31, 2010		27,101		120,585			147,686
December 31, 2009		154,156		(89,659	)		64,497
Total assets
As of:
December 31, 2011	$	12,490,502	$	993,350		$	13,483,852
December 31, 2010		10,330,043		970,251			11,300,294

        Income from continuing operations represents total revenues less total expenses for the real estate segment and total investment income less allocated interest expense for the debt and preferred equity segment. Interest costs for the debt and preferred equity segment are imputed assuming 100% leverage at our 2011 revolving credit facility borrowing cost. We also allocate loan loss reserves to the debt and preferred equity segment. We do not allocate marketing, general and administrative expenses and transaction related costs (approximately $85.7 million, $87.8 million and $74.0 million for the years ended December 31, 2011, 2010 and 2009, respectively) to the debt and preferred equity segment since we base performance on the individual segments prior to allocating marketing, general and administrative expenses. All other expenses, except interest, relate entirely to the real estate assets.

        There were no transactions between the above two segments.

        The table below reconciles income from continuing operations to net income attributable to SL Green common stockholders for the years ended December 31, 2011, 2010 and 2009 (in thousands):

	Years ended December 31,
	2011			2010			2009
Income from continuing operations before equity in net gain on sale of unconsolidated joint venture/ partial interest and purchase price fair value adjustments	$	124,144		$	147,686		$	64,497
Equity in net gain on sale of interest in unconsolidated joint venture/ real estate		2,918			128,921			6,691
Purchase price fair value adjustment		498,195			—			—
Income from continuing operations		625,257			276,607			71,188
Net income from discontinued operations		5,780			7,064			7,318
Gain (loss) on sale of discontinued operations		46,085			35,485			(6,841	)
Net income		677,122			319,156			71,665
Net income attributable to noncontrolling interests in operating partnership		(14,629	)		(4,574	)		(1,221	)
Net income attributable to noncontrolling interests in other partnerships		(15,083	)		(14,007	)		(12,900	)
Net income attributable to SL Green		647,410			300,575			57,544
Preferred stock dividends		(30,178	)		(29,749	)		(19,875	)
Net income attributable to SL Green common stockholders	$	617,232		$	270,826		$	37,669