(By Balaseshan) Vornado Realty Trust (NYSE: VNO), an integrated real estate investment trust, said it has agreed to sell its suburban Fairfax office buildings and Philadelphia property for $186 million.
The New York-based company will sell three office buildings located in suburban Fairfax County, Virginia containing 494,000 square feet. The sales price is about $126 million.
Vornado has also entered into an agreement to sell a building on Market Street, Philadelphia which is part of the Gallery at Market East for about $60 million.
These two transactions will result in total net proceeds of about $89 million after repaying an existing loan and closing costs. The gain will be about $70 million.
These sales, which are subject to customary closing conditions, are expected to be completed in the fourth quarter of 2012.
Vornado conducts its business through, and substantially all of its interests in properties are held by, Vornado Realty L.P., a limited partnership. Vornado operates in five business segments: New York Office Properties, Washington DC Office Properties, Retail Properties, Merchandise Mart Properties and Toys R Us.
VNO closed Friday's regular session at $79.79. The stock has been trading between $70 and $88.50 for the past 52 weeks.