Vornado Realty (VNOD) 8-K Results of Operations and Financial Condition

EXHIBIT 99.2

SUPPLEMENTAL OPERATING

AND FINANCIAL DATA

For the Year Ended December 31, 2013

 

INDEX
	Page
Investor Information	2
2013 Business Developments	3
Common Shares Data	4
Financial Highlights	5
Funds From Operations	6 - 7
Funds Available for Distribution	8
Net Income / EBITDA (Consolidated and by Segment)	9 - 14
EBITDA by Segment and Region	15
Consolidated Balance Sheets	16
Capital Structure	17
Debt Analysis	18 - 20
Unconsolidated Joint Ventures	21 - 23
Square Footage	24
Top 30 Tenants	25
Lease Expirations	26 - 28
Leasing Activity	29 - 30
Occupancy and Same Store EBITDA	31
Capital Expenditures	32 - 36
Development Costs and Construction in Progress	37
Property Table	38 - 55
Certain statements contained herein constitute forward-looking statements as such term is defined in Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements are not guarantees of future performance. They represent our intentions, plans, expectations and beliefs and are subject to numerous assumptions, risks and uncertainties. Our future results, financial condition and business may differ materially from those expressed in these forward-looking statements. You can find many of these statements by looking for words such as “approximates,” “believes,” “expects,” “anticipates,” “estimates,” “intends,” “plans,” “would,” “may” or other similar expressions in this supplemental package. Many of the factors that will determine the outcome of these and our other forward-looking statements are beyond our ability to control or predict. For further discussion of factors that could materially affect the outcome of our forward-looking statements, see “Item 1A. Risk Factors” in our Annual Report on Form 10-K for the year ended December 31, 2013.
For these statements, we claim the protection of the safe harbor for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995. You are cautioned not to place undue reliance on our forward-looking statements, which speak only as of the date of this supplemental package. All subsequent written and oral forward-looking statements attributable to us or any person acting on our behalf are expressly qualified in their entirety by the cautionary statements contained or referred to in this section. We do not undertake any obligation to release publicly any revisions to our forward-looking statements to reflect events or circumstances occurring after the date of our Annual Report on Form 10-K or Quarterly Report on Form 10-Q, as applicable, and this supplemental package.

 

INVESTOR INFORMATION
Key Employees:
Steven Roth	Chairman of the Board and Chief Executive Officer
Michael J. Franco	Executive Vice President - Co-Head of Acquisitions and Capital Markets
David R. Greenbaum	President - New York Division
Joseph Macnow	Executive Vice President - Finance and Chief Administrative Officer
Robert Minutoli	Executive Vice President - Retail Division
Mitchell N. Schear	President - Vornado / Charles E. Smith Washington, DC Division
Wendy Silverstein	Executive Vice President - Co-Head of Acquisitions and Capital Markets
Stephen W. Theriot	Chief Financial Officer
RESEARCH COVERAGE - EQUITY
James Feldman / Stephen Sihelnik		Michael Knott / John Bejjani	Vance H. Edelson
Bank of America / Merrill Lynch		Green Street Advisors, Inc.	Morgan Stanley
646-855-5808 / 646-855-1829		949-640-8780 / 949-640-8780	212-761-0078
Ross Smotrich / Michael R. Lewis		David Harris	Alexander Goldfarb / Andrew Schaffer
Barclays Capital		Imperial Capital	Sandler O'Neill & Partners
212-526-2306 / 212-526-3098		212-351-9429	212-466-7937 / 212-466-8062
Michael Bilerman / Joshua Attie		Steve Sakwa / George Auerbach	John W. Guinee / Erin T. Aslakson
Citigroup Global Markets		ISI Group	Stifel Nicolaus & Company
212-816-1383 / 212-816-1685		212-446-9462 / 212-446-9459	443-224-1307 / 443-224-1350
Vincent Chao		Anthony Paolone	Ross T. Nussbaum / Gabriel Hilmoe
Deutsche Bank		JP Morgan	UBS
212-250-6799		212-622-6682	212-713-2484 / 212-713-3876
RESEARCH COVERAGE - DEBT
Scott Frost		Thomas Cook	Mark Streeter
Bank of America / Merrill Lynch		Citigroup Global Markets	JP Morgan
646-855-8078		212-723-1112	212-834-5086
Danish Agboatwala		Robert Haines / Craig Guttenplan	Thierry Perrein
Barclays Capital		Credit Sights	Wells Fargo Securities
212-412-2573		212-340-3835 / 212-340-3859	704-715-8455
This information is provided as a service to interested parties and not as an endorsement of any report, or representation as to the accuracy of any information contained therein. Opinions, forecasts and other forward-looking statements expressed in analysts' reports are subject to change without notice.

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2013 BUSINESS DEVELOPMENTS

Acquisitions

Since January 1, 2013, we have completed the following acquisitions:

·A 20.1% interest in 650 Madison Avenue, a 27-story, 594,000 square foot Class A office and retail tower located on Madison Avenue between 59th and 60th Street, for $260 million ($1.295 billion at 100%).

·A 92.5% interest in 655 Fifth Avenue, a 57,500 square foot retail and office property located at the northeast corner of Fifth Avenue and 52nd Street in Manhattan, for $277.5 million ($300 million at 100%). 

·Land and air rights for 137,000 zoning square feet thereby completing the assemblage for our 220 Central Park South development site in Manhattan, for $194 million.

·Three other Manhattan street retail properties, in separate transactions, for an aggregate of $65.3 million.

Dispositions

Since January 1, 2013, we have sold 20 assets and marketable securities, including J.C. Penney, for an aggregate of $1.8 billion, with net proceeds of approximately $1.3 billion.  Below is a summary of these sales.

·Green Acres Mall in Valley Stream, New York, for $500 million.

·The Plant, a power strip shopping center in San Jose, California, for $203 million.

·866 United Nations Plaza, a 360,000 square foot office building in Manhattan, for $200 million.

·A retail property in Philadelphia, which is a part of the Gallery at Market Street, for $60 million.

·A parcel of land known as Harlem Park located at 1800 Park Avenue (at 125th Street) in New York City, for $66 million.

·A retail property in Tampa, Florida for $45 million, of which our 75% share was $33.8 million.

·12 other properties, in separate transactions, for an aggregate of $82.3 million.

·Marketable securities, principally J.C. Penney, for an aggregate of $378.7 million.

·Our 26.2% interest in LNR for net proceeds of $240.5 million.

·Our 50% interest in the Downtown Crossing site in Boston for net proceeds of $45 million.

Financing Activities

Since January 1, 2013, we have executed the following capital market transactions:

·A $600 million loan secured by our 220 Central Park South development site.

·The restructuring of the $678 million (face amount) Skyline properties mortgage loan.

·Extended one of our two $1.25 billion revolving credit facilities from June 2015 to June 2017, with two six-month extension options.

·Five additional financings secured by real estate aggregating $1.707 billion at a weighted average interest rate of 3.63% and a weighted average term of 7.5 years.  One of these financings was to support a recently acquired asset and the other four yielded approximately $351 million of net proceeds. 

·Issued $300 million of 5.4% Series L Preferred Shares and redeemed all of the outstanding Series F and H Preferred Shares and the Series D-15 Preferred Units, which had a weighted average rate of 6.77%, for $299.4 million.

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COMMON SHARES DATA (NYSE: VNO)
(unaudited)
Vornado Realty Trust common shares are traded on the New York Stock Exchange ("NYSE") under the symbol VNO. Below is a summary of VNO common shares performance and dividends (based on NYSE prices):
				Fourth Quarter 2013		Third Quarter 2013		Second Quarter 2013		First Quarter 2013
High Price				$	91.91	$	89.35	$	88.73	$	85.94
Low Price				$	82.73	$	79.56	$	76.19	$	79.43
Closing Price - end of quarter				$	88.79	$	84.06	$	82.85	$	83.64
Annualized Dividend per share				$	2.92	$	2.92	$	2.92	$	2.92
Annualized Dividend Yield - on Closing Price					3.3%		3.5%		3.5%		3.5%
Outstanding shares, Class A units and convertible preferred units
	as converted, excluding stock options (in thousands)				199,245		199,051		199,051		198,992
Closing market value of outstanding shares, Class A units and
	convertible preferred units as converted, excluding stock options			$	17.7 Billion	$	16.7 Billion	$	16.5 Billion	$	16.6 Billion
TIMING
Quarterly financial results and related earnings conference calls for the next three quarters are expected to occur as follows:
		Filing Date	Earnings Call
First Quarter 2014		May 5, 2014	May 6, 2014 10AM ET
Second Quarter 2014		August 4, 2014	August 5, 2014 10AM ET
Third Quarter 2014		November 3, 2014	November 4, 2014 10AM ET

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FINANCIAL HIGHLIGHTS
(unaudited and in thousands, except per share amounts)
This section includes non-GAAP financial measures, including Earnings Before Interest Taxes Depreciation and Amortization ("EBITDA"), Funds From Operations attributable to common shares plus assumed conversions ("FFO"), FFO as adjusted for comparability, and Funds Available for Distribution ("FAD"). A description of these non-GAAP measures and reconciliations to the most directly comparable GAAP measures are provided on the pages that follow.
				Three Months Ended						Year Ended
				December 31,				September 30,		December 31,
				2013		2012		2013		2013		2012
	Total revenues			$	673,308	$	686,693	$	679,435	$	2,760,909	$	2,736,232
	Net (loss) income attributable to common shareholders			$	(68,887)	$	62,633	$	83,005	$	392,034	$	549,271
		Per common share:
			Basic	$	(0.37)	$	0.34	$	0.44	$	2.10	$	2.95
			Diluted	$	(0.37)	$	0.33	$	0.44	$	2.09	$	2.94
	FFO as adjusted for comparability			$	248,695	$	207,251	$	236,517	$	941,471	$	778,475
		Per diluted share		$	1.33	$	1.11	$	1.26	$	5.01	$	4.18
	(Negative FFO) FFO			$	(6,784)	$	55,890	$	210,627	$	641,037	$	818,565
	(Negative FFO) FFO - Operating Partnership Basis ("OP Basis")			$	(7,206)	$	59,485	$	223,693	$	680,628	$	872,560
		Per diluted share		$	(0.04)	$	0.30	$	1.12	$	3.41	$	4.39
	FAD			$	133,637	$	147,594	$	165,572	$	603,626	$	623,858
		Per diluted share		$	0.71	$	0.79	$	0.88	$	3.21	$	3.34
	Dividends per common share:
		Regular		$	0.73	$	0.69	$	0.73	$	2.92	$	2.76
		Special (long-term capital gain)			-		1.00		-		-		1.00
		Total		$	0.73	$	1.69	$	0.73	$	2.92	$	3.76
	FFO payout ratio (based on regular quarterly dividends and FFO
		as adjusted for comparability)			54.9%		62.2%		57.9%		58.3%		66.0%
	FAD payout ratio (based on regular quarterly dividends and FFO
		as adjusted for comparability)			102.8%		87.3%		83.0%		91.0%		82.6%
	Weighted average shares used in determining FFO per diluted share - REIT basis				187,109		186,866		187,771		187,757		186,530
	Convertible units:
		Class A			10,564		10,908		10,630		10,610		11,272
		D-13			531		602		556		564		589
		G1-G4			96		106		99		98		110
		Equity awards - unit equivalents			442		405		363		324		333
	Weighted average shares used in determining FFO per diluted share - OP Basis				198,742		198,887		199,419		199,353		198,834

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RECONCILIATION OF NET INCOME TO FFO (1)
(unaudited and in thousands, except per share amounts)
				Three Months Ended						Year Ended
				December 31,				September 30,		December 31,
				2013		2012		2013		2013		2012
Reconciliation of our net (loss) income to (Negative FFO) FFO:
	Net (loss) income attributable to Vornado			$	(48,519)	$	86,135	$	103,374	$	475,971	$	617,260
	Depreciation and amortization of real property				124,611		125,069		117,901		501,753		504,407
	Net gains on sale of real estate				(127,512)		(41,998)		(16,087)		(411,593)		(245,799)
	Real estate impairment losses				32,443		116,453		720		37,170		129,964
	Proportionate share of adjustments to equity in net income of
		Toys, to arrive at FFO:
			Depreciation and amortization of real property		16,506		17,777		16,430		69,741		68,483
			Real estate impairment losses		456		1,430		1,826		6,552		9,824
			Income tax effect of above adjustments		(5,937)		(6,728)		(6,390)		(26,703)		(27,493)
	Proportionate share of adjustments to equity in net income of
		partially owned entities, excluding Toys, to arrive at FFO:
			Depreciation and amortization of real property		25,282		20,387		20,931		87,529		86,197
			Net gains on sale of real estate		-		(239,551)		-		(465)		(241,602)
			Real estate impairment losses		-		-		-		-		1,849
	Noncontrolling interests' share of above adjustments				(3,746)		418		(7,736)		(15,089)		(16,649)
	FFO				13,584		79,392		230,969		724,866		886,441
	Preferred share dividends				(20,368)		(20,750)		(20,369)		(82,807)		(76,937)
	Preferred unit and share redemptions				-		(2,752)		-		(1,130)		8,948
	(Negative FFO) FFO attributable to common shareholders				(6,784)		55,890		210,600		640,929		818,452
	Convertible preferred share dividends				-		-		27		108		113
	(Negative FFO) FFO attributable to common shareholders plus assumed conversions				(6,784)		55,890		210,627		641,037		818,565
	Add back of income allocated to noncontrolling interests of the
		Operating Partnership			(422)		3,595		13,066		39,591		53,995
	(Negative FFO) FFO - OP Basis (1)			$	(7,206)	$	59,485	$	223,693	$	680,628	$	872,560
	(Negative FFO) FFO per diluted share (1)			$	(0.04)	$	0.30	$	1.12	$	3.41	$	4.39
(1) FFO is computed in accordance with the definition adopted by the Board of Governors of the National Association of Real Estate Investment Trusts (“NAREIT”). NAREIT defines FFO as GAAP net income or loss adjusted to exclude net gain from sales of depreciated real estate assets, real estate impairment losses, depreciation and amortization expense from real estate assets, extraordinary items and other specified non-cash items, including the pro rata share of such adjustments of unconsolidated subsidiaries. FFO and FFO per diluted share are used by management, investors and analysts to facilitate meaningful comparisons of operating performance between periods and among our peers because it excludes the effect of real estate depreciation and amortization and net gains on sales, which are based on historical costs and implicitly assume that the value of real estate diminishes predictably over time, rather than fluctuating based on existing market conditions. FFO does not represent cash generated from operating activities and is not necessarily indicative of cash available to fund cash requirements and should not be considered as an alternative to net income as a performance measure or cash flows as a liquidity measure. FFO may not be comparable to similarly titled measures employed by other companies.

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RECONCILIATION OF FFO TO FFO AS ADJUSTED FOR COMPARABILITY
(unaudited and in thousands, except per share amounts)
				Three Months Ended						Year Ended
				December 31,				September 30,		December 31,
				2013		2012		2013		2013		2012
(Negative FFO) FFO attributable to common shareholders plus assumed
	conversions		(A)	$	(6,784)	$	55,890	$	210,627	$	641,037	$	818,565
Per diluted share				$	(0.04)	$	0.30	$	1.12	$	3.41	$	4.39
Items that affect comparability income (expense):
	Toys "R" Us (Negative FFO) FFO (including impairment losses of $162,215 and $40,000
		in the three months ended December 31, 2013 and 2012, respectively and $240,757
		and $40,000 in the year ended December 31, 2013 and 2012, respectively)			(282,041)		(61,358)		(22,343)		(312,788)		65,673
	Loss on sale of J.C. Penney common shares				-		-		(18,114)		(54,914)		-
	Non-cash impairment loss on J.C. Penney common shares				-		(224,937)		-		(39,487)		(224,937)
	Loss from the mark-to-market of J.C. Penney derivative position				-		(22,472)		(20,012)		(33,487)		(75,815)
	Acquisition related costs				(18,088)		(6,934)		(2,818)		(24,857)		(11,248)
	Preferred unit and share redemptions				-		(2,752)		-		(1,130)		8,948
	Stop & Shop litigation settlement income				-		-		-		59,599		-
	Net gain on sale of marketable securities, land parcels and residential condominiums				23,988		-		31,741		58,245		13,347
	FFO attributable to discontinued operations, including LNR, and discontinued
		operations of Alexander's in 2012			1,671		46,365		2,539		33,928		153,179
	Accelerated amortization of discount on investment in subordinated debt of
		Independence Plaza			-		60,396		-		-		60,396
	After-tax net gain on sale of Canadian Trade Shows				-		-		-		-		19,657
	Net gain resulting from Lexington Realty Trust's stock issuance				-		14,116		-		-		14,116
	1290 Avenue of the Americas and 555 California Street priority return and
		income tax benefit			-		25,260		-		-		13,222
	Other, net				3,436		11,177		1,511		(3,890)		6,196
					(271,034)		(161,139)		(27,496)		(318,781)		42,734
Noncontrolling interests' share of above adjustments					15,555		9,778		1,606		18,347		(2,644)
Items that affect comparability, net			(B)	$	(255,479)	$	(151,361)	$	(25,890)	$	(300,434)	$	40,090
Per diluted share				$	(1.37)	$	(0.81)	$	(0.14)	$	(1.60)	$	0.21
FFO attributable to common shareholders plus assumed conversions,
	as adjusted for comparability		(A-B)	$	248,695	$	207,251	$	236,517	$	941,471	$	778,475
Per diluted share				$	1.33	$	1.11	$	1.26	$	5.01	$	4.18

