Vornado Realty Trust
Encyclopedia
Vornado Realty Trust is a New York
based real estate investment trust
. It is the inheritor of real estate formerly controlled by companies including Two Guys
and Alexander's
.
On February 15, 2001, the Port Authority announced that Vornado Realty Trust had won the lease for the World Trade Center
, paying $3.25 billion for the 99-year lease. Silverstein Properties was outbid by $30 million by Vornado. However, Vornado balked over lease terms and possible tax liabilities that Silverstein was willing to accept. Silverstein's bid for the lease to the World Trade Center was accepted on July 24, 2001.
Vornado, which announced plans to buy the Manhattan Mall
in Herald Square
in November 2006, is also part of the development team picked by New York state to construct an extension of Penn Station
in the New York State landmark
James Farley Post Office
building. Though the Farley conversion is now stalled, Vornado and its partner, The Related Companies
, are also pushing a much larger project. It would tack a new Madison Square Garden
on the Ninth Avenue
end of the post office complex and replace the existing arena with office towers and a new Penn Station.
In 1996 Vornado Chairman Steven Roth lured then-Goldman Sachs Real Estate President Michael Fascitelli to Vornado with a lucrative 50 million dollar offer.
On May 14, 2009, Vornado issued a press release announcing that the board had voted to replace Roth with Fascitelli as CEO of the company. Roth will remain chairman of the board, and Fascitelli will be the President and CEO of the company.
and amortization
, $2.8 billion in cash, and $1.5 billion of investments as of 3Q07. These holdings are divided into the following divisions:
New York City
New York is the most populous city in the United States and the center of the New York Metropolitan Area, one of the most populous metropolitan areas in the world. New York exerts a significant impact upon global commerce, finance, media, art, fashion, research, technology, education, and...
based real estate investment trust
Real estate investment trust
A real estate investment trust or REIT is a tax designation for a corporate entity investing in real estate. The purpose of this designation is to reduce or eliminate corporate tax. In return, REITs are required to distribute 90% of their taxable income into the hands of investors...
. It is the inheritor of real estate formerly controlled by companies including Two Guys
Two Guys
Two Guys was a discount store primarily operating in the New York City metropolitan area and headquartered in northern New Jersey until the early 1980s. It was founded in 1946 in Harrison, New Jersey by brothers Sidney Hubschman and Herbert Hubschman as Two Guys from Harrison...
and Alexander's
Alexander's
Alexander's was a department store chain in the New York metropolitan area. Catering to low- and middle-income consumers, Alexander's offered discounted designer fashions and high-quality private label goods. At its height, the company operated 16 stores. Its advertising slogan was "You'll find...
.
History
World Trade Center
The original World Trade Center was a complex with seven buildings featuring landmark twin towers in Lower Manhattan, New York City, United States. The complex opened on April 4, 1973, and was destroyed in 2001 during the September 11 attacks. The site is currently being rebuilt with five new...
, paying $3.25 billion for the 99-year lease. Silverstein Properties was outbid by $30 million by Vornado. However, Vornado balked over lease terms and possible tax liabilities that Silverstein was willing to accept. Silverstein's bid for the lease to the World Trade Center was accepted on July 24, 2001.
Vornado, which announced plans to buy the Manhattan Mall
Manhattan Mall
The Manhattan Mall, one of the few traditional indoor malls in New York City, is located at 33rd Street and Sixth Avenue. There are entrances to the 34th Street – Herald Square subway station and the 33rd Street PATH station, on the second basement level.This mall is a high-traffic shopping venue...
in Herald Square
Herald Square
Herald Square is formed by the intersection of Broadway, Sixth Avenue and 34th Street in the borough of Manhattan in New York City. Named for the New York Herald, a now-defunct newspaper formerly headquartered there, it also gives its name to the surrounding area...
in November 2006, is also part of the development team picked by New York state to construct an extension of Penn Station
Pennsylvania Station (New York City)
Pennsylvania Station—commonly known as Penn Station—is the major intercity train station and a major commuter rail hub in New York City. It is one of the busiest rail stations in the world, and a hub for inbound and outbound railroad traffic in New York City. The New York City Subway system also...
in the New York State landmark
Landmark
This is a list of landmarks around the world.Landmarks may be split into two categories - natural phenomena and man-made features, like buildings, bridges, statues, public squares and so forth...
James Farley Post Office
James Farley Post Office
The James A. Farley Post Office Building is the main post office building in New York City. Its ZIP code designation is 10001. Built in 1912, the building is famous for bearing the inscription: Neither snow nor rain nor heat nor gloom of night stays these couriers from the swift completion of...
building. Though the Farley conversion is now stalled, Vornado and its partner, The Related Companies
The Related Companies
The Related Companies L.P. is a real estate developer, manager and financier. The developer of numerous high-profile projects in New York City and around the United States, Related is best known for its historic 2.8 million-square-foot $1,700,000,000 Time Warner Center on Columbus Circle...
