Vornado Realty Stock Price, News & Analysis

Vornado Realty Trust (NYSE: VNO) has priced a $400 million offering of 2.15% senior unsecured notes due June 1, 2026, and $350 million of 3.40% senior unsecured notes due June 1, 2031. The notes will pay interest semi-annually. The total net proceeds of approximately $743 million will fund Eligible Green Projects and repay existing mortgage debt on theMART. This is Vornado’s second green bond offering, following a $450 million offering in 2014. The offering is expected to close on May 24, 2021, subject to customary closing conditions.

Vornado Realty Trust (NYSE: VNO) has successfully refinanced 555 California Street, a premier three-building office campus in San Francisco, totaling $1.2 billion. The new interest-only loan features a rate of LIBOR plus 1.93% for the first five years, increasing to LIBOR plus 2.43% by year seven, maturing in May 2028. Vornado's share of the net proceeds is approximately $454 million, replacing a previous $533 million loan at a fixed rate of 5.10%. The company maintains a 70% controlling interest in the partnership owning the buildings.

Vornado Realty Trust (NYSE: VNO) reported a net income of $4.08 million, or $0.02 per diluted share, for Q1 2021, a decrease from $4.96 million, or $0.03 per diluted share, in Q1 2020. The adjusted net income was $12.45 million, down from $31.95 million year-over-year. Funds from Operations (FFO) were $118.41 million, or $0.62 per diluted share, a decline from $130.36 million, or $0.68 per diluted share in the prior year. The company experienced challenges due to the ongoing COVID-19 pandemic, with 96% of rent collected and the permanent closure of the Hotel Pennsylvania impacting financial results.

Vornado Realty Trust (NYSE:VNO) announced the declaration of quarterly preferred dividends as follows:

• Series A Convertible: $0.8125 per share
• Series K Cumulative Redeemable: $0.35625 per share
• Series L Cumulative Redeemable: $0.3375 per share
• Series M Cumulative Redeemable: $0.328125 per share
• Series N Cumulative Redeemable: $0.328125 per share

These dividends are payable on July 1, 2021, to shareholders of record as of June 15, 2021.

Vornado Realty Trust (NYSE:VNO) announced a quarterly dividend of $0.53 per share, payable on May 21, 2021, to shareholders of record as of May 10, 2021. This decision reflects the company's continued commitment to returning value to its investors.

However, the press release also highlights the ongoing impact of the COVID-19 pandemic on its business operations and tenant performance, which may affect future financial outcomes and presents several risks related to property improvements and financing commitments.

Vornado Realty Trust (NYSE: VNO) announced it will file its quarterly report on Form 10-Q for the quarter ending March 31, 2021, on May 3, 2021, after market close. A conference call will follow on May 4, 2021, at 10:00 a.m. ET to discuss earnings. Participants can join by phone or via a live webcast, accessible on www.vno.com. The report is expected to cover financial performance, although the company warns that the ongoing COVID-19 pandemic continues to pose significant risks to operations and financial health.

On April 16, 2021, Vornado Realty Trust (NYSE: VNO) announced the extension of one of its unsecured revolving credit facilities until April 2026, with the interest rate reduced from LIBOR plus 100 basis points to LIBOR plus 90 basis points. The facility fee remains unchanged at 20 basis points. Vornado's other $1.5 billion revolving credit facility, maturing in March 2024, also has an interest rate of LIBOR plus 90 basis points and a 20 basis points facility fee. This strategic financial maneuver strengthens Vornado's liquidity and operational flexibility amid ongoing market uncertainties.

Vornado Realty Trust (NYSE: VNO) announced the promotion of Jan LaChapelle to Executive Vice President – Head of Capital Markets as of April 15, 2021. LaChapelle, who joined Vornado in 2014, previously served as Senior Vice President of Capital Markets and has a decade of experience at Wells Fargo’s real estate banking group. She succeeds Mark Hudspeth, who is leaving for a role at Blackstone Real Estate. This management change is pivotal in steering Vornado's capital markets strategy amid ongoing market challenges from the COVID-19 pandemic.

Vornado Realty Trust (NYSE: VNO) has released its 2020 Environmental, Social, & Governance (ESG) report, marking the twelfth annual report that outlines significant achievements in sustainability. Highlights include top GRESB scores, recognition as a NAREIT Leader in the Light for 11 years, and accolades such as the EPA ENERGY STAR Partner of the Year. The company is also acknowledged for its COVID-19 response and is committed to transparency in ESG practices, adhering to Sustainability Accounting Standards Board guidelines. More details are available on their website.