Vornado Realty Trust (NYSE:VNO), today announced that it has invested an
additional $39 million to increase its ownership interest in the Crowne
Plaza Times Square Hotel to 33% from 11%. Vornado co-invested with its
25% owned Real Estate Fund and one of the Fund’s limited partners to buy
out the Fund’s joint venture partner’s 57% interest in the property for
approximately $95 million. This transaction values the property at
approximately $480 million. The property is encumbered by a newly placed
$310 million mortgage loan bearing interest at LIBOR plus 2.80% and
maturing in December 2018 with a one-year extension option.
The property is located at 48th Street and Broadway in Times Square and
is comprised of a 795-key hotel, 7,700 square feet of prime retail space
and associated signage, 197,000 square feet of office space, a 159-space
parking garage and a health club.
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 2015