Vornado Realty Trust reported its financial results for the third quarter of 2026, disclosing a net loss of $47.1 million attributable to common shareholders, or $0.25 per diluted share. This compares to a net income of $11.6 million, or $0.06 per diluted share, for the prior year's quarter. Over the nine months ended September 30, 2026, the company reported a net loss of $53.5 million, or $0.28 per diluted share, a decrease attributed to the absence of an $803.2 million gain related to the 770 Broadway master lease with NYU recorded in the prior year.
For the third quarter, Funds From Operations (FFO) attributable to common shareholders was $122.6 million, or $0.62 per diluted share. Adjusted FFO, which excludes certain items impacting comparability, was $126.7 million, or $0.65 per diluted share. Over the nine months, adjusted FFO totaled $360.9 million, or $1.84 per diluted share.
In a significant corporate development, Vornado announced the formation of a new joint venture with Rudin and Citadel founder Kenneth C. Griffin to develop a 1.9 million square foot office tower on the combined sites of 350 Park Avenue, 39 East 51st Street, and 40 East 52nd Street. Citadel Enterprise Americas LLC is the anchor tenant. Vornado contributed its 350 Park Avenue property, valued at $900 million net of a $400 million mortgage, and holds a 36.1% effective interest in the venture. The company deconsolidated the properties and will recognize an estimated net gain of approximately $485 million in the fourth quarter of 2026.
During the quarter, Vornado completed the acquisition of a 49% interest in Park Avenue Plaza for $1.1 billion and purchased 3 East 54th Street for $141 million. The company also noted the sale of its interest in Alexander's Rego Park I property, resulting in a gain of $44.3 million. Additionally, Vornado repaid $400 million in senior unsecured notes maturing in June 2026 and completed a $525 million refinancing of One Park Avenue.
