Vornado has sent the Skyline portfolio into special servicing.

filed

We continue to explore separating Washington into its own freestanding business unit. There can be no assurance that any transaction will be completed. Our objective in pursuing a separation of Washington would be much the same as it was in our separation of Urban Edge Properties, namely to create a smaller, laser-focused business unit with its own dedicated management and its own report card (i.e. stock price).

While it is true that Washington and New York are both office-centric, each is its own market and there really is little overlap or synergy between them. Furthermore, New York and Washington are in totally different lifecycle situations (growth vs recovery).

Our Washington business is bouncing along the bottom. Excluding Skyline and buildings coming out of service, we expect the core business' EBITDA to be flat to positive $4 million in 2016 versus 2015.

Skyline's Loan Moves into Special Servicing Other Reasons including the sale of 1750 Pennsylvania Ave., in Washington DC

Washington has been a victim of the US Government's Department of Defense Base Realignment and Closure Statute move-outs, limited government growth in the Capital District, and a generally all around soft real estate market. Confoundingly, Washington has the lowest unemployment rate in the nation, the most educated work force in the nation, coupled with the highest vacancy rate in the nation; something doesn't add up.

WASHINGTON DC New York City Washington DC CEO Steven Roth filed US Exchange Commission

We continue to explore separating Washington into its own freestanding business unit. There can be no assurance that any transaction will be completed. Our objective in pursuing a separation of Washington would be much the same as it was in our separation of Urban Edge Properties, namely to create a smaller, laser-focused business unit with its own dedicated management and its own report card (i.e. stock price).

Roth in the REIT's earnings call in February New York Washington DC

While it is true that Washington and New York are both office-centric, each is its own market and there really is little overlap or synergy between them. Furthermore, New York and Washington are in totally different lifecycle situations (growth vs recovery).

Roth

Our Washington business is bouncing along the bottom. Excluding Skyline and buildings coming out of service, we expect the core business' EBITDA to be flat to positive $4 million in 2016 versus 2015.

Washington DC Virginia more than 2.5 million square feet US government Skyline's Loan Moves into Special Servicing Roth $678 million Virginia 2.6 million square feet in 2013 Other Reasons Washington DC including the sale of 1750 Pennsylvania Ave., in Washington DC New York City Roth Roth

Washington has been a victim of the US Government's Department of Defense Base Realignment and Closure Statute move-outs, limited government growth in the Capital District, and a generally all around soft real estate market. Confoundingly, Washington has the lowest unemployment rate in the nation, the most educated work force in the nation, coupled with the highest vacancy rate in the nation; something doesn't add up.

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Vornado CEO Says It Again: A Spin-off of DC Assets Is Still On the Table

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