Vornado Realty Trust will spin off its U.S. strip shopping centers into a new publicly traded real estate investment trust as part of an effort to focus primarily on properties in New York and the Washington area.
Vornado Realty Trust, the owner of more than 100 million square feet (9.3 million square meters) of U.S. properties, said third-quarter funds from operations fell 22 percent after losses on investments.
Vornado Realty Trust, the owner of more than 100 million square feet of mostly office and retail properties, rose the most in more than a year after selling part of its money-losing investment in retailer J.C. Penney Co.
Vornado Realty Trust , the third- biggest U.S. real estate investment trust by market value, said first-quarter funds from operations rose 43 percent after gains from retiring debt and its J.C. Penney Co. investment.
Vornado Realty Trust said it agreed to buy retail space on New York’s Fifth Avenue, the world’s priciest shopping corridor, for about $707 million, and plans to sell $428 million of properties across the U.S. and Canada.