Steven Roth, CEO of Vornado Realty Trust, says the REIT has taken to heart the notion that pure-play business strategies are favored by investors. Therefore, the REIT will trim some of its retail center holdings.
Slow-growing gross domestic product and sluggish housing and retail markets are among the economic variables that are difficult to understand and make planning a challenge, said
REIT executives participating in a Bank of America Merrill Lynch 2014 Global Real Estate Conference panel. Panelists included Vornado Realty Trust's Steven Roth, Equity Residential's Sam Zell and Boston Properties' Mort Zuckerman.
Vornado Realty Trust has sold its 50% share of a building in the Downtown Crossing district of Boston to Millennium Partners, according to sources. The REIT reported receiving net proceeds of $45 million for the sale.
Vornado Realty Trust is selling a land parcel in Manhattan's Harlem submarket for $65 million plus brownfield credits. The REIT had planned to build an office tower there. The sale is part of Vornado's strategy to sell off noncore holdings.
As promised by Chairman Steven Roth, Vornado Realty Trust has begun to sell off some of its retail holdings. Cole Real Estate Investments has acquired three properties from Vornado for $23.2 million. The properties total 121,000 square feet.
American Realty Capital has listed its new flagship REIT, American Realty Capital Trust, on the Nasdaq under the ticker symbol ARCT, after the recent filing of an $87 million initial public offering. This is the second REIT IPO for American Realty Capital in 12 months.