Vornado Realty Trust is an American

real estate investment trust A real estate investment trust (REIT, pronounced "reet") is a company that owns, and in most cases operates, income-producing real estate. REITs own many types of real estate, including office and apartment buildings, studios, warehouses, hos ...

formed in

Maryland Maryland ( ) is a U.S. state, state in the Mid-Atlantic (United States), Mid-Atlantic region of the United States. It borders the states of Virginia to its south, West Virginia to its west, Pennsylvania to its north, and Delaware to its east ...

in 1982, with its primary office in

New York City New York, often called New York City (NYC), is the most populous city in the United States, located at the southern tip of New York State on one of the world's largest natural harbors. The city comprises five boroughs, each coextensive w ...

. The company invests in office buildings and street retail in Manhattan.

History

Two Guys

The origins of the company can be traced back to the

Two Guys Two Guys was a discount store chain founded in 1946 by brothers Herbert and Sidney Hubschman in Harrison, New Jersey, originally selling major appliances such as televisions. The chain acquired the manufacturers of the Vornado appliance brand ...

discount store chain, founded in 1947 by brothers Sidney and Herbert Hubschman. In 1959,

acquired O. A. Sutton Corporation, manufacturers of the Vornado line of electric fans, and the company was subsequently renamed Vornado Inc. By 1964, the company operated over 200 stores. In the 1970s, Vornado began divesting its retail operations. In 1978, the company sold 80 Two Guys locations in California. In 1980, Interstate Properties Inc., a

real estate development Real estate development, or property development, is a business process, encompassing activities that range from the renovation and re-lease of existing buildings to the purchase of raw Real Estate, land and the sale of developed land or parce ...

company controlled by Steven Roth, acquired an 18% stake in Vornado, since Roth became interested in the company's real estate holdings. In 1981, Interstate Properties took control of the firm after winning a proxy struggle against existing management and closed additional stores, reducing the number of stores in operation to 12.

Acquisition of Alexander's (1986–1995)

In 1986, Interstate Properties and

Donald Trump Donald John Trump (born June 14, 1946) is an American politician, media personality, and businessman who is the 47th president of the United States. A member of the Republican Party (United States), Republican Party, he served as the 45 ...

each bought approximately 20% of

Alexander's Alexander's, Inc. is a real estate investment trust that owns 7 properties in New York metropolitan area, including 731 Lexington Avenue, the headquarters of Bloomberg L.P. It is controlled by Vornado Realty Trust. It was founded by George Farka ...

, a failing retailer whose real estate holdings included a store that occupied the entire block between East 58th and 59th streets and Lexington and

Third Avenue Third Avenue is a north-south thoroughfare on the East Side of the New York City borough of Manhattan, as well as in the center portion of the Bronx. Its southern end is at Astor Place and St. Mark's Place. It transitions into Cooper Square ...

s in

Manhattan Manhattan ( ) is the most densely populated and geographically smallest of the Boroughs of New York City, five boroughs of New York City. Coextensive with New York County, Manhattan is the County statistics of the United States#Smallest, larg ...

. In 1988, they each raised their stakes to 27% of the company, but Trump pledged his interest as collateral for a personal loan from

Citicorp Citigroup Inc. or Citi (Style (visual arts), stylized as citi) is an American multinational investment banking, investment bank and financial services company based in New York City. The company was formed in 1998 by the merger of Citicorp, t ...

and in 1991, Trump was forced to turn over his holdings to Citibank. In 1992, Roth and Alexander's creditors forced Alexander's into bankruptcy. Alexander's emerged from bankruptcy in 1993 as a

. That same year, Vornado Inc. was converted into a

REIT A real estate investment trust (REIT, pronounced "reet") is a company that owns, and in most cases operates, income-producing real estate. REITs own many types of real estate, including office and apartment buildings, studios, warehouses, hos ...

, Vornado Realty Trust. In 1995, Vornado bought Citicorp's interest in Alexander's.

Vornado Air licensing deal (1989)

In 1989, the Vornado name was licensed to Vornado Air, LLC, a new company formed to manufacture heating and cooling equipment. Outside of the brand licensing agreement, the Trust has no modern relation to Vornado Air, LLC.

Acquisition of properties from Bernard H. Mendik (1997)

In April 1997, the company acquired a company owned by Bernard H. Mendik in a $654 million stock transaction that added a large portfolio of office buildings in Manhattan to Vornado's assets. Mendik became co-chairman of Vornado until his resignation in October 1998.

World Trade Center lease (2001)

On February 15, 2001, the Port Authority announced that Vornado Realty Trust had won the bid for a 99-year lease for the

World Trade Center World Trade Centers are the hundreds of sites recognized by the World Trade Centers Association. World Trade Center may also refer to: Buildings * World Trade Center (1973–2001), a building complex that was destroyed during the September 11 at ...

, offering $3.25 billion.

Silverstein Properties Silverstein Properties Inc. is an American family-held, full-service real estate development, investment and management firm based in New York City. Founded in 1957 by Chairman Larry Silverstein, the company specializes in developing, acquiri ...

was outbid by $30 million by Vornado. However, Vornado balked over lease terms and possible tax liabilities. Silverstein signed a lease for the World Trade Center in April 2001, 5 months before the

September 11 attacks The September 11 attacks, also known as 9/11, were four coordinated Islamist terrorist suicide attacks by al-Qaeda against the United States in 2001. Nineteen terrorists hijacked four commercial airliners, crashing the first two into ...

