10-Q

 

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

FORM 10-Q

(Mark one)

x QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended:    June 30, 2015

Or

o TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from: to

Commission File Number: 001-34482

VORNADO REALTY L.P.

(Exact name of registrant as specified in its charter)

Delaware	13-3925979
(State or other jurisdiction of incorporation or organization)	(I.R.S. Employer Identification Number)
888 Seventh Avenue, New York, New York	10019
(Address of principal executive offices)	(Zip Code)

(212) 894-7000

(Registrant’s telephone number, including area code)

N/A

(Former name, former address and former fiscal year, if changed since last report)

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.  Yes x No o

Indicate by check mark whether the registrant has submitted electronically and posted on its corporate website, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T (232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files).  Yes x No o

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller reporting company.  See the definitions of “large accelerated filer,” “accelerated filer” and “smaller reporting company” in Rule 12b-2 of the Exchange Act.

o Large Accelerated Filer	o Accelerated Filer
x Non-Accelerated Filer (Do not check if smaller reporting company)	o Smaller Reporting Company

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).  Yes o No x

PART I.		Financial Information:	Page Number
	Item 1.	Financial Statements:
		Consolidated Balance Sheets (Unaudited) as of
		June 30, 2015 and December 31, 2014	3
		Consolidated Statements of Income (Unaudited) for the
		Three and Six Months Ended June 30, 2015 and 2014	4
		Consolidated Statements of Comprehensive Income (Unaudited)
		for the Three and Six Months Ended June 30, 2015 and 2014	5
		Consolidated Statements of Changes in Equity (Unaudited) for the
		Six Months Ended June 30, 2015 and 2014	6
		Consolidated Statements of Cash Flows (Unaudited) for the
		Six Months Ended June 30, 2015 and 2014	8
		Notes to Consolidated Financial Statements (Unaudited)	10
		Report of Independent Registered Public Accounting Firm	34
	Item 2.	Management's Discussion and Analysis of Financial Condition
		and Results of Operations	35
	Item 3.	Quantitative and Qualitative Disclosures About Market Risk	73
	Item 4.	Controls and Procedures	73
PART II.		Other Information:
	Item 1.	Legal Proceedings	74
	Item 1A.	Risk Factors	74
	Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds	74
	Item 3.	Defaults Upon Senior Securities	74
	Item 4.	Mine Safety Disclosures	74
	Item 5.	Other Information	74
	Item 6.	Exhibits	74
SIGNATURES			75
EXHIBIT INDEX			76

2

PART I. FINANCIAL INFORMATION

Item 1.    Financial Statements

VORNADO REALTY L.P.
CONSOLIDATED BALANCE SHEETS
(UNAUDITED)
(Amounts in thousands, except unit amounts)			June 30, 2015		December 31, 2014
ASSETS
Real estate, at cost:
	Land		$	4,036,944	$	3,861,913
	Buildings and improvements			12,188,912		11,705,749
	Development costs and construction in progress			1,273,897		1,128,037
	Leasehold improvements and equipment			129,930		126,659
		Total		17,629,683		16,822,358
	Less accumulated depreciation and amortization			(3,303,014)		(3,161,633)
Real estate, net				14,326,669		13,660,725
Cash and cash equivalents				516,337		1,198,477
Restricted cash				127,857		176,204
Marketable securities				159,991		206,323
Tenant and other receivables, net of allowance for doubtful accounts of $10,944 and $12,210				115,049		109,998
Investments in partially owned entities				1,477,090		1,246,496
Real estate fund investments				565,976		513,973
Receivable arising from the straight-lining of rents, net of allowance of $3,229 and $3,190				851,894		787,271
Deferred leasing and financing costs, net of accumulated amortization of $280,286 and $281,109				528,179		475,158
Identified intangible assets, net of accumulated amortization of $207,744 and $199,821				245,846		225,155
Assets related to discontinued operations				34,891		2,238,474
Other assets				636,128		410,066
			$	19,585,907	$	21,248,320
LIABILITIES, REDEEMABLE PARTNERSHIP UNITS AND EQUITY
Mortgages payable			$	8,562,314	$	8,263,165
Senior unsecured notes				847,463		1,347,159
Revolving credit facility debt				400,000		-
Accounts payable and accrued expenses				437,813		447,745
Deferred revenue				390,636		358,613
Deferred compensation plan				118,931		117,284
Liabilities related to discontinued operations				12,611		1,511,362
Other liabilities				417,935		375,830
	Total liabilities			11,187,703		12,421,158
Commitments and contingencies
Redeemable partnership units:
	Class A units - 11,455,453 and 11,356,550 units outstanding			1,087,466		1,336,780
	Series D cumulative redeemable preferred units - 177,101 and 1 units outstanding			5,428		1,000
		Total redeemable partnership units		1,092,894		1,337,780
Equity:
	Partners' capital			8,445,677		8,157,544
	Earnings less than distributions			(1,958,546)		(1,505,385)
	Accumulated other comprehensive income			50,613		93,267
		Total Vornado Realty L.P. equity		6,537,744		6,745,426
Noncontrolling interests in consolidated subsidiaries				767,566		743,956
	Total equity			7,305,310		7,489,382
			$	19,585,907	$	21,248,320
See notes to consolidated financial statements (unaudited).

3

VORNADO REALTY L.P.
CONSOLIDATED STATEMENTS OF INCOME
(UNAUDITED)
(Amounts in thousands, except per unit amounts)		For the Three Months Ended				For the Six Months Ended
		June 30,				June 30,
		2015		2014		2015		2014
REVENUES:
	Property rentals	$	514,843	$	478,490	$	1,015,117	$	945,630
	Tenant expense reimbursements		62,215		55,110		129,136		114,411
	Fee and other income		39,230		40,811		78,837		76,751
Total revenues			616,288		574,411		1,223,090		1,136,792
EXPENSES:
	Operating		242,690		230,398		497,183		466,959
	Depreciation and amortization		136,957		113,200		261,079		244,992
	General and administrative		39,189		40,478		97,681		87,980
	Acquisition and transaction related costs		4,061		1,067		6,042		2,352
Total expenses			422,897		385,143		861,985		802,283
Operating income			193,391		189,268		361,105		334,509
Loss from partially owned entities			(5,231)		(53,742)		(7,636)		(51,763)
Income from real estate fund investments			26,368		100,110		50,457		118,258
Interest and other investment income, net			5,666		9,396		16,458		21,246
Interest and debt expense			(92,092)		(103,913)		(183,766)		(200,225)
Net gain on disposition of wholly owned and partially owned assets			-		905		1,860		10,540
Income before income taxes			128,102		142,024		238,478		232,565
Income tax benefit (expense)			88,072		(3,280)		87,101		(4,131)
Income from continuing operations			216,174		138,744		325,579		228,434
(Loss) income from discontinued operations			(774)		26,943		15,067		35,409
Net income			215,400		165,687		340,646		263,843
Less net income attributable to noncontrolling interests in
	consolidated subsidiaries		(19,186)		(63,975)		(35,068)		(75,554)
Net income attributable to Vornado Realty L.P.			196,214		101,712		305,578		188,289
Preferred unit distributions			(20,414)		(20,379)		(39,910)		(40,759)
NET INCOME attributable to Class A unitholders		$	175,800	$	81,333	$	265,668	$	147,530
INCOME PER CLASS A UNIT - BASIC:
	Income from continuing operations, net	$	0.88	$	0.27	$	1.25	$	0.56
	Income from discontinued operations, net		-		0.14		0.08		0.18
	Net income per Class A unit	$	0.88	$	0.41	$	1.33	$	0.74
	Weighted average units outstanding		199,038		198,232		198,857		198,075
INCOME PER CLASS A UNIT - DILUTED:
	Income from continuing operations, net	$	0.87	$	0.27	$	1.24	$	0.55
	Income from discontinued operations, net		-		0.13		0.07		0.18
	Net income per Class A unit	$	0.87	$	0.40	$	1.31	$	0.73
	Weighted average units outstanding		200,833		199,746		200,833		199,550
DISTRIBUTIONS PER CLASS A UNIT		$	0.63	$	0.73	$	1.26	$	1.46
See notes to consolidated financial statements (unaudited).

4

VORNADO REALTY L.P.
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME
(UNAUDITED)
(Amounts in thousands)			For the Three Months Ended				For the Six Months Ended
			June 30,				June 30,
			2015		2014		2015		2014
Net income			$	215,400	$	165,687	$	340,646	$	263,843
Other comprehensive income (loss):
	Change in unrealized net (loss) gain on available-for-sale securities			(25,000)		1,878		(46,332)		15,003
	Pro rata share of other comprehensive (loss) income of
		nonconsolidated subsidiaries		(1,191)		14,163		(1,034)		5,877
	Change in value of interest rate swap and other			2,848		(547)		2,077		1,064
Comprehensive income				192,057		181,181		295,357		285,787
Less comprehensive income attributable to noncontrolling interests
	in consolidated subsidiaries			(19,186)		(63,975)		(35,068)		(75,554)
Comprehensive income attributable to Vornado Realty L.P.			$	172,871	$	117,206	$	260,289	$	210,233
See notes to consolidated financial statements (unaudited).

5

VORNADO REALTY L.P.
CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY
(UNAUDITED)
(Amounts in thousands)															Non-
													Accumulated		controlling
							Class A Units				Earnings		Other		Interests in
			Preferred Units				Owned by Vornado				Less Than		Comprehensive		Consolidated		Total
			Units		Amount		Units		Amount		Distributions		Income (Loss)		Subsidiaries		Equity
Balance, December 31, 2014				52,679	$	1,277,026		187,887	$	6,880,518	$	(1,505,385)	$	93,267	$	743,956	$	7,489,382
Net income attributable to Vornado Realty L.P.				-		-		-		-		305,578		-		-		305,578
Net income attributable to redeemable
	partnership units			-		-		-		-		(15,485)		-		-		(15,485)
Net income attributable to noncontrolling
	interests in consolidated subsidiaries			-		-		-		-		-		-		35,068		35,068
Distribution of Urban Edge Properties				-		-		-		-		(464,262)		-		(341)		(464,603)
Distributions to Vornado				-		-		-		-		(237,160)		-		-		(237,160)
Distributions to preferred unitholders				-		-		-		-		(39,849)		-		-		(39,849)
Class A Units issued to Vornado:
	Upon redemption of redeemable Class A
		units, at redemption value		-		-		400		43,278		-		-		-		43,278
	Under Vornado's Employees' share option plan			-		-		195		12,979		(2,579)		-		-		10,400
	Under Vornado's dividend reinvestment plan			-		-		7		701		-		-		-		701
Contributions:
	Real estate fund investments			-		-		-		-		-		-		51,725		51,725
Distributions:
	Real estate fund investments			-		-		-		-		-		-		(62,495)		(62,495)
	Other			-		-		-		-		-		-		(255)		(255)
Conversion of Series A preferred units
	to Class A units			(1)		(16)		1		16		-		-		-		-
Deferred compensation units and options				-		-		7		1,654		(359)		-		-		1,295
Change in unrealized net loss on
	available-for-sale securities			-		-		-		-		-		(46,332)		-		(46,332)
Pro rata share of other comprehensive loss
	of nonconsolidated subsidiaries			-		-		-		-		-		(1,034)		-		(1,034)
Change in value of interest rate swap				-		-		-		-		-		2,073		-		2,073
Adjustments to carry redeemable Class A
	units at redemption value			-		-		-		229,521		-		-		-		229,521
Redeemable partnership units' share of above
	adjustments			-		-		-		-		-		2,635		-		2,635
Other				-		-		-		-		955		4		(92)		867
Balance, June 30, 2015				52,678	$	1,277,010		188,497	$	7,168,667	$	(1,958,546)	$	50,613	$	767,566	$	7,305,310
See notes to consolidated financial statements (unaudited).

6

 

VORNADO REALTY L.P.
CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY - CONTINUED
(UNAUDITED)
(Amounts in thousands)															Non-
													Accumulated		controlling
								Class A Units			Earnings		Other		Interests in
			Preferred Units				Owned by Vornado				Less Than		Comprehensive		Consolidated		Total
			Units		Amount		Units		Amount		Distributions		Income (Loss)		Subsidiaries		Equity
Balance, December 31, 2013				52,683	$	1,277,225		187,285	$	7,151,309	$	(1,734,839)	$	71,537	$	829,512	$	7,594,744
Net income attributable to Vornado Realty L.P.				-		-		-		-		188,289		-		-		188,289
Net income attributable to redeemable
	partnership units			-		-		-		-		(8,564)		-		-		(8,564)
Net income attributable to noncontrolling
	interests in consolidated subsidiaries			-		-		-		-		-		-		75,554		75,554
Distributions to Vornado				-		-		-		-		(273,694)		-		-		(273,694)
Distributions to preferred unitholders				-		-		-		-		(40,734)		-		-		(40,734)
Class A units issued to Vornado:
	Upon redemption of redeemable Class A
		units, at redemption value		-		-		199		19,771		-		-		-		19,771
	Under Vornado's Employees' share option plan			-		-		159		9,206		-		-		-		9,206
	Under Vornado's dividend reinvestment plan			-		-		9		919		-		-		-		919
Contributions:
	Real estate fund investments			-		-		-		-		-		-		5,297		5,297
Distributions:
	Real estate fund investments			-		-		-		-		-		-		(132,819)		(132,819)
	Other			-		-		-		-		-		-		(301)		(301)
Transfer of noncontrolling interest
	in real estate fund investments			-		-		-		-		-		-		(33,028)		(33,028)
Conversion of Series A preferred units
	to Class A units			(4)		(193)		6		193		-		-		-		-
Deferred compensation units and options				-		-		7		3,384		(340)		-		-		3,044
Change in unrealized net gain on
	available-for-sale securities			-		-		-		-		-		15,003		-		15,003
Pro rata share of other comprehensive income
	of nonconsolidated subsidiaries			-		-		-		-		-		5,877		-		5,877
Change in value of interest rate swap				-		-		-		-		-		1,065		-		1,065
Adjustments to carry redeemable Class A
	units at redemption value			-		-		-		(227,338)		-		-		-		(227,338)
Redeemable partnership units' share of
	above adjustments			-		-		-		-		-		(1,260)		-		(1,260)
Other				-		(6)		-		(297)		(2,368)		(1)		(5)		(2,677)
Balance, June 30, 2014				52,679	$	1,277,026		187,665	$	6,957,147	$	(1,872,250)	$	92,221	$	744,210	$	7,198,354
See notes to consolidated financial statements (unaudited).

7

VORNADO REALTY L.P.
CONSOLIDATED STATEMENTS OF CASH FLOWS
(UNAUDITED)
(Amounts in thousands)			For the Six Months Ended June 30,
			2015		2014
Cash Flows from Operating Activities:
Net income			$	340,646	$	263,843
Adjustments to reconcile net income to net cash provided by operating activities:
	Depreciation and amortization (including amortization of deferred financing costs)			272,942		288,187
	Reversal of allowance for deferred tax assets			(90,030)		-
	Return of capital from real estate fund investments			83,443		140,920
	Straight-lining of rental income			(64,121)		(33,413)
	Net realized and unrealized gains on real estate fund investments			(41,857)		(111,227)
	Distributions of income from partially owned entities			37,821		25,784
	Net gains on sale of real estate and other			(32,243)		-
	Amortization of below-market leases, net			(26,132)		(22,624)
	Other non-cash adjustments			26,569		20,546
	Loss from partially owned entities			7,636		51,763
	Net gain on disposition of wholly owned and partially owned assets			(1,860)		(10,540)
	Impairment losses			256		20,842
	Defeasance cost in connection with the refinancing of mortgage notes payable			-		5,589
	Changes in operating assets and liabilities:
		Real estate fund investments		(95,000)		(2,666)
		Tenant and other receivables, net		(5,051)		(2,355)
		Prepaid assets		(138,473)		(138,884)
		Other assets		(46,858)		(43,842)
		Accounts payable and accrued expenses		(26,440)		2,157
		Other liabilities		(16,632)		(6,437)
Net cash provided by operating activities				184,616		447,643
Cash Flows from Investing Activities:
	Acquisitions of real estate and other			(381,001)		(8,963)
	Proceeds from sales of real estate and related investments			334,725		125,037
	Development costs and construction in progress			(200,970)		(214,615)
	Additions to real estate			(137,528)		(105,116)
	Investments in partially owned entities			(137,465)		(62,894)
	Distributions of capital from partially owned entities			29,666		1,791
	Restricted cash			25,118		102,087
	Investments in loans receivable			(23,919)		-
	Proceeds from repayments of mortgage and mezzanine loans receivable and other			16,772		96,159
Net cash used in investing activities				(474,602)		(66,514)
See notes to consolidated financial statements (unaudited).

8

 

VORNADO REALTY L.P.
CONSOLIDATED STATEMENTS OF CASH FLOWS - CONTINUED
(UNAUDITED)
(Amounts in thousands)				For the Six Months Ended June 30,
				2015		2014
Cash Flows from Financing Activities:
	Proceeds from borrowings			$	1,746,460	$	1,398,285
	Repayments of borrowings				(1,607,574)		(313,444)
	Distributions to Vornado				(237,160)		(273,694)
	Cash included in the spin-off of Urban Edge Properties				(225,000)		-
	Distributions to redeemable security holders and noncontrolling interests				(77,447)		(149,944)
	Contributions from noncontrolling interests in consolidated subsidiaries				51,725		5,297
	Distributions to preferred unitholders				(39,849)		(40,737)
	Debt issuance costs				(14,053)		(29,560)
	Proceeds received from exercise of Vornado share options				13,683		10,125
	Repurchase of Class A units related to equity compensation agreements and/or related
		tax withholdings			(2,939)		(637)
	Purchase of marketable securities in connection with the defeasance of mortgage
		notes payable			-		(198,884)
Net cash (used in) provided by financing activities					(392,154)		406,807
Net (decrease) increase in cash and cash equivalents					(682,140)		787,936
Cash and cash equivalents at beginning of period					1,198,477		583,290
Cash and cash equivalents at end of period				$	516,337	$	1,371,226
Supplemental Disclosure of Cash Flow Information:
	Cash payments for interest, excluding capitalized interest of $17,550 and $30,182			$	178,461	$	214,239
	Cash payments for income taxes			$	6,584	$	6,726
Non-Cash Investing and Financing Activities:
	Non-cash distribution of Urban Edge Properties:
			Assets	$	1,722,263	$	-
			Liabilities		(1,482,660)		-
			Equity		(239,603)		-
	Adjustments to carry redeemable Class A units at redemption value				229,521		(227,338)
	Transfer of interest in real estate to Pennsylvania Real Estate Investment Trust				(145,313)		-
	Write-off of fully depreciated assets				(81,027)		(85,037)
	Accrued capital expenditures included in accounts payable and accrued expenses				70,672		111,742
	Like-kind exchange of real estate:
			Acquisitions		62,355		-
			Dispositions		(38,822)		-
	Financing assumed in acquisitions				62,000		-
	Marketable securities transferred in connection with the defeasance of mortgage
		notes payable			-		198,884
	Defeasance of mortgage notes payable				-		(193,406)
	Elimination of a mortgage and mezzanine loan asset and liability				-		59,375
	Transfer of interest in real estate fund investments to an unconsolidated joint venture				-		(58,564)
	Transfer of noncontrolling interest in real estate fund investments				-		(33,028)
See notes to consolidated financial statements (unaudited).

9

 

VORNADO REALTY L.P.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

(UNAUDITED)

1.     Organization

Vornado Realty L.P. (the “Operating Partnership” and/or the “Company”) is a Delaware limited partnership. Vornado Realty Trust (“Vornado”) is the sole general partner of, and owned approximately 94.0% of the common limited partnership interest in, the Operating Partnership at June 30, 2015.  All references to “we,” “us,” “our,” the “Company” and the "Operating Partnership” refer to Vornado Realty L.P. and its consolidated subsidiaries.

On January 15, 2015, we completed the spin-off of substantially all of our retail segment comprised of 79 strip shopping centers, three malls, a warehouse park and $225,000,000 of cash to Urban Edge Properties (“UE”) (NYSE: UE). As part of this transaction, we retained 5,717,184 UE operating partnership units (5.4% ownership interest). We are providing transition services to UE for an initial period of up to two years, including information technology, human resources, tax and financial reporting.  UE is providing us with leasing and property management services for (i) the Monmouth Mall, (ii) certain small retail properties that we plan to sell, and (iii) our affiliate, Alexander’s, Inc. (NYSE: ALX), Rego Park retail assets. Steven Roth, Chairman of Vornado’s Board of Trustees and its Chief Executive Officer is a member of the Board of Trustees of UE. The spin-off distribution was effected by Vornado distributing one UE common share for every two Vornado common shares. Beginning in the first quarter of 2015, the historical financial results of UE are reflected in our consolidated financial statements as discontinued operations for all periods presented. 

2.    Basis of Presentation and Significant Accounting Policies

Basis of Presentation

The accompanying consolidated financial statements are unaudited and include the accounts of Vornado Realty L.P. and its consolidated subsidiaries.  All intercompany amounts have been eliminated. In our opinion, all adjustments (which include only normal recurring adjustments) necessary to present fairly the financial position, results of operations and changes in cash flows have been made. Certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) have been condensed or omitted.  These condensed consolidated financial statements have been prepared in accordance with the instructions to Form 10-Q of the SEC and should be read in conjunction with the consolidated financial statements and notes thereto included in our Annual Report on Form 10-K, as amended, for the year ended December 31, 2014, as filed with the SEC.

We have made estimates and assumptions that affect the reported amounts of assets and liabilities, disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting periods. Actual results could differ from those estimates.  The results of operations for the three and six months ended June 30, 2015 are not necessarily indicative of the operating results for the full year.  

Certain prior year balances have been reclassified in order to conform to the current period presentation.  Beginning in the three months ended March 31, 2015, the Company classifies signage revenue within “property rentals”.  For the three and six months ended June 30, 2014, $8,873,000 and $18,191,000, respectively, related to signage revenue has been reclassified from “fee and other income” to “property rentals” to conform to the current period presentation.

Significant Accounting Policies

Condominium Units Held For Sale:  Pursuant to ASC 605-35-25-88, Revenue Recognition: Completed Contract Method, revenue from condominium unit sales is recognized upon closing of the sale, as all conditions for full profit recognition have not been met until that time.  We use the relative sales value method to allocate costs to individual condominium units. 

We are constructing a residential condominium tower containing 392,000 salable square feet on our 220 Central Park South (“220 CPS”) development site.  As of June 30, 2015, we had entered into agreements to sell approximately 40% of the project for aggregate sales proceeds of $1.4 billion.  In connection therewith, $209,902,000 of deposits are held with a third party escrow agent.  

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(UNAUDITED)

2.    Basis of Presentation and Significant Accounting Policies - continued

Significant Accounting Policies - continued

Income Taxes:  As a limited partnership, our partners are required to report their respective share of taxable income on their individual tax returns.  The provision for income taxes in our consolidated financial statements relates to certain taxable REIT subsidiaries pursuant to an amendment to the Internal Revenue Code that became effective January 1, 2001.  Taxable REIT subsidiaries may participate in non-real estate related activities and/or perform non-customary services for tenants and are subject to Federal and State income tax at regular corporate tax rates.

At June 30, 2015 and December 31, 2014, our taxable REIT subsidiaries had deferred tax assets of $95,419,000 and $94,100,000, respectively, which are included in “other assets” on our consolidated balance sheets.  Prior to the quarter ended June 30, 2015, there was a full valuation allowance against our deferred tax assets because we had not determined that it is more-likely-than-not that we would use the net operating loss carryforwards to offset future taxable income.  During the second quarter of 2015, we began to enter into agreements to sell residential condominium units at 220 CPS and as of June 30, 2015, we had entered into agreements to sell approximately 40% of the project for aggregate sales proceeds of $1.4 billion.  Based on these agreements, among other factors, we have concluded that it is more-likely-than-not that we will generate sufficient taxable income to realize the deferred tax assets.  Accordingly, during the second quarter of 2015, we reversed $90,030,000 of the allowance for deferred tax assets and recognized an income tax benefit in our consolidated statements of income in the three and six months ended June 30, 2015.

3.    Recently Issued Accounting Literature

In April 2014, the Financial Accounting Standards Board (“FASB”) issued an update (“ASU 2014-08”) Reporting Discontinued Operations and Disclosures of Disposals of Components of an Entity to ASC Topic 205, Presentation of Financial Statements and ASC Topic 360, Property Plant and Equipment. Under ASU 2014-08, only disposals that represent a strategic shift that has (or will have) a major effect on the entity’s results and operations would qualify as discontinued operations. In addition, ASU 2014-08 expands the disclosure requirements for disposals that meet the definition of a discontinued operation and requires entities to disclose information about disposals of individually significant components that do not meet the definition of discontinued operations. ASU 2014-08 is effective for interim and annual reporting periods in fiscal years that began after December 15, 2014. Upon adoption of this standard on January 1, 2015, individual properties sold in the ordinary course of business are not expected to qualify as discontinued operations. The financial results of UE and certain other retail assets are reflected in our consolidated financial statements as discontinued operations for all periods presented (see Note 8 – Discontinued Operations for further details).

 In May 2014, the FASB issued an update ("ASU 2014-09") establishing ASC Topic 606, Revenue from Contracts with Customers.  ASU 2014-09 establishes a single comprehensive model for entities to use in accounting for revenue arising from contracts with customers and supersedes most of the existing revenue recognition guidance.  ASU 2014-09 requires an entity to recognize revenue when it transfers promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services and also requires certain additional disclosures.  ASU 2014-09 is effective for interim and annual reporting periods in fiscal years that begin after December 15, 2017.  We are currently evaluating the impact of the adoption of ASU 2014-09 on our consolidated financial statements.

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(UNAUDITED)

3.    Recently Issued Accounting Literature - continued

In June 2014, the FASB issued an update (“ASU 2014-12”) to ASC Topic 718, Compensation – Stock Compensation.  ASU 2014-12 requires an entity to treat performance targets that can be met after the requisite service period of a share based award has ended, as a performance condition that affects vesting.  ASU 2014-12 is effective for interim and annual reporting periods in fiscal years that begin after December 15, 2015.  We are currently evaluating the impact of the adoption of ASU 2014-12 on our consolidated financial statements.

In February 2015, the FASB issued an update (“ASU 2015-02”) Amendments to the Consolidation Analysis to ASC Topic 810, Consolidation.  ASU 2015-02 affects reporting entities that are required to evaluate whether they should consolidate certain legal entities.  Specifically, the amendments: (i) modify the evaluation of whether limited partnerships and similar legal entities are variable interest entities ("VIEs") or voting interest entities, (ii) eliminate the presumption that a general partner should consolidate a limited partnership, (iii) affect the consolidation analysis of reporting entities that are involved with VIEs, and (iv) provide a scope exception for certain entities.  ASU 2015-02 is effective for interim and annual reporting periods beginning after December 15, 2015.  We are currently evaluating the impact of the adoption of ASU 2015-02 on our consolidated financial statements. 

In April 2015, the FASB issued an update (“ASU 2015-03”) Simplifying the Presentation of Debt Issuance Costs to ASC Topic 835, Interest.  ASU 2015-03 requires that debt issuance costs be presented in the balance sheet as a direct deduction from the carrying amount of the debt liability to which they relate, consistent with debt discounts, as opposed to being presented as assets.  ASU 2015-03 is effective for interim and annual reporting periods in fiscal years that begin after December 15, 2015.  The adoption of this update on January 1, 2016 will not have a material impact on our consolidated financial statements.

4.    Acquisitions

On January 20, 2015, we and one of our real estate fund’s limited partners co-invested with the Fund to buy out the Fund’s joint venture partner’s 57% interest in the Crowne Plaza Times Square Hotel (see Note 5 – Real Estate Fund Investments).

On March 18, 2015, we acquired the Center Building, a 437,000 square foot office building, located at 33-00 Northern Boulevard in Long Island City, New York, for $142,000,000, including the assumption of an existing $62,000,000, 4.43% mortgage maturing in October 2018. 

On June 2, 2015, we completed the acquisition of 150 West 34^th Street, a 78,000 square foot retail property leased to Old Navy through May 2019, and 226,000 square feet of additional zoning air rights, for approximately $355,000,000.  At closing we completed a $205,000,000 financing of the property (see Note 10 – Debt).    

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(UNAUDITED)

5.     Real Estate Fund Investments

We are the general partner and investment manager of Vornado Capital Partners Real Estate Fund (the “Fund”), which has an eight-year term and a three-year investment period that ended in July 2013. During the investment period, the Fund was our exclusive investment vehicle for all investments that fit within its investment parameters, as defined.  The Fund is accounted for under ASC 946, Financial Services – Investment Companies (“ASC 946”) and its investments are reported on its balance sheet at fair value, with changes in value each period recognized in earnings.  We consolidate the accounts of the Fund into our consolidated financial statements, retaining the fair value basis of accounting.

On January 20, 2015, we and one of the Fund’s limited partners co-invested with the Fund to buy out the Fund’s joint venture partner’s 57% interest in the Crowne Plaza Times Square Hotel (the “Co-Investment”).  The purchase price for the 57% interest was approximately $95,000,000 (our share $39,000,000) which valued the property at approximately $480,000,000.  The property is encumbered by a $310,000,000 mortgage loan bearing interest at LIBOR plus 2.80% which matures in December 2018 with a one-year extension option.  Our aggregate ownership interest in the property increased to 33% from 11%.  The Co-Investment is also accounted for under ASC 946 and is included as a component of “real estate fund investments” on our consolidated balance sheet. 

On March 25, 2015, the Fund completed the sale of 520 Broadway in Santa Monica, CA for $91,650,000. The Fund realized a $24,705,000 net gain over the holding period.

At June 30, 2015, we had six real estate fund investments with an aggregate fair value of $565,976,000, or $193,164,000 in excess of cost, and had remaining unfunded commitments of $102,324,000, of which our share was $25,581,000.  Below is a summary of income from the Fund and the Co-Investment for the three and six months ended June 30, 2015 and 2014.

(Amounts in thousands)		For the Three Months Ended				For the Six Months Ended
		June 30,				June 30,
		2015		2014		2015		2014
Net investment income		$	2,150	$	3,052	$	8,600	$	7,031
Net realized gains on exited investments			886		75,069		25,591		75,069
Previously recorded unrealized gains on exited investments			-		(35,365)		(23,279)		(22,388)
Net unrealized gains on held investments			23,332		57,354		39,545		58,546
Income from real estate fund investments			26,368		100,110		50,457		118,258
Less income attributable to noncontrolling interests			(15,872)		(61,780)		(29,411)		(72,629)
Income from real estate fund investments attributable to Vornado Realty L.P.(1)		$	10,496	$	38,330	$	21,046	$	45,629
(1)	Excludes property management, leasing and development fees of $633 and $638 for the three months ended June 30, 2015 and 2014, respectively, and $1,337 and $1,256 for the six months ended June 30, 2015 and 2014, respectively, which are included as a component of "fee and other income" on our consolidated statements of income.

6.    Marketable Securities

Below is a summary of our marketable securities portfolio as of June 30, 2015 and December 31, 2014.

(Amounts in thousands)		As of June 30, 2015						As of December 31, 2014
				GAAP		Unrealized				GAAP		Unrealized
		Fair Value		Cost		Gain		Fair Value		Cost		Gain
Equity securities:
	Lexington Realty Trust	$	156,617	$	72,549	$	84,068	$	202,789	$	72,549	$	130,240
	Other		3,374		-		3,374		3,534		-		3,534
		$	159,991	$	72,549	$	87,442	$	206,323	$	72,549	$	133,774

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(UNAUDITED)

7.    Investments in Partially Owned Entities

Toys “R” Us (“Toys”)

As of June 30, 2015, we own 32.5% of Toys.  We have not guaranteed any of Toys’ obligations and are not committed to provide any support to Toys.  Pursuant to ASC 323-10-35-20, we discontinued applying the equity method for our Toys’ investment when the carrying amount was reduced to zero in the third quarter of 2014.  We will resume application of the equity method if, during the period the equity method has been suspended, our share of unrecognized net income exceeds our share of unrecognized net losses.

In the first quarter of 2014, we recognized our share of Toys’ fourth quarter net income of $75,196,000 and a corresponding non-cash impairment loss of the same amount.

