VORNADO REALTY TRUST (NYSE:VNO) announced today that it has completed a
$575 million refinancing of Two Penn Plaza, a 1.6 million square foot
Manhattan office building. The loan is interest-only at LIBOR + 1.65%
and matures in 2019 with two one-year extension options. The Company
realized net proceeds of approximately $143 million.
Pursuant to an existing swap agreement, the $422 million previous loan
on the property was swapped to a fixed rate of 4.78% through March 2018.
Therefore, $422 million of the new loan will bear interest at a fixed
rate of 4.78% through March 2018 and the balance of $153 million will
float through March 2018; the entire $575 million will float thereafter
for the duration of the new loan.
Vornado Realty Trust is a fully integrated equity real estate investment
trust.
Certain statements contained herein may constitute “forward-looking
statements” within the meaning of the Private Securities Litigation
Reform Act of 1995. Such forward-looking statements involve known and
unknown risks, uncertainties and other factors which may cause the
actual results, performance or achievements of the Company to be
materially different from any future results, performance or
achievements expressed or implied by such forward-looking statements.
Such factors include, among others, risks associated with the timing of
and costs associated with property improvements, financing commitments
and general competitive factors.
Copyright Business Wire 2014