The Real Deal New York

Vornado’s rough Q3 marks 57 percent decline in net income

November 05, 2013 02:57PM

Vornado Realty Trust was left hurting after it sold its remaining shares in J.C. Penney and lost $34 million investing in Toys “R” Us stake. Based on the real estate investment trust’s third-quarter net income, it shows.

The company’s quarterly net income declined 57 percent to $683.4 million in the third quarter, compared to the same period in 2012, GlobeSt reported, citing the REIT’s latest regulatory filing. Still, the news wasn’t all bad: Analysts had projected a larger drop.

Meanwhile, profits dropped to $104.3 million from $241.3 million year-over-year. The REIT brought in $16.1 million from sales of real estate, as opposed to the $132.2 million worth of real estate gains in last year’s third quarter, GlobeSt said.

In September, Vornado and its affiliates agreed to give up a 6.1 percent stake, or 13.4 million shares, in J.C. Penney, as previously reported. [GlobeSt]Mark Maurer

  • Joseph Aquino

    This is painful to read and these are really smart men. We cannot forget real estate has market fundamentals and when the market turns no man or no woman can stand up to the tide. With all the speculating that is going on in todays market, you hope that others are reading this.