- 7 -

 

RECONCILIATION OF FFO TO FAD (1)
(unaudited and in thousands, except per share amounts)
				Three Months Ended						Year Ended
				December 31,				September 30,		December 31,
				2013		2012		2013		2013		2012
(Negative FFO) FFO attributable to common shareholders plus assumed conversions			(A)	$	(6,784)	$	55,890	$	210,627	$	641,037	$	818,565
Adjustments to arrive at FAD:
	Items that affect comparability per page 7, excluding FFO attributable to
		discontinued operations			(272,705)		(207,504)		(30,035)		(352,709)		(110,445)
	Recurring tenant improvements, leasing commissions and other capital expenditures (3)				98,371		87,448		63,523		298,507		244,493
	Straight-line rentals				20,651		13,183		15,889		68,728		66,192
	Amortization of acquired below-market leases, net				11,882		14,212		10,839		48,504		52,887
	Carried interest and our share of net unrealized gains from Real Estate Fund				14,915		11,294		3,448		45,749		19,678
	Stock-based compensation expense				(9,118)		(7,767)		(9,201)		(34,914)		(30,588)
	Amortization of debt issuance costs				(10,473)		(6,970)		(4,865)		(25,593)		(23,639)
	Non real estate depreciation				(2,346)		(1,524)		(1,748)		(8,342)		(9,383)
	Amortization of discount on convertible and exchangeable senior debentures				-		-		-		-		(1,646)
	Noncontrolling interests' share of above adjustments				8,402		5,924		(2,795)		(2,519)		(12,842)
			(B)		(140,421)		(91,704)		45,055		37,411		194,707
FAD(1)			(A-B)	$	133,637	$	147,594	$	165,572	$	603,626	$	623,858
FAD per diluted share				$	0.71	$	0.79	$	0.88	$	3.21	$	3.34
FAD payout ratio (2)					102.8%		87.3%		83.0%		91.0%		82.6%
(1) FAD is defined as FFO less (i) recurring tenant improvements, leasing commissions and capital expenditures, (ii) straight-line rents and amortization of acquired below-market leases, net, and (iii) other non-cash income, plus (iv) other non-cash charges. FAD is a non-GAAP financial measure that is not intended to represent cash flow and is not indicative of cash flow provided by operating activities as determined in accordance with GAAP. FAD is presented solely as a supplemental disclosure that management believes provides useful information regarding the Company's ability to fund its dividends.
(2) FAD payout ratios on a quarterly basis are not necessarily indicative of amounts for the full year due to fluctuation in timing of cash based expenditures, the commencement of new leases and the seasonality of our operations.
(3) Includes expenditures of $25,541, $12,466, and $14,197 in the three months ended December 31, 2013 and 2012 and September 30, 2013, respectively, and $61,895 and $24,354 in the year ended December 31, 2013 and 2012, respectively, for the 608,000 square foot Motorola Mobility lease at the Merchandise Mart (whose cash rent has not commenced).

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CONSOLIDATED NET INCOME / EBITDA (1)
(unaudited and in thousands)
		Three Months Ended
		December 31,						September 30,
		2013		2012		Inc (Dec)		2013
Property rentals		$	511,300	$	494,895	$	16,405	$	501,399
Straight-line rent adjustments			20,651		13,183		7,468		15,889
Amortization of acquired below-market leases, net			12,535		14,646		(2,111)		11,820
Total rentals			544,486		522,724		21,762		529,108
Tenant expense reimbursements			81,330		74,272		7,058		84,368
Cleveland Medical Mart development project			2,343		51,220		(48,877)		4,893
Fee and other income:
	BMS cleaning fees		17,434		18,147		(713)		15,898
	Signage revenue		9,300		6,640		2,660		8,738
	Management and leasing fees		4,976		5,329		(353)		7,977
	Lease termination fees		5,144		1,189		3,955		20,344
	Other income		8,295		7,172		1,123		8,109
Total revenues			673,308		686,693		(13,385)		679,435
Operating expenses			263,296		259,719		3,577		263,437
Depreciation and amortization			131,902		129,632		2,270		123,697
General and administrative			53,568		51,313		2,255		48,336
Cleveland Medical Mart development project			2,446		49,492		(47,046)		3,239
Impairment losses, acquisition related costs and tenant buy-outs			50,531		110,572		(60,041)		2,818
Total expenses			501,743		600,728		(98,985)		441,527
Operating income			171,565		85,965		85,600		237,908
(Loss) applicable to Toys			(293,066)		(73,837)		(219,229)		(34,209)
(Loss) income from partially owned entities			(99)		354,776		(354,875)		1,453
Income from Real Estate Fund			28,951		26,364		2,587		22,913
Interest and other investment income (loss), net			8,234		(237,961)		246,195		(10,275)
Interest and debt expense			(120,625)		(121,049)		424		(119,681)
Net gain on disposition of wholly owned and partially owned assets			23,988		8,491		15,497		15,138
(Loss) income before income taxes			(181,052)		42,749		(223,801)		113,247
Income tax benefit (expense)			12,578		9,187		3,391		(2,222)
(Loss) income from continuing operations			(168,474)		51,936		(220,410)		111,025
Income from discontinued operations			129,715		39,957		89,758		21,226
Net (loss) income			(38,759)		91,893		(130,652)		132,251
Less net (income) loss attributable to noncontrolling interests in:
	Consolidated subsidiaries		(13,903)		(1,090)		(12,813)		(23,833)
	Operating Partnership		4,155		(3,882)		8,037		(5,032)
	Preferred unit distributions of the Operating Partnership		(12)		(786)		774		(12)
Net (loss) income attributable to Vornado			(48,519)		86,135		(134,654)		103,374
Interest and debt expense			207,424		193,258		14,166		183,116
Depreciation and amortization			183,685		182,499		1,186		172,756
Income tax expense (benefit)			8,270		(43,050)		51,320		(20,292)
EBITDA		$	350,860	$	418,842	$	(67,982)	$	438,954
Capitalized leasing and development payroll		$	4,682	$	3,386	$	1,296	$	3,965
Capitalized interest		$	14,279	$	8,917	$	5,362	$	10,532
(1) EBITDA represents "Earnings Before Interest, Taxes, Depreciation and Amortization." Management considers EBITDA a supplemental measure for making decisions and assessing the unlevered performance of its segments as it relates to the total return on assets as opposed to the levered return on equity. As properties are bought and sold based on a multiple of EBITDA, management utilizes this measure to make investment decisions as well as to compare the performance of its assets to that of its peers. EBITDA should not be considered a substitute for net income. EBITDA may not be comparable to similarly titled measures employed by other companies.

- 9 -

 

CONSOLIDATED NET INCOME / EBITDA
(unaudited and in thousands)
		Year Ended December 31,
		2013		2012		Inc (Dec)
Property rentals		$	2,034,374	$	1,941,654	$	92,720
Straight-line rent adjustments			68,728		66,192		2,536
Amortization of acquired below-market leases, net			52,861		54,215		(1,354)
Total rentals			2,155,963		2,062,061		93,902
Tenant expense reimbursements			317,345		294,584		22,761
Cleveland Medical Mart development project			36,369		235,234		(198,865)
Fee and other income:
	BMS cleaning fees		66,505		67,584		(1,079)
	Signage revenue		32,866		20,892		11,974
	Management and leasing fees		24,637		21,849		2,788
	Lease termination fees		92,497		2,361		90,136
	Other income		34,727		31,667		3,060
Total revenues			2,760,909		2,736,232		24,677
Operating expenses			1,054,897		1,017,331		37,566
Depreciation and amortization			531,212		510,383		20,829
General and administrative			211,100		202,444		8,656
Cleveland Medical Mart development project			32,210		226,619		(194,409)
Impairment losses, acquisition related costs and tenant buy-outs			57,300		114,886		(57,586)
Total expenses			1,886,719		2,071,663		(184,944)
Operating income			874,190		664,569		209,621
(Loss) income applicable to Toys			(362,377)		14,859		(377,236)
Income from partially owned entities			23,592		408,267		(384,675)
Income from Real Estate Fund			102,898		63,936		38,962
Interest and other investment loss, net			(24,699)		(260,945)		236,246
Interest and debt expense			(483,190)		(493,713)		10,523
Net gain on disposition of wholly owned and partially owned assets			3,407		13,347		(9,940)
Income before income taxes			133,821		410,320		(276,499)
Income tax benefit (expense)			6,406		(8,132)		14,538
Income from continuing operations			140,227		402,188		(261,961)
Income from discontinued operations			424,513		292,353		132,160
Net income			564,740		694,541		(129,801)
Less net income attributable to noncontrolling interests in:
	Consolidated subsidiaries		(63,952)		(32,018)		(31,934)
	Operating Partnership		(23,659)		(35,327)		11,668
	Preferred unit distributions of the Operating Partnership		(1,158)		(9,936)		8,778
Net income attributable to Vornado			475,971		617,260		(141,289)
Interest and debt expense			758,781		760,523		(1,742)
Depreciation and amortization			732,757		735,293		(2,536)
Income tax expense			26,371		7,026		19,345
EBITDA		$	1,993,880	$	2,120,102	$	(126,222)
Capitalized leasing and development payroll		$	16,207	$	13,896	$	2,311
Capitalized interest		$	42,303	$	16,801	$	25,502

- 10 -

 

EBITDA BY SEGMENT
(unaudited and in thousands)
As a result of certain organizational changes and asset sales in 2012, the Merchandise Mart segment no longer met the criteria to be a separate reportable segment; accordingly, effective January 1, 2013, the remaining assets were reclassified to “Other.” We have also reclassified the prior period segment financial results to conform to the current year presentation.
		Three Months Ended December 31, 2013
										Retail
		Total		New York			Washington, DC			Properties			Toys		Other
Property rentals		$	511,300	$	278,395		$	112,240		$	66,243		$	-	$	54,422
Straight-line rent adjustments			20,651		13,524			1,316			908			-		4,903
Amortization of acquired below-market leases, net			12,535		8,030			521			2,746			-		1,238
Total rentals			544,486		299,949			114,077			69,897			-		60,563
Tenant expense reimbursements			81,330		42,289			11,510			22,199			-		5,332
Cleveland Medical Mart development project			2,343		-			-			-			-		2,343
Fee and other income:
	BMS cleaning fees		17,434		22,565			-			-			-		(5,131)
	Signage revenue		9,300		9,300			-			-			-		-
	Management and leasing fees		4,976		2,279			2,937			394			-		(634)
	Lease termination fees		5,144		1,717			209			70			-		3,148
	Other income		8,295		1,919			5,776			376			-		224
Total revenues			673,308		380,018			134,509			92,936			-		65,845
Operating expenses			263,296		157,559			50,310			33,233			-		22,194
Depreciation and amortization			131,902		60,202			31,810			18,880			-		21,010
General and administrative			53,568		8,550			6,975			4,168			-		33,875
Cleveland Medical Mart development project			2,446		-			-			-			-		2,446
Impairment losses, acquisition related costs and tenant buy-outs			50,531		-			-			32,443			-		18,088
Total expenses			501,743		226,311			89,095			88,724			-		97,613
Operating income (loss)			171,565		153,707			45,414			4,212			-		(31,768)
(Loss) applicable to Toys			(293,066)		-			-			-			(293,066)		-
(Loss) income from partially owned entities			(99)		1,507			(423)			585			-		(1,768)
Income from Real Estate Fund			28,951		-			-			-			-		28,951
Interest and other investment income, net			8,234		1,456			30			8			-		6,740
Interest and debt expense			(120,625)		(56,538)			(18,927)			(9,680)			-		(35,480)
Net gain on disposition of wholly owned and
	partially owned assets		23,988		-			-			-			-		23,988
(Loss) income before income taxes			(181,052)		100,132			26,094			(4,875)			(293,066)		(9,337)
Income tax benefit (expense)			12,578		(1,496)			15,980			(831)			-		(1,075)
(Loss) income from continuing operations			(168,474)		98,636			42,074			(5,706)			(293,066)		(10,412)
Income from discontinued operations			129,715		129,706			-			-			-		9
Net (loss) income			(38,759)		228,342			42,074			(5,706)			(293,066)		(10,403)
Less net (income) loss attributable to noncontrolling interests in:
	Consolidated subsidiaries		(13,903)		(1,268)			-			14			-		(12,649)
	Operating Partnership		4,155		-			-			-			-		4,155
	Preferred unit distributions of the Operating Partnership		(12)		-			-			-			-		(12)
Net (loss) income attributable to Vornado			(48,519)		227,074			42,074			(5,692)			(293,066)		(18,909)
Interest and debt expense			207,424		73,066			22,416			10,844			62,239		38,859
Depreciation and amortization			183,685		73,694			36,610			19,721			31,446		22,214
Income tax expense (benefit)			8,270		1,558			(17,841)			831			22,573		1,149
EBITDA for the three months ended December 31, 2013		$	350,860	$	375,392		$	83,259		$	25,704		$	(176,808)	$	43,313
EBITDA for the three months ended December 31, 2012		$	418,842	$	407,823		$	118,021		$	(20,074)		$	(29,148)	$	(57,780)
EBITDA as adjusted for comparability - OP basis:
	For the three months ended December 31, 2013	$	424,911	$	246,061	(1)	$	83,259	(2)	$	58,147	(3)	$	-	$	37,444	(4)
	For the three months ended December 31, 2012	$	386,545	$	215,716	(1)	$	80,673	(2)	$	57,697	(3)	$	-	$	32,459	(4)
See notes on page 13.

- 11 -

 

EBITDA BY SEGMENT
(unaudited and in thousands)
		Year Ended December 31, 2013
										Retail
		Total		New York			Washington, DC			Properties			Toys		Other
Property rentals		$	2,034,374	$	1,103,629		$	450,982		$	259,437		$	-	$	220,326
Straight-line rent adjustments			68,728		40,978			5,558			4,572			-		17,620
Amortization of acquired below-market leases, net			52,861		34,214			2,064			11,415			-		5,168
Total rentals			2,155,963		1,178,821			458,604			275,424			-		243,114
Tenant expense reimbursements			317,345		169,086			42,774			87,036			-		18,449
Cleveland Medical Mart development project			36,369		-			-			-			-		36,369
Fee and other income:
	BMS cleaning fees		66,505		85,757			-			-			-		(19,252)
	Signage revenue		32,866		32,866			-			-			-		-
	Management and leasing fees		24,637		9,798			14,466			1,564			-		(1,191)
	Lease termination fees		92,497		26,469			1,626			59,867			-		4,535
	Other income		34,727		6,469			23,691			1,825			-		2,742
Total revenues			2,760,909		1,509,266			541,161			425,716			-		284,766
Operating expenses			1,054,897		630,998			195,568			133,681			-		94,650
Depreciation and amortization			531,212		261,878			124,488			66,400			-		78,446
General and administrative			211,100		34,087			27,630			18,992			-		130,391
Cleveland Medical Mart development project			32,210		-			-			-			-		32,210
Impairment losses, acquisition related costs and tenant buy-outs			57,300		-			-			32,443			-		24,857
Total expenses			1,886,719		926,963			347,686			251,516			-		360,554
Operating income (loss)			874,190		582,303			193,475			174,200			-		(75,788)
(Loss) applicable to Toys			(362,377)		-			-			-			(362,377)		-
Income (loss) from partially owned entities			23,592		15,527			(6,968)			2,097			-		12,936
Income from Real Estate Fund			102,898		-			-			-			-		102,898
Interest and other investment (loss) income, net			(24,699)		5,532			129			13			-		(30,373)
Interest and debt expense			(483,190)		(181,966)			(102,277)			(44,203)			-		(154,744)
Net gain on disposition of wholly owned and
	partially owned assets		3,407		-			-			1,377			-		2,030
Income (loss) before income taxes			133,821		421,396			84,359			133,484			(362,377)		(143,041)
Income tax benefit (expense)			6,406		(2,794)			14,031			(2,311)			-		(2,520)
Income (loss) from continuing operations			140,227		418,602			98,390			131,173			(362,377)		(145,561)
Income (loss) from discontinued operations			424,513		138,245			-			287,536			-		(1,268)
Net income (loss)			564,740		556,847			98,390			418,709			(362,377)		(146,829)
Less net (income) attributable to noncontrolling interests in:
	Consolidated subsidiaries		(63,952)		(10,786)			-			(3,065)			-		(50,101)
	Operating Partnership		(23,659)		-			-			-			-		(23,659)
	Preferred unit distributions of the Operating Partnership		(1,158)		-			-			-			-		(1,158)
Net income (loss) attributable to Vornado			475,971		546,061			98,390			415,644			(362,377)		(221,747)
Interest and debt expense			758,781		236,645			116,131			50,901			181,586		173,518
Depreciation and amortization			732,757		293,974			142,409			72,161			135,178		89,035
Income tax expense (benefit)			26,371		3,002			(15,707)			2,311			33,532		3,233
EBITDA for the year ended December 31, 2013		$	1,993,880	$	1,079,682		$	341,223		$	541,017		$	(12,081)	$	44,039
EBITDA for the year ended December 31, 2012		$	2,120,102	$	1,017,859		$	532,412		$	200,526		$	281,289	$	88,016
EBITDA as adjusted for comparability - OP basis:
	For the year ended December 31, 2013	$	1,660,139	$	942,829	(1)	$	341,223	(2)	$	222,966	(3)	$	-	$	153,121	(4)
	For the year ended December 31, 2012	$	1,501,142	$	810,206	(1)	$	355,477	(2)	$	216,436	(3)	$	-	$	119,023	(4)
See notes on the following page.

