EXHIBIT 99.1

CONTACT:  JOSEPH MACNOW
          (201) 587-8541
                                                       [ALEXANDER'S, INC. LOGO]

                                                          210 Route 4 East
                                                          Paramus, NJ 07652


FOR IMMEDIATE RELEASE -- FEBRUARY 18, 2004

                       ALEXANDER'S COMPLETES $400 MILLION
                     PERMANENT FINANCING OF A PORTION OF THE
                      LEXINGTON AVENUE DEVELOPMENT PROJECT

      PARAMUS, NEW JERSEY...ALEXANDER'S, INC. (New York Stock Exchange: ALX)
announced today that it has completed a $400 million mortgage financing on the
office space at the Company's Lexington Avenue development project. The loan was
placed by German American Capital Corporation, an affiliate of Deutsche Bank.
The loan bears interest at 5.33%, matures in February 2014 and, beginning in the
third year, provides for principal payments based on a 25-year amortization
schedule such that over the remaining eight years of the loan, ten years of
amortization will be paid. $253 million of the loan proceeds was used to repay
the entire amount outstanding under the existing construction loan with Hypo
Real Estate Capital Corporation ("Hypo").

      The construction loan with Hypo was modified so that the remaining
availability is $237 million, which is approximately the amount estimated to
complete the Lexington Avenue development project. The terms and conditions of
the construction loan are substantially the same as previously existed except
that the office space is no longer collateral. Further, the Hypo construction
loan permits the release of the retail space for a release amount of $15 million
and now requires all proceeds from the sale of the residential condominium units
to be applied to the construction loan balance until it is fully repaid.

      In connection with the repayment of the $253 million of the construction
loan, the Company will write-off $3.1 million, or $0.61 per share, of deferred
financing costs in the first quarter of 2004.

      Alexander's, Inc. is a real estate investment trust, which has six
properties in the greater New York City metropolitan area.

      Certain statements contained herein may constitute "forward-looking
statements" within the meaning of the Private Securities Litigation Reform Act
of 1995. Such forward-looking statements involve known and unknown risks,
uncertainties and other factors which may cause the actual results, performance
or achievements of the Company to be materially different from any future
results, performance or achievements expressed or implied by such
forward-looking statements. Such factors include, among others, risks associated
with the timing of and costs associated with property improvements, financing
commitments and general competitive factors.

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