Below is a summary of Toys’ latest available financial information on a purchase accounting basis:

(Amounts in thousands)						Balance as of
						May 2, 2015		November 1, 2014
Balance Sheet:
	Assets					$	9,772,000	$	11,267,000
	Liabilities						8,965,000		10,377,000
	Noncontrolling interests						85,000		82,000
	Toys “R” Us, Inc. equity (1)						722,000		808,000
		For the Three Months Ended				For the Six Months Ended
		May 2, 2015		May 3, 2014		May 2, 2015		May 3, 2014
Income Statement:
	Total revenues	$	2,325,000	$	2,479,000	$	7,308,000	$	7,746,000
	Net (loss) income attributable to Toys		(129,700)		(194,000)		64,000		(111,000)
(1)	At June 30, 2015, the carrying amount of our investment in Toys is less than our share of Toys' equity by approximately $234,553. This basis difference results primarily from non-cash impairment losses aggregating $355,953 that we have recognized through June 30, 2015. We have allocated the basis difference primarily to Toys' real estate.

Alexander’s, Inc. (“Alexander’s”) (NYSE: ALX)

As of June 30, 2015, we own 1,654,068 Alexander’s common shares, or approximately 32.4% of Alexander’s common equity.  We manage, lease and develop Alexander’s properties pursuant to agreements which expire in March of each year and are automatically renewable.

As of June 30, 2015, the market value (“fair value” pursuant to ASC 820, Fair Value Measurements and Disclosures) of our investment in Alexander’s, based on Alexander’s June 30, 2015 closing share price of $410.00, was $678,168,000, or $547,529,000 in excess of the carrying amount on our consolidated balance sheet.  As of June 30, 2015, the carrying amount of our investment in Alexander’s exceeds our share of the equity in the net assets of Alexander’s by approximately $40,690,000.  The majority of this basis difference resulted from the excess of our purchase price for the Alexander’s common stock acquired over the book value of Alexander’s net assets.  Substantially all of this basis difference was allocated, based on our estimates of the fair values of Alexander’s assets and liabilities, to real estate (land and buildings).  We are amortizing the basis difference related to the buildings into earnings as additional depreciation expense over their estimated useful lives.  This depreciation is not material to our share of equity in Alexander’s net income.  The basis difference related to the land will be recognized upon disposition of our investment.

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(UNAUDITED)

7.    Investments in Partially Owned Entities - continued

Alexander’s, Inc. (“Alexander’s”) (NYSE: ALX) - continued

Below is a summary of Alexander’s latest available financial information:

(Amounts in thousands)						Balance as of
						June 30, 2015		December 31, 2014
Balance Sheet:
	Assets					$	1,418,000	$	1,423,000
	Liabilities						1,074,000		1,075,000
	Stockholders' equity						344,000		348,000
		For the Three Months Ended June 30,				For the Six Months Ended June 30,
		2015		2014		2015		2014
Income Statement:
	Total revenues	$	51,000	$	50,000	$	103,000	$	99,000
	Net income attributable to Alexander’s		17,000		17,000		35,000		32,000

Urban Edge Properties (“UE”) (NYSE: UE)

As part of our spin-off of substantially all of our retail segment to UE on January 15, 2015 (see Note 1 – Organization), we retained 5,717,184 UE operating partnership units, representing a 5.4% ownership interest in UE.  We account for our investment in UE under the equity method and will recognize our share of UE’s earnings on a one-quarter lag basis.  We are providing transition services to UE for an initial period of up to two years, including information technology, human resources, tax and financial reporting.  UE is providing us with leasing and property management services for (i) the Monmouth Mall, (ii) certain small retail properties that we plan to sell, and (iii) our affiliate, Alexander’s, Rego Park retail assets.   

Pennsylvania Real Estate Investment Trust (“PREIT”) (NYSE: PEI)

On March 31, 2015, we transferred the redeveloped Springfield Town Center, a 1,350,000 square foot mall located in Springfield, Fairfax County, Virginia, to PREIT Associates, L.P., which is the operating partnership of PREIT, in exchange for $485,313,000; comprised of $340,000,000 of cash and 6,250,000 PREIT operating partnership units (valued at $145,313,000 or $23.25 per PREIT unit) (See Note 8 – Discontinued Operations).  $19,000,000 of tenant improvements and allowances was credited to PREIT as a closing adjustment.  As a result of this transaction, we own an 8.1% interest in PREIT.  We account for our investment in PREIT under the equity method and will recognize our share of PREIT’s earnings on a one-quarter lag basis.  

510 West 22^nd Street

On June 24, 2015, we entered into a joint venture, in which we own a 55% interest, to develop a 173,000 square foot Class-A office building, located along the western edge of the High Line at 510 West 22nd Street.  The development cost of this project is approximately $225,000,000.  The development is expected to commence during the third quarter of 2015 and be completed in 2017.

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(UNAUDITED)

7.    Investments in Partially Owned Entities – continued

Below are schedules summarizing our investments in, and (loss) income from, partially owned entities.

(Amounts in thousands)		Percentage
		Ownership at		Balance as of
		June 30, 2015		June 30, 2015		December 31, 2014
Investments:
	Partially owned office buildings (1)		Various	$	859,544	$	760,749
	PREIT Associates		8.1%		143,031		-
	Alexander’s		32.4%		130,639		131,616
	India real estate ventures		4.1%-36.5%		50,542		76,752
	UE		5.4%		25,610		-
	Toys		32.5%		-		-
	Other investments (2)		Various		267,724		277,379
				$	1,477,090	$	1,246,496
(1)	Includes interests in 280 Park Avenue, 650 Madison Avenue, One Park Avenue, 666 Fifth Avenue (Office), 330 Madison Avenue, 510 West 22nd Street and others.
(2)	Includes interests in Independence Plaza, Monmouth Mall, 85 Tenth Avenue, Fashion Center Mall, 50-70 West 93rd Street and others.

(Amounts in thousands)			Percentage		For the Three Months Ended				For the Six Months Ended
			Ownership at		June 30,				June 30,
			June 30, 2015		2015		2014		2015		2014
Our Share of Net (Loss) Income:
	Alexander's:
		Equity in net income		32.4%	$	5,447	$	5,272	$	11,041	$	10,031
		Management, leasing and development fees				1,876		1,622		3,973		3,248
						7,323		6,894		15,014		13,279
	Partially owned office buildings (1)			Various		(3,238)		990		(12,534)		(1,405)
	UE:
		Equity in net income		5.4%		404		-		404		-
		Management, leasing and development fees				500		-		1,084		-
						904		-		1,488		-
	Toys:
		Equity in net (loss) income		32.5%		-		(59,530)		-		15,666
		Non-cash impairment losses				-		-		-		(75,196)
		Management fees				500		1,939		1,954		3,786
						500		(57,591)		1,954		(55,744)
	India real estate ventures (2)			4.1%-36.5%		(16,567)		(2,041)		(16,676)		(2,178)
	Other investments (3)			Various		5,847		(1,994)		3,118		(5,715)
					$	(5,231)	$	(53,742)	$	(7,636)	$	(51,763)
(1)	Includes interests in 280 Park Avenue, 650 Madison Avenue, One Park Avenue, 666 Fifth Avenue (Office), 330 Madison Avenue, 510 West 22nd Street and others.
(2)	2015 includes $14,806 for our share of non-cash impairment loss.
(3)	Includes interests in Independence Plaza, Monmouth Mall, 85 Tenth Avenue, Fashion Center Mall, 50-70 West 93rd Street and others.

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(UNAUDITED)

8.    Discontinued Operations

On January 15, 2015, we completed the spin-off of substantially all of our retail segment comprised of 79 strip shopping centers, three malls, a warehouse park and $225,000,000 of cash to UE (NYSE: UE) (see Note 1 – Organization).

On March 13, 2015, we sold our Geary Street, CA lease for $34,189,000, which resulted in a net gain of $21,376,000.

On March 31, 2015, we transferred the redeveloped Springfield Town Center, a 1,350,000 square foot mall located in Springfield, Fairfax County, Virginia, to PREIT (see Note 7 – Investments in Partially Owned Entities).  The financial statement gain was $7,823,000, of which $7,192,000 was recognized in the first quarter of 2015 and the remaining $631,000 was deferred based on our ownership interest in PREIT.  On March 31, 2018, we will be entitled to additional consideration of 50% of the increase in the value of Springfield Town Center, if any, over $465,000,000, calculated utilizing a 5.5% capitalization rate.  In the first quarter of 2014, we recorded a non-cash impairment loss of $20,000,000 on Springfield Town Center which is included in “(loss) income from discontinued operations” on our consolidated statements of income. 

During the first quarter of 2015, we sold five residual retail properties, in separate transactions, for an aggregate of $10,731,000, which resulted in net gains of $3,675,000.      

We have reclassified the revenues and expenses of the properties discussed above to “(loss) income from discontinued operations” and the related assets and liabilities to “assets related to discontinued operations” and “liabilities related to discontinued operations” for all of the periods presented in the accompanying consolidated financial statements.  The net gains resulting from the sale of these properties are included in “(loss) income from discontinued operations” on our consolidated statements of income.  The tables below set forth the assets and liabilities related to discontinued operations at June 30, 2015 and December 31, 2014 and their combined results of operations and cash flows for the six months ended June 30, 2015 and 2014.

(Amounts in thousands)					Balance as of
					June 30, 2015		December 31, 2014
Assets related to discontinued operations:
Real estate, net					$	27,205	$	2,028,677
Other assets						7,686		209,797
					$	34,891	$	2,238,474
Liabilities related to discontinued operations:
Mortgages payable					$	-	$	1,288,535
Other liabilities (primarily deferred revenue in 2014)						12,611		222,827
					$	12,611	$	1,511,362
(Amounts in thousands)	For the Three Months Ended June 30,				For the Six Months Ended June 30,
	2015		2014		2015		2014
(Loss) income from discontinued operations:
Total revenues	$	1,573	$	96,157	$	21,531	$	202,720
Total expenses		2,020		65,879		15,393		141,904
		(447)		30,278		6,138		60,816
Transaction related costs		(327)		(3,016)		(22,972)		(3,515)
Net gain on sale of Geary Street, CA lease		-		-		21,376		-
Net gains on sale of real estate		-		-		10,867		-
Impairment losses		-		-		(256)		(20,842)
Pretax (loss) income from discontinued operations		(774)		27,262		15,153		36,459
Income tax expense		-		(319)		(86)		(1,050)
(Loss) income from discontinued operations	$	(774)	$	26,943	$	15,067	$	35,409
Cash flows related to discontinued operations:
Cash flows from operating activities					$	(35,738)	$	55,065
Cash flows from investing activities						310,069		(59,141)

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(UNAUDITED)

9.    Identified Intangible Assets and Liabilities

The following summarizes our identified intangible assets (primarily acquired in-place and above-market leases) and liabilities (primarily acquired below-market leases) as of June 30, 2015 and December 31, 2014.

(Amounts in thousands)	Balance as of
	June 30, 2015		December 31, 2014
Identified intangible assets:
Gross amount	$	453,590	$	424,976
Accumulated amortization		(207,744)		(199,821)
Net	$	245,846	$	225,155
Identified intangible liabilities (included in deferred revenue):
Gross amount	$	668,314	$	657,976
Accumulated amortization		(306,956)		(329,775)
Net	$	361,358	$	328,201

Amortization of acquired below-market leases, net of acquired above-market leases, resulted in an increase to rental income of $13,378,000 and $8,522,000 for the three months ended June 30, 2015 and 2014, respectively, and $25,828,000 and $18,234,000 for the six months ended June 30, 2015 and 2014, respectively.  Estimated annual amortization of acquired below-market leases, net of acquired above-market leases, for each of the five succeeding years commencing January 1, 2016 is as follows:

(Amounts in thousands)
2016	$	51,912
2017		49,937
2018		48,654
2019		29,912
2020		21,681

Amortization of all other identified intangible assets (a component of depreciation and amortization expense) was $5,309,000 and $6,940,000 for the three months ended June 30, 2015 and 2014, respectively, and $11,494,000 and $15,831,000 for the six months ended June 30, 2015 and 2014, respectively.  Estimated annual amortization of all other identified intangible assets including acquired in-place leases, customer relationships, and third party contracts for each of the five succeeding years commencing January 1, 2016 is as follows:

(Amounts in thousands)
2016	$	29,217
2017		24,385
2018		20,067
2019		14,246
2020		10,703

We are a tenant under ground leases for certain properties.  Amortization of these acquired below-market leases, net of above-market leases resulted in an increase to rent expense of $457,000 for the three months ended June 30, 2015 and 2014 and $916,000 for the six months ended June 30, 2015 and 2014.  Estimated annual amortization of these below-market leases, net of above-market leases for each of the five succeeding years commencing January 1, 2016 is as follows:

(Amounts in thousands)
2016	$	1,832
2017		1,832
2018		1,832
2019		1,832
2020		1,832

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(UNAUDITED)

10.    Debt

On January 1, 2015, we redeemed all of the $500,000,000 principal amount of our outstanding 4.25% senior unsecured notes, which were scheduled to mature on April 1, 2015, at a redemption price of 100% of the principal amount plus accrued interest through December 31, 2014.

On April 1, 2015, we completed a $308,000,000 refinancing of RiverHouse Apartments, a three building, 1,670 unit rental complex located in Arlington, VA.  The loan is interest-only at LIBOR plus 1.28% and matures in 2025.  We realized net proceeds of approximately $43,000,000.  The property was previously encumbered by a 5.43%, $195,000,000 mortgage maturing in April 2015 and a $64,000,000 mortgage at LIBOR plus 1.53% maturing in 2018. 

On June 2, 2015, we completed a $205,000,000 financing in connection with the acquisition of 150 West 34^th Street (see Note 4 – Acquisitions).  The loan bears interest at LIBOR plus 2.25% and matures in 2018 with two one-year extension options. 

The following is a summary of our debt:

(Amounts in thousands)		Interest Rate at		Balance at
		June 30, 2015		June 30, 2015		December 31, 2014
Mortgages Payable:
	Fixed rate		4.43%	$	6,349,878	$	6,499,396
	Variable rate		2.16%		2,212,436		1,763,769
			3.85%	$	8,562,314	$	8,263,165
Unsecured Debt:
	Senior unsecured notes		3.68%	$	847,463	$	1,347,159
	Revolving credit facility debt		1.24%		400,000		-
			2.90%	$	1,247,463	$	1,347,159

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(UNAUDITED)

11.    Redeemable Partnership Units

Redeemable partnership units on our consolidated balance sheets are comprised primarily of Class A units that are held by third parties and are recorded at the greater of their carrying amount or redemption value at the end of each reporting period.  Changes in the value from period to period are charged to “partners’ capital” on our consolidated balance sheets.  Below is a table summarizing the activity of redeemable partnership units.

(Amounts in thousands)
Balance at December 31, 2013	$	1,003,620
Net income		8,564
Other comprehensive income		1,260
Distributions		(16,824)
Redemption of Class A units, at redemption value		(19,771)
Adjustments to carry redeemable Class A units at redemption value		227,338
Other, net		16,771
Balance at June 30, 2014	$	1,220,958
Balance at December 31, 2014	$	1,337,780
Net income		15,485
Other comprehensive loss		(2,635)
Distributions		(14,734)
Redemption of Class A units, at redemption value		(43,278)
Adjustments to carry redeemable Class A units at redemption value		(229,521)
Issuance of Series D-17 Preferred Units		4,427
Other, net		25,370
Balance at June 30, 2015	$	1,092,894

As of June 30, 2015 and December 31, 2014, the aggregate redemption value of redeemable Class A units, which are those units held by third parties, was $1,087,466,000 and $1,336,780,000, respectively. 

Redeemable partnership units exclude our Series G-1 through G-4 convertible preferred units and Series D-13 cumulative redeemable preferred units, as they are accounted for as liabilities in accordance with ASC 480, Distinguishing Liabilities and Equity, because of their possible settlement by issuing a variable number of Vornado common shares.  Accordingly, the fair value of these units is included as a component of “other liabilities” on our consolidated balance sheets and aggregated $55,097,000 as of June 30, 2015 and December 31, 2014.  Changes in the value from period to period, if any, are charged to “interest and debt expense” on our consolidated statements of income. 

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12.    Accumulated Other Comprehensive Income (“AOCI”)

The following tables set forth the changes in accumulated other comprehensive income (loss) by component.

(Amounts in thousands)				Securities		Pro rata share of		Interest
				available-		nonconsolidated		rate
		Total		for-sale		subsidiaries' OCI		swap		Other
For the Three Months Ended June 30, 2015
Balance as of March 31, 2015		$	72,609	$	112,442	$	(8,835)	$	(26,579)	$	(4,419)
	OCI before reclassifications		(21,996)		(25,000)		(1,191)		2,849		1,346
	Amounts reclassified from AOCI		-		-		-		-		-
Net current period OCI			(21,996)		(25,000)		(1,191)		2,849		1,346
Balance as of June 30, 2015		$	50,613	$	87,442	$	(10,026)	$	(23,730)	$	(3,073)
For the Three Months Ended June 30, 2014
Balance as of March 31, 2014		$	77,626	$	132,434	$	(19,787)	$	(30,272)	$	(4,749)
	OCI before reclassifications		14,595		1,878		14,163		(545)		(901)
	Amounts reclassified from AOCI		-		-		-		-		-
Net current period OCI			14,595		1,878		14,163		(545)		(901)
Balance as of June 30, 2014		$	92,221	$	134,312	$	(5,624)	$	(30,817)	$	(5,650)
For the Six Months Ended June 30, 2015
Balance as of December 31, 2014		$	93,267	$	133,774	$	(8,992)	$	(25,803)	$	(5,712)
	OCI before reclassifications		(42,654)		(46,332)		(1,034)		2,073		2,639
	Amounts reclassified from AOCI		-		-		-		-		-
Net current period OCI			(42,654)		(46,332)		(1,034)		2,073		2,639
Balance as of June 30, 2015		$	50,613	$	87,442	$	(10,026)	$	(23,730)	$	(3,073)
For the Six Months Ended June 30, 2014
Balance as of December 31, 2013		$	71,537	$	119,309	$	(11,501)	$	(31,882)	$	(4,389)
	OCI before reclassifications		20,684		15,003		5,877		1,065		(1,261)
	Amounts reclassified from AOCI		-		-		-		-		-
Net current period OCI			20,684		15,003		5,877		1,065		(1,261)
Balance as of June 30, 2014		$	92,221	$	134,312	$	(5,624)	$	(30,817)	$	(5,650)

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(UNAUDITED)

13.    Variable Interest Entities (“VIEs”)

At June 30, 2015 and December 31, 2014, we have unconsolidated VIEs comprised of our investments in the entities that own One Park Avenue, Independence Plaza, the Warner Building and Suffolk Downs.  We do not consolidate these entities because we are not the primary beneficiary and the nature of our involvement in the activities of these entities does not give us power over decisions that significantly affect these entities’ economic performance.  We account for our investment in these entities under the equity method.  As of June 30, 2015 and December 31, 2014, the net carrying amounts of our investment in these entities were $305,865,000 and $286,783,000, respectively, and our maximum exposure to loss in these entities is limited to our investment.  We did not have any consolidated VIEs as of June 30, 2015 and December 31, 2014.   

14.    Fair Value Measurements

ASC 820, Fair Value Measurements and Disclosures, defines fair value and establishes a framework for measuring fair value.  The objective of fair value is to determine the price that would be received upon the sale of an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date (the exit price).ASC 820 establishes a fair value hierarchy that prioritizes observable and unobservable inputs used to measure fair value into three levels: Level 1 – quoted prices (unadjusted) in active markets that are accessible at the measurement date for assets or liabilities; Level 2 – observable prices that are based on inputs not quoted in active markets, but corroborated by market data; and Level 3 – unobservable inputs that are used when little or no market data is available. The fair value hierarchy gives the highest priority to Level 1 inputs and the lowest priority to Level 3 inputs. In determining fair value, we utilize valuation techniques that maximize the use of observable inputs and minimize the use of unobservable inputs to the extent possible, as well as consider counterparty credit risk in our assessment of fair value.  Considerable judgment is necessary to interpret Level 2 and 3 inputs in determining the fair value of our financial and non-financial assets and liabilities.  Accordingly, our fair value estimates, which are made at the end of each reporting period, may be different than the amounts that may ultimately be realized upon sale or disposition of these assets.   

Financial Assets and Liabilities Measured at Fair Value on a Recurring Basis

Financial assets and liabilities that are measured at fair value on our consolidated balance sheets consist of (i) marketable securities, (ii) real estate fund investments, (iii) the assets in our deferred compensation plan (for which there is a corresponding liability on our consolidated balance sheet), (iv) mandatorily redeemable instruments (Series G-1 through G-4 convertible preferred units and Series D-13 cumulative redeemable preferred units), and (v) an interest rate swap.  The tables below aggregate the fair values of these financial assets and liabilities by their levels in the fair value hierarchy at June 30, 2015 and December 31, 2014, respectively.

(Amounts in thousands)		As of June 30, 2015
		Total		Level 1		Level 2		Level 3
Marketable securities		$	159,991	$	159,991	$	-	$	-
Real estate fund investments (75% of which is attributable to
	noncontrolling interests)		565,976		-		-		565,976
Deferred compensation plan assets (included in other assets)			118,932		51,264		-		67,668
	Total assets	$	844,899	$	211,255	$	-	$	633,644
Mandatorily redeemable instruments (included in other liabilities)		$	55,097	$	55,097	$	-	$	-
Interest rate swap (included in other liabilities)			23,747		-		23,747		-
	Total liabilities	$	78,844	$	55,097	$	23,747	$	-
(Amounts in thousands)		As of December 31, 2014
		Total		Level 1		Level 2		Level 3
Marketable securities		$	206,323	$	206,323	$	-	$	-
Real estate fund investments (75% of which is attributable to
	noncontrolling interests)		513,973		-		-		513,973
Deferred compensation plan assets (included in other assets)			117,284		53,969		-		63,315
	Total assets	$	837,580	$	260,292	$	-	$	577,288
Mandatorily redeemable instruments (included in other liabilities)		$	55,097	$	55,097	$	-	$	-
Interest rate swap (included in other liabilities)			25,797		-		25,797		-
	Total liabilities	$	80,894	$	55,097	$	25,797	$	-

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(UNAUDITED)

14.  Fair Value Measurements – continued

Financial Assets and Liabilities Measured at Fair Value on a Recurring Basis - continued

Real Estate Fund Investments

At June 30, 2015, we had six real estate fund investments with an aggregate fair value of $565,976,000, or $193,164,000 in excess of cost.  These investments are classified as Level 3.  We use a discounted cash flow valuation technique to estimate the fair value of each of these investments, which is updated quarterly by personnel responsible for the management of each investment and reviewed by senior management at each reporting period.  The discounted cash flow valuation technique requires us to estimate cash flows for each investment over the anticipated holding period, which currently ranges from 0.2 to 5.5 years.  Cash flows are derived from property rental revenue (base rents plus reimbursements) less operating expenses, real estate taxes and capital and other costs, plus projected sales proceeds in the year of exit.  Property rental revenue is based on leases currently in place and our estimates for future leasing activity, which are based on current market rents for similar space plus a projected growth factor.  Similarly, estimated operating expenses and real estate taxes are based on amounts incurred in the current period plus a projected growth factor for future periods.  Anticipated sales proceeds at the end of an investment’s expected holding period are determined based on the net cash flow of the investment in the year of exit, divided by a terminal capitalization rate, less estimated selling costs. 

The fair value of each property is calculated by discounting the future cash flows (including the projected sales proceeds), using an appropriate discount rate and then reduced by the property’s outstanding debt, if any, to determine the fair value of the equity in each investment. Significant unobservable quantitative inputs used in determining the fair value of each investment include capitalization rates and discount rates.  These rates are based on the location, type and nature of each property, and current and anticipated market conditions, which are derived from original underwriting assumptions, industry publications and from the experience of our Acquisitions and Capital Markets departments.  Significant unobservable quantitative inputs in the table below were utilized in determining the fair value of these real estate fund investments at June 30, 2015 and December 31, 2014.

				Weighted Average
		Range		(based on fair value of investments)
Unobservable Quantitative Input		June 30, 2015	December 31, 2014	June 30, 2015	December 31, 2014
	Discount rates	12.0% to 14.5%	12.0% to 17.5%	13.4%	13.7%
	Terminal capitalization rates	4.8% to 6.5%	4.7% to 6.5%	5.5%	5.3%

The above inputs are subject to change based on changes in economic and market conditions and/or changes in use or timing of exit.  Changes in discount rates and terminal capitalization rates result in increases or decreases in the fair values of these investments.  The discount rates encompass, among other things, uncertainties in the valuation models with respect to terminal capitalization rates and the amount and timing of cash flows.  Therefore, a change in the fair value of these investments resulting from a change in the terminal capitalization rate, may be partially offset by a change in the discount rate.  It is not possible for us to predict the effect of future economic or market conditions on our estimated fair values. 

The table below summarizes the changes in the fair value of real estate fund investments that are classified as Level 3, for the three and six months ended June 30, 2015 and 2014.

(Amounts in thousands)	For the Three Months Ended June 30,				For the Six Months Ended June 30,
		2015		2014	2015		2014
Beginning balance	$	554,426	$	682,002	$	513,973	$	667,710
Purchases		-		2,544		95,000		2,667
Dispositions / Distributions		(11,235)		(232,513)		(83,421)		(232,513)
Net unrealized gains		23,332		57,354		39,545		58,546
Net realized gains		886		39,704		2,312		52,681
Other, net		(1,433)		-		(1,433)		-
Ending balance	$	565,976	$	549,091	$	565,976	$	549,091

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(UNAUDITED)

14.    Fair Value Measurements – continued

Financial Assets and Liabilities Measured at Fair Value on a Recurring Basis - continued

Deferred Compensation Plan Assets

Deferred compensation plan assets that are classified as Level 3 consist of investments in limited partnerships and investment funds, which are managed by third parties.  We receive quarterly financial reports from a third-party administrator, which are compiled from the quarterly reports provided to them from each limited partnership and investment fund.  The quarterly reports provide net asset values on a fair value basis which are audited by independent public accounting firms on an annual basis.  The third-party administrator does not adjust these values in determining our share of the net assets and we do not adjust these values when reported in our consolidated financial statements.

The table below summarizes the changes in the fair value of deferred compensation plan assets that are classified as Level 3, for the three and six months ended June 30, 2015 and 2014. 

(Amounts in thousands)	For the Three Months Ended June 30,				For the Six Months Ended June 30,
		2015		2014	2015		2014
Beginning balance	$	64,836	$	67,627	$	63,315	$	68,782
Purchases		5,607		7,915		6,231		9,559
Sales		(4,655)		(11,255)		(5,093)		(16,379)
Realized and unrealized gain (loss)		1,387		(198)		2,722		1,974
Other, net		493		520		493		673
Ending balance	$	67,668	$	64,609	$	67,668	$	64,609

Fair Value Measurements on a Nonrecurring Basis

Assets measured at fair value on a nonrecurring basis on our consolidated balance sheets consist primarily of real estate assets required to be measured for impairment at December 31, 2014.  There are no assets remaining at fair value on a nonrecurring basis at June 30, 2015.  The fair values of real estate assets required to be measured for impairment were determined using widely accepted valuation techniques, including (i) discounted cash flow analysis, which considers, among other things, leasing assumptions, growth rates, discount rates and terminal capitalization rates, (ii) income capitalization approach, which considers prevailing market capitalization rates, and (iii) comparable sales activity.

(Amounts in thousands)	As of December 31, 2014
	Total		Level 1		Level 2		Level 3
Real estate assets	$	4,848	$	-	$	-	$	4,848

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(UNAUDITED)

14.    Fair Value Measurements – continued

Financial Assets and Liabilities not Measured at Fair Value

Financial assets and liabilities that are not measured at fair value on our consolidated balance sheets include cash equivalents (primarily money market funds, which invest in obligations of the United States government), mortgage and mezzanine loans receivable and our secured and unsecured debt.  Estimates of the fair value of these instruments are determined by the standard practice of modeling the contractual cash flows required under the instrument and discounting them back to their present value at the appropriate current risk adjusted interest rate, which is provided by a third-party specialist.  For floating rate debt, we use forward rates derived from observable market yield curves to project the expected cash flows we would be required to make under the instrument.  The fair value of cash equivalents and borrowings under our revolving credit facility is classified as Level 1, and the fair value of our mortgage and mezzanine loans receivable as of December 31, 2014 is classified as Level 3.  There are no mortgage and mezzanine loans receivable outstanding as of June 30, 2015.  The fair value of our secured and unsecured debt are classified as Level 2.  The table below summarizes the carrying amounts and fair value of these financial instruments as of June 30, 2015 and December 31, 2014.

(Amounts in thousands)		As of June 30, 2015				As of December 31, 2014
		Carrying		Fair		Carrying		Fair
		Amount		Value		Amount		Value
Cash equivalents		$	311,017	$	311,000	$	749,418	$	749,000
Mortgage and mezzanine loans receivable			-		-		16,748		17,000
		$	311,017	$	311,000	$	766,166	$	766,000
Debt:
	Mortgages payable	$	8,562,314	$	8,541,000	$	8,263,165	$	8,224,000
	Senior unsecured notes		847,463		882,000		1,347,159		1,385,000
	Revolving credit facility debt		400,000		400,000		-		-
		$	9,809,777	$	9,823,000	$	9,610,324	$	9,609,000

15.    Incentive Compensation

Vornado’s 2010 Omnibus Share Plan (the “Plan”) provides for grants of incentive and non-qualified Vornado share options, Vornado restricted shares, restricted units and Out-Performance Plan awards to certain of Vornado’s employees and officers.  We account for all equity-based compensation in accordance with ASC 718, Compensation – Stock Compensation.  Equity-based compensation expense was $6,685,000 and $9,051,000 for the three months ended June 30, 2015 and 2014, respectively and $26,827,000 and $20,075,000 for the six months ended June 30, 2015 and 2014, respectively.

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(UNAUDITED)

16.    Fee and Other Income

The following table sets forth the details of fee and other income:

(Amounts in thousands)	For the Three Months Ended				For the Six Months Ended
	June 30,				June 30,
	2015		2014		2015		2014
BMS cleaning fees	$	21,741	$	22,195	$	44,374	$	41,151
Management and leasing fees		4,274		5,765		8,466		11,593
Lease termination fees		2,893		4,545		6,640		8,122
Other income		10,322		8,306		19,357		15,885
	$	39,230	$	40,811	$	78,837	$	76,751

Management and leasing fees include management fees from Interstate Properties, a related party, of $132,000and $131,000 for the three months ended June 30, 2015 and 2014, and $271,000 and $265,000 for the six months ended June 30, 2015 and 2014, respectively.  The above table excludes fee income from partially owned entities, which is included in “loss from partially owned entities” (see Note 7 – Investments in Partially Owned Entities).

17.     Interest and Other Investment Income, Net

The following table sets forth the details of interest and other investment income:

(Amounts in thousands)		For the Three Months Ended				For the Six Months Ended
		June 30,				June 30,
		2015		2014		2015		2014
Dividends on marketable securities		$	3,202	$	3,198	$	6,405	$	6,304
Interest on loans receivable			1,135		1,034		3,959		3,714
Mark-to-market of investments in our deferred compensation plan (1)			(609)		2,380		2,250		6,780
Other, net			1,938		2,784		3,844		4,448
		$	5,666	$	9,396	$	16,458	$	21,246
(1)	This income is entirely offset by the expense resulting from the mark-to-market of the deferred compensation plan liability, which is included in "general and administrative" expense.

18.     Interest and Debt Expense

The following table sets forth the details of interest and debt expense:

(Amounts in thousands)	For the Three Months Ended				For the Six Months Ended
	June 30,				June 30,
	2015		2014		2015		2014
Interest expense	$	96,297	$	112,736	$	191,625	$	218,248
Amortization of deferred financing costs		7,497		7,737		14,953		12,159
Capitalized interest and debt expense		(11,702)		(16,560)		(22,812)		(30,182)
	$	92,092	$	103,913	$	183,766	$	200,225

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(UNAUDITED)

19.    Income Per Class A Unit

The following table provides a reconciliation of both net income and the number of Class A units used in the computation of (i) basic income per Class A unit - which includes the weighted average number of Class A units outstanding without regard to dilutive potential Class A units, and (ii) diluted income per Class A unit - which includes the weighted average Class A units and dilutive unit equivalents. Dilutive unit equivalents may include our Series A convertible preferred units, Vornado stock options, restricted unit and Out-Performance Plan awards.