- 12 -

 

NOTES TO EBITDA BY SEGMENT
(unaudited and in thousands)
(1)	The elements of "New York" EBITDA as adjusted for comparability are summarized below.
			Three Months Ended December 31,				Year Ended December 31,
			2013		2012		2013		2012
		Office	$	153,863	$	141,569	$	623,514	$	552,273
		Retail		69,312		52,486		246,382		189,116
		Alexander's		11,069		9,952		42,210		40,362
		Hotel Pennsylvania		11,817		11,709		30,723		28,455
		Total New York	$	246,061	$	215,716	$	942,829	$	810,206
(2)	The elements of "Washington, DC" EBITDA as adjusted for comparability are summarized below.
			Three Months Ended December 31,				Year Ended December 31,
			2013		2012		2013		2012
		Office, excluding the Skyline Properties	$	65,910	$	61,805	$	268,373	$	272,513
		Skyline properties		6,953		7,910		29,499		40,037
		Total Office		72,863		69,715		297,872		312,550
		Residential		10,396		10,958		43,351		42,927
		Total Washington, DC	$	83,259	$	80,673	$	341,223	$	355,477
(3)	The elements of "Retail Properties" EBITDA as adjusted for comparability are summarized below.
			Three Months Ended December 31,				Year Ended December 31,
			2013		2012		2013		2012
		Strip shopping centers	$	40,547	$	40,478	$	157,269	$	152,228
		Regional malls		17,600		17,219		65,697		64,208
		Total Retail properties	$	58,147	$	57,697	$	222,966	$	216,436

- 13 -

 

NOTES TO EBITDA BY SEGMENT
(unaudited and in thousands)
(4)	The elements of "other" EBITDA as adjusted for comparability are summarized below.
			Three Months Ended December 31,				Year Ended December 31,
			2013		2012		2013		2012
	Our share of Real Estate Fund:
		(Loss) income before net realized/unrealized gains	$	(70)	$	764	$	1,676	$	4,926
		Net unrealized gains		6,574		5,456		21,443		13,840
		Net realized gain		-		-		2,046		-
		Carried interest		8,341		5,838		24,306		5,838
	Total			14,845		12,058		49,471		24,604
	Merchandise Mart Building, 7 West 34th Street and trade shows			20,038		13,620		74,270		62,470
	555 California Street			10,296		9,138		42,667		40,544
	India real estate ventures			1,133		1,936		5,841		5,503
	Lexington(a)			-		2,770		2,770		9,696
	Other investments			4,765		6,839		23,636		28,074
				51,077		46,361		198,655		170,891
	Corporate general and administrative expenses(b)			(23,850)		(22,142)		(94,904)		(89,082)
	Investment income and other, net(b)			10,217		8,240		49,370		37,214
		Total Other	$	37,444	$	32,459	$	153,121	$	119,023
	(a)	In the first quarter of 2013, we began accounting for our investment in Lexington as a marketable equity security - available for sale. This investment was previously accounted for under the equity method.
	(b)	The amounts in these captions (for this table only) exclude income (expense) from the mark-to-market of our deferred compensation plan.

- 14 -

 

EBITDA BY SEGMENT AND REGION
(unaudited)
The following tables set forth the percentages of EBITDA, by operating segment and by geographic region (excluding discontinued operations and other gains and losses that affect comparability), from our New York, Washington, DC and Retail Properties segments.
		Three Months Ended December 31,		Year Ended December 31,
		2013	2012	2013	2012
Segment
	New York	64%	61%	62%	59%
	Washington, DC	21%	23%	23%	26%
	Retail Properties	15%	16%	15%	15%
		100%	100%	100%	100%
Region
	New York City metropolitan area	75%	73%	73%	70%
	Washington, DC / Northern Virginia metropolitan area	22%	23%	23%	26%
	Puerto Rico	1%	2%	2%	2%
	California	1%	1%	1%	1%
	Other geographies	1%	1%	1%	1%
		100%	100%	100%	100%

- 15 -

 

CONSOLIDATED BALANCE SHEETS
(unaudited and in thousands)
				December 31,		December 31,		(Decrease)
				2013		2012		Increase
ASSETS
	Real estate, at cost:
		Land		$	4,205,815	$	4,766,315	$	(560,500)
		Buildings and improvements			12,661,938		12,421,086		240,852
		Development costs and construction in progress			1,354,350		920,273		434,077
		Leasehold improvements and equipment			132,523		130,544		1,979
			Total		18,354,626		18,238,218		116,408
		Less accumulated depreciation and amortization			(3,410,933)		(3,072,269)		(338,664)
	Real estate, net				14,943,693		15,165,949		(222,256)
	Cash and cash equivalents				583,290		960,319		(377,029)
	Restricted cash				262,440		183,256		79,184
	Marketable securities				191,917		398,188		(206,271)
	Tenant and other receivables, net				115,862		195,718		(79,856)
	Investments in partially owned entities				1,166,443		1,226,256		(59,813)
	Investment in Toys				83,224		478,041		(394,817)
	Real Estate Fund investments				667,710		600,786		66,924
	Mortgage and mezzanine loans receivable, net				170,972		225,359		(54,387)
	Receivable arising from the straight-lining of rents, net				823,137		758,191		64,946
	Deferred leasing and financing costs, net				413,726		405,004		8,722
	Identified intangible assets, net				323,322		415,330		(92,008)
	Assets related to discontinued operations				-		671,573		(671,573)
	Other assets				351,488		381,079		(29,591)
		Total assets		$	20,097,224	$	22,065,049	$	(1,967,825)
LIABILITIES, REDEEMABLE NONCONTROLLING INTERESTS AND EQUITY
Liabilities:
	Mortgages payable			$	8,331,993	$	8,599,222	$	(267,229)
	Senior unsecured notes				1,350,855		1,358,008		(7,153)
	Revolving credit facility debt				295,870		1,170,000		(874,130)
	Accounts payable and accrued expenses				422,276		484,746		(62,470)
	Deferred revenue				542,998		596,067		(53,069)
	Deferred compensation plan				116,515		105,200		11,315
	Deferred tax liabilities				1,280		15,305		(14,025)
	Liabilities related to discontinued operations				-		487,271		(487,271)
	Other liabilities				437,073		400,934		36,139
		Total liabilities			11,498,860		13,216,753		(1,717,893)
Redeemable noncontrolling interests					1,003,620		944,152		59,468
Vornado shareholders' equity					6,765,232		6,850,935		(85,703)
Noncontrolling interests in consolidated subsidiaries					829,512		1,053,209		(223,697)
		Total liabilities, redeemable noncontrolling interests and equity		$	20,097,224	$	22,065,049	$	(1,967,825)

- 16 -

 

CAPITAL STRUCTURE
(unaudited and in thousands, except per share amounts)
Debt:							December 31, 2013
	Consolidated debt:
		Mortgages payable					$	8,331,993
		Senior unsecured notes						1,350,855
		$2.5 billion revolving credit facilities						295,870
								9,978,718
	Pro rata share of non-consolidated debt:
		Toys						1,861,485
		All other partially owned entities						2,327,918
	Less: Noncontrolling interests' share of consolidated debt
			(primarily 1290 Avenue of the Americas and 555 California Street)					(465,000)
Total debt								13,703,121
Perpetual Preferred:				Shares/Units	Par Value
5.00% Preferred Unit (D-16) (1 unit @ $1,000)								1,000
6.625% Series G Preferred Shares				8,000		25.00		200,000
6.625% Series I Preferred Shares				10,800		25.00		270,000
6.875% Series J Preferred Shares				9,850		25.00		246,250
5.70% Series K Preferred Shares				12,000		25.00		300,000
5.40% Series L Preferred Shares				12,000		25.00		300,000
								1,317,250
					December 31, 2013
				Converted	Common
Equity:				Shares	Share Price
Common shares				187,285	$	88.79		16,629,035
Class A units				10,526		88.79		934,604
Convertible share equivalents:
	Equity awards - unit equivalents			766		88.79		68,013
	D-13 preferred units			526		88.79		46,704
	G1-G4 units			95		88.79		8,435
	Series A preferred shares			47		88.79		4,173
								17,690,964
Total Market Capitalization							$	32,711,335

- 17 -

 

DEBT ANALYSIS
(unaudited and in thousands)
						As of December 31, 2013
						Total					Variable				Fixed
								Weighted					Weighted				Weighted
								Average					Average				Average
						Amount		Interest Rate			Amount		Interest Rate		Amount		Interest Rate
Consolidated debt						$	9,978,718		4.44%		$	1,064,730		2.01%	$	8,913,988		4.73%
Pro rata share of non-consolidated debt:
	Toys						1,861,485		6.56%			1,179,001		5.45%		682,484		8.47%
	All other						2,327,918		5.50%			196,240		2.09%		2,131,678		5.81%
Total							14,168,121		4.89%			2,439,971		3.68%		11,728,150		5.14%
Less: Noncontrolling interests' share of consolidated debt
	(primarily 1290 Avenue of the Americas and 555 California Street)						(465,000)					-				(465,000)
Company's pro rata share of total debt						$	13,703,121		4.92%		$	2,439,971		3.68%	$	11,263,150		5.19%
Debt Covenant Ratios: (1)		Senior Unsecured Notes									Revolving Credit Facilities				Unencumbered EBITDA
				Actual													4Q 2013
		Required		Due 2015		Due 2022		Due 2039			Required		Actual				Annualized
Total Outstanding Debt / Total Assets (2)			Less than 65%		39%		39%		41%			Less than 60%		31%		New York	$	397,432
Secured Debt / Total Assets			Less than 50%		33%		33%		35%			Less than 50%		28%		Washington, DC		195,232
Interest Coverage Ratio (Annualized Combined																Retail Properties		78,520
	EBITDA to Annualized Interest Expense)		Greater than 1.50		2.82		2.82		2.82					N/A		Other		53,412
Fixed Charge Coverage					N/A		N/A		N/A			Greater than 1.40		2.50		Total	$	724,596
Unencumbered Assets / Unsecured Debt			Greater than 150%		737%		737%		714%					N/A
Unsecured Debt / Cap Value of Unencumbered Assets					N/A		N/A		N/A			Less than 60%		6%
Unencumbered Coverage Ratio					N/A		N/A		N/A			Greater than 1.50		8.48
				Senior Unsecured Notes
				Due 2015		Due 2022		Due 2039
Settlement Date					3/26/2010		12/7/2011		9/30/2009
Principal Amount					$ 500,000		$ 400,000		$ 452,500
Issue Price					99.834%		99.546%		100.000%
Coupon					4.250%		5.000%		7.875%
Effective economic interest rate					4.287%		5.057%		7.875%
Ratings:
	Moody's				Baa2		Baa2		Baa2
	S&P				BBB		BBB		BBB
	Fitch				BBB		BBB		BBB
Maturity Date / Put Date					4/1/2015		1/15/2022		10/1/2039	(3)
(1)	Our debt covenant ratios are computed in accordance with the terms of our senior unsecured notes and revolving credit facilities, as applicable. The methodology used for these computations may differ significantly from similarly titled ratios of other companies. For additional information regarding the methodology used to compute these ratios, please see our filings with the SEC of our revolving credit facilities, senior debt indentures and applicable prospectuses and prospectus supplements.
(2)	Total assets includes EBITDA capped at 7.5% under the senior unsecured notes and 6.0% under the revolving credit facilities.
(3)	These notes may be redeemed at our option in whole or in part beginning October 1, 2014, at a price equal to the principal amount plus accrued interest.

- 18 -

 

DEBT MATURITIES
(unaudited and in thousands)
			Spread
		Maturity	over	Interest
Property		Date (1)	LIBOR	Rate	2014		2015		2016		2017		2018		Thereafter		Total
1730 M and 1150 17th Street		06/14	L+140	1.56%	$	43,581	$	-	$	-	$	-	$	-	$	-	$	43,581
1550 and 1750 Crystal Drive		11/14		7.81%		70,623		-		-		-		-		-		70,623
2200 / 2300 Clarendon Boulevard		01/15	L+75	0.92%		-		41,279		-		-		-		-		41,279
Senior unsecured notes due 2015		04/15		4.25%		-		499,793		-		-		-		-		499,793
River House Apartments		04/15		5.43%		-		195,546		-		-		-		-		195,546
909 Third Avenue		04/15		5.64%		-		194,910		-		-		-		-		194,910
888 Seventh Avenue		01/16		5.71%		-		-		318,554		-		-		-		318,554
510 5th Avenue		01/16		5.60%		-		-		30,740		-		-		-		30,740
770 Broadway		03/16		5.65%		-		-		353,000		-		-		-		353,000
Bowen Building		06/16		6.14%		-		-		115,022		-		-		-		115,022
Montehiedra Town Center		07/16		6.04%		-		-		120,000		-		-		-		120,000
$1.25 Billion unsecured revolving credit facility		11/16	L+125	-		-		-		-		-		-		-		-
Merchandise Mart		12/16		5.57%		-		-		550,000		-		-		-		550,000
350 Park Avenue		01/17		3.75%		-		-		-		300,000		-		-		300,000
100 West 33rd Street - office and retail		03/17	L+250	2.67%		-		-		-		325,000		-		-		325,000
2011 Crystal Drive		08/17		7.30%		-		-		-		78,529		-		-		78,529
North Bergen (Tonnelle Avenue)		01/18		4.59%		-		-		-		-		75,000		-		75,000
220 20th Street		02/18		4.61%		-		-		-		-		72,579		-		72,579
Two Penn Plaza		03/18		5.13%		-		-		-		-		425,000		-		425,000
River House Apartments		04/18	(2)	1.54%		-		-		-		-		64,000		-		64,000
828-850 Madison Avenue Condominium - retail		06/18		5.29%		-		-		-		-		80,000		-		80,000
$1.25 Billion unsecured revolving credit facility		06/18	L+115	1.32%		-		-		-		-		295,870		-		295,870
435 Seventh Avenue - retail		08/19	L+225	2.41%		-		-		-		-		-		98,000		98,000
4 Union Square South - retail		11/19	L+215	2.32%		-		-		-		-		-		120,000		120,000
Cross-collateralized mortgages on 40
	strip shopping centers	09/20	(3)	4.08%		-		-		-		-		-		620,465		620,465
Eleven Penn Plaza		12/20		3.95%		-		-		-		-		-		450,000		450,000
Borgata Land		02/21		5.14%		-		-		-		-		-		59,309		59,309
West End 25		06/21		4.88%		-		-		-		-		-		101,671		101,671
555 California Street		09/21		5.10%		-		-		-		-		-		600,000		600,000
Senior unsecured notes due 2022		01/22		5.00%		-		-		-		-		-		398,562		398,562
Skyline Properties		02/22		2.97%		-		-		-		-		-		678,000		678,000
1290 Avenue of the Americas		11/22		3.34%		-		-		-		-		-		950,000		950,000
2121 Crystal Drive		03/23		5.51%		-		-		-		-		-		148,326		148,326
666 Fifth Avenue Retail Condominium		03/23		3.61%		-		-		-		-		-		390,000		390,000
Bergen Town Center		04/23		3.56%		-		-		-		-		-		300,000		300,000
2101 L Street		08/24		3.97%		-		-		-		-		-		150,000		150,000
See notes on the following page.

- 19 -

 

DEBT MATURITIES
(unaudited and in thousands)
			Spread
		Maturity	over	Interest
Property		Date (1)	LIBOR	Rate	2014		2015		2016		2017		2018		Thereafter		Total
1215 Clark Street, 200 12th Street &
	251 18th Street	01/25		7.94%	$	-	$	-	$	-	$	-	$	-	$	100,499	$	100,499
Senior unsecured notes due 2039		10/39		7.88%		-		-		-		-		-		452,500		452,500
Other properties		Various				28,344		12,399		-		-		28,760		41,794		111,297
Purchase accounting valuation adjustments		Various				205		(196)		-		-		-		1,054		1,063
Total					$	142,753	$	943,731	$	1,487,316	$	703,529	$	1,041,209	$	5,660,180	$	9,978,718
Weighted average rate						5.26%		4.67%		5.70%		3.65%		3.72%		4.28%		4.44%
Fixed rate debt					$	99,172	$	902,452	$	1,487,316	$	378,529	$	664,339	$	5,382,180	$	8,913,988
Fixed weighted average rate expiring						6.88%		4.85%		5.70%		4.49%		5.05%		4.38%		4.73%
Floating rate debt					$	43,581	$	41,279	$	-	$	325,000	$	376,870	$	278,000	$	1,064,730
Floating weighted average rate expiring						1.56%		0.92%		-		2.67%		1.36%		2.36%		2.01%
(1)	Represents the extended maturity for certain loans in which we have the unilateral right, ability and intent to extend.
(2)	Interest at the Freddie Mac Reference Note Rate plus 1.53%.
(3)	Interest on a $560,465 fixed rate loan at 4.26%. Interest on a $60,000 variable rate loan is at LIBOR plus 1.36%, subject to a LIBOR floor of 1.00%.

