The Real Deal New York

Vornado increases stake in Farley Post Office redevelopment project

REIT purchased a portion of Related Companies’ ownership
By Rich Bockmann | October 30, 2018 02:15PM

From left: Vornado Realty Trust CEO Steve Roth, Farley Post Office and Related Companies CEO Steve Ross (Credit: Wikimedia)

Vornado Realty Trust increased its ownership in the 900,000-square-foot Farley Post Office redevelopment project.

Company CEO Steve Roth on Tuesday announced that the real estate investment trust purchased a portion of the stake owned by partner the Related Companies.

“We love Farley. . . Naturally, we want to own as much of it as we can,” he said on the company’s quarterly earnings call.

Vornado did not disclose financial terms of the deal.

The partners are targeting biotech and life-science tenants for the 900,000-square-foot office-and-retail project.

Vornado and Related landed a $271 million loan package from Duetsche Bank last year to fund the first steps of the project.