(Amounts in thousands, except per unit amounts)			For the Three Months Ended				For the Six Months Ended
			June 30,				June 30,
			2015		2014		2015		2014
Numerator:
	Income from continuing operations, net of income attributable
		to noncontrolling interests	$	196,988	$	74,769	$	290,511	$	152,880
	(Loss) income from discontinued operations, net of income
		attributable to noncontrolling interests		(774)		26,943		15,067		35,409
	Net income attributable to Vornado Realty L.P.			196,214		101,712		305,578		188,289
	Preferred unit distributions			(20,414)		(20,379)		(39,910)		(40,759)
	Net income attributable to Class A unitholders			175,800		81,333		265,668		147,530
	Earnings allocated to unvested participating securities			(1,183)		(769)		(1,781)		(1,667)
	Numerator for basic income per Class A unit			174,617		80,564		263,887		145,863
	Impact of assumed conversions:
		Convertible preferred unit distributions		23		-		47		-
	Numerator for diluted income per Class A unit		$	174,640	$	80,564	$	263,934	$	145,863
Denominator:
	Denominator for basic income per Class A unit – weighted
		average units		199,038		198,232		198,857		198,075
	Effect of dilutive securities(1):
		Vornado stock options and restricted unit awards		1,750		1,514		1,930		1,475
		Convertible preferred units		45		-		46		-
	Denominator for diluted income per Class A unit – weighted
		average units and assumed conversions		200,833		199,746		200,833		199,550
INCOME PER CLASS A UNIT – BASIC:
	Income from continuing operations, net		$	0.88	$	0.27	$	1.25	$	0.56
	Income from discontinued operations, net			-		0.14		0.08		0.18
	Net income per Class A unit		$	0.88	$	0.41	$	1.33	$	0.74
INCOME PER CLASS A UNIT – DILUTED:
	Income from continuing operations, net		$	0.87	$	0.27	$	1.24	$	0.55
	Income from discontinued operations, net			-		0.13		0.07		0.18
	Net income per Class A unit		$	0.87	$	0.40	$	1.31	$	0.73
(1)	The effect of dilutive securities for the three months ended June 30, 2015 and 2014 excludes an aggregate of 148 and 159 weighted average Class A unit equivalents, respectively, and 151 and 184 weighted average Class A unit equivalents for the six months ended June 30, 2015 and 2014, respectively, as their effect was anti-dilutive.

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(UNAUDITED)

20.    Commitments and Contingencies

Insurance 

We maintain general liability insurance with limits of $300,000,000 per occurrence and all risk property and rental value insurance with limits of $2.0 billion per occurrence, with sub-limits for certain perils such as floods.  Our California properties have earthquake insurance with coverage of $180,000,000 per occurrence, subject to a deductible in the amount of 5% of the value of the affected property, up to a $180,000,000 annual aggregate. We maintain coverage for terrorism acts with limits of $4.0 billion per occurrence and in the aggregate, and $2.0 billion per occurrence and in the aggregate for terrorism involving nuclear, biological, chemical and radiological (“NBCR”) terrorism events, as defined by Terrorism Risk Insurance Program Reauthorization Act, which expires in December 2020.

Penn Plaza Insurance Company, LLC (“PPIC”), our wholly owned consolidated subsidiary, acts as a re-insurer with respect to a portion of all risk property and rental value insurance and a portion of our earthquake insurance coverage, and as a direct insurer for coverage for NBCR acts.  Coverage for acts of terrorism (excluding NBCR acts) is fully reinsured by third party insurance companies and the Federal government with no exposure to PPIC.  For NBCR acts, PPIC is responsible for a deductible of $2,480,000 and 15% of the balance of a covered loss (16% effective January 1, 2016) and the Federal government is responsible for the remaining 85% of a covered loss (84% effective January 1, 2016).  We are ultimately responsible for any loss incurred by PPIC.

We continue to monitor the state of the insurance market and the scope and costs of coverage for acts of terrorism.  However, we cannot anticipate what coverage will be available on commercially reasonable terms in the future.

Our debt instruments, consisting of mortgage loans secured by our properties which are non-recourse to us, senior unsecured notes and revolving credit agreements contain customary covenants requiring us to maintain insurance. Although we believe that we have adequate insurance coverage for purposes of these agreements, we may not be able to obtain an equivalent amount of coverage at reasonable costs in the future. Further, if lenders insist on greater coverage than we are able to obtain it could adversely affect our ability to finance our properties and expand our portfolio.

Other Commitments and Contingencies

We are from time to time involved in legal actions arising in the ordinary course of business. In our opinion, after consultation with legal counsel, the outcome of such matters is not expected to have a material adverse effect on our financial position, results of operations or cash flows.

Each of our properties has been subjected to varying degrees of environmental assessment at various times. The environmental assessments did not reveal any material environmental contamination. However, there can be no assurance that the identification of new areas of contamination, changes in the extent or known scope of contamination, the discovery of additional sites, or changes in cleanup requirements would not result in significant costs to us.

Our mortgage loans are non-recourse to us.  However, in certain cases we have provided guarantees or master leased tenant space.  These guarantees and master leases terminate either upon the satisfaction of specified circumstances or repayment of the underlying loans.  As of June 30, 2015, the aggregate dollar amount of these guarantees and master leases is approximately $369,000,000.

At June 30, 2015, $39,382,000 of letters of credit were outstanding under one of our revolving credit facilities.  Our revolving credit facilities contain financial covenants that require us to maintain minimum interest coverage and maximum debt to market capitalization ratios, and provide for higher interest rates in the event of a decline in our ratings below Baa3/BBB. Our revolving credit facilities also contain customary conditions precedent to borrowing, including representations and warranties, and also contain customary events of default that could give rise to accelerated repayment, including such items as failure to pay interest or principal.

As of June 30, 2015, we expect to fund additional capital to certain of our partially owned entities aggregating approximately $81,000,000. 

28

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NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - CONTINUED

(UNAUDITED)

21.    Segment Information

As a result of the spin-off of substantially all of our Retail Properties segment (see Note 8 – Discontinued Operations), the remaining retail properties no longer meet the criteria to be a separate reportable segment.  In addition, as a result of our investment in Toys being reduced to zero, we suspended equity method accounting for our investment in Toys (see Note 7 - Investments in Partially Owned Entities) and the Toys segment no longer meets the criteria to be a separate reportable segment.  Accordingly, effective January 1, 2015, the Retail Properties segment and Toys have been reclassified to the Other segment.  We have also reclassified the prior period segment financial results to conform to the current period presentation.  Below is a summary of net income and a reconciliation of net income to EBITDA⁽¹⁾ by segment for the three and six months ended June 30, 2015 and 2014.  

(Amounts in thousands)		For the Three Months Ended June 30, 2015
			Total		New York			Washington, DC			Other
Total revenues			$	616,288	$	414,262		$	134,856		$	67,170
Total expenses				422,897		250,298			98,661			73,938
Operating income (loss)				193,391		163,964			36,195			(6,768)
(Loss) income from partially owned entities				(5,231)		3,176			(1,805)			(6,602)
Income from real estate fund investments				26,368		-			-			26,368
Interest and other investment income, net				5,666		1,892			13			3,761
Interest and debt expense				(92,092)		(47,173)			(17,483)			(27,436)
Income (loss) before income taxes				128,102		121,859			16,920			(10,677)
Income tax benefit (expense)				88,072		(1,095)			(466)			89,633
Income from continuing operations				216,174		120,764			16,454			78,956
Loss from discontinued operations				(774)		-			-			(774)
Net income				215,400		120,764			16,454			78,182
Less net income attributable to noncontrolling interests in
	consolidated subsidiaries			(19,186)		(2,552)			-			(16,634)
Net income attributable to Vornado Realty L.P.				196,214		118,212			16,454			61,548
Interest and debt expense(2)				115,073		61,057			20,891			33,125
Depreciation and amortization(2)				163,245		95,567			47,803			19,875
Income tax (benefit) expense(2)				(87,653)		1,152			486			(89,291)
EBITDA(1)			$	386,879	$	275,988	(3)	$	85,634	(4)	$	25,257	(5)

(Amounts in thousands)		For the Three Months Ended June 30, 2014
			Total		New York			Washington, DC			Other
Total revenues			$	574,411	$	375,674		$	134,826		$	63,911
Total expenses				385,143		226,840			87,352			70,951
Operating income (loss)				189,268		148,834			47,474			(7,040)
(Loss) income from partially owned entities				(53,742)		8,996			(2,248)			(60,490)
Income from real estate fund investments				100,110		-			-			100,110
Interest and other investment income, net				9,396		1,614			42			7,740
Interest and debt expense				(103,913)		(49,070)			(18,660)			(36,183)
Net gain on disposition of wholly owned and partially
	owned assets			905		-			-			905
Income before income taxes				142,024		110,374			26,608			5,042
Income tax expense				(3,280)		(1,226)			(115)			(1,939)
Income from continuing operations				138,744		109,148			26,493			3,103
Income from discontinued operations				26,943		5,919			-			21,024
Net income				165,687		115,067			26,493			24,127
Less net income attributable to noncontrolling interests in
	consolidated subsidiaries			(63,975)		(3,108)			-			(60,867)
Net income (loss) attributable to Vornado Realty L.P.				101,712		111,959			26,493			(36,740)
Interest and debt expense(2)				179,520		64,072			22,463			92,985
Depreciation and amortization(2)				173,443		74,007			35,806			63,630
Income tax (benefit) expense (2)				(574)		1,291			132			(1,997)
EBITDA(1)			$	454,101	$	251,329	(3)	$	84,894	(4)	$	117,878	(5)
See notes on page 31.

29

VORNADO REALTY L.P.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - CONTINUED

(UNAUDITED)

21.    Segment Information – continued

(Amounts in thousands)		For the Six Months Ended June 30, 2015
			Total		New York			Washington, DC			Other
Total revenues			$	1,223,090	$	813,775		$	268,824		$	140,491
Total expenses				861,985		503,058			191,658			167,269
Operating income (loss)				361,105		310,717			77,166			(26,778)
Loss from partially owned entities				(7,636)		(2,487)			(1,674)			(3,475)
Income from real estate fund investments				50,457		-			-			50,457
Interest and other investment income, net				16,458		3,754			26			12,678
Interest and debt expense				(183,766)		(92,524)			(35,643)			(55,599)
Net gain on disposition of wholly owned and partially
	owned assets			1,860		-			-			1,860
Income (loss) before income taxes				238,478		219,460			39,875			(20,857)
Income tax benefit (expense)				87,101		(2,038)			208			88,931
Income from continuing operations				325,579		217,422			40,083			68,074
Income from discontinued operations				15,067		-			-			15,067
Net income				340,646		217,422			40,083			83,141
Less net income attributable to noncontrolling interests in
	consolidated subsidiaries			(35,068)		(4,058)			-			(31,010)
Net income attributable to Vornado Realty L.P.				305,578		213,364			40,083			52,131
Interest and debt expense(2)				229,748		119,724			42,403			67,621
Depreciation and amortization(2)				319,695		189,691			88,555			41,449
Income tax (benefit) expense (2)				(88,392)		2,154			(2,150)			(88,396)
EBITDA(1)			$	766,629	$	524,933	(3)	$	168,891	(4)	$	72,805	(5)

(Amounts in thousands)		For the Six Months Ended June 30, 2014
		Total		New York			Washington, DC			Other
Total revenues		$	1,136,792	$	736,858		$	270,104		$	129,830
Total expenses			802,283		464,574			176,924			160,785
Operating income (loss)			334,509		272,284			93,180			(30,955)
(Loss) income from partially owned entities			(51,763)		10,562			(3,514)			(58,811)
Income from real estate fund investments			118,258		-			-			118,258
Interest and other investment income, net			21,246		3,055			78			18,113
Interest and debt expense			(200,225)		(91,909)			(38,007)			(70,309)
Net gain on disposition of wholly owned and partially
	owned assets		10,540		-			-			10,540
Income (loss) before income taxes			232,565		193,992			51,737			(13,164)
Income tax (expense) benefit			(4,131)		(2,195)			84			(2,020)
Income (loss) from continuing operations			228,434		191,797			51,821			(15,184)
Income from discontinued operations			35,409		11,786			-			23,623
Net income			263,843		203,583			51,821			8,439
Less net income attributable to noncontrolling interests in
	consolidated subsidiaries		(75,554)		(4,513)			-			(71,041)
Net income (loss) attributable to Vornado Realty L.P.			188,289		199,070			51,821			(62,602)
Interest and debt expense(2)			350,472		122,140			45,261			183,071
Depreciation and amortization(2)			369,782		161,594			71,956			136,232
Income tax expense (benefit)(2)			19,257		2,323			(57)			16,991
EBITDA(1)		$	927,800	$	485,127	(3)	$	168,981	(4)	$	273,692	(5)
See notes on the following page.

30

VORNADO REALTY L.P.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - CONTINUED

(UNAUDITED)

21.    Segment Information – continued

	Notes to preceding tabular information:
(1)	EBITDA represents "Earnings Before Interest, Taxes, Depreciation and Amortization." We consider EBITDA a supplemental non-GAAP financial measure for making decisions and assessing the unlevered performance of our segments as it relates to the total return on assets as opposed to the levered return on equity. As properties are bought and sold based on a multiple of EBITDA, we utilize this measure to make investment decisions as well as to compare the performance of our assets to that of our peers. EBITDA should not be considered a substitute for net income. EBITDA may not be comparable to similarly titled measures employed by other companies.
(2)	Interest and debt expense, depreciation and amortization and income tax expense (benefit) in the reconciliation of net income (loss) to EBITDA includes our share of these items from partially owned entities.
(3)	The elements of "New York" EBITDA are summarized below.
	(Amounts in thousands)		For the Three Months Ended				For the Six Months Ended
			June 30,				June 30,
			2015		2014		2015		2014
	Office		$	170,740	$	162,833	$	330,099	$	320,712
	Retail			86,151		67,947		167,456		134,142
	Alexander's			10,241		10,271		20,648		20,701
	Hotel Pennsylvania			8,856		10,278		6,730		9,572
		Total New York	$	275,988	$	251,329	$	524,933	$	485,127
(4)	The elements of "Washington, DC" EBITDA are summarized below.
	(Amounts in thousands)		For the Three Months Ended				For the Six Months Ended
			June 30,				June 30,
			2015		2014		2015		2014
	Office, excluding the Skyline Properties		$	68,514	$	67,057	$	135,898	$	134,314
	Skyline properties			6,984		7,073		13,039		13,572
		Total Office		75,498		74,130		148,937		147,886
	Residential			10,136		10,764		19,954		21,095
		Total Washington, DC	$	85,634	$	84,894	$	168,891	$	168,981

31

VORNADO REALTY L.P.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - CONTINUED

(UNAUDITED)

21.    Segment Information – continued

	Notes to preceding tabular information - continued:
(5)	The elements of "Other" EBITDA are summarized below.
	(Amounts in thousands)		For the Three Months Ended				For the Six Months Ended
			June 30,				June 30,
			2015		2014		2015		2014
	Our share of real estate fund investments:
		Income before net realized/unrealized gains	$	1,533	$	2,191	$	4,285	$	4,617
		Net realized/unrealized gains on investments		6,054		24,265		10,464		27,807
		Carried interest		2,909		11,874		6,297		13,205
	Total			10,496		38,330		21,046		45,629
	The Mart and trade shows			22,144		22,454		43,185		41,541
	555 California Street			12,831		11,506		25,232		23,572
	Our share of Toys(a)			500		5,189		1,954		90,586
	India real estate ventures			375		99		2,216		1,923
	Other investments			11,222		6,780		18,966		14,380
				57,568		84,358		112,599		217,631
	Corporate general and administrative expenses(b) (c)			(23,760)		(23,022)		(59,702)		(49,004)
	Investment income and other, net(b)			6,561		8,032		15,323		16,105
	Our share of impairment loss on India real estate ventures			(14,806)		-		(14,806)		-
	Our share of gains on sale of real estate of partially owned entities			4,513		-		4,513		-
	Acquisition and transaction related costs			(4,061)		(1,067)		(6,042)		(2,352)
	UE and residual retail properties discontinued operations(d)			(758)		48,672		19,060		80,772
	Net gain on sale of residential condominiums and a land parcel			-		905		1,860		10,540
			$	25,257	$	117,878	$	72,805	$	273,692
	(a)	As a result of our investment being reduced to zero, we suspended equity method accounting in the third quarter of 2014 (see Note 7 - Investments in Partially Owned Entities). The six months ended June 30, 2014 includes an impairment loss of $75,196.
	(b)	The amounts in these captions (for this table only) exclude income/expense from the mark-to-market of our deferred compensation plan of $609 and $2,380 for the three months ended June 30, 2015 and 2014, respectively, and $2,250 and $6,780 for the six months ended June 30, 2015 and 2014, respectively.
	(c)	The six months ended June 30, 2015 includes $8,817 from the acceleration of the recognition of compensation expense related to 2013-2015 Out-Performance Plans due to the modification of the vesting criteria of awards such that they will fully vest at age 65. The accelerated expense will result in lower general and administrative expense for the remainder of 2015 of $1,734 and $6,217 thereafter.
	(d)	The three months ended June 30, 2015 and 2014, include $327 and $3,016, respectively, and the six months ended June 30, 2015 and 2014, include $22,972 and $3,515, respectively, of transaction costs related to the spin-off of our strip shopping centers and malls (see Note 1 - Organization).

32

VORNADO REALTY L.P.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - CONTINUED

(UNAUDITED)

22.    Subsequent Events

100 West 33^rd Street

On July 28, 2015, we completed a $580,000,000 refinancing of 100 West 33rd Street, a 1.1 million square foot property comprised of 851,000 square feet of office space and the 256,000 square foot Manhattan Mall.  The loan is interest only at LIBOR plus 1.65%, and matures in July 2020.  We realized net proceeds of approximately $242,000,000.

260 Eleventh Avenue

On July 31, 2015, we acquired 260 Eleventh Avenue, a 235,000 square foot office property leased to the City of New York through 2021 with two five-year renewal options, a 10,000 square foot parking lot and additional air rights.  The 44,000 square foot site is located on Eleventh Avenue from 26th to 27th Streets directly across from the Starrett Lehigh building.  The transaction is structured as a 99-year ground lease with an option to purchase the land for $110,000,000.  The $3,900,000 annual ground rent and the purchase option price escalate annually at the lesser of 1.5% or CPI.  The buildings were purchased for 813,900 newly issued Operating Partnership units valued at approximately $80,000,000.  We intend to redevelop and expand the property to serve the supply constrained West Chelsea office market.

33

REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

Partners

Vornado Realty L.P.

New York, New York

We have reviewed the accompanying consolidated balance sheet of Vornado Realty L.P. (the “Company”) as of June 30, 2015, and the related consolidated statements of income and comprehensive income for the three month and six month periods ended June 30, 2015 and 2014 and changes in equity and cash flows for the six month periods ended June 30, 2015 and 2014.  These interim financial statements are the responsibility of the Company’s management.

We conducted our reviews in accordance with the standards of the Public Company Accounting Oversight Board (United States).  A review of interim financial information consists principally of applying analytical procedures and making inquiries of persons responsible for financial and accounting matters.  It is substantially less in scope than an audit conducted in accordance with the standards of the Public Company Accounting Oversight Board (United States), the objective of which is the expression of an opinion regarding the financial statements taken as a whole.  Accordingly, we do not express such an opinion.

Based on our reviews, we are not aware of any material modifications that should be made to such consolidated interim financial statements for them to be in conformity with accounting principles generally accepted in the United States of America.

We have previously audited, in accordance with the standards of the Public Company Accounting Oversight Board (United States), the consolidated balance sheet of Vornado Realty L.P. as of December 31, 2014, and the related consolidated statements of income, comprehensive income, changes in equity, and cash flows for the year then ended (not presented herein); and in our report dated February 23, 2015, we expressed an unqualified opinion on those consolidated financial statements.  In our opinion, the information set forth in the accompanying consolidated balance sheet as of December 31, 2014 is fairly stated, in all material respects, in relation to the consolidated balance sheet from which it has been derived.

/s/ DELOITTE & TOUCHE LLP

Parsippany, New Jersey

August 7, 2015

34

Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations

Certain statements contained in this Quarterly Report constitute forward‑looking statements as such term is defined in Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements are not guarantees of performance. They represent our intentions, plans, expectations and beliefs and are subject to numerous assumptions, risks and uncertainties. Our future results, financial condition and business may differ materially from those expressed in these forward-looking statements. You can find many of these statements by looking for words such as “approximates,” “believes,” “expects,” “anticipates,” “estimates,” “intends,” “plans,” “would,” “may” or other similar expressions in this Quarterly Report on Form 10‑Q.  We also note the following forward-looking statements:  in the case of our development and redevelopment projects, the estimated completion date, estimated project cost and cost to complete; and estimates of future capital expenditures, and operating partnership distributions.  Many of the factors that will determine the outcome of these and our other forward-looking statements are beyond our ability to control or predict. For further discussion of factors that could materially affect the outcome of our forward-looking statements, see “Item 1A. Risk Factors” in our Annual Report on Form 10-K, as amended, for the year ended December 31, 2014.  For these statements, we claim the protection of the safe harbor for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995. You are cautioned not to place undue reliance on our forward-looking statements, which speak only as of the date of this Quarterly Report on Form 10-Q or the date of any document incorporated by reference. All subsequent written and oral forward-looking statements attributable to us or any person acting on our behalf are expressly qualified in their entirety by the cautionary statements contained or referred to in this section. We do not undertake any obligation to release publicly any revisions to our forward-looking statements to reflect events or circumstances occurring after the date of this Quarterly Report on Form 10-Q.

Management’s Discussion and Analysis of Financial Condition and Results of Operations includes a discussion of our consolidated financial statements for the three and six months ended June 30, 2015.  The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires us to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting periods. Actual results could differ from those estimates.  The results of operations for the three and six months ended June 30, 2015 are not necessarily indicative of the operating results for the full year.  Certain prior year balances have been reclassified in order to conform to current year presentation.

35

Overview

Business Objective and Operating Strategy

Our business objective is to maximize Vornado shareholder value, which we measure by the total return provided to Vornado’s shareholders. Below is a table comparing Vornado’s performance to the FTSE NAREIT Office REIT Index (“Office REIT”) and the Morgan Stanley REIT Index (“RMS”) for the following periods ended June 30, 2015.

		Total Return(1)
		Vornado	Office REIT	RMS
	Three-month	(14.7%)	(11.2%)	(10.4%)
	Six-month	(9.9%)	(5.3%)	(6.2%)
	One-year	0.7%	1.3%	3.9%
	Three-year	38.5%	26.4%	28.5%
	Five-year	70.1%	67.6%	95.0%
	Ten-year	93.0%	65.6%	96.0%
(1)	Past performance is not necessarily indicative of future performance.

We intend to achieve our business objective by continuing to pursue our investment philosophy and executing our operating strategies through:

·      Maintaining a superior team of operating and investment professionals and an entrepreneurial spirit

·      Investing in properties in select markets, such as New York City and Washington, DC, where we believe there is a high likelihood of capital appreciation

·      Acquiring quality properties at a discount to replacement cost and where there is a significant potential for higher rents

·      Investing in retail properties in select under-stored locations such as the New York City metropolitan area

·      Developing and redeveloping existing properties to increase returns and maximize value

·      Investing in operating companies that have a significant real estate component

We expect to finance our growth, acquisitions and investments using internally generated funds, proceeds from asset sales and by accessing the public and private capital markets.  We may also offer partnership units in exchange for property and may repurchase or otherwise reacquire these units or any other securities in the future.

We compete with a large number of real estate property owners and developers, some of which may be willing to accept lower returns on their investments. Principal factors of competition are rents charged, sales prices, attractiveness of location, the quality of the property and the breadth and the quality of services provided. Our success depends upon, among other factors, trends of the global, national, regional and local economies, the financial condition and operating results of current and prospective tenants and customers, availability and cost of capital, construction and renovation costs, taxes, governmental regulations, legislation, population and employment trends.  See “Item 1A. Risk Factors” in our Annual Report on Form 10-K, as amended, for the year ended December 31, 2014, for additional information regarding these factors.

36

Overview – continued

Quarter Ended June 30, 2015 Financial Results Summary

Net income attributable to Class A unitholders for the quarter ended June 30, 2015 was $175,800,000, or $0.87 per diluted unit, compared to $81,333,000, or $0.40 per diluted unit, for the quarter ended June 30, 2014.  Net income for the quarter ended June 30, 2015 includes $14,806,000 of real estate impairment losses.  Net income for the quarter ended June 30, 2015 also includes $4,513,000 of net gains on sale of real estate.  In addition, the quarters ended June 30, 2015 and 2014 include certain other items that affect comparability, which are listed in the table below.  The aggregate of net gains on sale of real estate, real estate impairment losses and the items in the table below increased net income attributable to Class A unitholders for the quarter ended June 30, 2015 by $75,835,000, or $0.38 per diluted unit, and decreased net income attributable to common shareholders by $37,542,000, or $0.19 per diluted unit, for the quarter ended June 30, 2014.

(Amounts in thousands)			For the Three Months Ended June 30,
			2015		2014
Items that affect comparability income (expense):
	Reversal of allowance for deferred tax assets (re: taxable REIT subsidiary's
		ability to utilize NOLs)	$	90,030	$	-
	Acquisition and transaction related costs			(4,061)		(1,067)
	(Loss) income from discontinued operations (including UE spin-off related
		costs of $327 and $3,016, respectively)		(774)		25,800
	Toys net income (loss)			500		(57,591)
	Defeasance cost in connection with the refinancing of 909 Third Avenue			-		(5,589)
	Other, net			433		905
Items that affect comparability			$	86,128	$	(37,542)

The percentage increase (decrease) in same store Earnings Before Interest, Taxes, Depreciation and Amortization (“EBITDA”)  and cash basis same store EBITDA of our operating segments for the quarter ended June 30, 2015 over the quarter ended June 30, 2014 and the trailing quarter ended March 31, 2015 are summarized below.

			New York			Washington, DC
Same Store EBITDA:
	June 30, 2015 vs. June 30, 2014
		Same store EBITDA	1.5	%	(1)	0.8	%
		Cash basis same store EBITDA	2.4	%	(1)	(3.3	%)
	June 30, 2015 vs. March 31, 2015
		Same store EBITDA	4.6	%	(2)	1.9	%
		Cash basis same store EBITDA	3.1	%	(2)	1.8	%
(1)	Excluding Hotel Pennsylvania, same store EBITDA increased by 2.2% and by 3.2% on a cash basis.
(2)	Excluding Hotel Pennsylvania, same store EBITDA increased by 0.1% and decreased by 2.0% on a cash basis.

37

Overview – continued

Six Months Ended June 30, 2015 Financial Results Summary

Net income attributable to Class A unitholders for the six months ended June 30, 2015 was $265,668,000, or $1.31 per diluted unit, compared to $147,530,000, or $0.73 per diluted unit, for the six months ended June 30, 2014. Net income for the six months ended June 30, 2015 includes $15,380,000 of net gains on sale of real estate and $15,062,000 of real estate impairment losses.  Net income for the six months ended June 30, 2014 includes $20,842,000 of real estate impairment losses.  In addition, the six months ended June 30, 2015 and 2014 include certain items that affect comparability, which are listed in the table below.  The aggregate of real estate impairment losses, net gains on sale of real estate and the items in the table below increased net income attributable to Class A unitholders for the six months ended June 30, 2015 by $95,730,000, or $0.48 per diluted unit, and decreased net income attributable to Class A unitholders for the six months ended June 30, 2014 by $20,054,000, or $0.10 per diluted unit.

(Amounts in thousands)			For the Six Months Ended June 30,
			2015		2014
Items that affect comparability income (expense):
	Reversal of allowance for deferred tax assets (re: taxable REIT subsidiary's
		ability to utilize NOLs)	$	90,030	$	-
	Acquisition and transaction related costs			(6,042)		(2,352)
	Income from discontinued operations (including UE spin-off related
		costs of $22,972 and $3,515, respectively)		4,456		53,933
	Toys net income (loss) (including impairment losses of $75,196 in 2014)			1,954		(55,744)
	Net gain on sale of residential condominiums and a land parcel in 2014			1,860		10,540
	Defeasance cost in connection with the refinancing of 909 Third Avenue			-		(5,589)
	Other, net			3,154		-
Items that affect comparability			$	95,412	$	788

The percentage increase (decrease) in same store EBITDA and cash basis same store EBITDA of our operating segments for the six months ended June 30, 2015 over the six months ended June 30, 2014 is summarized below.

			New York			Washington, DC
Same Store EBITDA:
	June 30, 2015 vs. June 30, 2014
		Same store EBITDA	2.3	%	(1)	0.4	%
		Cash basis same store EBITDA	3.9	%	(1)	(4.3	%)
(1)	Excluding Hotel Pennsylvania, same store EBITDA increased by 3.0% and by 4.7% on a cash basis.

Calculations of same store EBITDA, reconciliations of our net income to EBITDA and the reasons we consider these non-GAAP financial measures useful are provided in the following pages of Management’s Discussion and Analysis of the Financial Condition and Results of Operations.

38

Overview – continued

2015 Acquisitions

On January 20, 2015, we and one of our real estate fund’s limited partners co-invested with the Fund to buy out the Fund’s joint venture partner’s 57% interest in the Crowne Plaza Times Square Hotel.  The purchase price for the 57% interest was approximately $95,000,000 (our share $39,000,000) which valued the property at approximately $480,000,000.  The property is encumbered by a $310,000,000 mortgage loan bearing interest at LIBOR plus 2.80% which matures in December 2018 with a one-year extension option.  Our aggregate ownership interest in the property increased to 33% from 11%.

On March 18, 2015, we acquired the Center Building, a 437,000 square foot office building, located at 33-00 Northern Boulevard in Long Island City, New York, for $142,000,000, including the assumption of an existing $62,000,000, 4.43% mortgage maturing in October 2018.

On June 2, 2015, we completed the acquisition of 150 West 34^th Street, a 78,000 square foot retail property leased to Old Navy through May 2019, and 226,000 square feet of additional zoning air rights, for approximately $355,000,000.  At closing we completed a $205,000,000 financing of the property. 

On June 24, 2015, we entered into a joint venture, in which we own a 55% interest, to develop a 173,000 square foot Class-A office building, located along the western edge of the High Line at 510 West 22nd Street.  The development cost of this project is approximately $225,000,000.  The development is expected to commence during the third quarter of 2015 and be completed in 2017.    

On July 31, 2015, we acquired 260 Eleventh Avenue, a 235,000 square foot office property leased to the City of New York through 2021 with two five-year renewal options, a 10,000 square foot parking lot and additional air rights.  The 44,000 square foot site is located on Eleventh Avenue from 26th to 27th Streets directly across from the Starrett Lehigh building.  The transaction is structured as a 99-year ground lease with an option to purchase the land for $110,000,000.  The $3,900,000 annual ground rent and the purchase option price escalate annually at the lesser of 1.5% or CPI.  The buildings were purchased for 813,900 newly issued Operating Partnership units valued at approximately $80,000,000.  We intend to redevelop and expand the property to serve the supply constrained West Chelsea office market.

2015 Dispositions

On January 15, 2015, we completed the spin-off of substantially all of our retail segment comprised of 79 strip shopping centers, three malls, a warehouse park and $225,000,000 of cash to Urban Edge Properties (“UE”) (NYSE: UE).  As part of this transaction, we retained 5,717,184 UE operating partnership units (5.4% ownership interest).  We are providing transition services to UE for an initial period of up to two years, including information technology, human resources, tax and financial reporting. UE is providing us with leasing and property management services for (i) the Monmouth Mall, (ii) certain small retail properties that we plan to sell, and (iii) our affiliate, Alexander’s, Inc. (NYSE: ALX), Rego Park retail assets. Steven Roth, Chairman of Vornado’s Board of Trustees and its Chief Executive Officer is a member of the Board of Trustees of UE.  The spin-off distribution was effected by Vornado distributing one UE common share for every two Vornado common shares.

On March 13, 2015, we sold our Geary Street, CA lease for $34,189,000, which resulted in a net gain of $21,376,000.

On March 25, 2015, the Fund completed the sale of 520 Broadway in Santa Monica, CA for $91,650,000.  The Fund realized a $24,705,000 net gain over the holding period.

On March 31, 2015, we transferred the redeveloped Springfield Town Center, a 1,350,000 square foot mall located in Springfield, Fairfax County, Virginia, to PREIT Associates, L.P., which is the operating partnership of Pennsylvania Real Estate Investment Trust (NYSE: PEI) (collectively, “PREIT”).  The financial statement gain was $7,823,000, of which $7,192,000 was recognized in the first quarter of 2015 and the remaining $631,000 was deferred based on our ownership interest in PREIT.  In the first quarter of 2014, we recorded a non-cash impairment loss of $20,000,000 on Springfield Town Center which is included in “(loss) income from discontinued operations” on our consolidated statements of income.

