Vornado鈥檚 Retail JV Completes $450 Million Financing of 1535 Broadway
Vornado AG真人官方ty Trust (NYSE:VNO) has announced the completion of a $450 million financing for 1535 Broadway, a premier Times Square retail destination featuring full blockfront 4K LED signage. The property is owned through Vornado's 52% owned street retail joint venture.
The financing terms include:
- Interest-only, non-recourse loan
- Fixed interest rate of 6.90%
- Maturity in May 2030
After accounting for transaction costs and reserves, $407 million of the net proceeds were utilized to partially redeem Vornado's Retail JV preferred equity.
Vornado AG真人官方ty Trust (NYSE:VNO) ha annunciato il completamento di un finanziamento da 450 milioni di dollari per 1535 Broadway, una destinazione commerciale di primo livello a Times Square con una segnaletica LED 4K a tutta facciata. La propriet脿 猫 detenuta tramite la joint venture di vendita al dettaglio di Vornado, di cui detiene il 52%.
I termini del finanziamento includono:
- Prestito non ricorrente con solo interessi
- Tasso d鈥檌nteresse fisso del 6,90%
- Scadenza a maggio 2030
Detratte le spese di transazione e le riserve, 407 milioni di dollari dei proventi netti sono stati utilizzati per il rimborso parziale del capitale preferenziale della joint venture retail di Vornado.
Vornado AG真人官方ty Trust (NYSE:VNO) ha anunciado la finalizaci贸n de un financiamiento de 450 millones de d贸lares para 1535 Broadway, un destino comercial destacado en Times Square con se帽alizaci贸n LED 4K de bloque completo. La propiedad es pose铆da a trav茅s de la empresa conjunta de venta minorista de Vornado, en la cual posee un 52%.
Los t茅rminos del financiamiento incluyen:
- Pr茅stamo sin recurso con solo intereses
- Tasa de inter茅s fija del 6,90%
- Vencimiento en mayo de 2030
Despu茅s de considerar los costos de transacci贸n y reservas, se utilizaron 407 millones de d贸lares de los ingresos netos para redimir parcialmente el capital preferente de la empresa conjunta minorista de Vornado.
Vornado AG真人官方ty Trust (NYSE:VNO)電� 鞝勲┐ 4K LED 臧勴寪鞚� 臧栰稑 韮�鞛勳姢 鞀ろ�橃柎鞚� 欤检殧 靻岆Г 氇╈爜歆�鞚� 1535 Broadway鞐� 雽�頃� 4鞏� 5觳滊 雼煬 攴滊鞚� 旮堨湹鞚� 鞕勲頄堧嫟瓿� 氚滍憸頄堨姷雼堧嫟. 頃措嫻 攵�霃欖偘鞚� Vornado臧� 52% 歆�攵勳潉 氤挫湢頃� 鞀ろ姼毽姼 毽厡鞚� 頃╈瀾 韴瀽毳� 韱淀暣 靻岇湢頃橁碃 鞛堨姷雼堧嫟.
旮堨湹 臁瓣贝鞚� 雼れ潓瓿� 臧欖姷雼堧嫟:
- 鞚挫瀽毵� 雮╇秬頃橂姅 氍挫唽甑� 雽�於�
- 瓿犾爼 鞚挫瀽鞙� 6.90%
- 毵岅赴鞚� 2030雲� 5鞗�
瓯半灅 牍勳毄瓿� 欷�牍勱笀鞚� 彀皭頃� 頉�, 4鞏� 700毵� 雼煬鞚� 靾滌垬鞚奠澊 Vornado鞚� 靻岆Г 頃╈瀾 韴瀽 鞖办劆欤� 鞚茧秬 靸來櫂鞐� 靷毄霅橃棃鞀惦媹雼�.
Vornado AG真人官方ty Trust (NYSE:VNO) a annonc茅 l鈥檃ch猫vement d鈥檜n financement de 450 millions de dollars pour le 1535 Broadway, une destination commerciale de premier plan 脿 Times Square avec une signalisation LED 4K couvrant tout le p芒t茅 de maisons. La propri茅t茅 est d茅tenue via la coentreprise de vente au d茅tail de Vornado, dont il poss猫de 52%.
