Vornado to Acquire Washington D.C. Office Building
PARAMUS, N.J.--(BUSINESS WIRE)--June 3, 2005--VORNADO REALTY TRUST (New York Stock Exchange: VNO) today announced that it has entered into an agreement to acquire the 90% that it does not already own of the Bowen Building, a 231,000 square foot class A office building located at 875 15th Street N.W. in the Central Business District of Washington D.C. The purchase price is approximately $119 million, which will consist of $63 million in cash and an existing mortgage of $56 million bearing interest at LIBOR plus 1.5%, due in February 2007. The building is 83% leased to two tenants whose leases expire in 2015 and 2020.
The purchase, which is expected to close in the third quarter of 2005, is subject to customary closing conditions.
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.
CONTACT: Vornado Realty Trust
Joseph Macnow, 201-587-1000
SOURCE: Vornado Realty Trust