(By Balachander) Vornado Realty Trust (NYSE: VNO) has announced an agreement to sell mortgage servicer LNR Property LLC for net proceeds of roughly $241 million.
The real estate investment trust (REIT) has a 26.2 percent equity interest in LNR.
Vornado's portfolio include over 100 million square feet, primarily located in the New York and Washington, DC areas.
The REIT's real estate investments include: a 25 percent interest in Vornado Capital Partners, a 32.5 percent interest in Toys "R" Us Inc. and a 10.7 percent interest in JC Penney Co (JCP).
Last week, the REIT declared a quarterly dividend at the increased rate of $0.73 per share, a new indicated annual rate of $2.92. The former annual rate was $2.76 per share. The dividend will be payable on February 19, 2013 to shareholders of record on January 28, 2013.
The deal is expected to be completed in the second quarter of 2013.
Lazard advised the sellers in this transaction.
The stock, which has been trading in the 52-week range of $72.64 to $88.50, traded 0.68 percent higher at $84.64 on Thursday.