Weekend Wrap: Vornado’s UN Sale (Updated at 7:50pm)

Vornado Realty Trust sold 866 United Nations Plaza Friday for $200 million.  A company press release said the sale will result in net proceeds of about $146 million, after repaying existing debt and closing costs. 

In addition, the REIT’s financial statement gain will be about $128 million, and a tax gain will be about $166 million and will be deferred in a like-kind exchange as part of Vornado’s previously announced acquisition of a majority position of 655 Fifth Avenue for $278 million a month ago.

Vornado has been on a roll:  It also closed on 220 Central Park South llast month, for about $194 million, setting the stage for a luxury condo redevelopment at the site.

Friday's sale is a 360,000 square-foot office between E. 48th and E. 49th Streets on First Avenue.

Darcy Stacom and William M. Shanahan of CBRE New York brokered the deal, according to an NJBiz report.

The Vornado release didn't say who the buyers were, but The Real Deal reports that two New York real estate investment firms, Meadow Partners and United Realty Partners, acquired the building.

The sale is expected to be completed sometime in the fourth quarter, according to Vornado's press release.

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