2001–present

In 2001, the company acquired Charles E. Smith Commercial Realty, owner of a portfolio of assets primarily in

Arlington, Virginia Arlington County, or simply Arlington, is a County (United States), county in the U.S. state of Virginia. The county is located in Northern Virginia on the southwestern bank of the Potomac River directly across from Washington, D.C., the nati ...

, in a $1.58 billion transaction. Robert H. Smith and Robert P. Kogod were added to the board of directors of Vornado. In 2005, the company bought a 32.5% interest in

Toys "R" Us Toys "R" Us is an American toy, clothing, and baby product retailer owned by Tru Kids (doing business as Tru Kids Brands) and various others. The company was founded in 1948 in Washington, D.C.; its first store was built in April 1948, with i ...

. Toys "R" Us filed

bankruptcy Bankruptcy is a legal process through which people or other entities who cannot repay debts to creditors may seek relief from some or all of their debts. In most jurisdictions, bankruptcy is imposed by a court order, often initiated by the deb ...

in 2018 and the investment was written off. In 2013, Steven Roth replaced Michael D. Fascitelli as

CEO A chief executive officer (CEO), also known as a chief executive or managing director, is the top-ranking corporate officer charged with the management of an organization, usually a company or a nonprofit organization. CEOs find roles in variou ...

of Vornado. Fascitelli had been CEO since 2009. In 2015, the company spun off its interest in Urban Edge Properties, a spinoff consisting of its former retail holdings outside Manhattan, to its shareholders. In 2017, the company merged its Charles E. Smith Companies subsidiary into the JBG Companies, forming

JBG Smith JBG SMITH Properties is a publicly traded real estate investment trust based in Bethesda, Maryland. As of December 31, 2024, the company owned 38 operating properties including 16 apartment complexes with 6,781 units, 20 commercial properties com ...

Investments

Notable properties owned by the company include: *

New York Marriott Marquis The New York Marriott Marquis is a Marriott hotel on Times Square, in the Theater District of Midtown Manhattan in New York City, New York, U.S. Designed by architect John C. Portman Jr., the hotel is at 1535 Broadway, between 45th and 46t ...

(Retail & signage) * 1540 Broadway (Retail & signage) *

Manufacturers Trust Company Building The Manufacturers Trust Company Building, also known as 510 Fifth Avenue, is a commercial building at the southwest corner of West 43rd Street and Fifth Avenue in Midtown Manhattan, New York City. Opened in 1954, it is the first bank buildin ...

(510 Fifth Avenue) (Retail) * 660 Fifth Avenue (Retail) *

770 Broadway 770 Broadway is a landmarked mixed-use commercial office building in NoHo, Manhattan, in Lower Manhattan, New York City, occupying an entire square block between 9th Street on the north, Fourth Avenue to the east, 8th Street to the south, and ...

* 888 Seventh Avenue *

Crowne Plaza Times Square Manhattan The Hyatt Regency Times Square (formerly the Crowne Plaza Times Square Manhattan) is a hotel at 1605 Broadway (Manhattan), Broadway, between 48th and 49th Streets, in the Theater District, Manhattan, Theater District of Midtown Manhattan in New ...

(Retail & office) *

Fuller Building The Fuller Building is a skyscraper at 57th Street and Madison Avenue in the Midtown Manhattan neighborhood of New York City. Designed by Walker & Gillette, it was erected between 1928 and 1929. The building is named for its original main o ...

* Penn 1 * The future site of 15 Penn Plaza * Rego Center The company also owns: * 70% of

555 California Street 555 California Street, formerly Bank of America Center, is a 52- story skyscraper in San Francisco, California. It is the fourth tallest building in the city as of February 2021, and in 2013 was the largest by floor area. Completed in 1969, ...

San Francisco, California San Francisco, officially the City and County of San Francisco, is a commercial, Financial District, San Francisco, financial, and Culture of San Francisco, cultural center of Northern California. With a population of 827,526 residents as of ...

(30% is owned by affiliates of

) * 70% of 1290 Avenue of the Americas in

(30% is owned by Donald Trump) *

Merchandise Mart The Merchandise Mart (or the Merch Mart, or the Mart) is a commercial building in Chicago Loop, downtown Chicago, Illinois. When it opened in 1930, it was the List of largest buildings, world's largest building, with of floor space. The Art De ...

Chicago, Illinois Chicago is the List of municipalities in Illinois, most populous city in the U.S. state of Illinois and in the Midwestern United States. With a population of 2,746,388, as of the 2020 United States census, 2020 census, it is the List of Unite ...

* 32.4% of

, which owns 731 Lexington Avenue

References

External links

{{Authority control 1982 establishments in New York (state) Companies based in New York City Companies listed on the New York Stock Exchange Financial services companies established in 1982 Property management companies Real estate companies established in 1982 Real estate investment trusts of the United States Roth family Companies in the S&P 400