Les conditions du financement comprennent :
- Pr锚t sans recours avec int茅r锚ts uniquement
- Taux d鈥檌nt茅r锚t fixe de 6,90%
- 脡ch茅ance en mai 2030
Apr猫s d茅duction des frais de transaction et des r茅serves, 407 millions de dollars des produits nets ont 茅t茅 utilis茅s pour rembourser partiellement les capitaux privil茅gi茅s de la coentreprise Retail de Vornado.
Vornado AG真人官方ty Trust (NYSE:VNO) hat die erfolgreiche Finanzierung von 450 Millionen US-Dollar f眉r 1535 Broadway bekannt gegeben, eine erstklassige Einzelhandelslage am Times Square mit einer durchgehenden 4K-LED-Beschilderung. Die Immobilie befindet sich im Besitz eines von Vornado zu 52% gehaltenen Joint Ventures im Einzelhandel.
Die Finanzierungsbedingungen umfassen:
- Nur Zinszahlung, nicht r眉ckgriffsf盲higes Darlehen
- Fester Zinssatz von 6,90%
- F盲lligkeit im Mai 2030
Nach Abzug von Transaktionskosten und R眉cklagen wurden 407 Millionen US-Dollar der Nettoerl枚se zur teilweisen R眉ckzahlung des Vorzugsanteils des Einzelhandels-Joint Ventures von Vornado verwendet.
- Secured substantial $450M financing for prime Times Square retail property
- Non-recourse loan structure limits company's liability
- Long-term financing secured until 2030 provides stability
- Partial redemption of preferred equity may improve capital structure
- High fixed interest rate of 6.90% in current market conditions
- Only $407M available after costs, indicating significant transaction expenses
Insights
Vornado's completion of a
The strategic decision to use
The non-recourse nature of the loan is particularly advantageous, as it insulates Vornado from additional liability beyond the property itself. The interest-only structure eliminates amortization requirements through 2030, maximizing cash flow from the asset during the loan term.
This transaction demonstrates Vornado's continued ability to access capital markets for its premium assets despite challenging conditions in commercial real estate financing. The successful execution on a marquee Times Square property with distinctive LED signage highlights the enduring institutional demand for high-quality retail assets in irreplaceable locations.
NEW YORK, April 14, 2025 (GLOBE NEWSWIRE) -- Vornado AG真人官方ty Trust (NYSE:VNO) announced today that its
After transaction costs and reserves,
Vornado AG真人官方ty Trust is a fully-integrated equity real estate investment trust.
CONTACT
Thomas J. Sanelli
(212) 894-7000
Certain statements contained herein may constitute 鈥渇orward-looking statements鈥� within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are not guarantees of performance. They represent our intentions, plans, expectations and beliefs and are subject to numerous assumptions, risks and uncertainties. Our future results, financial condition and business may differ materially from those expressed in these forward-looking statements. You can find many of these statements by looking for words such as "approximates," "believes," "expects," "anticipates," "estimates," "intends," "plans," "would," "may" or other similar expressions in this press release. For a discussion of factors that could materially affect the outcome of our forward-looking statements and our future results and financial condition, see 鈥淩isk Factors鈥� in Part I, Item 1A, of our Annual Report on Form 10-K for the year ended December 31, 2024. Currently, some of the factors are the increased interest rates and inflation on our business, financial condition, results of operations, cash flows, operating performance and the effect that these factors have had and may continue to have on our tenants, the global, national, regional and local economies and financial markets and the real estate market in general.
FAQ
What are the key terms of VNO's new $450 million financing for 1535 Broadway?
How much of the 1535 Broadway property does Vornado (VNO) own?
How will VNO use the proceeds from the 1535 Broadway financing?
What type of property is VNO's 1535 Broadway in Times Square?
