Vornado makes another play in Penn Plaza

$29M deal for 265 West 34th St. gives REIT three-parcel assemblage that could hint at bigger plans

TRD New York /
Oct.October 26, 2015 05:35 PM

UPDATED, 6:05 p.m., Oct. 26: Steven Roth’s Vornado Realty Trust recently picked up a commercial building near Penn Station for $28.5 million in a move that expands the real estate investment trust’s sizable footprint in the area and could hint at greater plans to come.

Vornado acquired the property, at 265 West 34th Street, from a group led by Manhattan attorney William Silverman, according to property records filed with the city Monday. The deal, which closed Sept. 25, gives the company three contiguous properties on the block between Seventh and Eighth avenues that are ripe for redevelopment.

Though the single-story building at 265 West 34th Street spans only 1,690 square feet, the property features 16,900 buildable square feet – which values the transaction at just over $1,686 per buildable square foot.

Vornado also owns the adjacent four-story building at 267 West 34th Street, which it bought in 2013 for $3.1 million, as well as the four-story building at 484 Eighth Avenue, on the corner of Eighth Avenue and West 34th Street. Combined, the three properties have nearly 69,000 buildable square feet.

Silverman is listed on property records as the “managing member” of a group that has owned the property since 1975. He did not immediately return requests for comment.

Vornado owns roughly 9 million square feet in the neighborhood surrounding Penn Station and acquired the nearby Old Navy Building, at 144-150 West 34th Street, for $355 million in June.

The REIT has looked to upgrade the area through investments in public plazas and infrastructure, as well adding value to its office space holdings there.

A spokesperson for Vornado declined to comment on the 265 West 34th Street acquisition. The property is home to fashion accessories store Cinderella Club.


Related Articles

arrow_forward_ios
Vornado's Steve Roth and 220 Central Park South (Credit: Getty Images, iStock)

Free and clear: Vornado pays off debt at 220 CPS

Free and clear: Vornado pays off debt at 220 CPS
Vornado chairman and CEO Steven Roth, and 608 Fifth Avenue (Credit: Getty Images)

“Negative surprises”: Vornado execs talk retail struggles on Q2 earnings call

“Negative surprises”: Vornado execs talk retail struggles on Q2 earnings call
Steven Roth, CEO of Vornado and 640 Fifth Avenue (Credit: Getty Images and Vornado Realty Trust)

Bank of China issues $500M to Vornado in refi of 640 Fifth Avenue

Bank of China issues $500M to Vornado in refi of 640 Fifth Avenue
Vornado CEO Steven Roth with 1535 Broadway and 220 Central Park South (Getty, VNO, Google Maps)

Vornado sees $100M retail JV loss, $190M in 220 CPS gains

Vornado sees $100M retail JV loss, $190M in 220 CPS gains
220 Central Park South (Getty)

Duplex sells at Vornado’s 220 CPS for $65M

Duplex sells at Vornado’s 220 CPS for $65M
731 Lexington Avenue and 410 East 61st Street (inset) with Vornado's Steve Roth (Googel Maps; VNO)

Home Depot eyes former Bed Bath & Beyond space on First Ave

Home Depot eyes former Bed Bath & Beyond space on First Ave
220 Central Park South and Steve Roth (Google Maps, Getty)

Another 220 Central Park South condo sells for $61.6M

Another 220 Central Park South condo sells for $61.6M
(iStock)

Remote work threatens cash flows for office REITs

Remote work threatens cash flows for office REITs
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...