Timing is everything: Vornado settles for $101M in FiDi sale

David Werner buys office building, marketed in May for $140M; new lenders emerge

Vornado Realty Trust's Steve Roth with 40 Fulton Street
Vornado Realty Trust's Steve Roth with 40 Fulton Street (Getty, CBRE)

Vornado Realty Trust’s sale of the 29-story office building at 40 Fulton Street hit property records Wednesday, concluding a case study on how interest rates can affect a commercial transaction.

Investor David Werner purchased the Financial District building for $101 million, well below the $130 million to $140 million  Vornado sought for the 251,000-square-foot building upon putting it on the market last spring.

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The financing for the acquisition is also notable. Two relative unknowns in the New York office market, UMB Bank and the Bank of New Hampshire, provided loans of $45 million and $25 million, respectively, according to public records. The former was listed as a trustee in its lending agreement.

Vornado disclosed in August that it had agreed to sell the property for $102 million, good for a $33 million profit for Steve Roth’s real estate investment trust.

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