NEW YORK CITY-In an annual letter to investors, Vornado Realty Trust Chairman Steven Roth says the firm, which owns in excess of 100 million square feet of real estate in the Unite States, will sell more properties than it acquires this year.
“I can see the bubble on the horizon; the fat lady entering the building,” Roth wrote in his annual letter to investors, filed with the U.S. Securities and Exchange Commission on Friday according to Bloomberg News. “My belly tells me that prices are now higher than future prospects and therefore, we will buy carefully and likely sell more than we buy.”
Roth took over as CEO of Vorando Realty Trust today. Michael Fascitelli announced his resignation in late February after the company reported a $224.9 million loss on its stake in J.C. Penney Co.
Roth, who terms the J.C. Penney investment as “very disappointing” also states in his investor letter: “It also feels to me like interest rates will stay lower for longer than the pundits expect and that we are near the tipping point where market participants will start to believe and act as if it’s their God-given right to zero-bound interest rates.” See story at Bloomberg News.