Vornado Issues $500M 5.75% Notes Due 2033, Acquires $141M Plaza District Site
Vornado priced $500M 5.75% senior unsecured notes due February 1, 2033 at 99.824% (yielding 5.78%), netting ~$494M to repay $400M of June 2026 bonds. It acquired 3 East 54th Street in Manhattan’s Plaza District for $141M using a $107M mortgage credit on an 18,400 sq ft site zoned for ~232,500 buildable sq ft.
1. Vornado Prices $500 Million of 7-Year Senior Unsecured Notes
On January 7, 2026, Vornado Realty Trust’s operating partnership priced a $500 million offering of 5.75% senior unsecured notes due February 1, 2033. The notes were issued at 99.824% of par, producing a yield to maturity of 5.78%, with interest payable semi-annually each February 1 and August 1 beginning August 1, 2026. Net proceeds are expected to total approximately $494 million, of which $400 million will repay the partnership’s unsecured notes maturing on June 1, 2026; the remaining funds will support general corporate purposes and may be held in cash or liquid investments until deployment. Subject to customary closing conditions, the transaction is slated to close on January 14, 2026.