- 20 -

 

UNCONSOLIDATED JOINT VENTURES
(unaudited and in thousands)
						As of December 31, 2013
								Debt
				Percentage		Company's		Company's
		Asset		Ownership at		Carrying		Pro rata		100% of
Joint Venture Name		Category		December 31, 2013		Amount		Share		Joint Venture
Toys			Retailer		32.6%	$	83,224	$	1,861,485	$	5,702,247
Alexander's, Inc.			Office/Retail		32.4%	$	167,785	$	340,187	$	1,049,959
India real estate ventures			Office/Land		4.1% to 36.5%		88,467		49,755		199,021
Partially owned office buildings:
	280 Park Avenue		Office		49.5%		237,398		365,536		738,704
	650 Madison Avenue		Office/Retail		20.1%		117,985		161,024		800,000
	Rosslyn Plaza	Office/Residential			43.7% to 50.4%		57,546		16,001		31,742
	West 57th Street properties		Office		50.0%		56,869		10,000		20,000
	One Park Avenue		Office		30.3%		56,144		75,740		250,000
	666 Fifth Avenue Office Condominium		Office		49.5%		40,878		579,279		1,170,261
	330 Madison Avenue		Office		25.0%		29,821		37,500		150,000
	Warner Building		Office		55.0%		16,992		160,985		292,700
	Fairfax Square		Office		20.0%		5,110		13,844		69,219
	1101 17th Street		Office		55.0%		-		17,050		31,000
	Other partially owned office buildings		Office		Various		2,551		26,957		69,133
Other investments:
	Independence Plaza		Residential		50.1%		161,638		275,550		550,000
	Monmouth Mall		Retail		50.0%		6,759		78,743		157,485
	Other investments		Various		Various		120,500		119,767		1,002,024
						$	1,166,443	$	2,327,918	$	6,581,248

- 21 -

 

UNCONSOLIDATED JOINT VENTURES
(unaudited and in thousands)
			Percentage		Our Share of Net Income (Loss) for the					Our Share of EBITDA for the
			Ownership at		Three Months Ended December 31,					Three Months Ended December 31,
Joint Venture Name			December 31, 2013		2013		2012			2013		2012
Toys				32.6%	$	(293,066)	$	(73,837)		$	(176,808)	$	(29,148)
New York:
		Alexander's, Inc. (decrease due to sale of Kings Plaza in November 2012)		32.4%	$	4,936	$	185,433		$	11,069	$	191,908
		650 Madison Avenue		20.1%		(2,229)		-			3,058		-
		Independence Plaza		50.1%		(2,850)		-			3,718		-
		280 Park Avenue		49.5%		(2,069)		(2,243)			5,346		4,905
		666 Fifth Avenue Office Condominium		49.5%		1,935		1,765			7,183		4,689
		330 Madison Avenue		25.0%		1,459		1,573			2,346		2,439
		West 57th Street properties		50.0%		126		282			548		801
		One Park Avenue		30.3%		68		233			1,974		1,908
		Other		Various		131		385			1,427		1,165
						1,507		187,428			36,669		207,815
Washington, DC:
		1101 17th Street		55.0%		2,252		656			692		840
		Warner Building		55.0%		(1,880)		(2,748)			1,942		976
		Rosslyn Plaza		43.7% to 50.4%		(1,207)		723			1,495		2,763
		Fairfax Square		20.0%		(59)		(47)			505		462
		Other		Various		471		375			1,372		1,295
						(423)		(1,041)			6,006		6,336
Retail Properties:
		Monmouth Mall		50.0%		562		422			2,474		2,293
		Other		Various		23		(4)			117		111
						585		418			2,591		2,404
Other:
		Alexander's corporate fee income		32.4%		1,664		8,131			1,664		8,131
		India real estate ventures		4.1% to 36.5%		(903)		(482)			1,133		1,936
		Lexington(1)		n/a		-		28,369			-		36,578
		LNR(2)		n/a		-		26,951			-		27,418
		Downtown Crossing, Boston(3)		n/a		-		(437)			-		(437)
		Other(4)		Various		(2,529)		105,439	(5)		5,926		112,378	(5)
						(1,768)		167,971			8,723		186,004
					$	(99)	$	354,776		$	53,989	$	402,559
(1)	In the first quarter of 2013, we began accounting for our investment in Lexington as a marketable equity security - available for sale.
(2)	On April 19, 2013, LNR was sold for $1.053 billion. We owned 26.2% of LNR and received net proceeds of $240,474.
(3)	On April 24, 2013, the joint venture sold the site in Downtown Crossing, Boston, and we received approximately $45,000 for our 50% interest.
(4)	Includes interests in 85 10th Avenue, Fashion Centre Mall, 50-70 West 93rd Street and others.
(5)	Includes $105,366 of income comprised of (i) $60,396 from the accelerated amortization of discount on investment in subordinated debt of the property and (ii) a $44,970 purchase price fair value adjustment from the exercise of a warrant to acquire 25% of the equity interest in the property.

- 22 -

 

UNCONSOLIDATED JOINT VENTURES
(unaudited and in thousands)
			Percentage		Our Share of Net Income (Loss) for the					Our Share of EBITDA for the
			Ownership at		Year Ended December 31,					Year Ended December 31,
Joint Venture Name			December 31, 2013		2013		2012			2013		2012
Toys				32.6%	$	(362,377)	$	14,859		$	(12,081)	$	281,289
New York:
		Alexander's, Inc. (decrease due to sale of Kings Plaza in November 2012)		32.4%	$	17,721	$	204,643		$	42,210	$	231,385
		280 Park Avenue		49.5%		(8,549)		(11,510)			20,350		20,752
		666 Fifth Avenue Office Condominium		49.5%		7,711		7,009			27,585		17,927
		Independence Plaza		50.1%		(6,049)		-			10,543		-
		330 Madison Avenue		25.0%		5,173		3,609			8,807		7,432
		650 Madison Avenue		20.1%		(2,229)		-			3,058		-
		One Park Avenue		30.3%		1,122		1,123			8,098		8,136
		West 57th Street properties		50.0%		541		1,014			2,466		3,092
		Other		Various		86		1,885			5,452		4,473
						15,527		207,773			128,569		293,197
Washington, DC:
		Warner Building		55.0%		(8,226)		(10,186)			6,906		4,176
		Rosslyn Plaza		43.7% to 50.4%		(3,365)		822			6,287		9,402
		1101 17th Street		55.0%		3,248		2,576			2,665		3,358
		Fairfax Square		20.0%		(146)		(132)			2,099		2,059
		Other		Various		1,521		1,308			5,174		4,968
						(6,968)		(5,612)			23,131		23,963
Retail Properties:
		Monmouth Mall		50.0%		2,012		1,429			9,556		8,924
		Other		Various		85		29			467		487
						2,097		1,458			10,023		9,411
Other:
		LNR (1)		n/a		18,731		66,270			20,443		73,424
		Alexander's corporate fee income		32.4%		6,681		13,748			6,681		13,748
		India real estate ventures		4.1% to 36.5%		(3,533)		(5,008)			5,841		3,654
		Downtown Crossing, Boston (2)		n/a		(2,364)		(1,309)			(2,364)		(1,309)
		Lexington (3)		n/a		(979)		28,740			6,931		61,358
		Other (4)		Various		(5,600)		102,207	(5)		27,185		135,357	(5)
						12,936		204,648			64,717		286,232
					$	23,592	$	408,267		$	226,440	$	612,803
(1)	On April 19, 2013, LNR was sold for $1.053 billion. We owned 26.2% of LNR and received net proceeds of $240,474.
(2)	On April 24, 2013, the joint venture sold the site in Downtown Crossing, Boston, and we received approximately $45,000 for our 50% interest. In connection therewith we recognized a $2,335 impairment loss in the first quarter.
(3)	In the first quarter of 2013, we began accounting for our investment in Lexington as a marketable equity security - available for sale.
(4)	Includes interests in 85 10th Avenue, Fashion Centre Mall, 50-70 West 93rd Street and others.
(5)	Includes $105,366 of income comprised of (i) $60,396 from the accelerated amortization of discount on investment in subordinated debt of the property and (ii) a $44,970 purchase price fair value adjustment from the exercise of a warrant to acquire 25% of the equity interest in the property.

- 23 -

 

SQUARE FOOTAGEin service
(unaudited and square feet in thousands)
				Owned by Company
			Total
			Portfolio	Total	Office		Retail	Showroom	Other
Segment:
	New York:
		Office	19,799	16,358	16,175		-	183	-
		Retail	2,389	2,166	-		2,166	-	-
		Alexander's (32.4% interest)	2,178	706	287		419	-	-
		Hotel Pennsylvania	1,400	1,400	-		-	-	1,400
		Residential (1,653 units)	1,523	762	-		-	-	762
			27,289	21,392	16,462		2,585	183	2,162
	Washington, DC:
		Office, excluding the Skyline Properties	13,581	11,151	10,326		825	-	-
		Skyline Properties	2,652	2,652	2,613		39	-	-
		Total Office	16,233	13,803	12,939		864	-	-
		Residential (2,405 units)	2,588	2,446	-		-	-	2,446
		Other	379	379	-		9	-	370
			19,200	16,628	12,939		873	-	2,816
	Retail Properties:
		Strip Shopping Centers	14,951	14,572	-		14,572	-	-
		Regional Malls	5,273	3,643	-		3,643	-	-
			20,224	18,215	-		18,215	-	-
	Other:
		Merchandise Mart	3,703	3,694	1,628		99	1,967	-
		555 California Street (70% interest)	1,795	1,257	1,164		93	-	-
		Primarily Warehouses	971	971	-		-	-	971
			6,469	5,922	2,792		192	1,967	971
Total square feet at December 31, 2013			73,182	62,157	32,193		21,865	2,150	5,949
Total square feet at September 30, 2013			73,434	62,536	32,444		21,704	2,283	6,105
					Number of		Number of
Parking Garages (not included above):				Square Feet	Garages		Spaces
	New York			1,668	10		4,909
	Washington, DC			8,935	56		29,611
	Merchandise Mart			558	4		1,681
	555 California Street			168	1		453
	Total at December 31, 2013			11,329	71		36,654
						Building Owned
Number of Toys stores (not included above):				Total	Owned	on Leased Ground		Leased
	Domestic			879	287		222	370
	International			700	78		26	596
	Total Owned and Leased			1,579	365		248	966
	Franchised Stores			177
	Total at December 31, 2013			1,756

- 24 -

 

TOP 30 TENANTS
(unaudited)
			2013
			Annualized		% of 2013
	Square		Revenues		Annualized
Tenants	Footage		(in thousands)		Revenues
U.S. Government		4,313,480	$	152,423		5.7%
Bank of America		800,692		43,825		1.6%
Draftfcb		744,174		40,739		1.5%
Limited Brands		524,507		37,808		1.4%
Macy's		1,236,927		37,505		1.4%
AXA Equitable Life Insurance		423,174		37,235		1.4%
McGraw-Hill Companies, Inc.		479,557		26,941		1.0%
Ziff Brothers Investments, Inc.		287,030		26,020		1.0%
Madison Square Garden		408,007		24,897		0.9%
New York Stock Exchange		381,425		24,220		0.9%
J. Crew		396,215		23,917		0.9%
Hennes & Mauritz		105,997		23,788		0.9%
Sears Holding Company (Kmart Corporation and Sears Corporation)		923,560		20,167		0.7%
Forever 21		151,185		20,119		0.7%
Motorola Mobility (owned by Google)		607,872		20,065		0.7%
Family Health International		434,926		19,423		0.7%
The Home Depot		993,541		19,273		0.7%
AOL		230,365		18,730		0.7%
Rainbow Media Holdings		256,962		16,785		0.6%
Wal-Mart		1,438,730		16,682		0.6%
JCPenney		530,370		16,175		0.6%
Bryan Cave LLP		213,946		15,173		0.6%
Morrison & Foerster LLP		167,004		14,584		0.5%
Lockheed Martin		324,552		14,406		0.5%
Cushman & Wakefield		166,287		13,725		0.5%
Lowe's		976,415		12,723		0.5%
Best Buy		529,812		12,651		0.5%
Information Builders, Inc.		243,486		12,219		0.5%
Boeing		265,659		11,574		0.4%
The TJX Companies, Inc.		551,992		11,276		0.4%

- 25 -

 

LEASE EXPIRATIONS
NEW YORK SEGMENT
(unaudited)
			Our share of
				Square Feet		Weighted Average Annual				Percentage of
		Year of Lease		of Expiring		Rent of Expiring Leases				Annualized
		Expiration		Leases		Total		Per Sq. Ft.		Escalated Rent
	Office:	Month to Month			36,000	$	1,620,000	$	45.00		0.2%
		First Quarter 2014			83,000		4,816,000		58.02		0.5%
		Second Quarter 2014			250,000		16,792,000		67.17		1.9%
		Third Quarter 2014			207,000		14,021,000		67.73		1.5%
		Fourth Quarter 2014			258,000		16,859,000		65.34		1.7%
		Total 2014			798,000		52,488,000		65.77		5.6%
		2015			1,579,000		87,965,000		55.71		9.6%
		2016			1,204,000		72,933,000		60.58		7.8%
		2017			1,184,000		70,550,000		59.59		7.6%
		2018			1,006,000		72,236,000		71.81		7.7%
		2019			953,000		59,502,000		62.44		6.5%
		2020			1,270,000		74,114,000		58.36		8.2%
		2021			1,118,000		69,518,000		62.18		7.5%
		2022			1,197,000		74,878,000		62.55		8.3%
		2023			1,582,000		107,319,000		67.84		11.9%
	Retail:	Month to Month			41,000	$	7,191,000	$	175.39		3.6%
		First Quarter 2014			61,000		8,183,000		134.15		4.1%
		Second Quarter 2014			1,000		399,000		399.00		0.2%
		Third Quarter 2014			1,000		275,000		275.00		0.1%
		Fourth Quarter 2014			4,000		734,000		183.50		0.4%
		Total 2014			67,000		9,591,000		143.15		4.8%
		2015			142,000		30,637,000		215.75		15.5%
		2016			222,000		21,173,000		95.37		10.7%
		2017			166,000		9,094,000		54.78		4.6%
		2018			220,000		41,672,000		189.42		21.0%
		2019			106,000		23,907,000		225.54		12.1%
		2020			93,000		10,683,000		114.87		5.4%
		2021			38,000		7,184,000		189.05		3.6%
		2022			23,000		3,569,000		155.17		1.8%
		2023			137,000		31,395,000		229.16		15.8%

- 26 -

 

LEASE EXPIRATIONS
WASHINGTON, DC SEGMENT
(unaudited)
			Our share of
				Square Feet		Weighted Average Annual				Percentage of
		Year of Lease		of Expiring		Rent of Expiring Leases				Annualized
		Expiration		Leases		Total		Per Sq. Ft.		Escalated Rent
	Office:	Month to Month			115,000	$	4,564,000	$	39.82		1.0%
		First Quarter 2014			329,000		12,999,000		39.52		2.9%
		Second Quarter 2014			197,000		8,763,000		44.44		2.0%
		Third Quarter 2014			630,000		22,973,000		36.50		5.2%
		Fourth Quarter 2014			184,000		8,027,000		43.60		1.8%
		Total 2014			1,340,000		52,762,000		39.38		11.9%
		2015			1,690,000		69,763,000		41.29		15.8%
		2016			1,160,000		50,018,000		43.12		11.3%
		2017			647,000		26,009,000		40.19		5.9%
		2018			1,040,000		44,659,000		42.94		10.1%
		2019			1,289,000		54,658,000		42.39		12.4%
		2020			636,000		32,330,000		50.82		7.3%
		2021			549,000		24,632,000		44.84		5.6%
		2022			866,000		38,161,000		44.08		8.6%
		2023			172,000		7,612,000		44.32		1.7%

- 27 -

 

LEASE EXPIRATIONS
RETAIL PROPERTIES SEGMENT
(unaudited)
			Our share of
				Square Feet		Weighted Average Annual				Percentage of
		Year of Lease		of Expiring		Rent of Expiring Leases				Annualized
		Expiration		Leases		Total		Per Sq. Ft.		Escalated Rent
	Strip Shopping Centers:	Month to Month			53,000	$	1,088,000	$	20.55		0.6%
		First Quarter 2014			155,000		1,389,000		8.99		0.7%
		Second Quarter 2014			134,000		2,974,000		22.15		1.5%
		Third Quarter 2014			85,000		2,070,000		24.27		1.1%
		Fourth Quarter 2014			257,000		3,892,000		15.17		2.0%
		Total 2014			631,000		10,325,000		16.37		5.3%
		2015			581,000		11,504,000		19.81		5.9%
		2016			785,000		11,928,000		15.19		6.1%
		2017			528,000		8,222,000		15.58		4.2%
		2018			1,601,000		22,455,000		14.02		11.5%
		2019			1,384,000		20,211,000		14.60		10.4%
		2020			899,000		11,573,000		12.87		5.9%
		2021			660,000		11,096,000		16.80		5.7%
		2022			996,000		12,387,000		12.43		6.3%
		2023			1,195,000		19,785,000		16.56		10.1%
	Regional Malls:	Month to Month			39,000	$	710,000	$	18.00		1.1%
		First Quarter 2014			23,000		921,000		40.51		1.5%
		Second Quarter 2014			21,000		1,070,000		49.93		1.7%
		Third Quarter 2014			10,000		308,000		32.33		0.5%
		Fourth Quarter 2014			80,000		2,219,000		27.78		3.5%
		Total 2014			134,000		4,518,000		33.82		7.1%
		2015			140,000		5,192,000		37.17		8.2%
		2016			131,000		5,053,000		38.65		8.0%
		2017			350,000		3,178,000		9.07		5.0%
		2018			88,000		4,353,000		49.74		6.9%
		2019			149,000		5,793,000		38.84		9.1%
		2020			168,000		5,600,000		33.27		8.8%
		2021			414,000		5,514,000		13.32		8.7%
		2022			43,000		1,672,000		38.91		2.6%
		2023			55,000		1,991,000		36.04		3.1%