During the first quarter of 2015, we sold five residual retail properties, in separate transactions, for an aggregate of $10,731,000, which resulted in net gains of $3,675,000.           

39

Overview – continued

2015 Financings

On January 1, 2015, we redeemed all of the $500,000,000 principal amount of our outstanding 4.25% senior unsecured notes, which were scheduled to mature on April 1, 2015, at a redemption price of 100% of the principal amount plus accrued interest through December 31, 2014.

On April 1, 2015, we completed a $308,000,000 refinancing of RiverHouse Apartments, a three building, 1,670 unit rental complex located in Arlington, VA.  The loan is interest-only at LIBOR plus 1.28% and matures in 2025.  We realized net proceeds of approximately $43,000,000.  The property was previously encumbered by a 5.43%, $195,000,000 mortgage maturing in April 2015 and a $64,000,000 mortgage at LIBOR plus 1.53% maturing in 2018. 

On June 2, 2015, we completed a $205,000,000 financing in connection with the acquisition of 150 West 34^th Street.  The loan bears interest at LIBOR plus 2.25% and matures in 2018 with two one-year extension options. 

On July 28, 2015, we completed a $580,000,000 refinancing of 100 West 33rd Street, a 1.1 million square foot property comprised of 851,000 square feet of office space and the 256,000 square foot Manhattan Mall.  The loan is interest only at LIBOR plus 1.65%, and matures in July 2020.  We realized net proceeds of approximately $242,000,000.

Recently Issued Accounting Literature

In April 2014, the Financial Accounting Standards Board (“FASB”) issued an update (“ASU 2014-08”) Reporting Discontinued Operations and Disclosures of Disposals of Components of an Entity to ASC Topic 205, Presentation of Financial Statements and ASC Topic 360, Property Plant and Equipment. Under ASU 2014-08, only disposals that represent a strategic shift that has (or will have) a major effect on the entity’s results and operations would qualify as discontinued operations. In addition, ASU 2014-08 expands the disclosure requirements for disposals that meet the definition of a discontinued operation and requires entities to disclose information about disposals of individually significant components that do not meet the definition of discontinued operations. ASU 2014-08 is effective for interim and annual reporting periods in fiscal years that began after December 15, 2014. Upon adoption of this standard on January 1, 2015, individual properties sold in the ordinary course of business are not expected to qualify as discontinued operations. The financial results of UE and certain other retail assets are reflected in our consolidated financial statements as discontinued operations for all periods presented.

In May 2014, the FASB issued an update ("ASU 2014-09") establishing ASC Topic 606, Revenue from Contracts withCustomers.  ASU 2014-09 establishes a single comprehensive model for entities to use in accounting for revenue arising from contracts with customers and supersedes most of the existing revenue recognition guidance.  ASU 2014-09 requires an entity to recognize revenue when it transfers promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services and also requires certain additional disclosures.  ASU 2014-09 is effective for interim and annual reporting periods in fiscal years that begin after December 15, 2017.  We are currently evaluating the impact of the adoption of ASU 2014-09 on our consolidated financial statements.

In June 2014, the FASB issued an update (“ASU 2014-12”) to ASC Topic 718, Compensation – Stock Compensation.  ASU 2014-12 requires an entity to treat performance targets that can be met after the requisite service period of a share based award has ended, as a performance condition that affects vesting.  ASU 2014-12 is effective for interim and annual reporting periods in fiscal years that begin after December 15, 2015.  We are currently evaluating the impact of the adoption of ASU 2014-12 on our consolidated financial statements.

In February 2015, the FASB issued an update (“ASU 2015-02”) Amendments to the Consolidation Analysis to ASC Topic 810, Consolidation.  ASU 2015-02 affects reporting entities that are required to evaluate whether they should consolidate certain legal entities.  Specifically, the amendments: (i) modify the evaluation of whether limited partnerships and similar legal entities are variable interest entities ("VIEs") or voting interest entities, (ii) eliminate the presumption that a general partner should consolidate a limited partnership, (iii) affect the consolidation analysis of reporting entities that are involved with VIEs, and (iv) provide a scope exception for certain entities.  ASU 2015-02 is effective for interim and annual reporting periods beginning after December 15, 2015.  We are currently evaluating the impact of the adoption of ASU 2015-02 on our consolidated financial statements. 

40

 

Overview – continued

Recently Issued Accounting Literature - continued

In April 2015, the FASB issued an update (“ASU 2015-03”) Simplifying the Presentation of Debt Issuance Costs to ASC Topic 835, Interest.  ASU 2015-03 requires that debt issuance costs be presented in the balance sheet as a direct deduction from the carrying amount of the debt liability to which they relate, consistent with debt discounts, as opposed to being presented as assets.  ASU 2015-03 is effective for interim and annual reporting periods in fiscal years that begin after December 15, 2015.  The adoption of this update on January 1, 2016 will not have a material impact on our consolidated financial statements.

Critical Accounting Policies

A summary of our critical accounting policies is included in our Annual Report on Form 10-K, as amended, for the year ended December 31, 2014 in Management’s Discussion and Analysis of Financial Condition. Although there have been no significant changes during  2015, the following updates have been made to our policies.

Condominium Units Held For Sale:  Pursuant to ASC 605-35-25-88, Revenue Recognition: Completed Contract Method, revenue from condominium unit sales is recognized upon closing of the sale, as all conditions for full profit recognition have not been met until that time.  We use the relative sales value method to allocate costs to individual condominium units. 

We are constructing a residential condominium tower containing 392,000 salable square feet on our 220 Central Park South (“220 CPS”) development site.  As of June 30, 2015, we had entered into agreements to sell approximately 40% of the project for aggregate sales proceeds of $1.4 billion.  In connection therewith, $209,902,000 of deposits are held with a third party escrow agent.  

Income Taxes:  As a limited partnership, our partners are required to report their respective share of taxable income on their individual tax returns.  The provision for income taxes in our consolidated financial statements relates to certain taxable REIT subsidiaries pursuant to an amendment to the Internal Revenue Code that became effective January 1, 2001.  Taxable REIT subsidiaries may participate in non-real estate related activities and/or perform non-customary services for tenants and are subject to Federal and State income tax at regular corporate tax rates.

At June 30, 2015 and December 31, 2014, our taxable REIT subsidiaries had deferred tax assets of $95,419,000 and $94,100,000, respectively, which are included in “other assets” on our consolidated balance sheets.  Prior to the quarter ended June 30, 2015, there was a full valuation allowance against our deferred tax assets because we had not determined that it is more-likely-than-not that we would use the net operating loss carryforwards to offset future taxable income.  During the second quarter of 2015, we began to enter into agreements to sell residential condominium units at 220 CPS and as of June 30, 2015, we had entered into agreements to sell approximately 40% of the project for aggregate sales proceeds of $1.4 billion.  Based on these agreements, among other factors, we have concluded that it is more-likely-than-not that we will generate sufficient taxable income to realize the deferred tax assets.  Accordingly, during the second quarter of 2015, we reversed $90,030,000 of the allowance for deferred tax assets and recognized an income tax benefit in our consolidated statements of income in the three and six months ended June 30, 2015.

41

 

Overview - continued

Leasing Activity:

The leasing activity and related statistics in the table below are based on leases signed during the period and are not intended to coincide with the commencement of rental revenue in accordance with accounting principles generally accepted in the United States of America (“GAAP”).  Second generation relet space represents square footage that has not been vacant for more than nine months and tenant improvements and leasing commissions are based on our share of square feet leased during the period.

(Square feet in thousands)					New York				Washington, DC
					Office		Retail		Office
Quarter Ended June 30, 2015
	Total square feet leased					605		36		411
	Our share of square feet leased:					494		27		391
		Initial rent (1)			$	82.21	$	1,381.81	$	40.50
		Weighted average lease term (years)				11.0		12.9		8.3
		Second generation relet space:
			Square feet			257		24		202
			Cash basis:
				Initial rent (1)	$	89.39	$	1,297.54	$	40.79
				Prior escalated rent	$	80.63	$	376.12	$	43.64
				Percentage increase (decrease)		10.9%		245.0%		(6.5%)
			GAAP basis:
				Straight-line rent (2)	$	87.28	$	1,642.75	$	38.98
				Prior straight-line rent	$	72.87	$	993.62	$	40.71
				Percentage increase (decrease)		19.8%		65.3%		(4.2%)
		Tenant improvements and leasing commissions:
				Per square foot	$	84.56	$	714.48	$	41.66
				Per square foot per annum	$	7.69	$	55.39	$	5.02
				Percentage of initial rent		9.4%		4.0%		12.4%

Six Months Ended June 30, 2015
	Total square feet leased					1,158		43		1,165
	Our share of square feet leased:					911		34		1,087
		Initial rent (1)			$	80.21	$	1,169.82	$	37.01
		Weighted average lease term (years)				10.0		12.7		10.1
		Second generation relet space:
			Square feet			520		27		707
			Cash basis:
				Initial rent (1)	$	81.94	$	1,173.47	$	35.44	(3)
				Prior escalated rent	$	72.10	$	361.48	$	41.32	(3)
				Percentage increase (decrease)		13.6%		224.6%		(14.2%)	(3)
			GAAP basis:
				Straight-line rent (2)	$	79.11	$	1,479.21	$	33.37	(3)
				Prior straight-line rent	$	66.44	$	899.84	$	38.43	(3)
				Percentage increase (decrease)		19.1%		64.4%		(13.2%)	(3)
		Tenant improvements and leasing commissions:
				Per square foot	$	80.06	$	627.55	$	69.01
				Per square foot per annum	$	8.01	$	49.41	$	6.83
				Percentage of initial rent		10.0%		4.2%		18.5%
(1)	Represents the cash basis weighted average starting rent per square foot, which is generally indicative of market rents. Most leases include free rent and periodic step-ups in rent which are not included in the initial cash basis rent per square foot but are included in the GAAP basis straight-line rent per square foot.
(2)	Represents the GAAP basis weighted average rent per square foot that is recognized over the term of the respective leases, and includes the effect of free rent and periodic step-ups in rent.
(3)	Excluding 371 square feet of leasing activity with the U.S. Marshals Service (of which 293 square feet are second generation relet space), the initial rent and prior escalated rent on a cash basis was $37.88 and $39.35 per square foot, respectively (3.7% decrease), and the initial rent and prior escalated rent on a GAAP basis was $34.33 and $35.77 per square foot, respectively (3.7% decrease).

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Overview - continued
Square footage (in service) and Occupancy as of June 30, 2015:
(Square feet in thousands)			Square Feet (in service)
		Number of	Total	Our
		Properties	Portfolio	Share	Occupancy %
New York:
	Office	33	20,928	17,555	96.4%
	Retail	60	2,538	2,347	96.6%
	Alexander's	6	2,178	706	99.7%
	Hotel Pennsylvania	1	1,400	1,400
	Residential - 1,654 units	2	1,521	761	96.1%
			28,565	22,769	96.5%
Washington, DC:
	Office, excluding the Skyline Properties	51	13,431	11,059	89.7%
	Skyline Properties	8	2,646	2,646	53.5%
	Total Office	59	16,077	13,705	82.7%
	Residential - 2,414 units	7	2,597	2,455	95.4%
	Other	6	384	384	100.0%
			19,058	16,544	85.0%
Other:
	The Mart	1	3,578	3,569	93.9%
	555 California Street	3	1,802	1,261	97.5%
	85 Tenth Avenue(1)	1	612	305	100.0%
	Other Properties	3	2,171	1,210	95.8%
			8,163	6,345
Total square feet at June 30, 2015			55,786	45,658
(1)	As of June 30, 2015, we own junior and senior mezzanine loans of 85 Tenth Avenue with an accreted balance of $155.6 million. The junior and senior mezzanine loans bear paid-in-kind interest of 12% and 9%, respectively, and mature in May 2017. We account for our investment in 85 Tenth Avenue using the equity method of accounting because we will receive a 49.9% interest in the property after repayment of the junior mezzanine loan. As a result of recording our share of the GAAP losses of the property, the net carrying amount of these loans is $25.6 million on our consolidated balance sheets.

43

Overview - continued
Square footage (in service) and Occupancy as of December 31, 2014:
(Square feet in thousands)			Square Feet (in service)
		Number of	Total	Our
		properties	Portfolio	Share	Occupancy %
New York:
	Office	31	20,052	16,808	96.9%
	Retail	57	2,450	2,259	96.4%
	Alexander's	6	2,178	706	99.7%
	Hotel Pennsylvania	1	1,400	1,400
	Residential - 1,654 units	2	1,524	763	95.7%
			27,604	21,936	96.9%
Washington, DC:
	Office, excluding the Skyline Properties	51	13,461	11,083	87.5%
	Skyline Properties	8	2,648	2,648	53.5%
	Total Office	59	16,109	13,731	80.9%
	Residential - 2,414 units	7	2,597	2,455	97.4%
	Other	6	384	384	100.0%
			19,090	16,570	83.8%
Other:
	The Mart	2	3,587	3,578	94.7%
	555 California Street	3	1,801	1,261	97.6%
	85 Tenth Avenue(1)	1	613	306	100.0%
	Other Properties	3	2,135	1,174	96.8%
			8,136	6,319
Total square feet at December 31,2014			54,830	44,825
(1)	As of December 31, 2014, we own junior and senior mezzanine loans of 85 Tenth Avenue with an accreted balance of $147.6 million. The junior and senior mezzanine loans bear paid-in-kind interest of 12% and 9%, respectively, and mature in May 2017. We account for our investment in 85 Tenth Avenue using the equity method of accounting because we will receive a 49.9% interest in the property after repayment of the junior mezzanine loan. As a result of recording our share of the GAAP losses of the property, the net carrying amount of these loans is $28.2 million on our consolidated balance sheets.

44

Overview - continued

Washington, DC Segment

We expect that 2015 EBITDA from continuing operations will be flat to 2014 EBITDA.  Of the 2,395,000 square feet subject to the effects of the Base Realignment and Closure (“BRAC”) statute, 393,000 square feet has been taken out of service for redevelopment and 1,262,000 square feet has been leased or is pending.  The table below summarizes the status of the BRAC space as of June 30, 2015.

		Rent Per		Square Feet
		Square Foot		Total	Crystal City	Skyline	Rosslyn
Resolved:
	Relet as of June 30, 2015	$	37.44	1,255,000	790,000	381,000	84,000
	Leases pending		38.77	7,000	7,000	-	-
	Taken out of service for redevelopment			393,000	393,000	-	-
				1,655,000	1,190,000	381,000	84,000
To Be Resolved:
	Vacated as of June 30, 2015		35.41	691,000	202,000	425,000	64,000
	Expiring in 2015		42.96	49,000	44,000	5,000	-
				740,000	246,000	430,000	64,000
Total square feet subject to BRAC				2,395,000	1,436,000	811,000	148,000

45

Net Income and EBITDA by Segment for the Three Months Ended June 30, 2015 and 2014

Below is a summary of net income and a reconciliation of net income to EBITDA⁽¹⁾ by segment for the three months ended June 30, 2015 and 2014.

(Amounts in thousands)		For the Three Months Ended June 30, 2015
			Total		New York			Washington, DC			Other
Total revenues			$	616,288	$	414,262		$	134,856		$	67,170
Total expenses				422,897		250,298			98,661			73,938
Operating income (loss)				193,391		163,964			36,195			(6,768)
(Loss) income from partially owned entities				(5,231)		3,176			(1,805)			(6,602)
Income from real estate fund investments				26,368		-			-			26,368
Interest and other investment income, net				5,666		1,892			13			3,761
Interest and debt expense				(92,092)		(47,173)			(17,483)			(27,436)
Income (loss) before income taxes				128,102		121,859			16,920			(10,677)
Income tax benefit (expense)				88,072		(1,095)			(466)			89,633
Income from continuing operations				216,174		120,764			16,454			78,956
Loss from discontinued operations				(774)		-			-			(774)
Net income				215,400		120,764			16,454			78,182
Less net income attributable to noncontrolling interests in
	consolidated subsidiaries			(19,186)		(2,552)			-			(16,634)
Net income attributable to Vornado Realty L.P.				196,214		118,212			16,454			61,548
Interest and debt expense(2)				115,073		61,057			20,891			33,125
Depreciation and amortization(2)				163,245		95,567			47,803			19,875
Income tax (benefit) expense(2)				(87,653)		1,152			486			(89,291)
EBITDA(1)			$	386,879	$	275,988	(3)	$	85,634	(4)	$	25,257	(5)

(Amounts in thousands)		For the Three Months Ended June 30, 2014
			Total		New York			Washington, DC			Other
Total revenues			$	574,411	$	375,674		$	134,826		$	63,911
Total expenses				385,143		226,840			87,352			70,951
Operating income (loss)				189,268		148,834			47,474			(7,040)
(Loss) income from partially owned entities				(53,742)		8,996			(2,248)			(60,490)
Income from real estate fund investments				100,110		-			-			100,110
Interest and other investment income, net				9,396		1,614			42			7,740
Interest and debt expense				(103,913)		(49,070)			(18,660)			(36,183)
Net gain on disposition of wholly owned and partially
	owned assets			905		-			-			905
Income before income taxes				142,024		110,374			26,608			5,042
Income tax expense				(3,280)		(1,226)			(115)			(1,939)
Income from continuing operations				138,744		109,148			26,493			3,103
Income from discontinued operations				26,943		5,919			-			21,024
Net income				165,687		115,067			26,493			24,127
Less net income attributable to noncontrolling interests in
	consolidated subsidiaries			(63,975)		(3,108)			-			(60,867)
Net income (loss) attributable to Vornado Realty L.P.				101,712		111,959			26,493			(36,740)
Interest and debt expense(2)				179,520		64,072			22,463			92,985
Depreciation and amortization(2)				173,443		74,007			35,806			63,630
Income tax (benefit) expense (2)				(574)		1,291			132			(1,997)
EBITDA(1)			$	454,101	$	251,329	(3)	$	84,894	(4)	$	117,878	(5)

_____________________________

See notes on the following page.

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Net Income and EBITDA by Segment for the Three Months Ended  June 30, 2015 and 2014 - continued

	Notes to preceding tabular information:
(1)	EBITDA represents "Earnings Before Interest, Taxes, Depreciation and Amortization." We consider EBITDA a supplemental non-GAAP financial measure for making decisions and assessing the unlevered performance of our segments as it relates to the total return on assets as opposed to the levered return on equity. As properties are bought and sold based on a multiple of EBITDA, we utilize this measure to make investment decisions as well as to compare the performance of our assets to that of our peers. EBITDA should not be considered a substitute for net income. EBITDA may not be comparable to similarly titled measures employed by other companies.
(2)	Interest and debt expense, depreciation and amortization and income tax expense (benefit) in the reconciliation of net income (loss) to EBITDA includes our share of these items from partially owned entities.
(3)	The elements of "New York" EBITDA are summarized below.
	(Amounts in thousands)		For the Three Months Ended June 30,
			2015		2014
	Office		$	170,740	$	162,833
	Retail			86,151		67,947
	Alexander's			10,241		10,271
	Hotel Pennsylvania			8,856		10,278
		Total New York	$	275,988	$	251,329
(4)	The elements of "Washington, DC" EBITDA are summarized below.
	(Amounts in thousands)		For the Three Months Ended June 30,
			2015		2014
	Office, excluding the Skyline Properties		$	68,514	$	67,057
	Skyline properties			6,984		7,073
		Total Office		75,498		74,130
	Residential			10,136		10,764
		Total Washington, DC	$	85,634	$	84,894

47

Net Income and EBITDA by Segment for the Three Months Ended  June 30, 2015 and 2014 - continued

	Notes to preceding tabular information - continued:
(5)	The elements of "Other" EBITDA are summarized below.
	(Amounts in thousands)		For the Three Months Ended June 30,
			2015		2014
	Our share of real estate fund investments:
		Income before net realized/unrealized gains	$	1,533	$	2,191
		Net realized/unrealized gains on investments		6,054		24,265
		Carried interest		2,909		11,874
	Total			10,496		38,330
	The Mart and trade shows			22,144		22,454
	555 California Street			12,831		11,506
	Our share of Toys			500		5,189
	India real estate ventures			375		99
	Other investments			11,222		6,780
				57,568		84,358
	Corporate general and administrative expenses(a)			(23,760)		(23,022)
	Investment income and other, net(a)			6,561		8,032
	Our share of impairment loss on India real estate ventures			(14,806)		-
	Our share of gains on sale of real estate of partially owned entities			4,513		-
	Acquisition and transaction related costs			(4,061)		(1,067)
	UE and residual retail properties discontinued operations(b)			(758)		48,672
	Net gain on sale of residential condominiums			-		905
			$	25,257	$	117,878
	(a)	The amounts in these captions (for this table only) exclude income/expense from the mark-to-market of our deferred compensation plan of $609 and $2,380 for the three months ended June 30, 2015 and 2014, respectively.
	(b)	The three months ended June 30, 2015 and 2014, include $327 and $3,016, respectively, of transaction costs related to the spin-off of our strip shopping centers and malls.

EBITDA by Region

Below is a summary of the percentages of EBITDA by geographic region, excluding discontinued operations and other items that affect comparability.

		For the Three Months Ended June 30,
		2015	2014
Region:
	New York City metropolitan area	69%	67%
	Washington, DC / Northern Virginia area	22%	24%
	Chicago, IL	6%	6%
	San Francisco, CA	3%	3%
		100%	100%

48

Results of Operations – Three Months Ended June 30, 2015 Compared to June 30, 2014

Revenues

Our revenues, which consist primarily of property rentals, tenant expense reimbursements, and fee and other income, were $616,288,000 for the three months ended June 30, 2015, compared to $574,411,000 for the prior year’s quarter, an increase of $41,877,000.  Below are the details of the increase by segment:

(Amounts in thousands)		Total		New York		Washington, DC		Other
Increase due to:
Property rentals:
	Acquisitions and other	$	11,404	$	11,345	$	59	$	-
	Development and redevelopment		14,565		13,689		44		832
	Hotel Pennsylvania		(1,485)		(1,485)		-		-
	Trade Shows		(1,344)		-		-		(1,344)
	Same store operations		13,213		10,215		(133)		3,131
			36,353		33,764		(30)		2,619
Tenant expense reimbursements:
	Acquisitions and other		1,020		1,020		-		-
	Development and redevelopment		645		584		61		-
	Same store operations		5,440		3,867		533		1,040
			7,105		5,471		594		1,040
Fee and other income:
	BMS cleaning fees		(455)		(559)		-		104
	Management and leasing fees		(1,491)		(1,124)		(229)		(138)
	Lease termination fees		(1,653)		(325)		(1,124)		(204)
	Other income (loss)		2,018		1,361		819		(162)
			(1,581)		(647)		(534)		(400)
Total increase in revenues		$	41,877	$	38,588	$	30	$	3,259

49

 

Results of Operations – Three Months Ended June 30, 2015 Compared to June 30, 2014 - continued

Expenses

Our expenses, which consist primarily of operating, depreciation and amortization and general and administrative expenses, were $422,897,000 for the three months ended June 30, 2015, compared to $385,143,000 for the prior year’s quarter, an increase of $37,754,000.  Below are the details of the increase by segment:

(Amounts in thousands)			Total		New York		Washington, DC		Other
Increase due to:
Operating:
	Acquisitions and other		$	2,397	$	2,396	$	1	$	-
	Development and redevelopment			5,487		4,074		448		965
	Non-reimbursable expenses, including
		bad debt reserves		(261)		-		-		(261)
	Hotel Pennsylvania			(152)		(152)		-		-
	Trade Shows			(922)		-		-		(922)
	BMS expenses			(933)		(1,098)		-		165
	Same store operations			6,678		5,867		(1,063)		1,874
				12,294		11,087		(614)		1,821
Depreciation and amortization:
	Acquisitions and other			7,239		7,239		-		-
	Development and redevelopment			11,770		487		10,580		703
	Same store operations			4,747		3,402		1,405		(60)
				23,756		11,128		11,985		643
General and administrative:
	Mark-to-market of deferred
		compensation plan liability (1)		(2,989)		-		-		(2,989)
	Same store operations			1,699		1,243		(61)		517
				(1,290)		1,243		(61)		(2,472)
Acquisition and transaction related costs				2,994		-		-		2,994
Total increase in expenses			$	37,754	$	23,458	$	11,310	$	2,986
(1)	This decrease in expense is entirely offset by a corresponding decrease in income from the mark-to-market of the deferred compensation plan assets, a component of “interest and other investment income, net” on our consolidated statements of income.

50

Results of Operations – Three Months Ended June 30, 2015 Compared to June 30, 2014 - continued

 Loss from Partially Owned Entities

Summarized below are the components of loss from partially owned entities for the three months ended June 30, 2015 and 2014.

(Amounts in thousands)		Percentage
		Ownership at	For the Three Months Ended June 30,
		June 30, 2015	2015		2014
Equity in Net (Loss) Income:
India real estate ventures (1)		4.1%-36.5%	$	(16,567)	$	(2,041)
Alexander's		32.4%		7,323		6,894
Partially owned office buildings (2)		Various		(3,238)		990
UE		5.4%		904		-
Toys (3)		32.5%		500		(57,591)
Other investments (4)		Various		5,847		(1,994)
			$	(5,231)	$	(53,742)
(1)	2015 includes $14,806 for our share of non-cash impairment loss.
(2)	Includes interests in 280 Park Avenue, 650 Madison Avenue, One Park Avenue, 666 Fifth Avenue (Office), 330 Madison Avenue, 510 West 22nd Street and others.
(3)	For the three months ended June 30, 2015, we recognized net income of $500,000 from our investment in Toys, representing management fees earned and received, compared to a net loss of $57,591,000 for the three months ended June 30, 2014, comprised of $59,530,000 for our share of Toys' net loss, partially offset by $1,939,000 of management fees earned and received.
(4)	Includes interests in Independence Plaza, Monmouth Mall, 85 Tenth Avenue, Fashion Center Mall, 50-70 West 93rd Street and others.

Income from Real Estate Fund Investments

Below are the components of the income from our real estate fund investments for the three months ended June 30, 2015 and 2014.

(Amounts in thousands)		For the Three Months Ended June 30,
		2015		2014
Net investment income		$	2,150	$	3,052
Net realized gains on exited investments			886		75,069
Previously recorded unrealized gains on exited investments			-		(35,365)
Net unrealized gains on held investments			23,332		57,354
Income from real estate fund investments			26,368		100,110
Less income attributable to noncontrolling interests			(15,872)		(61,780)
Income from real estate fund investments attributable to Vornado Realty L.P.(1)		$	10,496	$	38,330
(1)	Excludes property management, leasing and development fees of $633 and $638 for the three months ended June 30, 2015 and 2014, respectively, which are included as a component of "fee and other income" on our consolidated statements of income.

51

Results of Operations – Three Months Ended June 30, 2015 Compared to June 30, 2014 - continued

Interest and Other Investment Income, net

Interest and other investment income, net was $5,666,000 for the three months ended June 30, 2015, compared to $9,396,000 in the prior year’s quarter, a decrease of $3,730,000. This decrease resulted primarily from a lower increase in the value of investments in our deferred compensation plan (offset by a corresponding lower increase in the liability for plan assets in general and administrative expenses).

Interest and Debt Expense

Interest and debt expense was $92,092,000 for the three months ended June 30, 2015, compared to $103,913,000 in the prior year’s quarter, a decrease of $11,821,000.  This decrease was primarily due to (i) $8,761,000 of interest savings from the redemption of the $445,000,000 principal amount of the outstanding 7.875% senior unsecured notes during the fourth quarter of 2014, (ii) $5,589,000 of defeasance costs in April 2014 in connection with the refinancing of 909 Third Avenue, (iii) $5,354,000 of interest savings from the redemption of the $500,000,000 principal amount of the outstanding 4.25% senior unsecured notes on January 1, 2015, partially offset by (iv) $4,858,000 of lower capitalized interest in the current year, and (v) $2,399,000 of interest expense from the issuance of $450,000,000 of senior unsecured notes in June 2014.

Net Gain on Disposition of Wholly Owned and Partially Owned Assets

In the three months ended June 30, 2014, we recognized a net gain of $905,000 from the sale of residential condominiums.

Income Tax Benefit (Expense)

Income tax benefit related to our taxable REIT subsidiaries was $88,072,000 for the three months ended June 30, 2015, compared to an expense of $3,280,000 in the prior year’s quarter.  The decrease in expense of $91,352,000 was primarily attributable to the $90,030,000 reversal of the valuation allowance against our deferred tax assets, as we have concluded that it is more-likely-than-not that we will generate sufficient taxable income from the sale of 220 Central Park South residential condominium units to realize the deferred tax assets. 

(Loss) Income from Discontinued Operations

We have reclassified the revenues and expenses of the properties that were sold or are currently held for sale to “(loss) income from discontinued operations” and the related assets and liabilities to “assets related to discontinued operations” and “liabilities related to discontinued operations” for all the periods presented in the accompanying financial statements.  The table below sets forth the combined results of assets related to discontinued operations for the three months ended June 30, 2015 and 2014.

(Amounts in thousands)	For the Three Months Ended June 30,
	2015		2014
Total revenues	$	1,573	$	96,157
Total expenses		2,020		65,879
		(447)		30,278
Transaction related costs		(327)		(3,016)
Pretax (loss) income from discontinued operations		(774)		27,262
Income tax expense		-		(319)
(Loss) income from discontinued operations	$	(774)	$	26,943

52

Results of Operations – Three Months Ended June 30, 2015 Compared to June 30, 2014 - continued

Net Income Attributable to Noncontrolling Interests in Consolidated Subsidiaries

Net income attributable to noncontrolling interests in consolidated subsidiaries was $19,186,000 for the three months ended June 30, 2015, compared to $63,975,000 for the prior year’s quarter, a decrease of $44,789,000.  This decrease resulted primarily from lower net income allocated to the noncontrolling interests, including noncontrolling interests of our real estate fund investments.

Preferred Unit Distributions

Preferred unit distributions were $20,414,000 for the three months ended June 30, 2015, compared to $20,379,000 for the prior year’s quarter, an increase of $35,000. 

53

Results of Operations – Three Months Ended June 30, 2015 Compared to June 30, 2014 - continued

Same Store EBITDA

Same store EBITDA represents EBITDA from property level operations which are owned by us in both the current and prior year reporting periods.  Same store EBITDA excludes segment-level overhead expenses, which are expenses that we do not consider to be property-level expenses, as well as other non-operating items.  We also present same store EBITDA on a cash basis which excludes income from the straight-lining of rents, amortization of below-market leases, net of above-market leases and other non-cash adjustments. We present these non-GAAP measures to (i) facilitate meaningful comparisons of the operational performance of our properties and segments, (ii) make decisions on whether to buy, sell or refinance properties, and (iii) compare the performance of our properties and segments to those of our peers.  Same store EBITDA should not be considered as an alternative to net income or cash flow from operations and may not be comparable to similarly titled measures employed by other companies. 

Below are reconciliations of EBITDA to same store EBITDA for each of our segments for the three months ended June 30, 2015, compared to the three months ended June 30, 2014.

(Amounts in thousands)			New York		Washington, DC
EBITDA for the three months ended June 30, 2015			$	275,988	$	85,634
	Add-back:
		Non-property level overhead expenses included above		7,889		6,512
	Less EBITDA from:
		Acquisitions		(11,059)		-
		Dispositions, including net gains on sale		156		-
		Properties taken out-of-service for redevelopment		(17,341)		(51)
		Other non-operating income		(8,330)		(1,753)
Same store EBITDA for the three months ended June 30, 2015			$	247,303	$	90,342
EBITDA for the three months ended June 30, 2014			$	251,329	$	84,894
	Add-back:
		Non-property level overhead expenses included above		6,646		6,572
	Less EBITDA from:
		Acquisitions		-		-
		Dispositions, including net gains on sale		(6,285)		(2)
		Properties taken out-of-service for redevelopment		(6,292)		(143)
		Other non-operating income		(1,800)		(1,659)
Same store EBITDA for the three months ended June 30, 2014			$	243,598	$	89,662
Increase in same store EBITDA -
	Three months ended June 30, 2015 vs. June 30, 2014(1)		$	3,705	$	680
% increase in same store EBITDA				1.5%		0.8%
See notes on following page

54

Results of Operations – Three Months Ended June 30, 2015 Compared to June 30, 2014 - continued

Notes to preceding tabular information

New York:

The $3,705,000 increase in New York same store EBITDA resulted primarily from increases in Office and Retail EBITDA of $2,949,000 and $2,092,000, respectively, partially offset by a decrease in Hotel Pennsylvania EBITDA of $1,422,000.  The Office and Retail EBITDA increases resulted primarily from higher rents, including signage, partially offset by lower cleaning, management and leasing fees and higher operating expenses, net of reimbursements.