, are also pushing a much larger project. It would tack a new Madison Square Garden
Madison Square Garden
Madison Square Garden, often abbreviated as MSG and known colloquially as The Garden, is a multi-purpose indoor arena in the New York City borough of Manhattan and located at 8th Avenue, between 31st and 33rd Streets, situated on top of Pennsylvania Station.Opened on February 11, 1968, it is the...
on the Ninth Avenue
Ninth Avenue (Manhattan)
Ninth Avenue / Columbus Avenue is a southbound thoroughfare on the West Side of Manhattan in New York City. Traffic runs downtown along its full length...
end of the post office complex and replace the existing arena with office towers and a new Penn Station.
In 1996 Vornado Chairman Steven Roth lured then-Goldman Sachs Real Estate President Michael Fascitelli to Vornado with a lucrative 50 million dollar offer.
On May 14, 2009, Vornado issued a press release announcing that the board had voted to replace Roth with Fascitelli as CEO of the company. Roth will remain chairman of the board, and Fascitelli will be the President and CEO of the company.
Major holdings
- Alexander'sAlexander'sAlexander's was a department store chain in the New York metropolitan area. Catering to low- and middle-income consumers, Alexander's offered discounted designer fashions and high-quality private label goods. At its height, the company operated 16 stores. Its advertising slogan was "You'll find...
(32.8%) - Merchandise MartMerchandise MartWhen opened in 1930, the Merchandise Mart or the Merch Mart, located in the Near North Side, Chicago, Illinois, was the largest building in the world with of floor space. Previously owned by the Marshall Field family, the Mart centralized Chicago's wholesale goods business by consolidating vendors...
(100%) - Charles E. Smith Commercial Realty (100%)
- Toys "R" Us (32.9%)
- JC Penney
Divisions
Vornado Realty Trust controls over $20 billion in assets, including $12.7 billion in real estate net of depreciationDepreciation
Depreciation refers to two very different but related concepts:# the decrease in value of assets , and# the allocation of the cost of assets to periods in which the assets are used ....
and amortization
Amortization
Amortization is the process of decreasing, or accounting for, an amount over a period. The word comes from Middle English amortisen to kill, alienate in mortmain, from Anglo-French amorteser, alteration of amortir, from Vulgar Latin admortire to kill, from Latin ad- + mort-, mors death.When used...
, $2.8 billion in cash, and $1.5 billion of investments as of 3Q07. These holdings are divided into the following divisions:
Merchandise Mart
- ChicagoChicagoChicago is the largest city in the US state of Illinois. With nearly 2.7 million residents, it is the most populous city in the Midwestern United States and the third most populous in the US, after New York City and Los Angeles...
, Il- The Merchandise MartMerchandise MartWhen opened in 1930, the Merchandise Mart or the Merch Mart, located in the Near North Side, Chicago, Illinois, was the largest building in the world with of floor space. Previously owned by the Marshall Field family, the Mart centralized Chicago's wholesale goods business by consolidating vendors...
- Kitchen & Bath Design Center
- 350 West Mart Center350 West Mart Center350 West Mart Center is the official name of the 24-floor multipurpose building located in the Near North Side community area of Chicago, at the intersection of the North Branch and the Main Branch of the Chicago River. Designed by Skidmore, Owings & Merrill in 1977, the building is located in the...
/ Chicago Apparel Center
- The Merchandise Mart
- High PointHigh PointHigh Point, in the northwestern part of New Jersey in Montague, Sussex County in the Skylands Region of New Jersey, is the highest elevation in the state at 1,803 feet . It is southeast of Port Jervis, New York. High Point is the highest peak of the Kittatinny Mountains.At the peak is the High...
, NC- High Point MarketHigh Point MarketThe High Point Market, held in High Point, North Carolina, is the largest home furnishings industry trade show in the world, measuring over 11 million square feet encompassed in about 180 buildings throughout the area...
- Suites at Market SquareMarket SquareMarket Square may refer to:Market square, a description of the generic usagein Australia* Market Square, Geelong, a shopping centre in Victoria, Australiain Canada:* Market Square, Victoria, British Columbiain Finland:...
- Plaza Suites
- High Point Market
- Washington, D.C.Washington, D.C.Washington, D.C., formally the District of Columbia and commonly referred to as Washington, "the District", or simply D.C., is the capital of the United States. On July 16, 1790, the United States Congress approved the creation of a permanent national capital as permitted by the U.S. Constitution....
- The Washington Design Center
- Kitchen & Bath Design Center
- New York CityNew York CityNew York is the most populous city in the United States and the center of the New York Metropolitan Area, one of the most populous metropolitan areas in the world. New York exerts a significant impact upon global commerce, finance, media, art, fashion, research, technology, education, and...
- Architects & Design Building
- 7W New York
- Kitchen & Bath Design Center
- Los AngelesLos ÁngelesLos Ángeles is the capital of the province of Biobío, in the commune of the same name, in Region VIII , in the center-south of Chile. It is located between the Laja and Biobío rivers. The population is 123,445 inhabitants...
, CA- L.A. Mart