- 28 -

 

LEASING ACTIVITY
(unaudited)
The leasing activity and related statistics in the table below are based on leases signed during the period and are not intended to coincide with the commencement of rental revenue in accordance with accounting principles generally accepted in the United States of America (“GAAP”). Second generation relet space represents square footage that has not been vacant for more than nine months and tenant improvements and leasing commissions are based on our share of square feet leased during the period.
					New York				Washington, DC		Retail Properties
(square feet in thousands)					Office		Retail		Office		Strips		Malls
Quarter Ended December 31, 2013
	Total square feet leased					559		63		312		200		137
	Our share of square feet leased:					425		52		276		200		135
		Initial rent (1)			$	59.45	$	276.62	$	40.03	$	23.27	$	25.19
		Weighted average lease term (years)				9.4		9.5		5.3		8.4		4.6
		Second generation relet space:
			Square feet			298		50		179		129		88
			Cash basis:
				Initial rent (1)	$	59.92	$	283.31	$	38.95	$	18.78	$	21.30
				Prior escalated rent	$	54.39	$	135.08	$	39.96	$	16.96	$	20.94
				Percentage increase (decrease)		10.2%		109.7%		(2.5%)		10.7%		1.7%
			GAAP basis:
				Straight-line rent (2)	$	58.79	$	312.27	$	38.53	$	19.19	$	21.57
				Prior straight-line rent	$	51.87	$	217.85	$	37.26	$	16.34	$	19.79
				Percentage increase		13.3%		43.3%		3.4%		17.4%		9.0%
		Tenant improvements and leasing commissions:
			Per square foot		$	67.95	$	81.80	$	26.84	$	7.20	$	4.77
				Per square foot per annum	$	7.23	$	8.61	$	5.06	$	0.86	$	1.04
				Percentage of initial rent		12.2%		3.1%		12.6%		3.7%		4.1%
Year Ended December 31, 2013
	Total square feet leased					2,410		138		1,836		1,388		674
	Our share of square feet leased:					2,024		121		1,392		1,388		600
		Initial rent (1)			$	60.78	$	268.52	$	39.91	$	17.27	$	26.39
		Weighted average lease term (years)				11.0		8.6		7.0		6.2		8.1
		Second generation relet space:
			Square feet			1,716		103		910		959		205
			Cash basis:
				Initial rent (1)	$	60.04	$	262.67	$	40.91	$	16.57	$	23.59
				Prior escalated rent	$	56.84	$	117.45	$	41.16	$	15.18	$	22.76
				Percentage increase (decrease)		5.6%		123.7%		(0.6%)		9.2%		3.6%
			GAAP basis:
				Straight-line rent (2)	$	59.98	$	293.45	$	40.87	$	16.91	$	24.04
				Prior straight-line rent	$	52.61	$	152.34	$	39.36	$	14.76	$	21.87
				Percentage increase		14.0%		92.6%		3.8%		14.6%		9.9%
		Tenant improvements and leasing commissions:
			Per square foot		$	61.78	$	100.93	$	33.24	$	3.96	$	20.69
				Per square foot per annum	$	5.61	$	11.64	$	4.75	$	0.64	$	2.55
				Percentage of initial rent		9.2%		4.3%		11.9%		3.7%		9.7%

- 29 -

 

LEASING ACTIVITY
(unaudited)
					New York				Washington, DC		Retail Properties
(square feet in thousands)					Office		Retail		Office		Strips		Malls
Year Ended December 31, 2012
	Total square feet leased					1,950		192		2,111		1,276		146
	Our share of square feet leased:					1,754		185		1,901		1,276		101
		Initial rent (1)			$	57.15	$	110.71	$	40.55	$	18.65	$	38.45
		Weighted average lease term (years)				9.3		11.9		7.3		8.2		5.3
		Second generation relet space:
			Square feet			1,405		154		1,613		941		17
			Cash basis:
				Initial rent (1)	$	57.88	$	110.21	$	39.27	$	15.98	$	64.85
				Prior escalated rent	$	55.31	$	88.47	$	39.13	$	14.58	$	60.78
				Percentage increase		4.6%		24.6%		0.4%		9.6%		6.7%
			GAAP basis:
				Straight-line rent (2)	$	57.34	$	115.97	$	38.96	$	16.49	$	66.24
				Prior straight-line rent	$	54.64	$	89.52	$	37.67	$	13.69	$	58.61
				Percentage increase		4.9%		29.5%		3.4%		20.5%		13.0%
		Tenant improvements and leasing commissions:
			Per square foot		$	54.45	$	32.52	$	35.49	$	7.48	$	18.66
				Per square foot per annum	$	5.85	$	2.73	$	4.86	$	0.91	$	3.52
				Percentage of initial rent		10.2%		2.5%		12.0%		4.9%		9.2%
(1)	Represents the cash basis weighted average starting rent per square foot, which is generally indicative of market rents. Most leases include free rent and periodic step-ups in rent which are not included in the initial cash basis rent per square foot but are included in the GAAP basis straight-line rent per square foot.
(2)	Represents the GAAP basis weighted average rent per square foot that is recognized over the term of the respective leases, and includes the effect of free rent and periodic step-ups in rent.

- 30 -

 

OCCUPANCY AND SAME STORE EBITDA
(unaudited)
				New York	Washington, DC(1)	Retail Properties
Occupancy rate at:
	December 31, 2013			96.8%	83.4%	94.3%
	September 30, 2013			96.0%	83.6%	94.3%
	December 31, 2012			96.1%	84.1%	93.7%
GAAP basis same store EBITDA % increase (decrease):
	Three months ended December 31, 2013 vs. December 31, 2012			6.7%	4.1%	3.1%
	Year Ended December 31, 2013 vs. December 31, 2012			5.5%	(2.8%)	2.8%
	Three months ended December 31, 2013 vs. September 30, 2013			3.9%	(3.1%)	3.2%
Cash basis same store EBITDA % increase (decrease):
	Three months ended December 31, 2013 vs. December 31, 2012			4.4%	2.8%	5.1%
	Year Ended December 31, 2013 vs. December 31, 2012			7.7%	(3.8%)	3.7%
	Three months ended December 31, 2013 vs. September 30, 2013			1.9%	(3.6%)	3.7%
(1)	The total office occupancy rates for the Washington, DC segment were as follows:
		December 31, 2013	80.7%
		September 30, 2013	80.7%
		December 31, 2012	81.2%

- 31 -

 

CAPITAL EXPENDITURES,
TENANT IMPROVEMENTS AND LEASING COMMISSIONS
CONSOLIDATED
(unaudited and in thousands)
		Year Ended
Capital expenditures (accrual basis):		2013		2012		2011
Expenditures to maintain assets		$	73,130	$	69,912	$	58,463
Tenant improvements			152,319		177,743		138,076
Leasing commissions			56,638		57,961		43,613
Non-recurring capital expenditures			12,099		6,902		19,442
Total capital expenditures and leasing commissions (accrual basis)			294,186		312,518		259,594
Adjustments to reconcile to cash basis:
	Expenditures in the current year applicable to prior periods		155,035		105,350		90,799
	Expenditures to be made in future periods for the current period		(150,067)		(170,744)		(146,062)
Total capital expenditures and leasing commissions (cash basis)		$	299,154	$	247,124	$	204,331
Our share of square feet leased			5,525		5,217		5,366
Tenant improvements and leasing commissions per square foot per annum		$	4.33	$	4.16	$	3.88
Percentage of initial rent			9.5%		9.6%		8.9%
Development and redevelopment expenditures:
	220 Central Park South	$	243,687	$	12,191	$	1,248
	Springfield Mall		68,716		18,278		511
	Marriott Marquis Times Square - retail and signage		40,356		9,092		-
	1290 Avenue of the Americas		13,865		16,778		795
	330 West 34th Street		6,832		8		412
	Metropolitan Park 4 & 5		6,289		3,008		1,189
	1135 Third Avenue		5,247		439		-
	New York LED Signage		5,042		8,406		22
	Other		79,383		88,673		77,307
		$	469,417	$	156,873	$	81,484

- 32 -

 

CAPITAL EXPENDITURES,
TENANT IMPROVEMENTS AND LEASING COMMISSIONS
NEW YORK SEGMENT
(unaudited and in thousands)
		Year Ended
Capital expenditures (accrual basis):		2013		2012		2011
Expenditures to maintain assets		$	34,553	$	27,434	$	22,698
Tenant improvements			87,275		71,572		76,493
Leasing commissions			39,348		27,573		28,072
Non-recurring capital expenditures			11,579		5,822		17,157
Total capital expenditures and leasing commissions (accrual basis)			172,755		132,401		144,420
Adjustments to reconcile to cash basis:
	Expenditures in the current year applicable to prior periods		56,345		41,975		43,392
	Expenditures to be made in future periods for the current period		(91,107)		(76,283)		(79,941)
Total capital expenditures and leasing commissions (cash basis)		$	137,993	$	98,093	$	107,871
Our share of square feet leased			2,145		1,939		2,493
Tenant improvements and leasing commissions per square foot per annum		$	5.89	$	5.48	$	5.21
Percentage of initial rent			8.1%		8.8%		9.1%
Development and redevelopment expenditures:
	Marriott Marquis Times Square - retail and signage	$	40,356	$	9,092	$	-
	1290 Avenue of the Americas		13,865		16,778		795
	330 West 34th Street		6,832		8		412
	1135 Third Avenue		5,247		439		-
	LED Signage		5,042		8,406		22
	Other		14,643		16,837		14,231
		$	85,985	$	51,560	$	15,460

- 33 -

 

CAPITAL EXPENDITURES,
TENANT IMPROVEMENTS AND LEASING COMMISSIONS
WASHINGTON, DC SEGMENT
(unaudited and in thousands)
		Year Ended
Capital expenditures (accrual basis):		2013		2012		2011
Expenditures to maintain assets		$	22,165	$	20,582	$	18,939
Tenant improvements			39,156		50,384		33,803
Leasing commissions			9,551		13,151		9,114
Non-recurring capital expenditures			-		-		-
Total capital expenditures and leasing commissions (accrual basis)			70,872		84,117		61,856
Adjustments to reconcile to cash basis:
	Expenditures in the current year applicable to prior periods		26,075		24,370		13,517
	Expenditures to be made in future periods for the current period		(36,702)		(43,600)		(33,530)
Total capital expenditures and leasing commissions (cash basis)		$	60,245	$	64,887	$	41,843
Our share of square feet leased			1,392		1,901		1,557
Tenant improvements and leasing commissions per square foot per annum		$	4.75	$	4.86	$	4.47
Percentage of initial rent			11.9%		12.0%		10.8%
Development and redevelopment expenditures:
	Metropolitan Park 4 & 5	$	6,289	$	3,008	$	1,189
	Other		35,412		36,326		19,307
		$	41,701	$	39,334	$	20,496

- 34 -

 

CAPITAL EXPENDITURES,
TENANT IMPROVEMENTS AND LEASING COMMISSIONS
RETAIL PROPERTIES SEGMENT
(unaudited and in thousands)
		Year Ended
Capital expenditures (accrual basis):		2013		2012		2011
Expenditures to maintain assets		$	5,664	$	4,676	$	6,448
Tenant improvements			12,431		9,052		6,515
Leasing commissions			2,113		2,368		2,114
Non-recurring capital expenditures			-		-		-
Total capital expenditures and leasing commissions (accrual basis)			20,208		16,096		15,077
Adjustments to reconcile to cash basis:
	Expenditures in the current year applicable to prior periods		5,562		10,353		9,705
	Expenditures to be made in future periods for the current period		(14,011)		(7,754)		(7,058)
Total capital expenditures and leasing commissions (cash basis)		$	11,759	$	18,695	$	17,724
Our share of square feet leased			1,988		1,377		1,316
Tenant improvements and leasing commissions per square foot per annum		$	1.33	$	1.04	$	0.71
Percentage of initial rent			6.6%		5.2%		3.3%
Development and redevelopment expenditures:
	Springfield Mall	$	68,716	$	18,278	$	511
	Other		25,210		35,268		41,817
		$	93,926	$	53,546	$	42,328

- 35 -

 

CAPITAL EXPENDITURES,
TENANT IMPROVEMENTS AND LEASING COMMISSIONS
OTHER
(unaudited and in thousands)
		Year Ended
Capital expenditures (accrual basis):		2013			2012			2011
Expenditures to maintain assets		$	10,748		$	17,220		$	10,378
Tenant improvements			13,457			46,735			21,265
Leasing commissions			5,626			14,869			4,313
Non-recurring capital expenditures			520			1,080			2,285
Total capital expenditures and leasing commissions (accrual basis)			30,351			79,904			38,241
Adjustments to reconcile to cash basis:
	Expenditures in the current year applicable to prior periods		67,053			28,652			24,185
	Expenditures to be made in future periods for the current period		(8,247)			(43,107)			(25,533)
Total capital expenditures and leasing commissions (cash basis)		$	89,157	(1)	$	65,449	(1)	$	36,893
Development and redevelopment expenditures:
	220 Central Park South	$	243,687		$	12,191		$	1,248
	Other		4,118			242			1,952
		$	247,805		$	12,433		$	3,200
(1)	Includes tenant improvements and leasing commissions aggregating $61,895 and $24,354 in the year ended December 31, 2013 and 2012, respectively, in connection with the 608,000 square foot Motorola Mobility lease at the Merchandise Mart.

- 36 -

 

DEVELOPMENT COSTS AND CONSTRUCTION IN PROGRESS
(unaudited and in thousands, except square feet)
			Square Feet
					At December 31, 2013
	Development Projects				Total		Development Costs Expended		Land and Acquisition Costs
	New York:
		1535 Broadway - Marriott Marquis - Retail & Signage	103,000		$	292,101	$	52,101	$	240,000
		220 Central Park South - Residential Condominiums	472,000	(1)		499,611		47,721		451,890
		Other				87,212		87,212		-
	Total New York					878,924		187,034		691,890
	Washington, DC:
		Metropolitan Park 4 & 5 - Residential Rental / Retail	618,000			50,061		10,061		40,000
		Other				66,919		66,919		-
	Total Washington, DC					116,980		76,980		40,000
	Retail:
		Springfield Mall	724,000			328,359		88,359		240,000
		Other				26,610		26,610		-
	Total Retail					354,969		114,969		240,000
	Other Projects					3,477		3,477		-
	Total Amount on the Balance Sheet				$	1,354,350	$	382,460	$	971,890
			Square Feet			Total
	Undeveloped Land
	Washington, DC:
	1851 South Bell Street - Office		748,000		$	32,894
	Metropolitan Park 6, 7 & 8:
		Retail	23,818
		Residential (1,403 Units)				82,898
	PenPlace:
		Office	553,000
		Hotel (300 Units)				46,866
	Square 649 - Office		675,000			11,597
	Total				$	174,255
	(1)	Zoning square feet.