Washington, DC:

The $680,000 increase in Washington, DC same store EBITDA resulted primarily from lower non-reimbursable operating expenses of $931,000, partially offset by lower management and leasing fees.

Reconciliation of Same Store EBITDA to Cash basis Same Store EBITDA

(Amounts in thousands)		New York		Washington, DC
Same store EBITDA for the three months ended June 30, 2015		$	247,303	$	90,342
Less: Adjustments for straight line rents, amortization of acquired
	below-market leases, net, and other non-cash adjustments		(29,606)		(6,074)
Cash basis same store EBITDA for the three months ended
	June 30, 2015	$	217,697	$	84,268
Same store EBITDA for the three months ended June 30, 2014		$	243,598	$	89,662
Less: Adjustments for straight line rents, amortization of acquired
	below-market leases, net, and other non-cash adjustments		(30,929)		(2,481)
Cash basis same store EBITDA for the three months ended
	June 30, 2014	$	212,669	$	87,181
Increase (decrease) in Cash basis same store EBITDA -
	Three months ended June 30, 2015 vs. June 30, 2014	$	5,028	$	(2,913)
% increase (decrease) in Cash basis same store EBITDA			2.4%		(3.3%)

55

Net Income and EBITDA by Segment for the Six Months Ended June 30, 2015 and 2014

Below is a summary of net income and a reconciliation of net income to EBITDA⁽¹⁾ by segment for the six months ended June 30, 2015 and 2014.

(Amounts in thousands)		For the Six Months Ended June 30, 2015
			Total		New York			Washington, DC			Other
Total revenues			$	1,223,090	$	813,775		$	268,824		$	140,491
Total expenses				861,985		503,058			191,658			167,269
Operating income (loss)				361,105		310,717			77,166			(26,778)
Loss from partially owned entities				(7,636)		(2,487)			(1,674)			(3,475)
Income from real estate fund investments				50,457		-			-			50,457
Interest and other investment income, net				16,458		3,754			26			12,678
Interest and debt expense				(183,766)		(92,524)			(35,643)			(55,599)
Net gain on disposition of wholly owned and partially
	owned assets			1,860		-			-			1,860
Income (loss) before income taxes				238,478		219,460			39,875			(20,857)
Income tax benefit (expense)				87,101		(2,038)			208			88,931
Income from continuing operations				325,579		217,422			40,083			68,074
Income from discontinued operations				15,067		-			-			15,067
Net income				340,646		217,422			40,083			83,141
Less net income attributable to noncontrolling interests in
	consolidated subsidiaries			(35,068)		(4,058)			-			(31,010)
Net income attributable to Vornado Realty L.P.				305,578		213,364			40,083			52,131
Interest and debt expense(2)				229,748		119,724			42,403			67,621
Depreciation and amortization(2)				319,695		189,691			88,555			41,449
Income tax (benefit) expense (2)				(88,392)		2,154			(2,150)			(88,396)
EBITDA(1)			$	766,629	$	524,933	(3)	$	168,891	(4)	$	72,805	(5)

(Amounts in thousands)		For the Six Months Ended June 30, 2014
		Total		New York			Washington, DC			Other
Total revenues		$	1,136,792	$	736,858		$	270,104		$	129,830
Total expenses			802,283		464,574			176,924			160,785
Operating income (loss)			334,509		272,284			93,180			(30,955)
(Loss) income from partially owned entities			(51,763)		10,562			(3,514)			(58,811)
Income from real estate fund investments			118,258		-			-			118,258
Interest and other investment income, net			21,246		3,055			78			18,113
Interest and debt expense			(200,225)		(91,909)			(38,007)			(70,309)
Net gain on disposition of wholly owned and partially
	owned assets		10,540		-			-			10,540
Income (loss) before income taxes			232,565		193,992			51,737			(13,164)
Income tax (expense) benefit			(4,131)		(2,195)			84			(2,020)
Income (loss) from continuing operations			228,434		191,797			51,821			(15,184)
Income from discontinued operations			35,409		11,786			-			23,623
Net income			263,843		203,583			51,821			8,439
Less net income attributable to noncontrolling interests in
	consolidated subsidiaries		(75,554)		(4,513)			-			(71,041)
Net income (loss) attributable to Vornado Realty L.P.			188,289		199,070			51,821			(62,602)
Interest and debt expense(2)			350,472		122,140			45,261			183,071
Depreciation and amortization(2)			369,782		161,594			71,956			136,232
Income tax expense (benefit)(2)			19,257		2,323			(57)			16,991
EBITDA(1)		$	927,800	$	485,127	(3)	$	168,981	(4)	$	273,692	(5)

_____________________________

See notes on the following page.

56

Net Income and EBITDA by Segment for the Six Months Ended June 30, 2015 and 2014 - continued

	Notes to preceding tabular information:
(1)	EBITDA represents "Earnings Before Interest, Taxes, Depreciation and Amortization." We consider EBITDA a supplemental non-GAAP financial measure for making decisions and assessing the unlevered performance of our segments as it relates to the total return on assets as opposed to the levered return on equity. As properties are bought and sold based on a multiple of EBITDA, we utilize this measure to make investment decisions as well as to compare the performance of our assets to that of our peers. EBITDA should not be considered a substitute for net income. EBITDA may not be comparable to similarly titled measures employed by other companies.
(2)	Interest and debt expense, depreciation and amortization and income tax expense (benefit) in the reconciliation of net income (loss) to EBITDA includes our share of these items from partially owned entities.
(3)	The elements of "New York" EBITDA are summarized below.
	(Amounts in thousands)		For the Six Months Ended June 30,
			2015		2014
	Office		$	330,099	$	320,712
	Retail			167,456		134,142
	Alexander's			20,648		20,701
	Hotel Pennsylvania			6,730		9,572
		Total New York	$	524,933	$	485,127
(4)	The elements of "Washington, DC" EBITDA are summarized below.
	(Amounts in thousands)		For the Six Months Ended June 30,
			2015		2014
	Office, excluding the Skyline Properties		$	135,898	$	134,314
	Skyline properties			13,039		13,572
		Total Office		148,937		147,886
	Residential			19,954		21,095
		Total Washington, DC	$	168,891	$	168,981

57

Net Income and EBITDA by Segment for the Six Months Ended June 30, 2015 and 2014 - continued

	Notes to preceding tabular information - continued:
(5)	The elements of "Other" EBITDA are summarized below.
	(Amounts in thousands)		For the Six Months Ended June 30,
			2015		2014
	Our share of real estate fund investments:
		Income before net realized/unrealized gains	$	4,285	$	4,617
		Net realized/unrealized gains on investments		10,464		27,807
		Carried interest		6,297		13,205
	Total			21,046		45,629
	The Mart and trade shows			43,185		41,541
	555 California Street			25,232		23,572
	India real estate ventures			2,216		1,923
	Our share of Toys(a)			1,954		90,586
	Other investments			18,966		14,380
				112,599		217,631
	Corporate general and administrative expenses(b) (c)			(59,702)		(49,004)
	Investment income and other, net(b)			15,323		16,105
	UE and residual retail properties discontinued operations(d)			19,060		80,772
	Our share of impairment loss on India real estate ventures			(14,806)		-
	Acquisition and transaction related costs			(6,042)		(2,352)
	Our share of gains on sale of real estate of partially owned entities			4,513		-
	Net gain on sale of residential condominiums and a land parcel			1,860		10,540
			$	72,805	$	273,692
	(a)	As a result of our investment being reduced to zero, we suspended equity method accounting in the third quarter of 2014. The six months ended June 30, 2014 includes an impairment loss of $75,196.
	(b)	The amounts in these captions (for this table only) exclude income/expense from the mark-to-market of our deferred compensation plan of $2,250 and $6,780 for the six months ended June 30, 2015 and 2014, respectively.
	(c)	The six months ended June 30, 2015 includes $8,817 from the acceleration of the recognition of compensation expense related to 2013-2015 Out-Performance Plans due to the modification of the vesting criteria of awards such that they will fully vest at age 65. The accelerated expense will result in lower general and administrative expense for the remainder of 2015 of $1,734 and $6,217 thereafter.
	(d)	The six months ended June 30, 2015 and 2014, include $22,972 and $3,515, respectively, of transaction costs related to the spin-off of our strip shopping centers and malls.

EBITDA by Region

Below is a summary of the percentages of EBITDA by geographic region, excluding discontinued operations and other items that affect comparability.

		For the Six Months Ended June 30,
		2015	2014
Region:
	New York City metropolitan area	69%	67%
	Washington, DC / Northern Virginia area	22%	24%
	Chicago, IL	6%	6%
	San Francisco, CA	3%	3%
		100%	100%

58

Results of Operations – Six Months Ended June 30, 2015 Compared to June 30, 2014

Revenues

Our revenues, which consist primarily of property rentals, tenant expense reimbursements, and fee and other income, were $1,223,090,000 for the six months ended June 30, 2015, compared to $1,136,792,000 for the prior year’s six months, an increase of $86,298,000.  Below are the details of the increase (decrease) by segment:

(Amounts in thousands)		Total		New York		Washington, DC		Other
Increase (decrease) due to:
Property rentals:
	Acquisitions and other	$	19,212	$	18,490	$	722	$	-
	Development and redevelopment		24,921		24,232		(720)		1,409
	Hotel Pennsylvania		(2,611)		(2,611)		-		-
	Trade Shows		1,601		-		-		1,601
	Same store operations		26,364		20,325		990		5,049
			69,487		60,436		992		8,059
Tenant expense reimbursements:
	Acquisitions and other		1,226		1,226		-		-
	Development and redevelopment		1,455		1,379		76		-
	Same store operations		12,044		8,474		452		3,118
			14,725		11,079		528		3,118
Fee and other income:
	BMS cleaning fees		3,222		2,786		-		436
	Management and leasing fees		(3,127)		(2,741)		(169)		(217)
	Lease termination fees		(1,483)		2,379		(3,491)		(371)
	Other income (loss)		3,474		2,978		860		(364)
			2,086		5,402		(2,800)		(516)
Total increase (decrease) in revenues		$	86,298	$	76,917	$	(1,280)	$	10,661

59

 

Results of Operations – Six Months Ended June 30, 2015 Compared to June 30, 2014 - continued

Expenses

Our expenses, which consist primarily of operating, depreciation and amortization and general and administrative expenses, were $861,985,000 for the six months ended June 30, 2015, compared to $802,283,000 for the prior year’s six months, an increase of $59,702,000.  Below are the details of the increase by segment:

(Amounts in thousands)			Total			New York		Washington, DC		Other
Increase due to:
Operating:
	Acquisitions and other		$	3,094		$	3,094	$	-	$	-
	Development and redevelopment			9,942			7,504		361		2,077
	Non-reimbursable expenses, including bad debt
		reserves		294			-		-		294
	Hotel Pennsylvania			223			223		-		-
	Trade Shows			280			-		-		280
	BMS expenses			2,541			1,993		-		548
	Same store operations			13,850			11,348		(438)		2,940
				30,224			24,162		(77)		6,139
Depreciation and amortization:
	Acquisitions and other			12,441			12,441		-		-
	Development and redevelopment			(2,318)			(10,826)		15,363		(6,855)
	Same store operations			5,964			7,212		1,252		(2,500)
				16,087			8,827		16,615		(9,355)
General and administrative:
	Mark-to-market of deferred compensation plan
		liability (1)		(4,530)			-		-		(4,530)
	Same store operations			14,231	(2)		5,495		(1,804)		10,540
				9,701			5,495		(1,804)		6,010
Acquisition and transaction related costs				3,690			-		-		3,690
Total increase in expenses			$	59,702		$	38,484	$	14,734	$	6,484
(1)	This decrease in expense is entirely offset by a corresponding decrease in income from the mark-to-market of the deferred compensation plan assets, a component of “interest and other investment income, net” on our consolidated statements of income.
(2)	Results primarily from the acceleration of the recognition of compensation expense of $11,065 related to 2013-2015 Out-Performance Plans due to the modification of the vesting criteria of awards such that they fully vest at age 65. The accelerated expense will result in lower general and administrative expense during the remainder of 2015 of $2,154 and $7,834 thereafter.

60

Results of Operations – Six Months Ended June 30, 2015 Compared to June 30, 2014 - continued

Loss from Partially Owned Entities

Summarized below are the components of loss from partially owned entities for the six months ended June 30, 2015 and 2014.

(Amounts in thousands)		Percentage
		Ownership at	For the Six Months Ended June 30,
		June 30, 2015	2015		2014
Equity in Net (Loss) Income:
India real estate ventures (1)		4.1%-36.5%	$	(16,676)	$	(2,178)
Alexander's		32.4%		15,014		13,279
Partially owned office buildings (2)		Various		(12,534)		(1,405)
Toys (3)		32.5%		1,954		(55,744)
UE		5.4%		1,488		-
Other investments (4)		Various		3,118		(5,715)
			$	(7,636)	$	(51,763)
(1)	2015 includes $14,806 for our share of non-cash impairment loss.
(2)	Includes interests in 280 Park Avenue, 650 Madison Avenue, One Park Avenue, 666 Fifth Avenue (Office), 330 Madison Avenue, 510 West 22nd Street and others.
(3)	For the six months ended June 30, 2015, we recognized net income of $1,954,000 from our investment in Toys, representing management fees earned and received, compared to a net loss of $55,744,000 for the six months ended June 30, 2014, comprised of (i) $15,666,000 for our share of Toys’ equity in earnings, (ii) $3,786,000 of management fees earned and received, offset by (iii) a $75,196,000 non-cash impairment loss.
(4)	Includes interests in Independence Plaza, Monmouth Mall, 85 Tenth Avenue, Fashion Center Mall, 50-70 West 93rd Street and others.

Income from Real Estate Fund Investments

Below are the components of the income from our real estate fund investments for the six months ended June 30, 2015 and 2014.

(Amounts in thousands)		For the Six Months Ended June 30,
		2015		2014
Net investment income		$	8,600	$	7,031
Net realized gains on exited investments			25,591		75,069
Previously recorded unrealized gains on exited investments			(23,279)		(22,388)
Net unrealized gains on held investments			39,545		58,546
Income from real estate fund investments			50,457		118,258
Less income attributable to noncontrolling interests			(29,411)		(72,629)
Income from real estate fund investments attributable to Vornado Realty L.P.(1)		$	21,046	$	45,629
(1)	Excludes property management, leasing and development fees of $1,337 and $1,256 for the six months ended June 30, 2015 and 2014, respectively, which are included as a component of "fee and other income" on our consolidated statements of income.

61

Results of Operations – Six Months Ended June 30, 2015 Compared to June 30, 2014 - continued

Interest and Other Investment Income, net

Interest and other investment income, net was $16,458,000 for the six months ended June 30, 2015, compared to $21,246,000 for the prior year’s six months, a decrease of $4,788,000. This decrease resulted primarily from a lower increase in the value of investments in our deferred compensation plan (offset by a corresponding lower increase in the liability for plan assets in general and administrative expenses). 

Interest and Debt Expense

Interest and debt expense was $183,766,000 for the six months ended June 30, 2015, compared to $200,225,000 for the prior year’s six months, a decrease of $16,459,000.  This decrease was primarily due to (i) $17,891,000 of interest savings from the redemption of the $445,000,000 principal amount of the outstanding 7.875% senior unsecured notes during the fourth quarter of 2014, (ii) $10,667,000 of interest savings from the redemption of the $500,000,000 principal amount of the outstanding 4.25% senior unsecured notes on January 1, 2015, (iii) $5,589,000 of defeasance costs in April 2014 in connection with the refinancing of 909 Third Avenue, partially offset by (iv) $7,370,000 of lower capitalized interest in the current year, (v) $5,297,000 of interest expense from the issuance of $450,000,000 of senior unsecured notes in June 2014, and (vi) $3,949,000 of interest expense and deferred financing costs from the financing of our 220 Central Park South development site in January 2014.

Net Gain on Disposition of Wholly Owned and Partially Owned Assets

For the six months ended June 30, 2015, we recognized a $1,860,000 net gain on disposition of wholly owned and partially owned assets, primarily from the sale of residential condominiums, compared to $10,540,000 for the prior year’s six months, primarily from the sale of  residential condominiums and a land parcel. 

Income Tax Benefit (Expense)

Income tax benefit related to our taxable REIT subsidiaries was $87,101,000 for the six months ended June 30, 2015, compared to an expense of $4,131,000 for the prior year’s six months.  The decrease in expense of $91,232,000 was primarily attributable to the $90,030,000 reversal of the valuation allowance against our deferred tax assets, as we have concluded that it is more-likely-than-not that we will generate sufficient taxable income from the sale of 220 Central Park South residential condominium units to realize the deferred tax assets. 

62

Results of Operations – Six Months Ended June 30, 2015 Compared to June 30, 2014 - continued

Income from Discontinued Operations

The table below sets forth the combined results of assets related to discontinued operations for the six months ended June 30, 2015 and 2014.

(Amounts in thousands)	For the Six Months Ended June 30,
	2015		2014
Total revenues	$	21,531	$	202,720
Total expenses		15,393		141,904
		6,138		60,816
Net gain on sale of Geary Street, CA lease		21,376		-
Net gains on sale of real estate		10,867		-
Transaction related costs (primarily UE spin off)		(22,972)		(3,515)
Impairment losses		(256)		(20,842)
Pretax income from discontinued operations		15,153		36,459
Income tax expense		(86)		(1,050)
Income from discontinued operations	$	15,067	$	35,409

Net Income Attributable to Noncontrolling Interests in Consolidated Subsidiaries

Net income attributable to noncontrolling interests in consolidated subsidiaries was $35,068,000 for the six months ended June 30, 2015, compared to $75,554,000 for the prior year’s six months, a decrease of $40,486,000.  This decrease resulted primarily from lower net income allocated to the noncontrolling interests, including noncontrolling interests of our real estate fund investments.

Preferred Unit Distributions

Preferred unit distributions were $39,910,000 for the six months ended June 30, 2015, compared to $40,759,000 for the prior year’s six months, a decrease of $849,000. 

63

Results of Operations – Six Months Ended June 30, 2015 Compared to June 30, 2014 - continued

Same Store EBITDA

Same store EBITDA represents EBITDA from property level operations which are owned by us in both the current and prior year reporting periods.  Same store EBITDA excludes segment-level overhead expenses, which are expenses that we do not consider to be property-level expenses, as well as other non-operating items.  We also present same store EBITDA on a cash basis which excludes income from the straight-lining of rents, amortization of below-market leases, net of above-market leases and other non-cash adjustments.  We present these non-GAAP measures to (i) facilitate meaningful comparisons of the operational performance of our properties and segments, (ii) make decisions on whether to buy, sell or refinance properties, and (iii) compare the performance of our properties and segments to those of our peers.  Same store EBITDA should not be considered as an alternative to net income or cash flow from operations and may not be comparable to similarly titled measures employed by other companies. 

Below are reconciliations of EBITDA to same store EBITDA for each of our segments for the six months ended June 30, 2015, compared to six months ended June 30, 2014.

(Amounts in thousands)			New York		Washington, DC
EBITDA for the six months ended June 30, 2015			$	524,933	$	168,891
	Add-back:
		Non-property level overhead expenses included above		19,933		12,215
	Less EBITDA from:
		Acquisitions		(18,998)		-
		Dispositions, including net gains on sale		190		(59)
		Properties taken out-of-service for redevelopment		(30,715)		(144)
		Other non-operating income		(12,337)		(1,881)
Same store EBITDA for the six months ended June 30, 2015			$	483,006	$	179,022
EBITDA for the six months ended June 30, 2014			$	485,127	$	168,981
	Add-back:
		Non-property level overhead expenses included above		14,438		14,019
	Less EBITDA from:
		Acquisitions		-		-
		Dispositions, including net gains on sale		(12,389)		-
		Properties taken out-of-service for redevelopment		(11,850)		(1,034)
		Other non-operating income		(3,332)		(3,687)
Same store EBITDA for the six months ended June 30, 2014			$	471,994	$	178,279
Increase in same store EBITDA -
	Six months ended June 30, 2015 vs. June 30, 2014(1)		$	11,012	$	743
% increase in same store EBITDA				2.3%		0.4%
See notes on following page.

64

Results of Operations – Six Months Ended June 30, 2015 Compared to June 30, 2014 - continued

Notes to preceding tabular information

New York:

The $11,012,000 increase in New York same store EBITDA resulted primarily from increases in Office and Retail EBITDA of $5,210,000 and $8,559,000, respectively, partially offset by a decrease in Hotel Pennsylvania EBITDA of $2,842,000.  The Office and Retail EBITDA increases resulted primarily from higher rents, including signage, partially offset by higher operating expenses, net of reimbursements and lower revenue at the Hotel Pennsylvania.

Washington, DC:

The $743,000 increase in Washington, DC same store EBITDA resulted primarily from lower non-reimbursable operating expenses, partially offset by lower management and leasing fee income.

Reconciliation of Same Store EBITDA to Cash Basis Same Store EBITDA

(Amounts in thousands)		New York		Washington, DC
Same store EBITDA for the six months ended June 30, 2015		$	483,006	$	179,022
Less: Adjustments for straight line rents, amortization of acquired
	below-market leases, net, and other non-cash adjustments		(54,516)		(11,959)
Cash basis same store EBITDA for the six months ended
	June 30, 2015	$	428,490	$	167,063
Same store EBITDA for the six months ended June 30, 2014		$	471,994	$	178,279
Less: Adjustments for straight line rents, amortization of acquired
	below-market leases, net, and other non-cash adjustments		(59,587)		(3,677)
Cash basis same store EBITDA for the six months ended
	June 30, 2014	$	412,407	$	174,602
Increase (decrease) in cash basis same store EBITDA -
	Six months ended June 30, 2015 vs. June 30, 2014	$	16,083	$	(7,539)
% increase (decrease) in cash basis same store EBITDA			3.9%		(4.3%)

65

 

SUPPLEMENTAL INFORMATION

Reconciliation of Net Income to EBITDA for the Three Months Ended March 31, 2015

(Amounts in thousands)	New York		Washington, DC
Net income attributable to Vornado Realty L.P. for the three months ended March 31, 2015	$	95,152	$	23,629
Interest and debt expense		58,667		21,512
Depreciation and amortization		94,124		40,752
Income tax expense (benefit)		1,002		(2,636)
EBITDA for the three months ended March 31,2015	$	248,945	$	83,257

Reconciliation of EBITDA to Same Store EBITDA – Three Months Ended June 30, 2015 Compared to March 31, 2015

(Amounts in thousands)			New York		Washington, DC
EBITDA for the three months ended June 30, 2015			$	275,988	$	85,634
	Add-back:
		Non-property level overhead expenses included above		7,889		6,511
	Less EBITDA from:
		Acquisitions		(3,732)		-
		Dispositions, including net gains on sale		156		-
		Properties taken out-of-service for redevelopment		(17,341)		(51)
		Other non-operating income		(8,330)		(1,752)
Same store EBITDA for the three months ended June 30, 2015			$	254,630	$	90,342
EBITDA for the three months ended March 31, 2015			$	248,945	$	83,257
	Add-back:
		Non-property level overhead expenses included above		12,044		5,704
	Less EBITDA from:
		Acquisitions		(338)		-
		Dispositions, including net gains on sale		35		(59)
		Properties taken out-of-service for redevelopment		(13,308)		(92)
		Other non-operating income		(4,008)		(129)
Same store EBITDA for the three months ended March 31, 2015			$	243,370	$	88,681
Increase in same store EBITDA -
	Three months ended June 30, 2015 vs. March 31, 2015		$	11,260	$	1,661
% increase in same store EBITDA				4.6%		1.9%

66

SUPPLEMENTAL INFORMATION – CONTINUED

Reconciliation of Same Store EBITDA to Cash Basis Same Store EBITDA – Three Months Ended June 30, 2015 Compared to March 31, 2015

(Amounts in thousands)		New York		Washington, DC
Same store EBITDA for the three months ended June 30, 2015		$	254,630	$	90,342
Less: Adjustments for straight line rents, amortization of acquired
	below-market leases, net, and other non-cash adjustments		(33,477)		(6,074)
Cash basis same store EBITDA for the three months ended
	June 30, 2015	$	221,153	$	84,268
Same store EBITDA for the three months ended March 31, 2015		$	243,370	$	88,681
Less: Adjustments for straight line rents, amortization of acquired
	below-market leases, net, and other non-cash adjustments		(28,800)		(5,885)
Cash basis same store EBITDA for the three months ended
	March 31, 2015	$	214,570	$	82,796
Increase in cash basis same store EBITDA -
	Three months ended June 30, 2015 vs. March 31, 2015	$	6,583	$	1,472
% increase in cash basis same store EBITDA			3.1%		1.8%

67

 

Liquidity and Capital Resources

Property rental income is our primary source of cash flow and is dependent upon the occupancy and rental rates of our properties.   Our cash requirements include property operating expenses, capital improvements, tenant improvements, leasing commissions, distributions to unitholders, as well as acquisition and development costs.  Other sources of liquidity to fund cash requirements include proceeds from debt financings, including mortgage loans, senior unsecured borrowings, and our revolving credit facilities; proceeds from the issuance of equity securities; and asset sales.    

We anticipate that cash flow from continuing operations over the next twelve months will be adequate to fund our business operations, cash distributions to unitholders, debt amortization and recurring capital expenditures.  Capital requirements for development expenditures and acquisitions may require funding from borrowings and/or equity offerings.

We may from time to time purchase or retire outstanding debt securities or redeem our equity securities.  Such purchases, if any, will depend on prevailing market conditions, liquidity requirements and other factors.  The amounts involved in connection with these transactions could be material to our consolidated financial statements.

Cash Flows for the Six Months Ended June 30, 2015

Our cash and cash equivalents were $516,337,000 at June 30, 2015, a $682,140,000 decrease over the balance at December 31, 2014.  Our consolidated outstanding debt was $9,809,777,000 at June 30, 2015, a $199,453,000 increase over the balance at December 31, 2014.  As of June 30, 2015 and December 31, 2014, $400,000,000 and $0, respectively, was outstanding under our revolving credit facilities.  During the remainder of 2015 and 2016, $0 and $1,410,070,000, respectively, of our outstanding debt matures; we may refinance this maturing debt as it comes due or choose to repay it.

Cash flows provided by operating activities of $184,616,000 was comprised of (i) net income of $340,646,000, (ii) return of capital from real estate fund investments of $83,443,000, (iii) $51,160,000 of non-cash adjustments, which include depreciation and amortization expense, the reversal of allowance for deferred tax assets, the effect of straight-lining of rental income, loss from partially owned entities and impairment losses on real estate, and (iv) distributions of income from partially owned entities of $37,821,000, partially offset by (v) the net change in operating assets and liabilities of $328,454,000 (including the acquisition of real estate fund investments of $95,000,000).

Net cash used in investing activities of $474,602,000 was comprised of (i) $381,001,000 of acquisitions of real estate and other, (ii) $200,970,000 of development costs and construction in progress, (iii) $137,528,000 of additions to real estate, (iv) $137,465,000 of investments in partially owned entities, and (v) $23,919,000 of investments in loans receivable, partially offset by (vi) $334,725,000 of proceeds from sales of real estate and related investments, (vii) $29,666,000 of capital distributions from partially owned entities, (viii) $25,118,000 of changes in restricted cash, and (ix) $16,772,000 of proceeds from repayments of mortgage and mezzanine loans receivable and other.

Net cash used in financing activities of $392,154,000 was comprised of (i) $1,607,574,000 for the repayments of borrowings, (ii) $237,160,000 of distributions to Vornado, (iii) $225,000,000 of distributions in connection with the spin-off of UE, (iv) $77,447,000 of distributions to redeemable security holders and noncontrolling interests, (v) $39,849,000 of distributions to preferred unitholders, (vi) $14,053,000 of debt issuance costs, and (vii) $2,939,000 for the repurchase of Class A units related to equity compensation agreements resulting from exercises of long-term equity awards by executives of Vornado and/or related tax withholdings, partially offset by (viii) $1,746,460,000 of proceeds from borrowings, (ix) $51,725,000 of contributions from noncontrolling interests in consolidated subsidiaries, and (x) $13,683,000 of proceeds received from the exercise of Vornado share options.

Capital Expenditures

Capital expenditures consist of expenditures to maintain assets, tenant improvement allowances and leasing commissions.  Recurring capital expenditures include expenditures to maintain a property’s competitive position within the market and tenant improvements and leasing commissions necessary to re-lease expiring leases or renew or extend existing leases.  Non-recurring capital improvements include expenditures to lease space that has been vacant for more than nine months and expenditures completed in the year of acquisition and the following two years that were planned at the time of acquisition, as well as tenant improvements and leasing commissions for space that was vacant at the time of acquisition of a property.

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Liquidity and Capital Resources – continued

Capital Expenditures - continued

Below is a summary of capital expenditures, leasing commissions and a reconciliation of total expenditures on an accrual basis to the cash expended in the six months ended June 30, 2015.

(Amounts in thousands)			Total		New York		Washington, DC		Other
Expenditures to maintain assets			$	46,080	$	25,985	$	6,009	$	14,086
Tenant improvements				62,363		19,798		36,913		5,652
Leasing commissions				15,610		10,144		4,677		789
Non-recurring capital expenditures				90,592		63,633		26,638		321
Total capital expenditures and leasing commissions (accrual basis)				214,645		119,560		74,237		20,848
Adjustments to reconcile to cash basis:
		Expenditures in the current year applicable to prior periods		77,839		41,085		20,826		15,928
		Expenditures to be made in future periods for the current period		(122,715)		(60,309)		(58,408)		(3,998)
Total capital expenditures and leasing commissions (cash basis)			$	169,769	$	100,336	$	36,655	$	32,778
Tenant improvements and leasing commissions:
	Per square foot per annum		$	8.25	$	9.88	$	6.83	$	n/a
	Percentage of initial rent			11.0%		8.3%		18.5%		n/a

Development and Redevelopment Expenditures

Development and redevelopment expenditures consist of all hard and soft costs associated with the development or redevelopment of a property, including capitalized interest, debt and operating costs until the property is substantially completed and ready for its intended use. 

We are in the process of redeveloping the retail space at the Marriott Marquis Times Square Hotel, including converting the below grade parking garage into retail, which is expected to be completed by the end of 2015.  The retail space includes 20,000 square feet on grade and 24,000 square feet below grade.  As part of the redevelopment, we have completed the construction of a six-story, 300 foot wide block front, dynamic LED sign, which was lit for the first time in November 2014.  The incremental development cost of this project is approximately $220,000,000, of which $192,000,000 has been expended as of June 30, 2015.

We are constructing a residential condominium tower containing 392,000 salable square feet on our 220 Central Park South development site.  The incremental development cost of this project is approximately $1.0 billion, of which $176,000,000 has been expended as of June 30, 2015.  In January 2014, we completed a $600,000,000 loan secured by this site.  On August 26, 2014, we obtained a standby commitment for up to $500,000,000 of five-year mezzanine loan financing to fund a portion of the development expenditures at 220 Central Park South.

We are developing The Bartlett, a 699-unit residential project in Pentagon City, which is expected to be completed in 2016.  The project will include a 37,000 square foot Whole Foods Market at the base of the building.  The incremental development cost of this project is approximately $250,000,000, of which $104,000,000 has been expended as of June 30, 2015.

We are redeveloping an existing 165,000 square foot office building in Crystal City (2221 S. Clark Street), which we have leased to WeWork, into 216 rental residential units and 2 floors of co-working space.  The incremental development cost of this project is approximately $40,000,000.  The redevelopment is expected to be completed in phases beginning in the fourth quarter of 2015.

We have substantially completed the repositioning of 280 Park Avenue (50% owned). Our share of the incremental development costs of this project is approximately $63,000,000, of which $61,000,000 was expended as of June 30, 2015.

We are also evaluating other development and redevelopment opportunities at certain of our properties in Manhattan, including the Penn Plaza District, and in Washington, including Crystal City, Rosslyn and Pentagon City.

There can be no assurance that any of our development or redevelopment projects will commence, or if commenced, be completed, or completed on schedule or within budget.

69

 

Liquidity and Capital Resources – continued

Development and Redevelopment Expenditures - continued

Below is a summary of development and redevelopment expenditures incurred in the six months ended June 30, 2015.  These expenditures include interest of $22,812,000, payroll of $2,115,000 and other soft costs (primarily architectural and engineering fees, permits, real estate taxes and professional fees) aggregating $39,811,000, that were capitalized in connection with the development and redevelopment of these projects.

