Vornado Raises $494M Through 5.75% Notes to Refinance 2026 Debt
Vornado priced $500 million of 5.75% senior unsecured notes due February 1, 2033 at 99.824%, yielding 5.78%, generating net proceeds of approximately $494 million to retire $400 million of June 1, 2026 notes and for general corporate purposes. The offering is expected to close on January 14, 2026.
1. Pricing of 7-Year Bond Offering
Vornado Realty L.P. has successfully priced a $500 million offering of 5.75% senior unsecured notes due February 1, 2033 at 99.824% of face value, resulting in an effective yield of 5.78%. Interest will be paid semiannually each February 1 and August 1, beginning August 1, 2026. Joint book-running managers on the deal include BofA Securities, PNC Capital Markets, U.S. Bancorp Investments and Wells Fargo Securities, alongside nine other global and regional underwriting firms.
2. Allocation of Net Proceeds
The net proceeds of approximately $494 million will be deployed to retire $400 million of unsecured notes maturing June 1, 2026, upon their maturity, with the remaining $94 million earmarked for general corporate purposes. Prior to the June 2026 retirement date, these funds may be invested in short-term cash instruments and other liquid marketable securities. The transaction is scheduled to close on January 14, 2026, subject to customary closing conditions.