- 37 -

 

NEW YORK SEGMENT
PROPERTY TABLE
					Weighted		Square Feet
					Average				Under Development
			%	%	Annual Rent		Total		or Not Available	Encumbrances
Property			Ownership	Occupancy	PSF (1)		Property	In Service	for Lease	(in thousands)		Major Tenants
NEW YORK:
Penn Plaza:
One Penn Plaza												Cisco, MWB Leasing, Parsons Brinkerhoff,
	(ground leased through 2098)											United Health Care, United States Customs Department,
		-Office	100.0%	96.7%	$	55.60	2,240,000	2,240,000	-			URS Corporation Group Consulting, Lion Resources
		-Retail	100.0%	98.9%		127.80	269,000	269,000	-			Bank of America, Kmart Corporation
			100.0%	97.0%		63.34	2,509,000	2,509,000	-	$	-
Two Penn Plaza												EMC, Forest Electric, Information Builders, Inc.,
		-Office	100.0%	96.8%		52.83	1,572,000	1,572,000	-			Madison Square Garden, McGraw-Hill Companies, Inc.
		-Retail	100.0%	53.1%		174.04	47,000	47,000	-			Chase Manhattan Bank
			100.0%	95.5%		56.35	1,619,000	1,619,000	-		425,000
Eleven Penn Plaza
		-Office	100.0%	99.5%		56.17	1,131,000	1,131,000	-			Macy's, Madison Square Garden, Rainbow Media Holdings
		-Retail	100.0%	74.4%		188.84	17,000	17,000	-			PNC Bank National Association
			100.0%	99.1%		58.13	1,148,000	1,148,000	-		450,000
100 West 33rd Street
		-Office	100.0%	99.2%		53.23	848,000	848,000	-		223,242	Draftfcb, Rocket Fuel
Manhattan Mall
		-Retail	100.0%	96.1%		118.15	256,000	256,000	-		101,758	JCPenney, Aeropostale, Express, Victoria's Secret
330 West 34th Street
	(ground leased through 2148 - 34.8%
	ownership interest in the land)
		-Office	100.0%	100.0%		43.92	622,000	95,000	527,000			City of New York
		-Retail	100.0%	-		-	13,000	-	13,000
			100.0%	100.0%		43.92	635,000	95,000	540,000		50,150
435 Seventh Avenue
		-Retail	100.0%	100.0%		244.24	43,000	43,000	-		98,000	Hennes & Mauritz
7 West 34th Street
		-Retail	100.0%	100.0%		203.75	21,000	21,000	-		-	Express
484 Eighth Avenue
		-Retail	100.0%	80.6%		70.09	16,000	16,000	-		-	T.G.I. Friday's
431 Seventh Avenue
		-Retail	100.0%	100.0%		54.97	10,000	10,000	-		-
488 Eighth Avenue
		-Retail	100.0%	100.0%		65.59	6,000	6,000	-		-
267 West 34th Street
		-Retail	100.0%	100.0%		331.61	6,000	6,000	-		-
	Total Penn Plaza						7,117,000	6,577,000	540,000		1,348,150

- 38 -

 

NEW YORK SEGMENT
PROPERTY TABLE
					Weighted			Square Feet
					Average					Under Development
			%	%	Annual Rent			Total		or Not Available	Encumbrances
Property			Ownership	Occupancy	PSF (1)			Property	In Service	for Lease	(in thousands)		Major Tenants
NEW YORK (Continued):
Midtown East:
909 Third Avenue													CMGRP Inc., Forest Laboratories, Geller & Company,
	(ground leased through 2063)												Morrison Cohen LLP, Robeco USA Inc.,
		-Office	100.0%	100.0%	$	55.55	(2)	1,343,000	1,343,000	-	$	194,910	United States Post Office, The Procter & Gamble Distributing LLC
150 East 58th Street													Castle Harlan, Tournesol Realty LLC. (Peter Marino),
		-Office	100.0%	95.8%		60.94		536,000	536,000	-			Various showroom tenants
		-Retail	100.0%	100.0%		170.01		2,000	2,000	-
			100.0%	95.8%		61.35		538,000	538,000	-		-
715 Lexington
	(ground leased through 2041)
		-Retail	100.0%	100.0%		226.84		23,000	23,000	-		-	New York & Company, Zales
966 Third Avenue
		-Retail	100.0%	100.0%		34.49		7,000	7,000	-		-	McDonald's
968 Third Avenue
		-Retail	50.0%	100.0%		232.79		6,000	6,000	-		-	Capital One Financial Corporation
	Total Midtown East							1,917,000	1,917,000	-		194,910
Midtown West:
888 Seventh Avenue
	(ground leased through 2067)												New Line Realty, Soros Fund, TPG-Axon Capital,
		-Office	100.0%	93.3%		82.95		862,000	862,000	-			Vornado Executive Headquarters
		-Retail	100.0%	100.0%		101.02		15,000	15,000	-			Redeye Grill L.P.
			100.0%	93.4%		83.26		877,000	877,000	-		318,554
1740 Broadway
		-Office	100.0%	100.0%		66.43		582,000	582,000	-			Davis & Gilbert, Limited Brands
		-Retail	100.0%	100.0%		102.91		19,000	19,000	-			Brasserie Cognac, Citibank
			100.0%	100.0%		67.58		601,000	601,000	-		-
57th Street - 5 buildings
		-Office	50.0%	83.7%		54.12		135,000	135,000	-			Various
		-Retail	50.0%	79.8%		58.40		53,000	53,000	-
			50.0%	82.6%		55.32		188,000	188,000	-		20,000
825 Seventh Avenue
		-Office	50.0%	100.0%		45.44		165,000	165,000	-			Young & Rubicam
		-Retail	100.0%	100.0%		238.97		4,000	4,000	-			Lindy's
				100.0%		50.02		169,000	169,000	-		18,983
	Total Midtown West							1,835,000	1,835,000	-		357,537
Park Avenue:
280 Park Avenue													Cohen & Steers Inc., Credit Suisse (USA) Inc.,
		-Office	49.5%	100.0%		88.29		1,211,000	737,000	474,000			Investcorp International Inc.
		-Retail	49.5%	100.0%		216.21		18,000	4,000	14,000			Scottrade Inc.
			49.5%	100.0%		90.17		1,229,000	741,000	488,000		738,704
350 Park Avenue													Kissinger Associates Inc., Ziff Brothers Investment Inc.,
		-Office	100.0%	99.0%		87.80		552,000	552,000	-			MFA Financial Inc., M&T Bank
		-Retail	100.0%	100.0%		188.07		17,000	17,000	-			Fidelity Investment, AT&T Wireless, Valley National Bank
			100.0%	99.0%		90.79		569,000	569,000	-		300,000
	Total Park Avenue							1,798,000	1,310,000	488,000		1,038,704

- 39 -

 

NEW YORK SEGMENT
PROPERTY TABLE
					Weighted		Square Feet
					Average					Under Development
			%	%	Annual Rent		Total			or Not Available	Encumbrances
Property			Ownership	Occupancy	PSF (1)		Property		In Service	for Lease	(in thousands)		Major Tenants
NEW YORK (Continued):
Grand Central:
90 Park Avenue													Alston & Bird, Amster, Rothstein & Ebenstein,
		-Office	100.0%	96.4%	$	65.34	892,000		892,000	-			Capital One, First Manhattan Consulting
		-Retail	100.0%	100.0%		87.98	26,000		26,000	-			Citibank
			100.0%	96.5%		65.98	918,000		918,000	-	$	-
330 Madison Avenue													GPFT Holdco LLC, HSBC Bank AFS, Jones Lang LaSalle Inc.,
		-Office	25.0%	93.9%		65.58	800,000		800,000	-			Wells Fargo
		-Retail	25.0%	100.0%		272.09	32,000		32,000	-			Ann Taylor Retail Inc., Citibank
			25.0%	94.2%		73.52	832,000		832,000	-		150,000
510 Fifth Avenue
		-Retail	100.0%	90.6%		135.56	64,000		64,000	-		30,740	Joe Fresh
	Total Grand Central						1,814,000		1,814,000	-		180,740
Madison/Fifth:
640 Fifth Avenue													Fidelity Investments, Janus Capital Group Inc., Citibank,
													GSL Enterprises Inc., Scout Capital Management,
		-Office	100.0%	95.1%		76.99	262,000		262,000	-			Legg Mason Investment Counsel
		-Retail	100.0%	100.0%		259.51	62,000		62,000	-			Citibank, Hennes & Mauritz
			100.0%	96.0%		111.92	324,000		324,000	-		-
666 Fifth Avenue													Citibank, Fulbright & Jaworski, Colliers International NY LLC,
		-Office (Office Condo)	49.5%	87.0%		73.63	1,372,000		1,372,000	-		1,170,261	Integrated Holding Group, Vinson & Elkins LLP
		-Retail (Office Condo)	49.5%	88.2%		169.25	46,000		46,000	-		-	HSBC Bank USA
		-Retail (Retail Condo)	100.0%	100.0%		356.57	113,000	(3)	113,000	-		390,000	Uniqlo, Hollister, Swatch
				88.0%		97.39	1,531,000		1,531,000	-		1,560,261
595 Madison Avenue													Beauvais Carpets, Levin Capital Strategies LP,
		-Office	100.0%	100.0%		70.50	292,000		292,000	-			Cosmetech Mably Int'l LLC.
		-Retail	100.0%	100.0%		473.63	30,000		30,000	-			Coach, Prada
			100.0%	100.0%		108.06	322,000		322,000	-		-
650 Madison Avenue
		-Office	20.1%	90.0%		99.00	521,000		521,000	-			Polo Ralph Lauren
		-Retail	20.1%	100.0%		234.71	74,000		74,000	-			Crate & Barrel
			20.1%	91.3%		115.88	595,000		595,000	-		800,000
689 Fifth Avenue
		-Office	100.0%	60.9%		73.04	75,000		75,000	-			Yamaha Artist Services Inc.
		-Retail	100.0%	100.0%		712.41	17,000		17,000	-			MAC Cosmetics, Massimo Dutti
			100.0%	68.2%		191.18	92,000		92,000	-		-
655 Fifth Avenue
		-Retail	92.5%	100.0%		154.03	57,000		57,000	-		-	Ferragamo
	Total Madison/Fifth						2,921,000		2,921,000	-		2,360,261

- 40 -

 

NEW YORK SEGMENT
PROPERTY TABLE
					Weighted		Square Feet
					Average				Under Development
			%	%	Annual Rent		Total		or Not Available	Encumbrances
Property			Ownership	Occupancy	PSF (1)		Property	In Service	for Lease	(in thousands)		Major Tenants
NEW YORK (Continued):
Midtown South:
770 Broadway
		-Office	100.0%	100.0%	$	54.64	960,000	960,000	-			AOL, J. Crew, Facebook, Structure Tone,
		-Retail	100.0%	100.0%		58.02	166,000	166,000	-			Ann Taylor Retail Inc., Bank of America, Kmart Corporation
			100.0%	100.0%		55.14	1,126,000	1,126,000	-	$	353,000
One Park Avenue												Coty Inc., New York University,
		-Office	30.3%	96.4%		44.03	857,000	857,000	-			Public Service Mutual Insurance
		-Retail	30.3%	100.0%		61.49	87,000	87,000	-			Bank of Baroda, Citibank, Equinox
			30.3%	96.7%		45.64	944,000	944,000	-		250,000
4 Union Square South
		-Retail	100.0%	100.0%		83.39	206,000	206,000	-		120,000	Burlington Coat Factory, Whole Foods Market, DSW, Forever 21
692 Broadway
		-Retail	100.0%	100.0%		63.03	35,000	35,000	-		-	Equinox, Major League Baseball
	Total Midtown South						2,311,000	2,311,000	-		723,000
Rockefeller Center:
1290 Avenue of the Americas												AXA Equitable Life Insurance, Morrison & Foerster LLP,
												Hachette Book Group Inc. (lease not commenced), Bryan Cave LLP,
												Warner Music Group, Cushman & Wakefield, Fitzpatrick,
		-Office	70.0%	94.2%		71.88	2,046,000	2,046,000	-			Cella, Harper & Scinto, Columbia University, SSB Realty LLC
		-Retail	70.0%	98.7%		140.72	67,000	67,000	-			Duane Reade, JPMorgan Chase Bank, Sovereign Bank
			70.0%	94.4%		74.06	2,113,000	2,113,000	-		950,000
608 Fifth Avenue (ground leased through 2026)
		-Office	100.0%	86.3%		52.85	79,000	79,000	-
		-Retail	100.0%	100.0%		308.40	47,000	47,000	-			Topshop (lease not yet commenced)
			100.0%	91.4%		148.17	126,000	126,000	-		-
	Total Rockefeller Center						2,239,000	2,239,000	-		950,000
Wall Street/Downtown:
20 Broad Street (ground leased through 2081)
		-Office	100.0%	99.3%		56.19	472,000	472,000	-		-	New York Stock Exchange
40 Fulton Street
		-Office	100.0%	99.0%		36.52	244,000	244,000	-			Market News International Inc., Sapient Corp.
		-Retail	100.0%	100.0%		93.60	5,000	5,000	-			TD Bank
			100.0%	99.0%		37.67	249,000	249,000	-		-
	Total Wall Street/Downtown						721,000	721,000	-		-
Times Square:
1540 Broadway												Forever 21, Planet Hollywood, Disney, Sunglass Hut,
		-Retail	100.0%	100.0%		201.68	160,000	160,000	-		-	MAC Cosmetics, U.S. Polo
1535 Broadway (Marriott Marquis - retail and signage)
	(ground and building leased through 2032)
		-Retail	100.0%	-		-	64,000	-	64,000		-
	Total Times Square						224,000	160,000	64,000		-

- 41 -

 

NEW YORK SEGMENT
PROPERTY TABLE
					Weighted		Square Feet
					Average				Under Development
			%	%	Annual Rent		Total		or Not Available	Encumbrances
Property			Ownership	Occupancy	PSF (1)		Property	In Service	for Lease	(in thousands)		Major Tenants
NEW YORK (Continued):
Soho:
478-486 Broadway - 2 buildings
		-Retail	100.0%	100.0%	$	129.47	85,000	85,000	-	$	-	Top Shop, Madewell, J. Crew
443 Broadway
		-Retail	100.0%	100.0%		119.82	16,000	16,000	-		-	Necessary Clothing
334 Canal Street
		-Retail	100.0%	-		-	15,000	-	15,000		-
155 Spring Street
		-Retail	100.0%	100.0%		92.23	49,000	49,000	-		-	Sigrid Olsen
148 Spring Street
		-Retail	100.0%	100.0%		104.20	7,000	7,000	-		-
150 Spring Street
		-Retail	100.0%	100.0%		220.30	7,000	7,000	-		-	Sandro
	Total Soho						179,000	164,000	15,000		-
Upper East Side:
828-850 Madison Avenue
		-Retail	100.0%	100.0%		562.14	18,000	18,000	-		80,000	Gucci, Chloe, Cartier
677-679 Madison Avenue
		-Retail	100.0%	100.0%		434.56	8,000	8,000	-		-	Anne Fontaine
40 East 66th Street
		-Retail	100.0%	100.0%		768.65	11,000	11,000	-		-	Dennis Basso, Nespresso USA, J. Crew
1131 Third Avenue
		-Retail	100.0%	100.0%		164.55	22,000	11,000	11,000		-	Nike, Carlo Pazolini
	Total Upper East Side						59,000	48,000	11,000		80,000
New Jersey:
Paramus
		-Office	100.0%	97.6%		22.26	129,000	129,000	-		-	Vornado's Administrative Headquarters
Washington D.C.:
3040 M Street
		-Retail	100.0%	100.0%		60.91	42,000	42,000	-		-	Nike, Barneys
New York Office:
	Total			96.0%	$	63.48	20,800,000	19,799,000	1,001,000	$	6,412,804
	Vornado's Ownership Interest			96.6%	$	62.03	17,119,000	16,358,000	761,000	$	4,484,160
New York Retail:
	Total			97.4%	$	161.58	2,506,000	2,389,000	117,000	$	820,498
	Vornado's Ownership Interest			97.4%	$	162.39	2,276,000	2,166,000	110,000	$	820,498

- 42 -

 

NEW YORK SEGMENT
PROPERTY TABLE
					Weighted		Square Feet
					Average				Under Development
			%	%	Annual Rent		Total		or Not Available	Encumbrances
Property			Ownership	Occupancy	PSF (1)		Property	In Service	for Lease	(in thousands)		Major Tenants
NEW YORK (Continued):
ALEXANDER'S, INC.:
New York:
731 Lexington Avenue, Manhattan
		-Office	32.4%	100.0%	$	95.21	885,000	885,000	-	$	314,217	Bloomberg
		-Retail	32.4%	100.0%		170.34	174,000	174,000	-		320,000	Hennes & Mauritz, The Home Depot, The Container Store
			32.4%	100.0%		106.10	1,059,000	1,059,000	-		634,217
Rego Park I, Queens			32.4%	100.0%		37.97	343,000	343,000	-		78,246	Sears, Burlington Coat Factory, Bed Bath & Beyond, Marshalls
Rego Park II (adjacent to Rego Park I),
	Queens		32.4%	97.8%		40.22	609,000	609,000	-		269,496	Century 21, Costco, Kohl's, TJ Maxx, Toys "R" Us
Flushing, Queens (4)			32.4%	100.0%		15.74	167,000	167,000	-		-	New World Mall LLC
New Jersey:
Paramus, New Jersey
	(30.3 acres ground leased to IKEA		32.4%	100.0%		-	-	-	-		68,000	IKEA (ground lessee)
	through 2041)
Property under Development:
Rego Park II Apartment Tower, Queens, NY			32.4%	-		-	250,000	-	250,000		-
Property to be Developed:
Rego Park III (adjacent to Rego Park II),			32.4%	-		-	-	-	-		-
	Queens, NY (3.2 acres)
	Total Alexander's			99.4%		70.23	2,428,000	2,178,000	250,000		1,049,959
Hotel Pennsylvania:
	-Hotel (1700 Keys)		100.0%	-		-	1,400,000	1,400,000	-		-
Residential:
50-70 W 93rd Street (325 units)			49.9%	93.2%		-	283,000	283,000	-		45,825
Independence Plaza, Tribeca (1,328 units)
		-Residential	50.1%	95.2%		-	1,190,000	1,190,000	-
		-Retail	50.1%	100.0%		71.56	50,000	50,000	-
							1,240,000	1,240,000	-		550,000
	Total Residential			94.8%			1,523,000	1,523,000	-		595,825
Total New York				96.4%	$	73.89	28,657,000	27,289,000	1,368,000	$	8,879,086
Vornado's Ownership Interest				96.8%	$	73.84	22,344,000	21,392,000	952,000	$	5,943,261
(1)	Weighted Average Annual Rent PSF excludes ground rent, storage rent and garages.
(2)	Excludes US Post Office leased through 2038 (including four five-year renewal options) for which the annual escalated rent is $9.81 PSF.
(3)	75,000 square feet is leased from the office condo.
(4)	Leased by Alexander's through January 2037.