(Amounts in thousands)	Total		New York		Washington, DC		Other
220 Central Park South	$	57,554	$	-	$	-	$	57,554
The Bartlett		41,889		-		41,889		-
330 West 34th Street		18,324		18,324		-		-
Marriott Marquis Times Square - retail and signage		15,294		15,294		-		-
Springfield Town Center		14,478		-		-		14,478
90 Park Avenue		12,868		12,868		-		-
Wayne Towne Center		10,959		-		-		10,959
2221 South Clark Street		6,939		-		6,939		-
251 18th Street		3,891		-		3,891		-
Penn Plaza		2,011		2,011		-		-
608 Fifth Avenue		1,811		1,811		-		-
7 West 34th Street		1,533		1,533		-		-
Other		13,419		2,504		10,628		287
	$	200,970	$	54,345	$	63,347	$	83,278

Cash Flows for the Six Months Ended June 30, 2014

Our cash and cash equivalents were $1,371,226,000 at June 30, 2014, a $787,936,000 increase over the balance at December 31, 2013. The increase is primarily due to cash flows from operating and financing activities, partially offset by cash flows from investing activities, as discussed below.

Cash flows provided by operating activities of $447,643,000 was comprised of (i) net income of $263,843,000, (ii) $209,123,000 of non-cash adjustments, which include depreciation and amortization expense, the effect of straight-lining of rental income, equity in net loss of partially owned entities and impairment losses on real estate, (iii) return of capital from real estate fund investment of $140,920,000, and (iv) distributions of income from partially owned entities of $25,784,000, partially offset by (v) the net change in operating assets and liabilities of $192,027,000, including $2,666,000 related to real estate fund investments.

Net cash used in investing activities of $66,514,000 was comprised of (i) $214,615,000 of development costs and construction in progress, (ii) $105,116,000 of additions to real estate, (iii) $62,894,000 of investments in partially owned entities, and (iv) $8,963,000 of acquisition of real estate and other, partially offset by (v) $125,037,000 of proceeds from sales of real estate and related investments, (vi) $102,087,000 of changes in restricted cash, (vii) $96,159,000 of proceeds from repayments of mortgages and mezzanine loans receivable and other, and (viii) $1,791,000 of capital distributions from partially owned entities.   

Net cash provided by financing activities of $406,807,000 was comprised of (i) $1,398,285,000 of proceeds from borrowings, (ii) $10,125,000 of proceeds received from the exercise of Vornado share options, and (iii) $5,297,000 of contributions from noncontrolling interests in consolidated subsidiaries, partially offset by (iv) $313,444,000 for the repayments of borrowings, (v) $273,694,000 of distributions to Vornado, (vi) purchase of marketable securities in connection with defeasance of mortgage notes payable of $198,884,000, (vii) $149,944,000 of distributions to redeemable security holders and noncontrolling interests, (viii) $40,737,000 of distributions to preferred unitholders, (ix) $29,560,000 of debt issuance costs, and (x) $637,000 for the repurchase of Class A units related to equity compensation agreements and/or related tax withholdings.

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Liquidity and Capital Resources – continued

Capital Expenditures in the six months ended June 30, 2014

Below is a summary of capital expenditures, leasing commissions and a reconciliation of total expenditures on an accrual basis to the cash expended in the six months ended June 30, 2014.

(Amounts in thousands)			Total		New York		Washington, DC		Other
Expenditures to maintain assets			$	34,110	$	20,896	$	4,761	$	8,453
Tenant improvements				114,133		89,525		11,180		13,428
Leasing commissions				50,624		44,171		2,806		3,647
Non-recurring capital expenditures				17,761		2,904		12,435		2,422
Total capital expenditures and leasing commissions (accrual basis)				216,628		157,496		31,182		27,950
Adjustments to reconcile to cash basis:
		Expenditures in the current year applicable to prior periods		67,908		26,568		30,957		10,383
		Expenditures to be made in future periods for the current period		(143,636)		(108,232)		(22,927)		(12,477)
Total capital expenditures and leasing commissions (cash basis)			$	140,900	$	75,832	$	39,212	$	25,856
Tenant improvements and leasing commissions:
	Per square foot per annum		$	6.25	$	6.50	$	5.23	$	n/a
	Percentage of initial rent			9.9%		9.1%		13.0%		n/a

Development and Redevelopment Expenditures in the six months ended June 30, 2014

Below is a summary of development and redevelopment expenditures incurred in the six months ended June 30, 2014.  These expenditures include interest of $30,182,000, payroll of $4,175,000 and other soft costs (primarily architectural and engineering fees, permits, real estate taxes and professional fees) aggregating $27,907,000, that were capitalized in connection with the development and redevelopment of these projects.

(Amounts in thousands)	Total		New York		Washington, DC		Other
Springfield Town Center	$	54,743	$	-	$	-	$	54,743
Marriott Marquis Times Square - retail and signage		38,659		38,659		-		-
220 Central Park South		27,372		-		-		27,372
330 West 34th Street		21,816		21,816		-		-
608 Fifth Avenue		15,809		15,809		-		-
The Bartlett		10,873		-		10,873		-
7 West 34th Street		7,243		7,243		-		-
Wayne Towne Center		5,228		-		-		5,228
Other		32,872		13,866		13,438		5,568
	$	214,615	$	97,393	$	24,311	$	92,911

71

Liquidity and Capital Resources – continued

Other Commitments and Contingencies

We are from time to time involved in legal actions arising in the ordinary course of business. In our opinion, after consultation with legal counsel, the outcome of such matters is not expected to have a material adverse effect on our financial position, results of operations or cash flows.

Each of our properties has been subjected to varying degrees of environmental assessment at various times. The environmental assessments did not reveal any material environmental contamination. However, there can be no assurance that the identification of new areas of contamination, changes in the extent or known scope of contamination, the discovery of additional sites, or changes in cleanup requirements would not result in significant costs to us.

Our mortgage loans are non-recourse to us.  However, in certain cases we have provided guarantees or master leased tenant space.  These guarantees and master leases terminate either upon the satisfaction of specified circumstances or repayment of the underlying loans.  As of June 30, 2015, the aggregate dollar amount of these guarantees and master leases is approximately $369,000,000.

At June 30, 2015, $39,382,000 of letters of credit were outstanding under one of our revolving credit facilities.  Our revolving credit facilities contain financial covenants that require us to maintain minimum interest coverage and maximum debt to market capitalization ratios, and provide for higher interest rates in the event of a decline in our ratings below Baa3/BBB. Our revolving credit facilities also contain customary conditions precedent to borrowing, including representations and warranties, and also contain customary events of default that could give rise to accelerated repayment, including such items as failure to pay interest or principal.

As of June 30, 2015, we expect to fund additional capital to certain of our partially owned entities aggregating approximately $81,000,000.

72

Item 3.   Quantitative and Qualitative Disclosures About Market Risk

We have exposure to fluctuations in market interest rates. Market interest rates are sensitive to many factors that are beyond our control. Our exposure to a change in interest rates on our consolidated and non-consolidated debt (all of which arises out of non-trading activity) is as follows:

(Amounts in thousands, except per unit amounts)			2015					2014
					Weighted	Effect of 1%				Weighted
			June 30,		Average	Change In		December 31,		Average
			Balance		Interest Rate	Base Rates		Balance		Interest Rate
Consolidated debt:
	Variable rate		$	2,612,436	2.02%	$	26,124	$	1,763,769	2.20%
	Fixed rate			7,197,341	4.34%		-		7,846,555	4.36%
			$	9,809,777	3.73%		26,124	$	9,610,324	3.97%
Pro rata share of debt of non-consolidated
	entities (non-recourse):
	Variable rate – excluding Toys		$	364,355	1.96%		3,644	$	319,387	1.72%
	Variable rate – Toys			1,028,680	7.18%		10,287		1,199,835	6.47%
	Fixed rate (including $657,785 and
		$674,443 of Toys debt in 2015 and 2014)		2,949,343	6.33%		-		2,754,410	6.45%
			$	4,342,378	6.16%		13,931	$	4,273,632	6.10%
Total change in annual net income						$	40,055
Per diluted unit						$	0.21

We may utilize various financial instruments to mitigate the impact of interest rate fluctuations on our cash flows and earnings, including hedging strategies, depending on our analysis of the interest rate environment and the costs and risks of such strategies. As of June 30, 2015, we have one interest rate swap on a $420,000,000 mortgage loan that swapped the rate from LIBOR plus 1.65% (1.83% at June 30, 2015) to a fixed rate of 4.78% through March 2018. 

Fair Value of Debt

The estimated fair value of our consolidated debt is calculated based on current market prices and discounted cash flows at the rate at which similar loans could be made currently to borrowers with similar credit ratings, for the remaining term of such debt.  As of June 30, 2015, the estimated fair value of our consolidated debt was $9,823,000,000.

Item 4.   Controls and Procedures

Disclosure Controls and Procedures:  Vornado’s management, with the participation of Vornado’s Chief Executive Officer and Chief Financial Officer, has evaluated the effectiveness of the Company’s disclosure controls and procedures (as such term is defined in Rule 13a‑15(e) under the Securities Exchange Act of 1934, as amended) as of the end of the period covered by this report. Based on such evaluation, Vornado’s Chief Executive Officer and Chief Financial Officer have concluded that, as of June 30, 2015, such disclosure controls and procedures were effective.

Internal Control Over Financial Reporting:  There have not been any changes in the Company’s internal control over financial reporting (as such term is defined in Rule 13a-15(f) under the Securities and Exchange Act of 1934, as amended) during the fiscal quarter to which this report relates that have materially affected, or are reasonably likely to materially affect, the Company’s internal control over financial reporting.

73

PART II.   OTHER INFORMATION

Item 1.  Legal Proceedings

We are from time to time involved in legal actions arising in the ordinary course of business. In our opinion, after consultation with legal counsel, the outcome of such matters is not expected to have a material adverse effect on our financial position, results of operations or cash flows.

Item 1A. Risk Factors

There were no material changes to the Risk Factors disclosed in our Annual Report on Form 10-K, as amended, for the year ended December 31, 2014.

Item 2.   Unregistered Sales of Equity Securities and Use of Proceeds

During the quarter ended June 30, 2015, we issued 527,687 Class A Units to Vornado upon conversion, surrender or exchange of equity awards issued pursuant to Vornado’s omnibus share plans and consideration received included $2,237,065 in cash proceeds.   Such Units were issued in reliance on an exemption from registration under Section 4(2) of the Securities Act of 1933, as amended.

Item 3.   Defaults Upon Senior Securities

        None.

Item 4.   Mine Safety Disclosures

        Not applicable.

Item 5.   Other Information

        None.

Item 6.   Exhibits

Exhibits required by Item 601 of Regulation S-K are filed herewith or incorporated herein by reference and are listed in the attached Exhibit Index.

74

 

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

		VORNADO REALTY L.P.
		(Registrant)
Date: August 7, 2015	By:	/s/ Stephen W. Theriot
		Stephen W. Theriot, Chief Financial Officer of Vornado Realty Trust, sole General Partner of Vornado Realty L.P. (duly authorized officer and principal financial and accounting officer)

75

	EXHIBIT INDEX
Exhibit No.
	15.1	-	Letter regarding Unaudited Interim Financial Information
	31.1	-	Rule 13a-14 (a) Certification of the Chief Executive Officer
	31.2	-	Rule 13a-14 (a) Certification of the Chief Financial Officer
	32.1	-	Section 1350 Certification of the Chief Executive Officer
	32.2	-	Section 1350 Certification of the Chief Financial Officer
	101.INS	-	XBRL Instance Document
	101.SCH	-	XBRL Taxonomy Extension Schema
	101.CAL	-	XBRL Taxonomy Extension Calculation Linkbase
	101.DEF	-	XBRL Taxonomy Extension Definition Linkbase
	101.LAB	-	XBRL Taxonomy Extension Label Linkbase
	101.PRE	-	XBRL Taxonomy Extension Presentation Linkbase

76

EX-15

EXHIBIT 15.1

August 7, 2015

Vornado Realty L.P.

New York, New York

We have reviewed, in accordance with the standards of the Public Company Accounting Oversight Board (United States), the unaudited interim financial information of Vornado Realty L.P. for the periods ended June 30, 2015, and 2014, as indicated in our report dated August 7, 2015; because we did not perform an audit, we expressed no opinion on that information.

We are aware that our report referred to above, which is included in your Quarterly Report on Form 10-Q for the quarter ended June 30, 2015, is incorporated by reference in the following joint Registration Statement of Vornado Realty Trust and Vornado Realty L.P.:

Registration Statement No. 333-203294 on Form S-3

We also are aware that the aforementioned report, pursuant to Rule 436(c) under the Securities Act of 1933, is not considered a part of the Registration Statement prepared or certified by an accountant or a report prepared or certified by an accountant within the meaning of Sections 7 and 11 of that Act.

/s/ DELOITTE & TOUCHE LLP

Parsippany, New Jersey

EX-31

 

EXHIBIT 31.1

CERTIFICATION

I, Steven Roth, certify that:

1.     I have reviewed this Quarterly Report on Form 10-Q of Vornado Realty L.P.;

2.     Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3.     Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4.     The registrant’s other certifying officer(s) and I are responsible for establishing and maintaining disclosure control and procedures (as defined in Exchange Act Rules 13a‑15(e) and 15d‑15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

a)    Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

b)    Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

c)     Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

d)    Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5.     The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

a)    All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

b)    Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

August 7, 2015

/s/ Steven Roth

Steven Roth

Chairman of the Board and Chief Executive Officer

of Vornado Realty Trust, sole General Partner of

Vornado Realty L.P.

EX-31

 

EXHIBIT 31.2

CERTIFICATION

I, Stephen W. Theriot, certify that:

1.     I have reviewed this Quarterly Report on Form 10-Q of Vornado Realty L.P.;

2.     Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3.     Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4.     The registrant’s other certifying officer(s) and I are responsible for establishing and maintaining disclosure control and procedures (as defined in Exchange Act Rules 13a‑15(e) and 15d‑15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

a)    Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

b)    Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

c)     Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

d)    Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5.     The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

a)    All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

b)    Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

August 7, 2015

/s/ Stephen W. Theriot

Stephen W. Theriot

Chief Financial Officer of Vornado Realty Trust,

sole General Partner of Vornado Realty L.P.

EX-32

 

EXHIBIT 32.1

CERTIFICATION

Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002

(Subsection (a) and (b) of Section 1350 of Chapter 63 of Title 18 of the United States Code)

Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 (subsections (a) and (b) of Section 1350 of Chapter 63 of Title 18 of the United States Code), the undersigned officer of Vornado Realty L.P. (the “Company”), hereby certifies, to such officer’s knowledge, that:

The Quarterly Report on Form 10-Q for quarter ended June 30, 2015(the “Report”) of the Company fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934 and the information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

August 7, 2015		/s/ Steven Roth
	Name:	Steven Roth
	Title:	Chairman of the Board and Chief Executive Officer of Vornado Realty Trust, sole General Partner of Vornado Realty L.P.

EX-32

 

EXHIBIT 32.2

CERTIFICATION

Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002

(Subsection (a) and (b) of Section 1350 of Chapter 63 of Title 18 of the United States Code)

Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 (subsections (a) and (b) of Section 1350 of Chapter 63 of Title 18 of the United States Code), the undersigned officer of Vornado Realty L.P. (the “Company”), hereby certifies, to such officer’s knowledge, that:

The Quarterly Report on Form 10-Q for quarter ended June 30, 2015(the “Report”) of the Company fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934 and the information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

August 7, 2015		/s/ Stephen W. Theriot
	Name:	Stephen W. Theriot
	Title:	Chief Financial Officer of Vornado Realty Trust, sole General Partner of Vornado Realty L.P.

XML

Accumulated Other Comprehensive Income ("AOCI") (Tables)

6 Months Ended

Jun. 30, 2015

Accumulated Other Comprehensive Income [Abstract]

Schedule of Accumulated Other Comprehensive Income (Loss) [Table Text Block]

(Amounts in thousands)				Securities		Pro rata share of		Interest
				available-		nonconsolidated		rate
		Total		for-sale		subsidiaries' OCI		swap		Other
For the Three Months Ended June 30, 2015
Balance as of March 31, 2015		$	72,609	$	112,442	$	(8,835)	$	(26,579)	$	(4,419)
	OCI before reclassifications		(21,996)		(25,000)		(1,191)		2,849		1,346
	Amounts reclassified from AOCI		-		-		-		-		-
Net current period OCI			(21,996)		(25,000)		(1,191)		2,849		1,346
Balance as of June 30, 2015		$	50,613	$	87,442	$	(10,026)	$	(23,730)	$	(3,073)
For the Three Months Ended June 30, 2014
Balance as of March 31, 2014		$	77,626	$	132,434	$	(19,787)	$	(30,272)	$	(4,749)
	OCI before reclassifications		14,595		1,878		14,163		(545)		(901)
	Amounts reclassified from AOCI		-		-		-		-		-
Net current period OCI			14,595		1,878		14,163		(545)		(901)
Balance as of June 30, 2014		$	92,221	$	134,312	$	(5,624)	$	(30,817)	$	(5,650)
For the Six Months Ended June 30, 2015
Balance as of December 31, 2014		$	93,267	$	133,774	$	(8,992)	$	(25,803)	$	(5,712)
	OCI before reclassifications		(42,654)		(46,332)		(1,034)		2,073		2,639
	Amounts reclassified from AOCI		-		-		-		-		-
Net current period OCI			(42,654)		(46,332)		(1,034)		2,073		2,639
Balance as of June 30, 2015		$	50,613	$	87,442	$	(10,026)	$	(23,730)	$	(3,073)
For the Six Months Ended June 30, 2014
Balance as of December 31, 2013		$	71,537	$	119,309	$	(11,501)	$	(31,882)	$	(4,389)
	OCI before reclassifications		20,684		15,003		5,877		1,065		(1,261)
	Amounts reclassified from AOCI		-		-		-		-		-
Net current period OCI			20,684		15,003		5,877		1,065		(1,261)
Balance as of June 30, 2014		$	92,221	$	134,312	$	(5,624)	$	(30,817)	$	(5,650)

XML

Investments in Partially Owned Entities (Alexander's Inc.) (Details) - Alexanders Inc [Member] - Real Estate And Accumulated Depreciation Name Of Property [Domain] - Subsequent Event Type [Domain] - Real Estate Properties [Domain] - Segment Breakdown [Domain] - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014	Dec. 31, 2014
Equity Method Investments And Income From Equity Method Investments [Abstract]
Ownership common shares, investee (in shares)	1,654,068		1,654,068
Equity method ownership percentage	32.40%		32.40%
Closing share price (in dollars per share)	$ 410.00		$ 410.00
Equity Method Investment Market Value	$ 678,168		$ 678,168
Excess of investee's fair value over carrying amount	547,529		547,529
Excess of investee's carrying amount over equity in net assets	40,690		40,690
Condensed Financial Information For Equity Method Investments [Abstract]
Assets	1,418,000		1,418,000		$ 1,423,000
Liabilities	1,074,000		1,074,000		1,075,000
Equity	344,000		344,000		$ 348,000
Total revenue	51,000	$ 50,000	103,000	$ 99,000
Net (loss) income attributable to investee	$ 17,000	$ 17,000	$ 35,000	$ 32,000

XML

Basis of Presentation and Significant Accounting Policies (Details 2) - USD ($)	3 Months Ended			6 Months Ended
	Jun. 30, 2015	Mar. 31, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014	Dec. 31, 2014
Income Tax Expense Benefit Continuing Operations Income Tax Reconciliation [Line Items]
Deferred Tax Assets, Valuation Allowance	$ 95,419,000			$ 95,419,000		$ 94,100,000
Proceeds from sale of real estate		$ 10,731,000
Deferred tax assets allowance, reversed	90,030,000			90,030,000	$ 0
Income tax benefit	$ (88,072,000)		$ 3,280,000	(87,101,000)	$ 4,131,000
New York Manhattan 220 Central Park South Site [Member]
Income Tax Expense Benefit Continuing Operations Income Tax Reconciliation [Line Items]
Percentage of number of units sold			40.00%		40.00%
Proceeds from sale of real estate				$ 1,400,000,000

XML

Investments in Partially Owned Entities (Urban Edge Properties and PREIT Associates L.P.) (Details) - Segment [Domain] $ / shares in Units, ft² in Thousands			3 Months Ended
	Mar. 31, 2015 USD ($) ft² $ / shares shares	Jan. 15, 2015 shares	Mar. 31, 2015 USD ($) ft² $ / shares	Jun. 30, 2015
Schedule Of Equity Method Investments [Line Items]
Cash Proceeds from sale of real estate			$ 10,731,000
Spin off to Urban Edge [Member]
Schedule Of Equity Method Investments [Line Items]
Operating Partnership Units Received From Buyer | shares		5,717,184
Equity method ownership percentage		5.40%
Pennsylavenia Real Estate Investment Trust [Member]
Schedule Of Equity Method Investments [Line Items]
Equity method ownership percentage	8.10%		8.10%	8.10%
Maximum [Member]
Schedule Of Equity Method Investments [Line Items]
Duration Of Administrative Services		2 years
Retail Springfield Mall [Member] | Retail Segment Regional Malls [Member] | Pennsylavenia Real Estate Investment Trust [Member]
Schedule Of Equity Method Investments [Line Items]
Operating Partnership Units Received From Buyer | shares	6,250,000
Square Footage Of Real Estate Property | ft²	1,350		1,350
Gross proceeds from sale of real estate	$ 485,313,000
Cash Proceeds from sale of real estate	340,000,000
Operating Partnership Units Value	$ 145,313,000		$ 145,313,000
Operating Partnership Unis Value Per Unit | $ / shares	$ 23.25		$ 23.25
Payments for tenant improvements and allowances	$ 19,000,000

XML

Segment Information (Parentheticals) (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014	Dec. 31, 2014	Sep. 30, 2014
Segment Reporting Information [Line Items]
Earnings Before Interest, Taxes, Depreciation, and Amortization	$ 386,879	$ 454,101	$ 766,629	$ 927,800
Carrying amount of investments in partially owned entitiies	1,477,090		1,477,090		$ 1,246,496
Impairment losses			256	20,842
Mark-to-market of investments in our deferred compensation plan	(609)	2,380	2,250	6,780
Transaction Costs Spin Off	327	3,016	22,972	3,515
Out Performance Plan [Member]
Segment Reporting Information [Line Items]
Additional Expense From Acceleration Of Vesting			$ 8,817
Revised Age Limit For Awards Vesting Criteria			65 years
Our share of Toys "R" Us [Member]
Segment Reporting Information [Line Items]
Carrying amount of investments in partially owned entitiies						$ 0
Impairment losses				75,196
Corporate General And Administrative Expenses [Member]
Segment Reporting Information [Line Items]
Mark-to-market of investments in our deferred compensation plan	609	2,380	$ 2,250	6,780
Corporate General And Administrative Expenses For Remainder Of 2015			1,734
Corporate General And Administrative Expenses After 2015			6,217
Retail Segment Strip Shopping Centers [Member]
Segment Reporting Information [Line Items]
Transaction Costs Spin Off	327	3,016	22,972	3,515
New York Segment [Member] | Operating Segments [Member]
Segment Reporting Information [Line Items]
Earnings Before Interest, Taxes, Depreciation, and Amortization	275,988	251,329	524,933	485,127
New York Segment [Member] | Alexanders Inc [Member] | Operating Segments [Member]
Segment Reporting Information [Line Items]
Earnings Before Interest, Taxes, Depreciation, and Amortization	10,241	10,271	20,648	20,701
New York Segment [Member] | Hotel Pennsylvania [Member] | Operating Segments [Member]
Segment Reporting Information [Line Items]
Earnings Before Interest, Taxes, Depreciation, and Amortization	8,856	10,278	6,730	9,572
New York Segment [Member] | Retail Properties [Member] | Operating Segments [Member]
Segment Reporting Information [Line Items]
Earnings Before Interest, Taxes, Depreciation, and Amortization	86,151	67,947	167,456	134,142
New York Segment [Member] | Office [Member] | Operating Segments [Member]
Segment Reporting Information [Line Items]
Earnings Before Interest, Taxes, Depreciation, and Amortization	170,740	162,833	330,099	320,712
Washington DC Segment [Member] | Operating Segments [Member]
Segment Reporting Information [Line Items]
Earnings Before Interest, Taxes, Depreciation, and Amortization	85,634	84,894	168,891	168,981
Washington DC Segment [Member] | Washington Dc Office Excluding Skyline Properties [Member] | Operating Segments [Member]
Segment Reporting Information [Line Items]
Earnings Before Interest, Taxes, Depreciation, and Amortization	68,514	67,057	135,898	134,314
Washington DC Segment [Member] | Washington DC Skyline Properties [Member] | Operating Segments [Member]
Segment Reporting Information [Line Items]
Earnings Before Interest, Taxes, Depreciation, and Amortization	6,984	7,073	13,039	13,572
Washington DC Segment [Member] | Washington Dc Residential Property [Member] | Operating Segments [Member]
Segment Reporting Information [Line Items]
Earnings Before Interest, Taxes, Depreciation, and Amortization	10,136	10,764	19,954	21,095
Washington DC Segment [Member] | Office [Member] | Operating Segments [Member]
Segment Reporting Information [Line Items]
Earnings Before Interest, Taxes, Depreciation, and Amortization	75,498	74,130	148,937	147,886
Other Segment [Member]
Segment Reporting Information [Line Items]
Earnings Before Interest, Taxes, Depreciation, and Amortization	25,257	117,878	72,805	273,692
Other Segment [Member] | Real Estate Fund [Member]
Segment Reporting Information [Line Items]
Earnings Before Interest, Taxes, Depreciation, and Amortization	10,496	38,330	21,046	45,629
Other Segment [Member] | Merchandise Mart Other [Member]
Segment Reporting Information [Line Items]
Earnings Before Interest, Taxes, Depreciation, and Amortization	22,144	22,454	43,185	41,541
Other Segment [Member] | Other Properties 555 California Street [Member]
Segment Reporting Information [Line Items]
Earnings Before Interest, Taxes, Depreciation, and Amortization	12,831	11,506	25,232	23,572
Other Segment [Member] | India real estate ventures [Member]
Segment Reporting Information [Line Items]
Earnings Before Interest, Taxes, Depreciation, and Amortization	375	99	2,216	1,923
Other Segment [Member] | Our share of Toys "R" Us [Member]
Segment Reporting Information [Line Items]
Earnings Before Interest, Taxes, Depreciation, and Amortization	500	5,189	1,954	90,586
Other Segment [Member] | Other Investments [Member]
Segment Reporting Information [Line Items]
Earnings Before Interest, Taxes, Depreciation, and Amortization	11,222	6,780	18,966	14,380
Other Segment [Member] | Corporate General And Administrative Expenses [Member]
Segment Reporting Information [Line Items]
Earnings Before Interest, Taxes, Depreciation, and Amortization	(23,760)	(23,022)	(59,702)	(49,004)
Other Segment [Member] | Investment Income and other, net [Member]
Segment Reporting Information [Line Items]
Earnings Before Interest, Taxes, Depreciation, and Amortization	6,561	8,032	15,323	16,105
Other Segment [Member] | Our Share Of Impairment Loss On India Real Estate Ventures [Member]
Segment Reporting Information [Line Items]
Earnings Before Interest, Taxes, Depreciation, and Amortization	(14,806)	0	(14,806)	0
Other Segment [Member] | Our share of gains on sale of real estate of partially owned entities [Member]
Segment Reporting Information [Line Items]
Earnings Before Interest, Taxes, Depreciation, and Amortization	4,513	0	4,513	0
Other Segment [Member] | Acquisition and transaction related costs [Member]
Segment Reporting Information [Line Items]
Earnings Before Interest, Taxes, Depreciation, and Amortization	(4,061)	(1,067)	(6,042)	(2,352)
Other Segment [Member] | UE and residual retail properties discontinued operations [Member]
Segment Reporting Information [Line Items]
Earnings Before Interest, Taxes, Depreciation, and Amortization	(758)	48,672	19,060	80,772
Other Segment [Member] | Net gain on sale of residential condominiums and a land parcel
Segment Reporting Information [Line Items]
Earnings Before Interest, Taxes, Depreciation, and Amortization	0	905	1,860	10,540
Other Segment [Member] | Other EBITDA attributable to identifiable investments [Member]
Segment Reporting Information [Line Items]
Earnings Before Interest, Taxes, Depreciation, and Amortization	57,568	84,358	112,599	217,631
Other Segment [Member] | Income before net realized / unrealized gains (Operations) [Member] | Real Estate Fund [Member]
Segment Reporting Information [Line Items]
Earnings Before Interest, Taxes, Depreciation, and Amortization	1,533	2,191	4,285	4,617
Other Segment [Member] | Carried Interest [Member] | Real Estate Fund [Member]
Segment Reporting Information [Line Items]
Earnings Before Interest, Taxes, Depreciation, and Amortization	2,909	11,874	6,297	13,205
Other Segment [Member] | Net unrealized/realized gains on investments [Member] | Real Estate Fund [Member]
Segment Reporting Information [Line Items]
Earnings Before Interest, Taxes, Depreciation, and Amortization	$ 6,054	$ 24,265	$ 10,464	$ 27,807

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Organization (Details) - Segment [Domain] - Real Estate And Accumulated Depreciation Name Of Property [Domain] - Subsequent Event Type [Domain]		3 Months Ended	6 Months Ended
	Jan. 15, 2015 USD ($) Properties shares	Mar. 31, 2015 Properties	Jun. 30, 2015 USD ($)	Jun. 30, 2014 USD ($)
Organization [Abstract]
Common limited partnership interest in the Operating Partnership			94.00%
Real Estate Properties [Line Items]
Cash Considerations Transferred During Spin Off (in US Dollars) | $			$ 225,000,000	$ 0
Number Of Real Estate Properties Sold		5
Spin off to Urban Edge [Member]
Real Estate Properties [Line Items]
Cash Considerations Transferred During Spin Off (in US Dollars) | $	$ 225,000,000
Partnership Units received during spin off | shares	5,717,184
Number of new shares issued during spin off for every 2 shares/units of Vornado and Vornado L.P. | shares	1
Equity method ownership percentage	5.40%
Maximum [Member]
Real Estate Properties [Line Items]
Duration Of Administrative Services	2 years
Retail Segment Strip Shopping Centers [Member] | Spin off to Urban Edge [Member]
Real Estate Properties [Line Items]
Number Of Real Estate Properties	79
Retail Segment Regional Malls [Member] | Spin off to Urban Edge [Member]
Real Estate Properties [Line Items]
Number Of Real Estate Properties	3
Vornado Realty Trust [Member]
Real Estate Properties [Line Items]
Number of shares/units convered during spin off for 1 share of UE | shares	2
Warehouse [Member] | Spin off to Urban Edge [Member]
Real Estate Properties [Line Items]
Number Of Real Estate Properties	1

XML

Marketable Securities (Tables)

6 Months Ended

Jun. 30, 2015

Unrealized Gain (Loss) on Investments [Abstract]

Unrealized Gain (Loss) on Investments [Table Text Block]

(Amounts in thousands)		As of June 30, 2015						As of December 31, 2014
				GAAP		Unrealized				GAAP		Unrealized
		Fair Value		Cost		Gain		Fair Value		Cost		Gain
Equity securities:
	Lexington Realty Trust	$	156,617	$	72,549	$	84,068	$	202,789	$	72,549	$	130,240
	Other		3,374		-		3,374		3,534		-		3,534
		$	159,991	$	72,549	$	87,442	$	206,323	$	72,549	$	133,774

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Income Per Class A Unit (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Income Per Class A Unit [Abstract]
Income from continuing operations, net of income attributable to noncontrolling interests	$ 196,988	$ 74,769	$ 290,511	$ 152,880
(Loss) income from discontinued operations, net of income attributable to noncontrolling interests	(774)	26,943	15,067	35,409
Net income attributable to Vornado Realty L.P.	196,214	101,712	305,578	188,289
Preferred unit distributions	(20,414)	(20,379)	(39,910)	(40,759)
Net income attributable to Class A unitholders	175,800	81,333	265,668	147,530
Earnings allocated to unvested participating securities	(1,183)	(769)	(1,781)	(1,667)
Numerator for basic income per Class A unit	174,617	80,564	263,887	145,863
Convertible preferred unit distributions	23	0	47	0
Numerator for diluted income per share	$ 174,640	$ 80,564	$ 263,934	$ 145,863
Denominator for basic income per Class A unit - weighted average units (in units)	199,038	198,232	198,857	198,075
Vornado stock options and restricted unit awards (in units)	1,750	1,514	1,930	1,475
Convertible preferred units (in units)	45	0	46	0
Denominator for diluted income per Class A unit - weighted average units and assumed conversions (in units)	200,833	199,746	200,833	199,550
INCOME PER CLASS A UNIT - BASIC:
Income from continuing operations, net (in dollars per unit)	$ 0.88	$ 0.27	$ 1.25	$ 0.56
Income from discontinued operations, net (in dollars per unit)	0.00	0.14	0.08	0.18
Net income per Class A unit (in dollars per unit)	0.88	0.41	1.33	0.74
INCOME PER CLASS A UNIT - DILUTED:
Income from continuing operations, net (in dollars per unit)	0.87	0.27	1.24	0.55
Income from discontinued operations, net (in dollars per unit)	0.00	0.13	0.07	0.18
Net income per Class A unit (in dollars per unit)	$ 0.87	$ 0.40	$ 1.31	$ 0.73

