Anchor tenants in the portfolio, which is located in northernNew Jersey and Long Island, include A&P, Home Depot, Kmart,Kohl's, Stop & Shop and Target. Locally based Vornado isfunding the purchase with $120 million in cash, $89 million innewly issued preferred and common stocks and $142 million inexisting debt.

Vornado's last retail buy was in January, when the companyacquired the 386,000-sf Bruckner Plaza in the Bronx from theKushner Cos. for $165 million. Just before that it bought ManhattanMall, on Sixth Avenue, between 32nd and 33rd streets for $689million.

Michael Fascitelli, Vornado's president and a trustee, saidearlier this month at an investor conference that his firm islooking to purchase retail and office properties in the New Yorkand Washington, DC areas, as well as Boston and Los Angeles. Thecompany is also looking to India, he says.