- 43 -

 

WASHINGTON, DC SEGMENT
PROPERTY TABLE
				Weighted		Square Feet
				Average				Under Development
		%	%	Annual Rent		Total		or Not Available	Encumbrances
Property		Ownership	Occupancy	PSF (1)		Property	In Service	for Lease	(in thousands)		Major Tenants
WASHINGTON, DC:
Crystal City:
2011-2451 Crystal Drive - 5 buildings		100.0%	84.5%	$	43.89	2,316,000	2,316,000	-	$	226,855	General Services Administration, Lockheed Martin,
											Conservation International, Smithsonian Institution,
											Natl. Consumer Coop. Bank, Council on Foundations,
											Vornado / Charles E. Smith Headquarters, KBR, Scitor Corp.,
											Food Marketing Institute, DRS Technologies
S. Clark Street / 12th Street - 5 buildings		100.0%	71.9%		42.83	1,528,000	1,528,000	-		60,674	General Services Administration,
											SAIC, Inc., Boeing, L-3 Communications,
											The Int'l Justice Mission, Management Systems International
1550-1750 Crystal Drive /		100.0%	75.9%		41.43	1,486,000	1,486,000	-		112,987	General Services Administration,
	241-251 18th Street - 4 buildings										Alion Science & Technologies, Booz Allen,
											Arete Associates, Battelle Memorial Institute
1800, 1851 and 1901 South Bell Street		100.0%	96.9%		39.21	869,000	506,000	363,000		-	General Services Administration,
	- 3 buildings										Lockheed Martin
2100 / 2200 Crystal Drive - 2 buildings		100.0%	99.2%		33.66	529,000	529,000	-		-	General Services Administration,
											Public Broadcasting Service
223 23rd Street / 2221 South Clark Street		100.0%	100.0%		39.55	309,000	84,000	225,000		-	General Services Administration
	- 2 buildings
2001 Jefferson Davis Highway		100.0%	64.3%		35.85	162,000	162,000	-		-	Institute for the Psychology Sciences, VT Aepco, Inc.,
											National Crime Prevention
Crystal City Shops at 2100		100.0%	99.0%		22.63	80,000	80,000	-		-	Various
Crystal Drive Retail		100.0%	100.0%		44.02	57,000	57,000	-		-	Various
Total Crystal City		100.0%	81.9%		41.22	7,336,000	6,748,000	588,000		400,516
Central Business District:
Universal Buildings		100.0%	95.5%		45.03	679,000	679,000	-		-	Family Health International
	1825-1875 Connecticut Avenue, NW
	- 2 buildings
Warner Building - 1299 Pennsylvania		55.0%	75.8%		68.30	614,000	614,000	-		292,700	Baker Botts LLP, General Electric, Cooley LLP,
	Avenue, NW										Facebook, Live Nation
2101 L Street, NW		100.0%	99.0%		64.08	380,000	380,000	-		150,000	Greenberg Traurig, LLP, US Green Building Council,
											American Insurance Association, RTKL Associates,
											Cassidy & Turley
1750 Pennsylvania Avenue, NW		100.0%	88.2%		47.19	279,000	279,000	-		-	General Services Administration, UN Foundation, AOL
1150 17th Street, NW		100.0%	89.2%		46.87	241,000	241,000	-		28,728	American Enterprise Institute
Bowen Building - 875 15th Street, NW		100.0%	96.7%		66.32	231,000	231,000	-		115,022	Paul, Hastings, Janofsky & Walker LLP,
											Millennium Challenge Corporation
1101 17th Street, NW		55.0%	89.1%		46.38	213,000	213,000	-		31,000	AFSCME, Verto Solutions
1730 M Street, NW		100.0%	89.9%		46.23	202,000	202,000	-		14,853	General Services Administration
	(ground rent through 2061)

- 44 -

 

WASHINGTON, DC SEGMENT
PROPERTY TABLE
				Weighted		Square Feet
				Average				Under Development
	%		%	Annual Rent		Total		or Not Available		Encumbrances
Property	Ownership		Occupancy	PSF (1)		Property	In Service	for Lease		(in thousands)		Major Tenants
WASHINGTON, DC (Continued):
1726 M Street, NW	100.0%		100.0%	$	41.82	91,000	91,000	-		$	-	Aptima, Inc., Nelnet Corporation
Waterfront Station	2.5%		-		-	1,058,000	-	1,058,000	*		-
1501 K Street, NW	5.0%		98.0%		69.08	398,000	398,000	-			-	Sidley Austin LLP, UBS
1399 New York Avenue, NW	100.0%		84.1%		79.82	128,000	128,000	-			-	Bloomberg
Total Central Business District			91.2%		54.68	4,514,000	3,456,000	1,058,000			632,303
Skyline Properties:
Skyline Place - 7 buildings	100.0%		51.2%		33.00	2,134,000	2,134,000	-			562,988	General Services Administration, SAIC, Inc., Analytic Services,
												Northrop Grumman, Axiom Resource Management,
												Booz Allen, Intellidyne, Inc.
One Skyline Tower	100.0%		100.0%		33.51	518,000	518,000	-			139,536	General Services Administration
Total Skyline Properties	100.0%		60.8%		33.17	2,652,000	2,652,000	-			702,524
Rosslyn / Ballston:
2200 / 2300 Clarendon Blvd	100.0%		94.0%		43.07	636,000	636,000	-			41,279	Arlington County, General Services Administration,
(Courthouse Plaza) - 2 buildings												AMC Theaters
(ground leased through 2062)
Rosslyn Plaza - 4 buildings	46.2%		72.3%		38.40	734,000	575,000	159,000			31,742	General Services Administration, Corporate Executive Board
Total Rosslyn / Ballston			87.7%		41.89	1,370,000	1,211,000	159,000			73,021
Reston:
Commerce Executive - 3 buildings	100.0%	`	93.8%		31.61	419,000	400,000	19,000	*		-	L-3 Communications, Allworld Language Consultants,
												BT North America
Rockville/Bethesda:
Democracy Plaza One	100.0%		89.4%		31.92	216,000	216,000	-			-	National Institutes of Health
(ground leased through 2084)
Tysons Corner:
Fairfax Square - 3 buildings	20.0%		89.0%		39.31	558,000	558,000	-			69,219	Dean & Company, Womble Carlyle
Pentagon City:
Fashion Centre Mall	7.5%		99.4%		47.64	822,000	822,000	-			410,000	Macy's, Nordstrom
Washington Tower	7.5%		100.0%		46.64	170,000	170,000	-			40,000	The Rand Corporation
Total Pentagon City			99.5%		47.45	992,000	992,000	-			450,000
Total Washington, DC office properties			82.1%	$	43.76	18,057,000	16,233,000	1,824,000		$	2,327,583
Vornado's Ownership Interest			80.7%	$	42.44	14,516,000	13,803,000	713,000		$	1,694,551

- 45 -

 

WASHINGTON, DC SEGMENT
PROPERTY TABLE
			Weighted		Square Feet
			Average				Under Development
	%	%	Annual Rent		Total		or Not Available		Encumbrances
Property	Ownership	Occupancy	PSF (1)		Property	In Service	for Lease		(in thousands)		Major Tenants
WASHINGTON, DC (Continued):
Residential:
For rent residential:
Riverhouse - 3 buildings (1,661 units)	100.0%	96.6%	$	-	1,793,000	1,793,000	-		$	259,546
West End 25 (283 units)	100.0%	94.7%		-	273,000	273,000	-			101,671
220 20th Street (265 units)	100.0%	96.6%		-	269,000	269,000	-			72,579
Rosslyn Plaza - 2 buildings (196 units)	43.7%	95.4%		-	253,000	253,000	-			-
Total Residential		96.3%			2,588,000	2,588,000	-			433,796
Other:
Crystal City Hotel	100.0%	-		-	266,000	266,000	-			-
Met Park / Warehouses - 1 building	100.0%	100.0%		-	231,000	104,000	127,000	*		-
Other - 3 buildings	100.0%	100.0%		-	11,000	9,000	2,000	*		-
Total Other		100.0%			508,000	379,000	129,000			-
Total Washington, DC		83.5%	$	43.76	21,153,000	19,200,000	1,953,000		$	2,761,379
Vornado's Ownership Interest		83.4%	$	42.44	17,470,000	16,628,000	842,000		$	2,128,347
* We do not capitalize interest or real estate taxes on this space.
(1) Weighted Average Annual Rent PSF excludes ground rent, storage rent and garages.

- 46 -

 

RETAIL PROPERTIES SEGMENT
PROPERTY TABLE
			Weighted		Square Feet
			Average			In Service		Under Development
	%	%	Annual Rent		Total	Owned by	Owned By	or Not Available		Encumbrances
Property	Ownership	Occupancy	PSF (1)		Property	Company	Tenant	for Lease		(in thousands)			Major Tenants
RETAIL PROPERTIES:
STRIP SHOPPING CENTERS:
New Jersey:
Wayne Town Center, Wayne	100.0%	100.0%	$	39.29	663,000	29,000	287,000	347,000		$	-		JCPenney, Dick's Sporting Goods (lease not commenced)
(ground leased through 2064)
North Bergen (Tonnelle Avenue)	100.0%	100.0%		24.30	410,000	204,000	206,000	-			75,000		Wal-Mart, BJ's Wholesale Club
Totowa	100.0%	100.0%		19.28	271,000	177,000	94,000	-			24,710	(2)	The Home Depot, Bed Bath & Beyond, Marshalls
Bricktown	100.0%	94.7%		18.48	279,000	276,000	3,000	-			31,871	(2)	Kohl's , ShopRite, Marshalls
Union (Route 22 and Morris Avenue)	100.0%	99.4%		25.26	276,000	113,000	163,000	-			32,254	(2)	Lowe's, Toys "R" Us
Hackensack	100.0%	75.4%		23.44	275,000	269,000	6,000	-			40,454	(2)	The Home Depot
Bergen Town Center - East, Paramus	100.0%	93.6%		36.42	211,000	44,000	167,000	-			-		Lowe's, REI
East Hanover (240 Route 10 West)	100.0%	95.9%		17.93	267,000	261,000	6,000	-			28,428	(2)	The Home Depot, Dick's Sporting Goods, Marshalls
Cherry Hill	100.0%	98.6%		13.97	263,000	70,000	193,000	-			13,831	(2)	Wal-Mart, Toys "R" Us
Jersey City	100.0%	100.0%		21.79	236,000	66,000	170,000	-			20,228	(2)	Lowe's, P.C. Richard & Son
East Brunswick (325 - 333 Route 18 South)	100.0%	100.0%		16.41	232,000	222,000	10,000	-			24,820	(2)	Kohl's, Dick's Sporting Goods, P.C. Richard & Son,
													T.J. Maxx
Union (2445 Springfield Avenue)	100.0%	100.0%		17.85	232,000	232,000	-	-			28,428	(2)	The Home Depot
Middletown	100.0%	96.3%		14.88	231,000	179,000	52,000	-			17,330	(2)	Kohl's, Stop & Shop
Woodbridge	100.0%	84.1%		22.35	226,000	86,000	140,000	-			20,610	(2)	Wal-Mart
North Plainfield	100.0%	85.0%		17.75	212,000	60,000	152,000	-			-		Costco
(ground leased through 2060)
Marlton	100.0%	100.0%		13.33	213,000	209,000	4,000	-			17,221	(2)	Kohl's (3), ShopRite, PetSmart
Manalapan	100.0%	99.3%		16.58	208,000	206,000	2,000	-			20,993	(2)	Best Buy, Bed Bath & Beyond, Babies "R" Us
East Rutherford	100.0%	100.0%		34.34	197,000	42,000	155,000	-			13,558	(2)	Lowe's
East Brunswick (339-341 Route 18 South)	100.0%	100.0%		-	196,000	33,000	163,000	-			11,754	(2)	Lowe's, LA Fitness (lease not commenced)
Garfield	100.0%	100.0%		21.47	195,000	46,000	149,000	-			-		Wal-Mart, Marshalls
Bordentown	100.0%	80.4%		7.25	179,000	83,000	-	96,000	*		-		ShopRite
Morris Plains	100.0%	95.9%		20.71	177,000	176,000	1,000	-			21,321	(2)	Kohl's, ShopRite
Dover	100.0%	96.3%		12.02	173,000	167,000	6,000	-			13,121	(2)	ShopRite, T.J. Maxx
Delran	100.0%	7.2%		-	171,000	40,000	3,000	128,000	*		-
Lodi (Route 17 North)	100.0%	100.0%		11.57	171,000	171,000	-	-			11,316	(2)	National Wholesale Liquidators
Watchung	100.0%	96.6%		25.40	170,000	54,000	116,000	-			15,034	(2)	BJ's Wholesale Club
Lawnside	100.0%	100.0%		14.11	145,000	142,000	3,000	-			10,660	(2)	The Home Depot, PetSmart

- 47 -

 

RETAIL PROPERTIES SEGMENT
PROPERTY TABLE
			Weighted		Square Feet
			Average			In Service		Under Development
	%	%	Annual Rent		Total	Owned by	Owned By	or Not Available	Encumbrances
Property	Ownership	Occupancy	PSF (1)		Property	Company	Tenant	for Lease	(in thousands)			Major Tenants
RETAIL PROPERTIES (Continued):
Hazlet	100.0%	100.0%	$	2.64	123,000	123,000	-	-	$	-		Stop & Shop
Kearny	100.0%	43.5%		16.11	104,000	91,000	13,000	-		-		Marshalls
Turnersville	100.0%	100.0%		6.40	96,000	89,000	7,000	-		-		Haynes Furniture
Lodi (Washington Street)	100.0%	92.1%		19.94	85,000	85,000	-	-		8,433		Blink Fitness, Aldi
Carlstadt (ground leased through 2050)	100.0%	95.2%		21.80	78,000	78,000	-	-		-		Stop & Shop
East Hanover (200 Route 10 West)	100.0%	89.5%		23.42	76,000	76,000	-	-		9,731	(2)	Loehmann's
Paramus (ground leased through 2033)	100.0%	100.0%		42.23	63,000	63,000	-	-		-		24 Hour Fitness
North Bergen (Kennedy Boulevard)	100.0%	100.0%		26.76	62,000	6,000	56,000	-		5,084	(2)	Waldbaum's
South Plainfield (ground leased through 2039)	100.0%	85.9%		21.68	56,000	56,000	-	-		5,112	(2)	Staples
Englewood	100.0%	79.7%		24.79	41,000	41,000	-	-		11,760		New York Sports Club
Eatontown	100.0%	100.0%		28.09	30,000	30,000	-	-		-		Petco
East Hanover (280 Route 10 West)	100.0%	94.0%		32.00	26,000	26,000	-	-		4,538	(2)	REI
Montclair	100.0%	100.0%		23.34	18,000	18,000	-	-		2,624	(2)	Whole Foods Market
Total New Jersey					7,337,000	4,439,000	2,327,000	571,000		540,224
New York:
Poughkeepsie	100.0%	85.9%		8.76	517,000	517,000	-	-		-		Kmart, Burlington Coat Factory, ShopRite, Hobby Lobby,
												Christmas Tree Shops, Bob's Discount Furniture
Bronx (Bruckner Boulevard)	100.0%	91.3%		21.22	501,000	387,000	114,000	-		-		Kmart, Toys "R" Us, Key Food
Buffalo (Amherst)	100.0%	100.0%		8.94	311,000	242,000	69,000	-		-		BJ's Wholesale Club, T.J. Maxx, Toys "R" Us,
												LA Fitness (lease not commenced)
Huntington	100.0%	97.9%		14.78	209,000	209,000	-	-		16,619	(2)	Kmart, Marshalls, Old Navy, Petco
Rochester	100.0%	100.0%		-	205,000	-	205,000	-		4,374	(2)	Wal-Mart
Mt. Kisco	100.0%	100.0%		22.20	189,000	72,000	117,000	-		28,206		Target, A&P
Freeport (437 East Sunrise Highway)	100.0%	100.0%		18.61	173,000	173,000	-	-		21,321	(2)	The Home Depot, Staples
Rochester (Henrietta)	100.0%	96.2%		3.81	165,000	158,000	7,000	-		-		Kohl's, Ollie's Bargain Outlet
(ground leased through 2056)
Staten Island	100.0%	96.3%		21.63	165,000	165,000	-	-		17,000		Western Beef
Albany (Menands)	100.0%	74.0%		9.00	140,000	140,000	-	-		-		Bank of America
New Hyde Park (ground and building	100.0%	100.0%		18.73	101,000	101,000	-	-		-		Stop & Shop
leased through 2029)
Inwood	100.0%	88.8%		20.29	100,000	100,000	-	-		-		Stop & Shop

- 48 -

 