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Discontinued Operations (Narratives) (Details) - Segment [Domain] - Real Estate Properties [Domain] ft² in Thousands					3 Months Ended				6 Months Ended
	Mar. 31, 2018 USD ($)	Mar. 31, 2015 USD ($) ft²	Mar. 13, 2015 USD ($)	Jan. 15, 2015 USD ($) Properties	Jun. 30, 2015 USD ($)	Mar. 31, 2015 USD ($) ft² Properties	Jun. 30, 2014 USD ($)	Mar. 31, 2014 USD ($)	Jun. 30, 2015 USD ($)	Jun. 30, 2014 USD ($)
Disposal Group Including Discontinued Operation Additional Disclosures [Abstract]
Number Of Real Estate Properties Sold | Properties						5
Cash Considerations Transferred During Spin Off (in US Dollars)									$ 225,000,000	$ 0
Gain on sale of interest in leases					$ 0		$ 0		21,376,000	0
Cash Proceeds from sale of real estate						$ 10,731,000
Net gains on sale of real estate					$ 0	3,675,000	$ 0		10,867,000	0
Impairment Losses									$ 256,000	$ 20,842,000
Spin off to Urban Edge [Member]
Disposal Group Including Discontinued Operation Additional Disclosures [Abstract]
Cash Considerations Transferred During Spin Off (in US Dollars)				$ 225,000,000
Pennsylavenia Real Estate Investment Trust [Member]
Disposal Group Including Discontinued Operation Additional Disclosures [Abstract]
Deferred Gain on Sale of Property		$ 631,000				631,000
Retail Segment Strip Shopping Centers [Member] | Spin off to Urban Edge [Member]
Disposal Group Including Discontinued Operation Additional Disclosures [Abstract]
Number Of Real Estate Properties | Properties				79
Retail Segment Regional Malls [Member] | Spin off to Urban Edge [Member]
Disposal Group Including Discontinued Operation Additional Disclosures [Abstract]
Number Of Real Estate Properties | Properties				3
Warehouse [Member] | Spin off to Urban Edge [Member]
Disposal Group Including Discontinued Operation Additional Disclosures [Abstract]
Number Of Real Estate Properties Sold | Properties				1
Retail Springfield Mall [Member] | Retail Segment Regional Malls [Member]
Disposal Group Including Discontinued Operation Additional Disclosures [Abstract]
Net gains on sale of real estate		$ 7,823,000				$ 7,192,000
Impairment Losses								$ 20,000,000
Retail Springfield Mall [Member] | Retail Segment Regional Malls [Member] | Pennsylavenia Real Estate Investment Trust [Member]
Disposal Group Including Discontinued Operation Additional Disclosures [Abstract]
Square Footage Of Real Estate Property | ft²		1,350				1,350
Cash Proceeds from sale of real estate		$ 340,000,000
Retail Springfield Mall [Member] | Retail Segment Regional Malls [Member] | Scenario Forecast [Member]
Disposal Group Including Discontinued Operation Additional Disclosures [Abstract]
Additional Consideration Receivable Percent	50.00%
Additional Consideration Theshold, Value	$ 465,000,000
Capitalization rate	5.50%
Geary Street, CA [Member]
Disposal Group Including Discontinued Operation Additional Disclosures [Abstract]
Proceeds from Sale of interest in leases			$ 34,189,000
Gain on sale of interest in leases			$ 21,376,000

XML

Subsequent Events (Details) - Subsequent Event [Member] ft² in Thousands	Jul. 31, 2015 USD ($) ft² RenewalOptions shares	Jul. 28, 2015 USD ($) ft²
New York 100 West 33rd Street [Member]
Schedule Of Equity Method Investments [Line Items]
Notes And Loans Payable Refinanced Amount (in US Dollars) | $		$ 580,000,000
Square Footage Of Real Estate Property		1,100
Debt Instrument, Description of Variable Rate Basis		LIBOR
Spread Over LIBOR (in percentage)		1.65%
Debt Instrument Maturity		July 2020
Net proceeds from refinancing of loan | $		$ 242,000,000
New York 100 West 33rd Street [Member] | Office [Member]
Schedule Of Equity Method Investments [Line Items]
Square Footage Of Real Estate Property		851
New York 100 West 33rd Street [Member] | Manhattan Mall [Member]
Schedule Of Equity Method Investments [Line Items]
Square Footage Of Real Estate Property		256
New York 260 11th Avenue [Member]
Schedule Of Equity Method Investments [Line Items]
Area Of Property For Parking Lot And Air Rights (in sqft)	10
Area Of Land	44
Lease expiration term	99 years
Purchase Options, Land | $	$ 110,000,000
Annual ground rent | $	$ 3,900,000
Inflation Rate Agreement For Calculating Annual Ground Rent And Purchase Price Option	annual ground rent and the purchase option price escalate annually at the lesser of 1.5% or CPI
Operating partnership units issued | shares	813,900
Operating Partnership Units Value | $	$ 80,000,000
New York 260 11th Avenue [Member] | Office [Member]
Schedule Of Equity Method Investments [Line Items]
Square Footage Of Real Estate Property	235
Number Of Market Renewal Options | RenewalOptions	2
Term Of Market Renewal Options	5 years
Lease Expiration Date	2021

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Segment Information (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Segment Reporting Information [Line Items]
Total Revenues	$ 616,288	$ 574,411	$ 1,223,090	$ 1,136,792
Total expenses	422,897	385,143	861,985	802,283
Operating income (loss)	193,391	189,268	361,105	334,509
(Loss) income from partially owned entities	(5,231)	(53,742)	(7,636)	(51,763)
Income from real estate fund investments	26,368	100,110	50,457	118,258
Interest and other investment income, net	5,666	9,396	16,458	21,246
Interest and debt expense	(92,092)	(103,913)	(183,766)	(200,225)
Net gain on disposition of wholly owned and partially owned assets	0	905	1,860	10,540
Income (loss) before income taxes	128,102	142,024	238,478	232,565
Income tax benefit (expense)	88,072	(3,280)	87,101	(4,131)
Income (loss) from continuing operations	216,174	138,744	325,579	228,434
(Loss) income from discontinued operations	(774)	26,943	15,067	35,409
Net income	215,400	165,687	340,646	263,843
Less net income attributable to noncontrolling interests in consolidated subsidiaries	(19,186)	(63,975)	(35,068)	(75,554)
Net income attributable to Vornado Realty L.P.	196,214	101,712	305,578	188,289
Interest and debt expense (2)	115,073	179,520	229,748	350,472
Depreciation and amortization (2)	163,245	173,443	319,695	369,782
Income tax (benefit) expense (2)	(87,653)	(574)	(88,392)	19,257
EBITDA	386,879	454,101	766,629	927,800
New York Segment [Member] | Operating Segments [Member]
Segment Reporting Information [Line Items]
Total Revenues	414,262	375,674	813,775	736,858
Total expenses	250,298	226,840	503,058	464,574
Operating income (loss)	163,964	148,834	310,717	272,284
(Loss) income from partially owned entities	3,176	8,996	(2,487)	10,562
Interest and other investment income, net	1,892	1,614	3,754	3,055
Interest and debt expense	(47,173)	(49,070)	(92,524)	(91,909)
Income (loss) before income taxes	121,859	110,374	219,460	193,992
Income tax benefit (expense)	(1,095)	(1,226)	(2,038)	(2,195)
Income (loss) from continuing operations	120,764	109,148	217,422	191,797
(Loss) income from discontinued operations		5,919		11,786
Net income	120,764	115,067	217,422	203,583
Less net income attributable to noncontrolling interests in consolidated subsidiaries	(2,552)	(3,108)	(4,058)	(4,513)
Net income attributable to Vornado Realty L.P.	118,212	111,959	213,364	199,070
Interest and debt expense (2)	61,057	64,072	119,724	122,140
Depreciation and amortization (2)	95,567	74,007	189,691	161,594
Income tax (benefit) expense (2)	1,152	1,291	2,154	2,323
EBITDA	275,988	251,329	524,933	485,127
Washington DC Segment [Member] | Operating Segments [Member]
Segment Reporting Information [Line Items]
Total Revenues	134,856	134,826	268,824	270,104
Total expenses	98,661	87,352	191,658	176,924
Operating income (loss)	36,195	47,474	77,166	93,180
(Loss) income from partially owned entities	(1,805)	(2,248)	(1,674)	(3,514)
Interest and other investment income, net	13	42	26	78
Interest and debt expense	(17,483)	(18,660)	(35,643)	(38,007)
Income (loss) before income taxes	16,920	26,608	39,875	51,737
Income tax benefit (expense)	(466)	(115)	208	84
Income (loss) from continuing operations	16,454	26,493	40,083	51,821
Net income	16,454	26,493	40,083	51,821
Net income attributable to Vornado Realty L.P.	16,454	26,493	40,083	51,821
Interest and debt expense (2)	20,891	22,463	42,403	45,261
Depreciation and amortization (2)	47,803	35,806	88,555	71,956
Income tax (benefit) expense (2)	486	132	(2,150)	(57)
EBITDA	85,634	84,894	168,891	168,981
Other Segment [Member]
Segment Reporting Information [Line Items]
Total Revenues	67,170	63,911	140,491	129,830
Total expenses	73,938	70,951	167,269	160,785
Operating income (loss)	(6,768)	(7,040)	(26,778)	(30,955)
(Loss) income from partially owned entities	(6,602)	(60,490)	(3,475)	(58,811)
Income from real estate fund investments	26,368	100,110	50,457	118,258
Interest and other investment income, net	3,761	7,740	12,678	18,113
Interest and debt expense	(27,436)	(36,183)	(55,599)	(70,309)
Net gain on disposition of wholly owned and partially owned assets		905	1,860	10,540
Income (loss) before income taxes	(10,677)	5,042	(20,857)	(13,164)
Income tax benefit (expense)	89,633	(1,939)	88,931	(2,020)
Income (loss) from continuing operations	78,956	3,103	68,074	(15,184)
(Loss) income from discontinued operations	(774)	21,024	15,067	23,623
Net income	78,182	24,127	83,141	8,439
Less net income attributable to noncontrolling interests in consolidated subsidiaries	(16,634)	(60,867)	(31,010)	(71,041)
Net income attributable to Vornado Realty L.P.	61,548	(36,740)	52,131	(62,602)
Interest and debt expense (2)	33,125	92,985	67,621	183,071
Depreciation and amortization (2)	19,875	63,630	41,449	136,232
Income tax (benefit) expense (2)	(89,291)	(1,997)	(88,396)	16,991
EBITDA	$ 25,257	$ 117,878	$ 72,805	$ 273,692

XML

Interest and Other Investment Income, Net (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Schedule of Investment Income, Reported Amounts, by Category [Line Items]
Dividends and interest on marketable securities	$ 3,202	$ 3,198	$ 6,405	$ 6,304
Interest on loans receivable	1,135	1,034	3,959	3,714
Mark-to-market of investments in our deferred compensation plan	(609)	2,380	2,250	6,780
Other, net	1,938	2,784	3,844	4,448
Interest and other investment (loss) income, net	$ 5,666	$ 9,396	$ 16,458	$ 21,246

XML

Interest and Other Investment Income, Net

6 Months Ended

Jun. 30, 2015

Interest and Other Investment Income, Net [Abstract]

Interest and Other Investment Income, Net

17. Interest and Other InvestmentIncome, Net

The following table sets forth the details of interest and other investmentincome:

(Amounts in thousands)		For the Three Months Ended				For the Six Months Ended
		June 30,				June 30,
		2015		2014		2015		2014
Dividends on marketable securities		$	3,202	$	3,198	$	6,405	$	6,304
Interest on loans receivable			1,135		1,034		3,959		3,714
Mark-to-market of investments in our deferred compensation plan (1)			(609)		2,380		2,250		6,780
Other, net			1,938		2,784		3,844		4,448
		$	5,666	$	9,396	$	16,458	$	21,246
(1)	This income is entirely offset by the expense resulting from the mark-to-market of the deferred compensation plan liability, which is included in "general and administrative" expense.

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Real Estate Fund Investments (Narratives) (Details) - Subsequent Event Type [Domain]		3 Months Ended			6 Months Ended		35 Months Ended
	Jan. 20, 2015 USD ($) LimitedPartners	Jun. 30, 2015 USD ($)	Mar. 31, 2015 USD ($)	Jun. 30, 2014 USD ($)	Jun. 30, 2015 USD ($) Investments	Jun. 30, 2014 USD ($)	Mar. 25, 2015 USD ($)	Dec. 31, 2014 USD ($)
Investment Holdings [Line Items]
Aggregate fair value of Real Estate Fund investments (in US Dollars)		$ 565,976,000			$ 565,976,000			$ 513,973,000
Mortgages payable (in US Dollars)		8,562,314,000			8,562,314,000			$ 8,263,165,000
Proceeds from sale of real estate			$ 10,731,000
Crowne Plaza Time Square Hotel [Member]
Investment Holdings [Line Items]
Equity method ownership percentage	33.00%							11.00%
Real Estate Fund Joint Venture [Member] | Crowne Plaza Time Square Hotel [Member]
Investment Holdings [Line Items]
Equity method ownership percentage	57.00%
Aggregate fair value of Real Estate Fund investments (in US Dollars)	$ 480,000,000
Mortgages payable (in US Dollars)	$ 310,000,000
Debt Instrument, Description of Variable Rate Basis	LIBOR
Spread Over LIBOR (in percentage)	2.80%
Debt Instrument Maturity	December 2018
Length Of Extension Available	1 year
Business Acquisition Cost Of Acquired Entity	$ 95,000,000
Real Estate Fund [Member]
Investment Holdings [Line Items]
Aggregate fair value of Real Estate Fund investments (in US Dollars)		565,976,000			565,976,000
Net realized gain on sale of investment		886,000		$ 75,069,000	$ 25,591,000	$ 75,069,000
Number Of Limited Partners | LimitedPartners	1
Term of the Fund, years					8 years
Investment period for commitments of the Fund, years					3 years
Number Of Investments Held By Fund | Investments					6
Excess of fair value over cost		193,164,000			$ 193,164,000
Unfunded Commitments Of Fund		102,324,000			102,324,000
Vornado Realty Trust [Member]
Investment Holdings [Line Items]
Unfunded Commitments Of Fund		$ 25,581,000			$ 25,581,000
Vornado Realty Trust [Member] | Crowne Plaza Time Square Hotel [Member]
Investment Holdings [Line Items]
Business Acquisition Cost Of Acquired Entity	$ 39,000,000
Santa Monica Office 520 Broadway [Member] | Real Estate Fund [Member]
Investment Holdings [Line Items]
Net realized gain on sale of investment							$ 24,705,000
Proceeds from sale of real estate							$ 91,650,000

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Interest and Other Investment Income, Net (Tables)

6 Months Ended

Jun. 30, 2015

Interest and Other Investment Income, Net [Abstract]

Schedule Of Interest And Other Investment Income Net [Table Text Block]

(Amounts in thousands)		For the Three Months Ended				For the Six Months Ended
		June 30,				June 30,
		2015		2014		2015		2014
Dividends on marketable securities		$	3,202	$	3,198	$	6,405	$	6,304
Interest on loans receivable			1,135		1,034		3,959		3,714
Mark-to-market of investments in our deferred compensation plan (1)			(609)		2,380		2,250		6,780
Other, net			1,938		2,784		3,844		4,448
		$	5,666	$	9,396	$	16,458	$	21,246
(1)	This income is entirely offset by the expense resulting from the mark-to-market of the deferred compensation plan liability, which is included in "general and administrative" expense.

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Commitments and Contingencies (Details) - USD ($)	6 Months Ended
	Jun. 30, 2015	Jan. 01, 2016
Loss Contingencies [Line Items]
Guarantees and master leases	$ 369,000,000
Outstanding letters of credit	39,382,000
Commitment to fund additional capital to partially owned entities	81,000,000
NBCR Losses [Member]
Loss Contingencies [Line Items]
Insurance limit per occurrence	2,000,000,000
Insurance Limit Aggregate Value	$ 2,000,000,000
Federal government deductible, percentage of balance of a covered loss	85.00%
NBCR Losses [Member] | Subsequent Event [Member]
Loss Contingencies [Line Items]
Federal government deductible, percentage of balance of a covered loss		84.00%
Earthquake California Properties [Member]
Loss Contingencies [Line Items]
Insurance limit per occurrence	$ 180,000,000
Vornado deductible, percentage of property value	5.00%
Vornado deductible, annual aggregate	$ 180,000,000
All Risk And Rental Value [Member]
Loss Contingencies [Line Items]
Insurance limit per occurrence	2,000,000,000
General Liability [Member]
Loss Contingencies [Line Items]
Insurance limit per occurrence	300,000,000
Terrorism Acts [Member]
Loss Contingencies [Line Items]
Insurance limit per occurrence	4,000,000,000
Insurance Limit Aggregate Value	$ 4,000,000,000
Insurance Coverage End Date	December 2020
PPIC [Member] | NBCR Losses [Member]
Loss Contingencies [Line Items]
Insurance deductible	$ 2,480,000
Insurance Deductible Percentage Of Balance Of Covered Loss	15.00%
PPIC [Member] | NBCR Losses [Member] | Subsequent Event [Member]
Loss Contingencies [Line Items]
Insurance Deductible Percentage Of Balance Of Covered Loss		16.00%

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Debt (Tables)

6 Months Ended

Jun. 30, 2015

Debt Disclosure [Abstract]

Schedule of Debt

(Amounts in thousands)		Interest Rate at		Balance at
		June 30, 2015		June 30, 2015		December 31, 2014
Mortgages Payable:
	Fixed rate		4.43%	$	6,349,878	$	6,499,396
	Variable rate		2.16%		2,212,436		1,763,769
			3.85%	$	8,562,314	$	8,263,165
Unsecured Debt:
	Senior unsecured notes		3.68%	$	847,463	$	1,347,159
	Revolving credit facility debt		1.24%		400,000		-
			2.90%	$	1,247,463	$	1,347,159

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Marketable Securities (Details) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Schedule of Available-for-sale Securities [Line Items]
Available-for-sale Securities, Equity Securities	$ 159,991	$ 206,323
Available-for-sale Equity Securities, Amortized Cost Basis	72,549	72,549
Available-for-sale Securities, Gross Unrealized Gain	87,442	133,774
Lexington Realty Trust [Member]
Schedule of Available-for-sale Securities [Line Items]
Available-for-sale Securities, Equity Securities	156,617	202,789
Available-for-sale Equity Securities, Amortized Cost Basis	72,549	72,549
Available-for-sale Securities, Gross Unrealized Gain	84,068	130,240
Other Equity Securities [Member]
Schedule of Available-for-sale Securities [Line Items]
Available-for-sale Securities, Equity Securities	3,374	3,534
Available-for-sale Equity Securities, Amortized Cost Basis	0	0
Available-for-sale Securities, Gross Unrealized Gain	$ 3,374	$ 3,534

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Fair Value Measurements (Details 1) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended		12 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014	Dec. 31, 2014
Real Estate Fund [Member]
Unobservable Quantitative Input [Abstract]
Opening Balance - changes in Level 3 " deferred compensation plan assets"	$ 554,426	$ 682,002	$ 513,973	$ 667,710	$ 667,710
Purchases	0	2,544	95,000	2,667
Sales/Dispositions/Distributions	(11,235)	(232,513)	(83,421)	(232,513)
Net unrealized gains	23,332	57,354	39,545	58,546
Net realized gains	886	39,704	2,312	52,681
Other, net	(1,433)	0	(1,433)	0
Closing Balance - changes in Level 3 " deferred compensation plan assets"	565,976	549,091	$ 565,976	549,091	$ 513,973
Real Estate Fund [Member] | Minimum [Member]
Unobservable Quantitative Input [Abstract]
Discount rates			12.00%		12.00%
Capitalization rate			4.80%		4.70%
Real Estate Fund [Member] | Maximum [Member]
Unobservable Quantitative Input [Abstract]
Discount rates			14.50%		17.50%
Capitalization rate			6.50%		6.50%
Real Estate Fund [Member] | Weighted Average [Member]
Unobservable Quantitative Input [Abstract]
Discount rates			13.40%		13.70%
Capitalization rate			5.50%		5.30%
Deferred Compensation Plan Assets [Member]
Unobservable Quantitative Input [Abstract]
Opening Balance - changes in Level 3 " deferred compensation plan assets"	64,836	67,627	$ 63,315	68,782	$ 68,782
Purchases	5,607	7,915	6,231	9,559
Sales/Dispositions/Distributions	(4,655)	(11,255)	(5,093)	(16,379)
Realized and unrealized gain (loss)	1,387	(198)	2,722	1,974
Other, net	493	520	493	673
Closing Balance - changes in Level 3 " deferred compensation plan assets"	$ 67,668	$ 64,609	$ 67,668	$ 64,609	$ 63,315

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Debt (Summary of Debt) (Details) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Debt Instrument [Line Items]
Mortgages payable (in US Dollars)	$ 8,562,314	$ 8,263,165
Senior unsecured notes	847,463	1,347,159
Revolving credit facility debt	400,000	0
Notes And Mortgages Payable Fixed Rate [Member]
Debt Instrument [Line Items]
Mortgages payable (in US Dollars)	$ 6,349,878	6,499,396
Interest Rate, End of Period (in percentage)	4.43%
Notes And Mortgages Payable Variable Rate [Member]
Debt Instrument [Line Items]
Mortgages payable (in US Dollars)	$ 2,212,436	1,763,769
Interest Rate, End of Period (in percentage)	2.16%
Total Notes And Mortgages Payable [Member]
Debt Instrument [Line Items]
Interest Rate, End of Period (in percentage)	3.85%
Senior Unsecured Notes [Member]
Debt Instrument [Line Items]
Senior unsecured notes	$ 847,463	1,347,159
Interest Rate, End of Period (in percentage)	3.68%
Unsecured Revolving Credit Facilities [Member]
Debt Instrument [Line Items]
Revolving credit facility debt	$ 400,000	0
Interest Rate, End of Period (in percentage)	1.24%
Unsecured Debt [Member]
Debt Instrument [Line Items]
Unsecured Debt And Revolving Credit Facility	$ 1,247,463	$ 1,347,159
Interest Rate, End of Period (in percentage)	2.90%

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Basis of Presentation and Significant Accounting Policies (Details) ft² in Thousands	3 Months Ended		6 Months Ended
	Mar. 31, 2015 USD ($)	Jun. 30, 2014 USD ($)	Jun. 30, 2015 USD ($) ft²	Jun. 30, 2014 USD ($)
Property Plant And Equipment [Line Items]
Reclassification of signage revenue from fee and other income to property rentals		$ 8,873,000		$ 18,191,000
Real Estate Properties [Line Items]
Proceeds from sale of units in real estate property	$ 10,731,000
New York Manhattan 220 Central Park South Site [Member]
Real Estate Properties [Line Items]
Salable area (in sqft) | ft²			392
Percentage of number of units sold		40.00%		40.00%
Proceeds from sale of units in real estate property			$ 1,400,000,000
Deposits on the sale of condominium units		$ 209,902,000		$ 209,902,000

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Organization

6 Months Ended

Jun. 30, 2015

Organization [Abstract]

Organization

1.Organization

Vornado Realty L.P. (the “Operating Partnership” and/or the “Company”) is a Delaware limited partnership. Vornado Realty Trust (“Vornado”) is the sole general partner of, and owned approximately 94.0% of the common limited partnership interest in, the Operating Partnership at June 30, 2015.All references to “we,” “us,” “our,” the “Company” and “the Operating Partnership” refer to Vornado Realty L.P. and its consolidated subsidiaries.

On January 15, 2015, we completed the spin-off of substantially all of our retail segment comprised of 79 strip shopping centers, three malls, a warehouse park and $225,000,000 of cash to Urban Edge Properties (“UE”) (NYSE: UE). As part of this transaction, we retained 5,717,184 UE operating partnership units (5.4% ownership interest). We are providing transition servicesto UE for an initial period of up to two years, including information technology, human resources, tax and financial reporting. UE is providing us with leasing and property management services for (i) the Monmouth Mall, (ii) certain small retail properties that we plan to sell, and (iii) our affiliate, Alexander's, Inc. (NYSE: ALX), Rego Park retail assets. Steven Roth, Chairman of Vornado's Board of Trustees and its Chief Executive Officer is a member of the Board of Trustees of UE. The spin-off distribution was effected by Vornado distributing one UE common share for every two Vornado common shares. Beginning in the first quarter of 2015, the historical financial results of UE are reflected in our consolidated financial statements as discontinued operations for all periods presented.

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Redeemable Partnership Units (Details) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Dec. 31, 2014
Redeemable Partnership Units [Abstract]
Redeemable Noncontrolling Interest, Equity, Common, Carrying Amount	$ 1,087,466		$ 1,336,780
Redeemable Partnership Units Rollforward [Abstract]
Beginning balance	1,337,780	$ 1,003,620
Net income	15,485	8,564
Other comprehensive income (loss)	(2,635)	1,260
Distributions	(14,734)	(16,824)
Other, net	25,370	16,771
Ending balance	1,092,894	1,220,958
Capital Unit Class A [Member]
Redeemable Partnership Units [Abstract]
Redeemable Noncontrolling Interest, Equity, Common, Carrying Amount	1,087,466		1,336,780
Redeemable Partnership Units Rollforward [Abstract]
Redemption of Class A units, at redemption value	(43,278)	(19,771)
Adjustments to carry redeemable Class A units at redemption value	(229,521)	$ 227,338
Series D17 Cumulative Redeemable Preferred Unit [Member]
Redeemable Partnership Units Rollforward [Abstract]
Issuance of Series D-17 Preferred Units	4,427
Cumulative Redeemable Preferred Unit [Member]
Redeemable Partnership Units Additional Disclosure [Abstract]
Fair value of Series G convertible preferred units and Series D-13 cumulative redeemable preferred units	$ 55,097		$ 55,097

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Interest and Debt Expense (Tables)

6 Months Ended

Jun. 30, 2015

Interest and Debt Expense [Abstract]

Interest And Debt Expense [Table Text Block]

(Amounts in thousands)	For the Three Months Ended				For the Six Months Ended
	June 30,				June 30,
	2015		2014		2015		2014
Interest expense	$	96,297	$	112,736	$	191,625	$	218,248
Amortization of deferred financing costs		7,497		7,737		14,953		12,159
Capitalized interest and debt expense		(11,702)		(16,560)		(22,812)		(30,182)
	$	92,092	$	103,913	$	183,766	$	200,225

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Subsequent Events

6 Months Ended

Jun. 30, 2015

Subsequent Events [Abstract]

Subsequent Events [Text Block]

22.Subsequent Events

100 West 33rd Street

On July 28, 2015, we completed a $580,000,000 refinancing of 100 West 33rd Street, a 1.1 million square foot property comprised of 851,000 square feet of office space and the 256,000 square foot Manhattan Mall.The loan is interest only at LIBOR plus 1.65%, and matures in July 2020. We realized net proceeds of approximately $242,000,000.

260 Eleventh Avenue

On July 31, 2015, we acquired 260 Eleventh Avenue,a 235,000 square foot office property leased to the City of New York through 2021 with two five-year renewal options, a 10,000 square foot parking lot and additional air rights. The 44,000 square foot site is located on Eleventh Avenue from 26th to 27th Streets directly across from the Starrett Lehigh building.The transaction is structuredas a 99-year ground lease with an option to purchase the land for $110,000,000. The $3,900,000annual ground rent and the purchase option price escalate annually at the lesser of 1.5% or CPI. The buildings were purchased for 813,900 newly issued Operating Partnership units valued at approximately $80,000,000. We intend to redevelop and expand the property to serve the supply constrained West Chelsea office market.

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Commitments and Contingencies

6 Months Ended

Jun. 30, 2015

Commitments and Contingencies Disclosure [Abstract]

Commitments and Contingencies

20.       Commitments and Contingencies

Insurance

We maintain general liability insurance with limits of $300,000,000 per occurrence and all risk property and rental value insurance with limits of $2.0 billion per occurrence, with sub-limits for certain perils such as floods. Our California properties have earthquake insurance with coverage of $180,000,000 per occurrence, subject to a deductible in the amount of 5% of the value of the affected property, up to a $180,000,000 annual aggregate. We maintain coverage for terrorism acts with limits of $4.0 billion per occurrence and in the aggregate, and $2.0 billion per occurrence and in the aggregate for terrorism involving nuclear, biological, chemical and radiological (“NBCR”) terrorism events, as defined by Terrorism Risk Insurance Program Reauthorization Act, which expires in December 2020.

Penn Plaza Insurance Company, LLC (“PPIC”), our wholly owned consolidated subsidiary, acts as a re-insurer with respect to a portion of all risk property and rental value insurance and a portion of our earthquake insurance coverage, and as a direct insurer for coverage for NBCR acts. Coverage for acts of terrorism (excluding NBCR acts) is fully reinsured by third party insurance companies and the Federal government with no exposure to PPIC. For NBCR acts, PPIC is responsible for a deductible of $2,480,000 and 15% of the balance of a covered loss (16% effective January 1, 2016) and the Federal government is responsible for the remaining 85% of a covered loss (84% effective January 1, 2016). We are ultimately responsible for any loss incurred by PPIC.

We continue to monitor the state of the insurance market and the scope and costs of coverage for acts of terrorism. However, we cannot anticipate what coverage will be available on commercially reasonable terms in the future.

Our debt instruments, consisting of mortgage loans secured by our properties which are non-recourse to us, senior unsecured notes and revolving credit agreements contain customary covenants requiring us to maintain insurance. Although we believe that we have adequate insurance coverage for purposes of these agreements, we may not be able to obtain an equivalent amount of coverage at reasonable costs in the future. Further, if lenders insist on greater coverage than we are able to obtain it could adversely affect our ability to finance our properties and expand our portfolio.

Other Commitments and Contingencies

We are from time to time involved in legal actions arising in the ordinary course of business. In our opinion, after consultation with legal counsel, the outcome of such mattersis not expected to have a material adverse effect on our financial position, results of operations or cash flows.

Each of our properties has been subjected to varying degrees of environmental assessment at various times. The environmental assessments did not reveal any material environmental contamination. However, there can be no assurance that the identification of new areas of contamination, changes in the extent or known scope of contamination, the discovery of additional sites, or changes in cleanup requirements would not result in significant costs to us.

Our mortgage loans are non-recourse to us. However, in certain cases we have provided guarantees or master leased tenant space. These guarantees and master leases terminate either upon the satisfaction of specified circumstances or repayment of the underlying loans. As of June 30, 2015, the aggregate dollar amount of these guarantees and master leases is approximately $369,000,000.

At June 30, 2015, $39,382,000 of letters of credit were outstanding under one of our revolving credit facilities. Our revolving credit facilities contain financial covenants that require us to maintain minimum interest coverage and maximum debt to market capitalization ratios, and provide for higher interest rates in the event of a decline in our ratings below Baa3/BBB. Our revolving credit facilities also contain customary conditions precedent to borrowing, including representations and warranties, and also contain customary events of default that could give rise to accelerated repayment, including such items as failure to pay interest or principal.

As of June 30, 2015, we expect to fund additional capital to certain of our partially owned entities aggregating approximately$81,000,000.

