Vornado Realty Stock Price, News & Analysis

Vornado Realty Trust (NYSE:VNO) has successfully completed a $450 million refinancing of PENN 11, a 1.2 million square foot Manhattan office building in THE PENN DISTRICT. The new five-year interest-only loan will mature in August 2030 with a fixed rate of 6.35%.

The company paid down $50 million of the previous $500 million loan, which had an interest rate of SOFR plus 2.06% (swapped to a fixed rate of 6.28%) and was set to mature in October 2025.

Newmark Group (NASDAQ: NMRK) has successfully arranged a significant $675 million refinancing deal for Independence Plaza, a major residential complex in Manhattan's Tribeca neighborhood. The financing was secured on behalf of Vornado Realty Trust and Stellar Management. The property encompasses 1,328 residential units across three 39-story towers, totaling 1.4 million square feet, and includes townhomes, parking facilities, and retail space. The refinancing was secured through a consortium of major banks including Deutsche Bank, Wells Fargo, Bank of America, and Morgan Stanley. The transaction was led by Newmark's senior executives Jordan Roeschlaub and Nick Scribani, with support from Jonathan Firestone and John Caraviello.

Vornado Realty Trust (NYSE:VNO) has announced the completion of a $675 million refinancing for Independence Plaza, a 1,328-unit residential complex in Manhattan's Tribeca area, through its 50.1% owned joint venture. The new five-year interest-only loan, maturing in June 2030, carries a fixed interest rate of 5.84%. This refinancing replaces the previous $675 million loan that had a 4.25% interest rate and was set to mature in July 2025. The refinancing represents a significant financial transaction for the real estate investment trust, though it comes with a higher interest rate reflecting current market conditions.

Vornado Realty Trust (NYSE:VNO) has announced that its 55% owned joint venture has agreed to sell 512 West 22nd Street, a 173,000 square foot Class A office building, for $205 million. The transaction is expected to close in the third quarter of 2025. The joint venture plans to use a portion of the proceeds to repay the $123.6 million mortgage loan that currently encumbers the property. The sale is subject to customary closing conditions.

Vornado Realty Trust (NYSE: VNO) reported strong Q1 2025 financial results with net income of $86.8M ($0.43 per share), compared to a net loss of $9M in Q1 2024. The improvement was driven by a $76.2M gain from selling part of 666 Fifth to UNIQLO and a $17.2M reversal of PENN 1 rent expense. FFO reached $135M ($0.67 per share), up from $104.1M ($0.53 per share) year-over-year. Key developments include: - NYU master lease at 770 Broadway for 1.07M sq ft, with $935M prepaid lease payment - Sale of UNIQLO portion at 666 Fifth Avenue for $350M - New $450M financing at 1535 Broadway at 6.90% interest - Total occupancy at 83.5% in New York portfolio - Leasing activity showed positive rent spreads with 9.5% GAAP increase for office space

Vornado Realty Trust (NYSE:VNO) has finalized a significant 70-year master lease agreement with New York University (NYU) for 1,076,000 square feet at 770 Broadway. The deal includes a $935 million upfront payment from NYU, plus annual lease payments of $9.3 million. The triple net lease arrangement allows NYU to assume existing office leases and related tenant income. NYU also secured purchase options for 2055 and 2095.

Vornado utilized part of the prepaid lease payment to clear the property's $700 million mortgage loan. The company will maintain ownership of the 92,000 square feet retail condominium currently leased to Wegmans.

[ "Secured substantial upfront payment of $935 million, strengthening cash position", "Established steady annual revenue stream of $9.3 million for 70 years", "Eliminated $700 million mortgage debt on the property", "Retained valuable 92,000 sq ft retail space leased to Wegmans", "Long-term lease provides stable occupancy with creditworthy tenant (NYU)" ]

Vornado Realty Trust (NYSE:VNO) has announced its quarterly preferred dividend distributions. The Board of Trustees declared dividends for multiple series of preferred shares, payable on July 1, 2025, to shareholders of record as of June 16, 2025.

The dividend breakdown includes:

• Series A Convertible: $0.8125000 per share
• Series L Cumulative Redeemable: $0.3375000 per share
• Series M Cumulative Redeemable: $0.3281250 per share
• Series N Cumulative Redeemable: $0.3281250 per share
• Series O Cumulative Redeemable: $0.2781250 per share

As a fully-integrated equity real estate investment trust, Vornado acknowledges potential impacts from interest rate changes and inflation on their business operations, financial condition, and tenant relationships.

Vornado Realty Trust (NYSE:VNO) has scheduled its first quarter 2025 earnings release for Monday, May 5, 2025, after the NYSE market close. The company will host an earnings conference call and audio webcast on Tuesday, May 6, 2025, at 10:00 a.m. ET.

Investors can access the conference call by dialing 888-317-6003 (domestic) or 412-317-6061 (international) with passcode 1149171. A live webcast will be available on www.vno.com in the Investor Relations section, with a playback option following the call.

Vornado Realty Trust (NYSE:VNO) has received a determination regarding the ground rent for its PENN 1 land parcel. A panel has set the annual rent at $15 million for the 25-year term starting June 17, 2023. However, ongoing litigation in New York County Supreme Court could impact this determination.

If the fee owner prevails in the litigation, the annual rent would increase to $20.22 million, applied retroactively to June 17, 2023. As a result of the panel's determination, Vornado will reverse approximately $17.2 million of previously accrued rent expense and will continue to accrue based on the $15 million annual rent until the litigation is resolved.