Vornado Raising Capital to Buy Properties
Vornado, the publicly traded REIT, is raising up to $1 billion in a private equity fund that will seek to buy office properties in New York and Washington, DC. Vornado has committed 20% to the new fund. Here is the brief piece from the Wall Street Journal describing the new venture. This is a good idea and it may get real estate markets moving. I wonder if it will be able to acquire the assets at "distressed" prices. Vornado's stock is 60% lower than it was in October 2008, kind of making it a distressed security.