RETAIL PROPERTIES SEGMENT
PROPERTY TABLE
			Weighted		Square Feet
			Average				In Service			Under Development
	%	%	Annual Rent		Total		Owned by	Owned By		or Not Available		Encumbrances
Property	Ownership	Occupancy	PSF (1)		Property		Company	Tenant		for Lease		(in thousands)			Major Tenants
RETAIL PROPERTIES (Continued):
North Syracuse	100.0%	100.0%	$	-	98,000		-	98,000		-		$	-		Wal-Mart
(ground and building leased through 2014)
West Babylon	100.0%	83.4%		17.47	79,000		79,000	-		-			-		Best Market
Bronx (1750-1780 Gun Hill Road)	100.0%	90.7%		32.22	77,000		77,000	-		-			-		Aldi, Planet Fitness, T.G.I. Friday's
Queens	100.0%	100.0%		37.31	56,000		56,000	-		-			-		New York Sports Club, Devry
Commack	100.0%	100.0%		21.45	47,000		47,000	-		-			-		PetSmart
(ground and building leased through 2021)
Dewitt	100.0%	100.0%		20.46	46,000		46,000	-		-			-		Best Buy
(ground leased through 2041)
Freeport (240 West Sunrise Highway)	100.0%	100.0%		20.28	44,000		44,000	-		-			-		Bob's Discount Furniture
(ground and building leased through 2040)
Oceanside	100.0%	100.0%		27.83	16,000		16,000	-		-			-		Party City
Total New York					3,239,000		2,629,000	610,000		-			87,520
Pennsylvania:
Allentown	100.0%	90.3%		15.24	627,000	(4)	270,000	357,000	(4)	-			29,904	(2)	Wal-Mart (4), ShopRite, Burlington Coat Factory,
															T.J. Maxx, Dick's Sporting Goods
Wilkes-Barre	100.0%	83.2%		13.28	329,000	(4)	204,000	125,000	(4)	-			19,898		Target (4), Babies "R" Us, Ross Dress for Less
Lancaster	100.0%	82.1%		15.33	228,000		58,000	170,000		-			5,385	(2)	Lowe's
Bensalem	100.0%	98.9%		11.50	185,000		177,000	8,000		-			14,843	(2)	Kohl's, Ross Dress for Less, Staples
Broomall	100.0%	100.0%		11.09	169,000		147,000	22,000		-			10,660	(2)	Giant Food (3), A.C. Moore, PetSmart
Bethlehem	100.0%	95.3%		7.29	167,000		164,000	3,000		-			5,576	(2)	Giant Food, Petco
York	100.0%	100.0%		9.06	110,000		110,000	-		-			5,194	(2)	Ashley Furniture, Aldi (lease not commenced)
Glenolden	100.0%	100.0%		25.84	102,000		10,000	92,000		-			6,834	(2)	Wal-Mart
Wilkes-Barre	100.0%	100.0%		6.53	81,000		41,000	-		40,000	*		-		Ollie's Bargain Outlet
(ground and building leased through 2014)
Wyomissing	100.0%	93.2%		15.56	76,000		76,000	-		-			-		LA Fitness, PetSmart
(ground and building leased through 2065)
Springfield	100.0%	100.0%		20.90	41,000		41,000	-		-			-		PetSmart
(ground and building leased through 2025)
Total Pennsylvania					2,115,000		1,298,000	777,000		40,000			98,294

- 49 -

 

RETAIL PROPERTIES SEGMENT
PROPERTY TABLE
			Weighted		Square Feet
			Average			In Service		Under Development
	%	%	Annual Rent		Total	Owned by	Owned By	or Not Available	Encumbrances
Property	Ownership	Occupancy	PSF (1)		Property	Company	Tenant	for Lease	(in thousands)			Major Tenants
RETAIL PROPERTIES (Continued):
California:
Beverly Connection, Los Angeles	100.0%	91.5%	$	36.52	335,000	335,000	-	-	$	-		Target, Marshalls, Old Navy, T.J. Maxx,
												Nordstrom Rack, Ross Dress for Less
Colton (1904 North Rancho Avenue)	100.0%	100.0%		4.44	73,000	73,000	-	-		-		Stater Brothers
San Francisco (2675 Geary Street)	100.0%	100.0%		50.34	55,000	55,000	-	-		-		Best Buy
(ground and building leased through 2043)
Signal Hill	100.0%	100.0%		24.08	45,000	45,000	-	-		-		Best Buy
Vallejo	100.0%	100.0%		17.51	45,000	45,000	-	-		-		Best Buy
(ground leased through 2043)
Riverside (5571 Mission Boulevard)	100.0%	100.0%		4.97	39,000	39,000	-	-		-		Stater Brothers
Walnut Creek (1149 South Main Street)	100.0%	100.0%		45.11	29,000	29,000	-	-		-		Barnes & Noble
Walnut Creek (Mt. Diablo)	95.0%	100.0%		70.00	7,000	7,000	-	-		-		Anthropologie
Total California					628,000	628,000	-	-		-
Massachusetts:
Chicopee	100.0%	100.0%		-	224,000	-	224,000	-		8,282	(2)	Wal-Mart
Springfield	100.0%	97.8%		16.39	182,000	33,000	149,000	-		5,713	(2)	Wal-Mart
Milford	100.0%	100.0%		8.01	83,000	83,000	-	-		-		Kohl's
(ground and building leased through 2019)
Cambridge	100.0%	100.0%		21.83	48,000	48,000	-	-		-		PetSmart
(ground and building leased through 2033)
Total Massachusetts					537,000	164,000	373,000	-		13,995
Maryland:
Baltimore (Towson)	100.0%	100.0%		16.21	155,000	155,000	-	-		15,581	(2)	Shoppers Food Warehouse, h.h.gregg, Staples,
												Home Goods, Golf Galaxy
Annapolis	100.0%	100.0%		8.99	128,000	128,000	-	-		-		The Home Depot
(ground and building leased through 2042)
Glen Burnie	100.0%	90.5%		11.67	121,000	65,000	56,000	-		-		Weis Markets
Rockville	100.0%	100.0%		24.61	94,000	94,000	-	-		-		Regal Cinemas
Wheaton	100.0%	100.0%		14.94	66,000	66,000	-	-		-		Best Buy
(ground leased through 2060)
Total Maryland					564,000	508,000	56,000	-		15,581

- 50 -

 

RETAIL PROPERTIES SEGMENT
PROPERTY TABLE
			Weighted		Square Feet
			Average			In Service		Under Development
	%	%	Annual Rent		Total	Owned by	Owned By	or Not Available	Encumbrances
Property	Ownership	Occupancy	PSF (1)		Property	Company	Tenant	for Lease	(in thousands)			Major Tenants
RETAIL PROPERTIES (Continued):
Connecticut:
Newington	100.0%	100.0%	$	18.61	188,000	29,000	159,000	-	$	11,207	(2)	Wal-Mart, Staples
Waterbury	100.0%	97.6%		15.19	148,000	143,000	5,000	-		13,941	(2)	ShopRite
Total Connecticut					336,000	172,000	164,000	-		25,148
Michigan:
Roseville	100.0%	100.0%		5.50	119,000	119,000	-	-		-		JCPenney
Battle Creek	100.0%	-		-	47,000	47,000	-	-		-
Midland (ground leased through 2043)	100.0%	83.6%		9.21	31,000	31,000	-	-		-		PetSmart
Total Michigan					197,000	197,000	-	-		-
Virginia:
Norfolk	100.0%	100.0%		6.44	114,000	114,000	-	-		-		BJ's Wholesale Club
(ground and building leased through 2069)
Tyson's Corner	100.0%	100.0%		39.13	38,000	38,000	-	-		-		Best Buy
(ground and building leased through 2035)
Total Virginia					152,000	152,000	-	-		-
Illinois:
Lansing	100.0%	100.0%		10.00	47,000	47,000	-	-		-		Forman Mills
Arlington Heights	100.0%	100.0%		9.00	46,000	46,000	-	-		-		Value City Furniture
(ground and building leased through 2043)
Chicago	100.0%	100.0%		12.03	41,000	41,000	-	-		-		Best Buy
(ground and building leased through 2051)
Total Illinois					134,000	134,000	-	-		-
Texas:
San Antonio	100.0%	100.0%		10.63	43,000	43,000	-	-		-		Best Buy
(ground and building leased through 2041)
Ohio:
Springdale	100.0%	-		-	47,000	47,000	-	-		-
(ground and building leased through 2046)
Tennessee:
Antioch	100.0%	100.0%		7.66	45,000	45,000	-	-		-		Best Buy

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RETAIL PROPERTIES SEGMENT
PROPERTY TABLE
			Weighted		Square Feet
			Average			In Service		Under Development
	%	%	Annual Rent		Total	Owned by	Owned By	or Not Available	Encumbrances
Property	Ownership	Occupancy	PSF (1)		Property	Company	Tenant	for Lease	(in thousands)		Major Tenants
RETAIL PROPERTIES (Continued):
South Carolina:
Charleston	100.0%	100.0%	$	14.19	45,000	45,000	-	-	$	-	Best Buy
(ground leased through 2063)
Wisconsin:
Fond Du Lac	100.0%	100.0%		7.83	43,000	43,000	-	-		-	PetSmart
(ground leased through 2073)
New Hampshire:
Salem	100.0%	100.0%		-	37,000	-	37,000	-		-	Babies "R" Us
(ground leased through 2102)
Kentucky:
Owensboro	100.0%	100.0%		7.66	32,000	32,000	-	-		-	Best Buy
(ground and building leased through 2046)
Iowa:
Dubuque	100.0%	100.0%		9.90	31,000	31,000	-	-		-	PetSmart
(ground leased through 2043)
Total Strip Shopping Centers		94.3%	$	16.97	15,562,000	10,607,000	4,344,000	611,000	$	780,762
Vornado's Ownership Interest		94.3%	$	16.97	15,183,000	10,607,000	3,965,000	611,000	$	780,762

REGIONAL MALLS:
Monmouth Mall, Eatontown, NJ	50.0%	93.9%	$	35.23	(5)	1,464,000	(4)	852,000	612,000	(4)	-	$	169,385	Macy's (4), JCPenney (4), Lord & Taylor, Boscov's,
														Loews Theatre, Barnes & Noble, Forever 21
Springfield Mall, Springfield, VA	100.0%	100.0%		16.00	(5)	1,374,000	(4)	294,000	390,000	(4)	690,000		-	Macy's, JCPenney (4), Target (4)
														Dick's Sporting Goods (lease not commenced),
														Regal Cinema (lease not commenced),
														LA Fitness (lease not commenced)
Broadway Mall, Hicksville, NY	100.0%	90.1%		32.12	(5)	1,138,000	(4)	762,000	376,000	(4)	-		-	Macy's, IKEA, Target (4), National Amusement
Bergen Town Center - West, Paramus, NJ	100.0%	99.5%		43.01	(5)	951,000		920,000	31,000		-		300,000	Target, Century 21, Whole Foods Market, Marshalls,
														Nordstrom Rack, Saks Off 5th, Home Goods, Old Navy,
														Hennes & Mauritz, Neiman Marcus Last Call Studio,
														Bloomingdale's Outlet, Nike Factory Store, Blink Fitness
Montehiedra, Puerto Rico	100.0%	91.0%		38.52	(5)	542,000		542,000	-		-		120,000	The Home Depot, Kmart, Marshalls, Caribbean Theatres,
														Tiendas Capri, Nike Factory Store
Las Catalinas, Puerto Rico	100.0%	93.1%		57.78	(5)	494,000	(4)	355,000	139,000	(4)	-		-	Kmart, Sears (4)
Total Regional Malls		94.2%	$	39.45		5,963,000		3,725,000	1,548,000		690,000	$	589,385
Vornado's Ownership Interest		94.3%	$	40.21		4,333,000		3,299,000	344,000		690,000	$	504,693

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RETAIL PROPERTIES SEGMENT
PROPERTY TABLE
			Weighted	Square Feet
			Average		In Service		Under Development
	%	%	Annual Rent	Total	Owned by	Owned By	or Not Available	Encumbrances
Property	Ownership	Occupancy	PSF (1)	Property	Company	Tenant	for Lease	(in thousands)		Major Tenants
Total Retail Properties		94.3%		21,525,000	14,332,000	5,892,000	1,301,000	$	1,370,147
Vornado's Ownership Interest		94.3%		19,516,000	13,906,000	4,309,000	1,301,000	$	1,285,455
* We do not capitalize interest or real estate taxes on this space.
(1) Weighted Average Annual Rent PSF excludes ground rent, storage rent and garages.
(2) These encumbrances are cross-collateralized under a blanket mortgage in the amount of $620,465 as of December 31, 2013.
(3) The lease for these former Bradlees locations is guaranteed by Stop & Shop.
(4) Includes square footage of anchors who own the land and building.
(5) Weighted Average Annual Rent PSF shown is for mall tenants only.

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OTHER
PROPERTY TABLE
						Weighted		Square Feet
						Average				Under Development
		%		%		Annual Rent		Total		or Not Available	Encumbrances
Property		Ownership		Occupancy		PSF (1)		Property	In Service	for Lease	(in thousands)		Major Tenants
555 CALIFORNIA STREET:
555 California Street	70.0%		94.3%		$		58.58	1,503,000	1,503,000	-	$	600,000		Bank of America, Dodge & Cox,
														Goldman Sachs & Co., Jones Day,
														Kirkland & Ellis LLP, Morgan Stanley & Co. Inc.,
														McKinsey & Company Inc., UBS Financial Services
315 Montgomery Street	70.0%		94.1%				43.39	228,000	228,000	-		-		Bank of America
345 Montgomery Street	70.0%		100.0%				96.90	64,000	64,000	-		-		Bank of America
Total 555 California Street			94.5%		$		58.22	1,795,000	1,795,000	-	$	600,000
Vornado's Ownership Interest			94.5%		$		58.22	1,257,000	1,257,000	-	$	420,000

MERCHANDISE MART:
Illinois:
Merchandise Mart, Chicago		100.0%	96.4%	$	33.18	3,559,000	3,559,000	-	$	550,000	American Intercontinental University (AIU), Steelcase,
											Baker, Knapp & Tubbs, Motorola Mobility (owned by Google),
											CCC Information Services, Ogilvy Group (WPP),
											Chicago Teachers Union, Publicis Groupe,
											Office of the Special Deputy Receiver, Holly Hunt Ltd.,
											Razorfish, TNDP, Merchandise Mart Headquarters,
											Chicago School of Professional Psychology
Other		50.0%	100.0%		30.17	19,000	19,000	-		23,281
	Total Illinois		96.4%		33.16	3,578,000	3,578,000	-		573,281
New York
7 West 34th Street		100.0%	90.9%		43.45	420,000	125,000	295,000		-	Kurt Adler
Total Merchandise Mart			96.3%	$	33.84	3,998,000	3,703,000	295,000	$	573,281
Vornado's Ownership Interest			96.3%	$	33.84	3,989,000	3,694,000	295,000	$	561,641

WAREHOUSES:
NEW JERSEY
East Hanover - 5 Buildings	100.0%	45.6%	$	4.35	942,000	942,000	-	$	-	Foremost Groups Inc., Fidelity Paper & Supply Inc.,
										Consolidated Simon Distributors Inc., Givaudan Flavors Corp.,
										Meyer Distributing Inc.
Total Warehouses		45.6%	$	4.35	942,000	942,000	-	$	-
Vornado's Ownership Interest		45.6%	$	4.35	942,000	942,000	-	$	-
(1) Weighted Average Annual Rent PSF excludes ground rent, storage rent and garages.

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REAL ESTATE FUND
PROPERTY TABLE
			Weighted		Square Feet
			Average				Under Development
	Fund	%	Annual Rent		Total		or Not Available	Encumbrances
Property	Ownership %	Occupancy	PSF (1)		Property	In Service	for Lease	(in thousands)		Major Tenants
VORNADO CAPITAL PARTNERS
REAL ESTATE FUND:
New York, NY:
One Park Avenue										Coty Inc., New York University,
- Office	64.7%	96.4%	$	44.03	857,000	857,000	-			Public Service Mutual Insurance
- Retail	64.7%	100.0%		61.49	87,000	87,000	-			Bank of Baroda, Citibank, Equinox
	64.7%	96.7%		45.64	944,000	944,000	-	$	250,000
Lucida, 86th Street and Lexington Avenue
(ground leased through 2082)										Barnes & Noble, Hennes & Mauritz,
- Retail	100.0%	100.0%		133.21	95,000	95,000	-			Sephora, Bank of America
- Residential	100.0%	100.0%		-	51,000	51,000	-
	100.0%	100.0%		-	146,000	146,000	-		100,000
11 East 68th Street Retail	100.0%	100.0%		737.85	9,000	9,000	-		-	Belstaff, Kent & Curwen
Crowne Plaza Times Square
- Hotel (795 Keys)
- Retail	38.2%	100.0%		345.57	14,000	14,000	-			Hershey
- Office	38.2%	100.0%		33.83	212,000	212,000	-			American Management Association
	38.2%	100.0%		53.14	226,000	226,000	-		252,750
501 Broadway	100.0%	100.0%		232.43	9,000	9,000	-		20,000	Capital One
Washington, DC:
										Washington Sports, Dean & Deluca, Anthropologie,
										Pinstripes, DSW (lease not commenced), Hennes & Mauritz,
Georgetown Park Retail Shopping Center	50.0%	100.0%		37.23	313,000	223,000	90,000		90,305	J. Crew, TJ Maxx
Santa Monica, CA:
										Premier Office Centers LLC, Diversified Mercury Comm,
520 Broadway	100.0%	81.6%		50.43	112,000	112,000	-		30,000	Microsoft Corporation
Culver City, CA:
										Meredith Corp., West Publishing Corp., Symantec Corp.,
800 Corporate Pointe	100.0%	57.0%		33.55	243,000	243,000	-		59,298	Syska Hennessy Group, X Prize Foundation
Miami, FL:
1100 Lincoln Road	100.0%	99.6%		102.19	127,000	127,000	-		66,000	Regal Cinema, Anthropologie, Banana Republic
Total Real Estate Fund	71.3%	89.3%			2,129,000	2,039,000	90,000	$	868,353
Vornado's Ownership Interest	17.8%	89.3%			375,000	364,000	11,000	$	144,688
(1) Weighted Average Annual Rent PSF excludes ground rent, storage rent and garages.

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