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Investments in Partially Owned Entities (510 West 22nd Street) (Details) - Jun. 24, 2015 - New York 510 West 22nd Street [Member] - Entity [Domain] - Office Building [Member] - Segment Breakdown [Domain] ft² in Thousands, $ in Thousands	USD ($) ft²
Schedule Of Equity Method Investments [Line Items]
Equity method ownership percentage	55.00%
Square Footage Of Real Estate Property | ft²	173
Estimated Development Cost	$ 225,000
Estimated Project Start Date	third quarter of 2015
Estimated Project Completion Date	2017

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Income Per Class A Unit (Tables)

6 Months Ended

Jun. 30, 2015

Income Per Class A Unit [Abstract]

Schedule Of Earnings Per Class A Unit Basic And Diluted

(Amounts in thousands, except per unit amounts)			For the Three Months Ended				For the Six Months Ended
			June 30,				June 30,
			2015		2014		2015		2014
Numerator:
	Income from continuing operations, net of income attributable
		to noncontrolling interests	$	196,988	$	74,769	$	290,511	$	152,880
	(Loss) income from discontinued operations, net of income
		attributable to noncontrolling interests		(774)		26,943		15,067		35,409
	Net income attributable to Vornado Realty L.P.			196,214		101,712		305,578		188,289
	Preferred unit distributions			(20,414)		(20,379)		(39,910)		(40,759)
	Net income attributable to Class A unitholders			175,800		81,333		265,668		147,530
	Earnings allocated to unvested participating securities			(1,183)		(769)		(1,781)		(1,667)
	Numerator for basic income per Class A unit			174,617		80,564		263,887		145,863
	Impact of assumed conversions:
		Convertible preferred unit distributions		23		-		47		-
	Numerator for diluted income per Class A unit		$	174,640	$	80,564	$	263,934	$	145,863
Denominator:
	Denominator for basic income per Class A unit – weighted
		average units		199,038		198,232		198,857		198,075
	Effect of dilutive securities(1):
		Vornado stock options and restricted unit awards		1,750		1,514		1,930		1,475
		Convertible preferred units		45		-		46		-
	Denominator for diluted income per Class A unit – weighted
		average units and assumed conversions		200,833		199,746		200,833		199,550
INCOME PER CLASS A UNIT – BASIC:
	Income from continuing operations, net		$	0.88	$	0.27	$	1.25	$	0.56
	Income from discontinued operations, net			0.00		0.14		0.08		0.18
	Net income per Class A unit		$	0.88	$	0.41	$	1.33	$	0.74
INCOME PER CLASS A UNIT – DILUTED:
	Income from continuing operations, net		$	0.87	$	0.27	$	1.24	$	0.55
	Income from discontinued operations, net			0.00		0.13		0.07		0.18
	Net income per Class A unit		$	0.87	$	0.40	$	1.31	$	0.73
(1)	The effect of dilutive securities for the three months ended June 30, 2015 and 2014 excludes an aggregate of 148 and 159 weighted average Class A unit equivalents, respectively, and 151 and 184 weighted average Class A unit equivalents for the six months ended June 30, 2015 and 2014, respectively, as their effect was anti-dilutive.

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Segment Information

6 Months Ended

Jun. 30, 2015

Segment Reporting [Abstract]

Segment Information

21. Segment Information

As a result of the spin-off of substantially all of our Retail Properties segment (see Note 8–Discontinued Operations), the remaining retail properties no longer meet the criteria to be a separate reportable segment. In addition, as a result of our investment in Toys being reduced to zero, we suspended equity method accounting for our investment in Toys (see Note 7 -Investments in Partially Owned Entities) and the Toys segment no longer meets the criteria to be a separate reportable segment. Accordingly, effective January 1, 2015, the Retail Properties segment and Toys have been reclassified to the Other segment. We have also reclassified the prior period segment financial results to conform to the current period presentation.Below is a summary of net income and a reconciliation of net income to EBITDA(1) by segment for the three and six months ended June 30, 2015 and 2014.

(Amounts in thousands)		For the Three Months Ended June 30, 2015
			Total		New York			Washington, DC			Other
Total revenues			$	616,288	$	414,262		$	134,856		$	67,170
Total expenses				422,897		250,298			98,661			73,938
Operating income (loss)				193,391		163,964			36,195			(6,768)
(Loss) income from partially owned entities				(5,231)		3,176			(1,805)			(6,602)
Income from real estate fund investments				26,368		-			-			26,368
Interest and other investment income, net				5,666		1,892			13			3,761
Interest and debt expense				(92,092)		(47,173)			(17,483)			(27,436)
Income (loss) before income taxes				128,102		121,859			16,920			(10,677)
Income tax benefit (expense)				88,072		(1,095)			(466)			89,633
Income from continuing operations				216,174		120,764			16,454			78,956
Loss from discontinued operations				(774)		-			-			(774)
Net income				215,400		120,764			16,454			78,182
Less net income attributable to noncontrolling interests in
	consolidated subsidiaries			(19,186)		(2,552)			-			(16,634)
Net income attributable to Vornado Realty L.P.				196,214		118,212			16,454			61,548
Interest and debt expense(2)				115,073		61,057			20,891			33,125
Depreciation and amortization(2)				163,245		95,567			47,803			19,875
Income tax (benefit) expense(2)				(87,653)		1,152			486			(89,291)
EBITDA(1)			$	386,879	$	275,988	(3)	$	85,634	(4)	$	25,257	(5)

(Amounts in thousands)		For the Three Months Ended June 30, 2014
			Total		New York			Washington, DC			Other
Total revenues			$	574,411	$	375,674		$	134,826		$	63,911
Total expenses				385,143		226,840			87,352			70,951
Operating income (loss)				189,268		148,834			47,474			(7,040)
(Loss) income from partially owned entities				(53,742)		8,996			(2,248)			(60,490)
Income from real estate fund investments				100,110		-			-			100,110
Interest and other investment income, net				9,396		1,614			42			7,740
Interest and debt expense				(103,913)		(49,070)			(18,660)			(36,183)
Net gain on disposition of wholly owned and partially
	owned assets			905		-			-			905
Income before income taxes				142,024		110,374			26,608			5,042
Income tax expense				(3,280)		(1,226)			(115)			(1,939)
Income from continuing operations				138,744		109,148			26,493			3,103
Income from discontinued operations				26,943		5,919			-			21,024
Net income				165,687		115,067			26,493			24,127
Less net income attributable to noncontrolling interests in
	consolidated subsidiaries			(63,975)		(3,108)			-			(60,867)
Net income (loss) attributable to Vornado Realty L.P.				101,712		111,959			26,493			(36,740)
Interest and debt expense(2)				179,520		64,072			22,463			92,985
Depreciation and amortization(2)				173,443		74,007			35,806			63,630
Income tax (benefit) expense (2)				(574)		1,291			132			(1,997)
EBITDA(1)			$	454,101	$	251,329	(3)	$	84,894	(4)	$	117,878	(5)
See notes on page 31.

21. Segment Information – continued

(Amounts in thousands)		For the Six Months Ended June 30, 2015
			Total		New York			Washington, DC			Other
Total revenues			$	1,223,090	$	813,775		$	268,824		$	140,491
Total expenses				861,985		503,058			191,658			167,269
Operating income (loss)				361,105		310,717			77,166			(26,778)
Loss from partially owned entities				(7,636)		(2,487)			(1,674)			(3,475)
Income from real estate fund investments				50,457		-			-			50,457
Interest and other investment income, net				16,458		3,754			26			12,678
Interest and debt expense				(183,766)		(92,524)			(35,643)			(55,599)
Net gain on disposition of wholly owned and partially
	owned assets			1,860		-			-			1,860
Income (loss) before income taxes				238,478		219,460			39,875			(20,857)
Income tax benefit (expense)				87,101		(2,038)			208			88,931
Income from continuing operations				325,579		217,422			40,083			68,074
Income from discontinued operations				15,067		-			-			15,067
Net income				340,646		217,422			40,083			83,141
Less net income attributable to noncontrolling interests in
	consolidated subsidiaries			(35,068)		(4,058)			-			(31,010)
Net income attributable to Vornado Realty L.P.				305,578		213,364			40,083			52,131
Interest and debt expense(2)				229,748		119,724			42,403			67,621
Depreciation and amortization(2)				319,695		189,691			88,555			41,449
Income tax (benefit) expense (2)				(88,392)		2,154			(2,150)			(88,396)
EBITDA(1)			$	766,629	$	524,933	(3)	$	168,891	(4)	$	72,805	(5)

(Amounts in thousands)		For the Six Months Ended June 30, 2014
		Total		New York			Washington, DC			Other
Total revenues		$	1,136,792	$	736,858		$	270,104		$	129,830
Total expenses			802,283		464,574			176,924			160,785
Operating income (loss)			334,509		272,284			93,180			(30,955)
(Loss) income from partially owned entities			(51,763)		10,562			(3,514)			(58,811)
Income from real estate fund investments			118,258		-			-			118,258
Interest and other investment income, net			21,246		3,055			78			18,113
Interest and debt expense			(200,225)		(91,909)			(38,007)			(70,309)
Net gain on disposition of wholly owned and partially
	owned assets		10,540		-			-			10,540
Income (loss) before income taxes			232,565		193,992			51,737			(13,164)
Income tax (expense) benefit			(4,131)		(2,195)			84			(2,020)
Income (loss) from continuing operations			228,434		191,797			51,821			(15,184)
Income from discontinued operations			35,409		11,786			-			23,623
Net income			263,843		203,583			51,821			8,439
Less net income attributable to noncontrolling interests in
	consolidated subsidiaries		(75,554)		(4,513)			-			(71,041)
Net income (loss) attributable to Vornado Realty L.P.			188,289		199,070			51,821			(62,602)
Interest and debt expense(2)			350,472		122,140			45,261			183,071
Depreciation and amortization(2)			369,782		161,594			71,956			136,232
Income tax expense (benefit)(2)			19,257		2,323			(57)			16,991
EBITDA(1)		$	927,800	$	485,127	(3)	$	168,981	(4)	$	273,692	(5)
See notes on the following page.

21. Segment Information – continued

	Notes to preceding tabular information:
(1)	EBITDA represents "Earnings Before Interest, Taxes, Depreciation and Amortization." We consider EBITDA a supplemental non-GAAP financial measure for making decisions and assessing the unlevered performance of our segments as it relates to the total return on assets as opposed to the levered return on equity. As properties are bought and sold based on a multiple of EBITDA, we utilize this measure to make investment decisions as well as to compare the performance of our assets to that of our peers. EBITDA should not be considered a substitute for net income. EBITDA may not be comparable to similarly titled measures employed by other companies.
(2)	Interest and debt expense, depreciation and amortization and income tax expense (benefit) in the reconciliation of net income (loss) to EBITDA includes our share of these items from partially owned entities.
(3)	The elements of "New York" EBITDA are summarized below.
	(Amounts in thousands)			For the Three Months Ended						For the Six Months Ended
			June 30,						June 30,
			2015			2014			2015			2014
	Office			$	170,740		$	162,833		$	330,099		$	320,712
	Retail				86,151			67,947			167,456			134,142
	Alexander's				10,241			10,271			20,648			20,701
	Hotel Pennsylvania				8,856			10,278			6,730			9,572
		Total New York		$	275,988		$	251,329		$	524,933		$	485,127
(4)	The elements of "Washington, DC" EBITDA are summarized below.
	(Amounts in thousands)			For the Three Months Ended						For the Six Months Ended
			June 30,						June 30,
			2015			2014			2015			2014
	Office, excluding the Skyline Properties			$	68,514		$	67,057		$	135,898		$	134,314
	Skyline properties				6,984			7,073			13,039			13,572
		Total Office			75,498			74,130			148,937			147,886
	Residential				10,136			10,764			19,954			21,095
		Total Washington, DC		$	85,634		$	84,894		$	168,891		$	168,981

21. Segment Information – continued

	Notes to preceding tabular information - continued:
(5)	The elements of "Other" EBITDA are summarized below.
	(Amounts in thousands)		For the Three Months Ended						For the Six Months Ended
			June 30,						June 30,
			2015			2014			2015			2014
	Our share of real estate fund investments:
		Income before net realized/unrealized gains	$	1,533		$	2,191		$	4,285		$	4,617
		Net realized/unrealized gains on investments		6,054			24,265			10,464			27,807
		Carried interest		2,909			11,874			6,297			13,205
	Total			10,496			38,330			21,046			45,629
	The Mart and trade shows			22,144			22,454			43,185			41,541
	555 California Street			12,831			11,506			25,232			23,572
	Our share of Toys(a)			500			5,189			1,954			90,586
	India real estate ventures			375			99			2,216			1,923
	Other investments			11,222			6,780			18,966			14,380
				57,568			84,358			112,599			217,631
	Corporate general and administrative expenses(b) (c)			(23,760)			(23,022)			(59,702)			(49,004)
	Investment income and other, net(b)			6,561			8,032			15,323			16,105
	Our share of impairment loss on India real estate ventures			(14,806)			-			(14,806)			-
	Our share of gains on sale of real estate of partially owned entities				4,513			-			4,513			-
	Acquisition and transaction related costs			(4,061)			(1,067)			(6,042)			(2,352)
	UE and residual retail properties discontinued operations(d)			(758)			48,672			19,060			80,772
	Net gain on sale of residential condominiums and a land parcel				-			905			1,860			10,540
			$	25,257		$	117,878		$	72,805		$	273,692
	(a)	As a result of our investment being reduced to zero, we suspended equity method accounting in the third quarter of 2014 (see Note 7 - Investments in Partially Owned Entities). The six months ended June 30, 2014 includes an impairment loss of $75,196.
	(b)	The amounts in these captions (for this table only) exclude income/expense from the mark-to-market of our deferred compensation plan of $609 and $2,380 for the three months ended June 30, 2015 and 2014, respectively, and $2,250 and $6,780 for the six months ended June 30, 2015 and 2014, respectively.
	(c)	The six months ended June 30, 2015 includes $8,817 from the acceleration of the recognition of compensation expense related to 2013-2015 Out-Performance Plans due to the modification of the vesting criteria of awards such that they will fully vest at age 65. The accelerated expense will result in lower general and administrative expense for the remainder of 2015 of $1,734 and $6,217 thereafter.
	(d)	The three months ended June 30, 2015 and 2014, include $327 and $3,016, respectively, and the six months ended June 30, 2015 and 2014, include $22,972 and $3,515, respectively, of transaction costs related to the spin-off of our strip shopping centers and malls (see Note 1 - Organization).

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Basis of Presentation and Significant Accounting Policies (Policy)

6 Months Ended

Jun. 30, 2015

Basis of Presentation and Significant Accounting Policies [Abstract]

Basis of Presentation Policy

Basis of Presentation

The accompanying consolidated financial statements are unaudited and include the accounts of VornadoRealty L.P. and its consolidated subsidiaries. All intercompany amounts have been eliminated. In our opinion, all adjustments (which include only normal recurring adjustments) necessary to present fairly the financial position, results of operations and changes in cash flows have been made. Certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) have been condensed or omitted.These condensed consolidated financial statements have been prepared in accordance with the instructions to Form 10-Q of the SEC and should be read in conjunction with the consolidated financial statements and notes thereto included in our Annual Report on Form 10-K, as amended, for the year ended December 31,2014, as filed with the SEC.

We have made estimates and assumptions that affect the reported amounts of assets and liabilities, disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting periods. Actual results could differ from those estimates.The results of operations for the three and six months endedJune 30, 2015 are not necessarily indicative of the operating results for the full year.

Certain prior year balances have been reclassified in order to conform to the current period presentation.Beginning in the three months ended March 31, 2015, the Company classifies signage revenue within “property rentals”.  For the three and six months endedJune 30, 2014, $8,873,000 and $18,191,000, respectively,related to signage revenue has been reclassified from “fee and other income” to “property rentals” to conform to the current period presentation.

Real Estate [Policy Text Block]

The Fund is accounted for under ASC 946, Financial Services – Investment Companies(“ASC 946”) and its investments are reported on its balance sheet at fair value, with changes in value each period recognized in earnings. We consolidate the accounts of the Fund into our consolidated financial statements, retaining the fair value basis of accounting.

Revenue Recognition [Policy Text Block]

Condominium Units Held For Sale: Pursuant to ASC 605-35-25-88, Revenue Recognition: Completed Contract Method, revenue from condominium unit sales is recognized upon closing of the sale, as all conditions for full profit recognition have not been met until that time. We use the relative sales value method to allocate costs to individual condominium units.

Income Tax [Policy Text Block]

Income Taxes:As a limited partnership, our partners are required to report their respective share of taxable income on their individual tax returns. The provision for income taxes in our consolidated financial statements relate to certain taxable REIT subsidiaries pursuant to an amendment to the Internal Revenue Code that became effective January 1, 2001. Taxable REIT subsidiaries may participate in non-real estate related activities and/or perform non-customary services for tenants and are subject to Federal and State income tax at regular corporate tax rates.

At June 30, 2015 and December 31, 2014, our taxable REIT subsidiaries had deferred tax assets of $95,419,000 and $94,100,000, respectively, which are included in “other assets” on our consolidated balance sheets. Prior to the quarter ended June 30, 2015, there was a full valuation allowance against our deferred tax assets becausewe had not determined that it is more-likely-than-not that we woulduse the net operating loss carryforwards to offset future taxable income. During the second quarter of 2015, we began toenter into agreements to sell residential condominium units at 220 CPSand as of June 30, 2015, we had entered into agreements to sell approximately 40% of theprojectfor aggregate sales proceeds of $1.4 billion. Based on these agreements, among other factors,we have concluded that it is more-likely-than-not that we will generate sufficient taxable income to realize the deferred tax assets. Accordingly, during the second quarter of 2015, we reversed $90,030,000of the allowance for deferred tax assets and recognized an income tax benefit in our consolidated statements of income in the threeand six months ended June 30, 2015.

Redeemable Noncontrolling Interests Policy [Text Block]

Redeemable partnership units on our consolidated balance sheets are comprised primarily of Class A units that are held by third parties and are recorded at the greater of their carrying amount or redemption value at the end of each reporting period. Changes in the value from period to period are charged to “partners' capital” on our consolidated balance sheets.

Redeemable partnership units exclude our Series G-1 through G-4 convertible preferred units and Series D-13 cumulative redeemable preferred units, as they are accounted for as liabilities in accordance with ASC 480, Distinguishing Liabilities and Equity, because of their possible settlement by issuing a variable number of Vornado common shares.

Fair Value Measurement Policy [Policy Text Block]

In determining fair value, we utilize valuation techniques that maximize the use of observable inputs and minimize the use of unobservable inputs to the extent possible, as well as consider counterparty credit risk in our assessment of fair value. Considerable judgment is necessary to interpret Level 2 and 3 inputs in determining the fair value of our financial and non-financial assets and liabilities. Accordingly, our fair value estimates, which are made at the end of each reporting period, may be different than the amounts that may ultimately be realized upon sale or disposition of these assets.

Financial Assets and Liabilities Measured at Fair Value on a Recurring Basis

Financial assets and liabilities that are measured at fair value on our consolidated balance sheets consist of(i) marketable securities, (ii) real estate fund investments,(iii) the assets in our deferred compensation plan (for which there is a corresponding liability on our consolidated balance sheet),(iv) mandatorily redeemable instruments (Series G-1 through G-4 convertible preferred units and Series D-13 cumulative redeemable preferred units), and (v) an interest rate swap.

Fair Value Measurements on a Nonrecurring Basis

Assets measured at fair value on a nonrecurring basis on our consolidated balance sheets consist primarily ofreal estate assetsrequired to be measured for impairmentatDecember 31, 2014. There are no assets remaining at fair value on a nonrecurring basis at June 30, 2015.The fair values of real estate assets required to be measured for impairment were determined using widely accepted valuation techniques, including (i) discounted cash flow analysis, which considers, among other things, leasing assumptions, growth rates, discount rates and terminal capitalization rates, (ii) income capitalization approach, which considers prevailing market capitalization rates, and (iii) comparable sales activity.

Financial Assets and Liabilities not Measured at Fair Value

Financial assets and liabilities that are not measured at fair value on our consolidated balance sheets include cash equivalents (primarily money market funds, which invest in obligations of the United States government), mortgage and mezzanine loans receivable and our secured and unsecured debt. Estimates of the fair value of these instruments are determined by the standard practice of modeling the contractual cash flows required under the instrument and discounting them back to their present value at the appropriate current risk adjusted interest rate, which isprovided by a third-party specialist. For floating rate debt, we use forward rates derived from observable market yield curves to project the expected cash flows we would be required to make under the instrument. The fair value of cash equivalents and borrowings under our revolving credit facility is classified as Level 1, and the fair value of our mortgage and mezzanine loans receivable as of December 31, 2014 is classified as Level 3. There are no mortgage and mezzanine loans receivable outstanding as ofJune 30, 2015. The fair value of our secured and unsecured debt are classified as Level 2.

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Consolidated Statements of Cash Flows (Parentheticals) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014
Statement of Cash Flows [Abstract]
Cash payments for interest, excluding capitalized interest	$ 17,550	$ 30,182

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Real Estate Fund Investments (Tables)

6 Months Ended

Jun. 30, 2015

Real Estate Fund [Abstract]

Schedule Of Income And Loss From The Fund [Table Text Block]

(Amounts in thousands)		For the Three Months Ended				For the Six Months Ended
		June 30,				June 30,
		2015		2014		2015		2014
Net investment income		$	2,150	$	3,052	$	8,600	$	7,031
Net realized gains on exited investments			886		75,069		25,591		75,069
Previously recorded unrealized gains on exited investments			-		(35,365)		(23,279)		(22,388)
Net unrealized gains on held investments			23,332		57,354		39,545		58,546
Income from real estate fund investments			26,368		100,110		50,457		118,258
Less income attributable to noncontrolling interests			(15,872)		(61,780)		(29,411)		(72,629)
Income from real estate fund investments attributable to Vornado Realty L.P.(1)		$	10,496	$	38,330	$	21,046	$	45,629
(1)	Excludes property management, leasing and development fees of $633 and $638 for the three months ended June 30, 2015 and 2014, respectively, and $1,337 and $1,256 for the six months ended June 30, 2015 and 2014, respectively, which are included as a component of "fee and other income" on our consolidated statements of income.

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Fair Value Measurements (Tables)

6 Months Ended

Jun. 30, 2015

Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items]

Schedule of Fair Values of Financial Assets and Liabilities by Levels [Table Text Block]

(Amounts in thousands)		As of June 30, 2015
		Total		Level 1		Level 2		Level 3
Marketable securities		$	159,991	$	159,991	$	-	$	-
Real estate fund investments (75% of which is attributable to
	noncontrolling interests)		565,976		-		-		565,976
Deferred compensation plan assets (included in other assets)			118,932		51,264		-		67,668
	Total assets	$	844,899	$	211,255	$	-	$	633,644
Mandatorily redeemable instruments (included in other liabilities)		$	55,097	$	55,097	$	-	$	-
Interest rate swap (included in other liabilities)			23,747		-		23,747		-
	Total liabilities	$	78,844	$	55,097	$	23,747	$	-
(Amounts in thousands)		As of December 31, 2014
		Total		Level 1		Level 2		Level 3
Marketable securities		$	206,323	$	206,323	$	-	$	-
Real estate fund investments (75% of which is attributable to
	noncontrolling interests)		513,973		-		-		513,973
Deferred compensation plan assets (included in other assets)			117,284		53,969		-		63,315
	Total assets	$	837,580	$	260,292	$	-	$	577,288
Mandatorily redeemable instruments (included in other liabilities)		$	55,097	$	55,097	$	-	$	-
Interest rate swap (included in other liabilities)			25,797		-		25,797		-
	Total liabilities	$	80,894	$	55,097	$	25,797	$	-

Non-financial Assets Measured at Fair Value on a Nonrecurring Basis [Table Text Block]

(Amounts in thousands)	As of December 31, 2014
	Total		Level 1		Level 2		Level 3
Real estate assets	$	4,848	$	-	$	-	$	4,848

Schedule Of Carrying Amounts And Fair Values Of Financial Instruments [Table Text Block]

(Amounts in thousands)		As of June 30, 2015				As of December 31, 2014
		Carrying		Fair		Carrying		Fair
		Amount		Value		Amount		Value
Cash equivalents		$	311,017	$	311,000	$	749,418	$	749,000
Mortgage and mezzanine loans receivable			-		-		16,748		17,000
		$	311,017	$	311,000	$	766,166	$	766,000
Debt:
	Mortgages payable	$	8,562,314	$	8,541,000	$	8,263,165	$	8,224,000
	Senior unsecured notes		847,463		882,000		1,347,159		1,385,000
	Revolving credit facility debt		400,000		400,000		-		-
		$	9,809,777	$	9,823,000	$	9,610,324	$	9,609,000

Real Estate Fund [Member]

Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items]

Fair Value Inputs, Assets, Quantitative Information [Table Text Block]

				Weighted Average
		Range		(based on fair value of investments)
Unobservable Quantitative Input		June 30, 2015	December 31, 2014	June 30, 2015	December 31, 2014
	Discount rates	12.0% to 14.5%	12.0% to 17.5%	13.4%	13.7%
	Terminal capitalization rates	4.8% to 6.5%	4.7% to 6.5%	5.5%	5.3%

Summary of Changes in Level 3 Plan Assets [Table Text Block]

(Amounts in thousands)	For the Three Months Ended June 30,				For the Six Months Ended June 30,
		2015		2014	2015		2014
Beginning balance	$	554,426	$	682,002	$	513,973	$	667,710
Purchases		-		2,544		95,000		2,667
Dispositions / Distributions		(11,235)		(232,513)		(83,421)		(232,513)
Net unrealized gains		23,332		57,354		39,545		58,546
Net realized gains		886		39,704		2,312		52,681
Other, net		(1,433)		-		(1,433)		-
Ending balance	$	565,976	$	549,091	$	565,976	$	549,091

Deferred Compensation Plan Assets [Member]

Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items]

Summary of Changes in Level 3 Plan Assets [Table Text Block]

(Amounts in thousands)	For the Three Months Ended June 30,				For the Six Months Ended June 30,
		2015		2014	2015		2014
Beginning balance	$	64,836	$	67,627	$	63,315	$	68,782
Purchases		5,607		7,915		6,231		9,559
Sales		(4,655)		(11,255)		(5,093)		(16,379)
Realized and unrealized gain (loss)		1,387		(198)		2,722		1,974
Other, net		493		520		493		673
Ending balance	$	67,668	$	64,609	$	67,668	$	64,609

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Investments in Partially Owned Entities (Details) - Real Estate And Accumulated Depreciation Name Of Property [Domain] - USD ($)	3 Months Ended					6 Months Ended
	Jun. 30, 2015	May. 02, 2015	Jun. 30, 2014	May. 03, 2014	Mar. 31, 2014	Jun. 30, 2015	May. 02, 2015	Jun. 30, 2014	May. 03, 2014	Mar. 31, 2015	Dec. 31, 2014	Nov. 01, 2014	Sep. 30, 2014
Equity Method Investments And Income From Equity Method Investments [Abstract]
Carrying amount of investments in partially owned entities	$ 1,477,090,000					$ 1,477,090,000					$ 1,246,496,000
Income (Loss) From Equity Method Investments	$ (5,231,000)		$ (53,742,000)			$ (7,636,000)		$ (51,763,000)
Toys R Us [Member]
Equity Method Investments And Income From Equity Method Investments [Abstract]
Equity method ownership percentage	32.50%					32.50%
Equity in net income					$ 75,196,000
Carrying amount of investments in partially owned entities	$ 0					$ 0					0		$ 0
Income (Loss) From Equity Method Investments	500,000		(57,591,000)			1,954,000		(55,744,000)
Non-cash impairment losses					$ 75,196,000	355,953,000
Condensed Financial Information For Equity Method Investments [Abstract]
Assets		$ 9,772,000,000					$ 9,772,000,000					$ 11,267,000,000
Liabilities		8,965,000,000					8,965,000,000					10,377,000,000
Noncontrolling interests		85,000,000					85,000,000					82,000,000
Equity		722,000,000					722,000,000					$ 808,000,000
Total revenue		2,325,000,000		$ 2,479,000,000			7,308,000,000		$ 7,746,000,000
Net (loss) income attributable to investee		$ (129,700,000)		$ (194,000,000)			$ 64,000,000		$ (111,000,000)
Equity Method Investment, Difference Excess Of Underlying Equity Over Carrying Amount	234,553,000					234,553,000
Toys R Us [Member] | Equity In Net Income After Income Taxes [Member]
Equity Method Investments And Income From Equity Method Investments [Abstract]
Income (Loss) From Equity Method Investments	0		(59,530,000)			0		15,666,000
Toys R Us [Member] | Management Fees [Member]
Equity Method Investments And Income From Equity Method Investments [Abstract]
Income (Loss) From Equity Method Investments	500,000		1,939,000			1,954,000		3,786,000
Toys R Us [Member] | Impairment Loss [Member]
Equity Method Investments And Income From Equity Method Investments [Abstract]
Income (Loss) From Equity Method Investments	$ 0		0			$ 0		(75,196,000)
Alexanders Inc [Member]
Equity Method Investments And Income From Equity Method Investments [Abstract]
Equity method ownership percentage	32.40%					32.40%
Carrying amount of investments in partially owned entities	$ 130,639,000					$ 130,639,000					131,616,000
Excess of investee's carrying amount over equity in net assets	40,690,000					40,690,000
Income (Loss) From Equity Method Investments	7,323,000		6,894,000			15,014,000		13,279,000
Condensed Financial Information For Equity Method Investments [Abstract]
Assets	1,418,000,000					1,418,000,000					1,423,000,000
Liabilities	1,074,000,000					1,074,000,000					1,075,000,000
Equity	344,000,000					344,000,000					348,000,000
Total revenue	51,000,000		50,000,000			103,000,000		99,000,000
Net (loss) income attributable to investee	17,000,000		17,000,000			35,000,000		32,000,000
Alexanders Inc [Member] | Equity In Net Income After Income Taxes [Member]
Equity Method Investments And Income From Equity Method Investments [Abstract]
Income (Loss) From Equity Method Investments	5,447,000		5,272,000			11,041,000		10,031,000
Alexanders Inc [Member] | Management Leasing And Development Fees [Member]
Equity Method Investments And Income From Equity Method Investments [Abstract]
Income (Loss) From Equity Method Investments	1,876,000		1,622,000			3,973,000		3,248,000
India real estate ventures [Member]
Equity Method Investments And Income From Equity Method Investments [Abstract]
Carrying amount of investments in partially owned entities	50,542,000					50,542,000					76,752,000
Income (Loss) From Equity Method Investments	(16,567,000)		(2,041,000)			(16,676,000)		(2,178,000)
Non-cash impairment losses	$ 14,806,000					$ 14,806,000
India real estate ventures [Member] | Minimum [Member]
Equity Method Investments And Income From Equity Method Investments [Abstract]
Equity method ownership percentage	4.10%					4.10%
India real estate ventures [Member] | Maximum [Member]
Equity Method Investments And Income From Equity Method Investments [Abstract]
Equity method ownership percentage	36.50%					36.50%
Partially owned office buildings [Member]
Equity Method Investments And Income From Equity Method Investments [Abstract]
Carrying amount of investments in partially owned entities	$ 859,544,000					$ 859,544,000					760,749,000
Income (Loss) From Equity Method Investments	$ (3,238,000)		990,000			$ (12,534,000)		(1,405,000)
Urban Edge Properties [Member]
Equity Method Investments And Income From Equity Method Investments [Abstract]
Equity method ownership percentage	5.40%					5.40%
Carrying amount of investments in partially owned entities	$ 25,610,000					$ 25,610,000					0
Income (Loss) From Equity Method Investments	904,000		0			1,488,000		0
Urban Edge Properties [Member] | Equity In Net Income After Income Taxes [Member]
Equity Method Investments And Income From Equity Method Investments [Abstract]
Income (Loss) From Equity Method Investments	404,000		0			404,000		0
Urban Edge Properties [Member] | Management Leasing And Development Fees [Member]
Equity Method Investments And Income From Equity Method Investments [Abstract]
Income (Loss) From Equity Method Investments	$ 500,000		0			$ 1,084,000		0
PREIT Associates [Member]
Equity Method Investments And Income From Equity Method Investments [Abstract]
Equity method ownership percentage	8.10%					8.10%				8.10%
Carrying amount of investments in partially owned entities	$ 143,031,000					$ 143,031,000					0
Other equity method investments [Member]
Equity Method Investments And Income From Equity Method Investments [Abstract]
Carrying amount of investments in partially owned entities	267,724,000					267,724,000					$ 277,379,000
Income (Loss) From Equity Method Investments	$ 5,847,000		$ (1,994,000)			$ 3,118,000		$ (5,715,000)

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Interest and Debt Expense (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Interest and Debt Expense [Abstract]
Interest expense	$ 96,297	$ 112,736	$ 191,625	$ 218,248
Amortization of deferred financing costs	7,497	7,737	14,953	12,159
Capitalized interest and debt expenses	(11,702)	(16,560)	(22,812)	(30,182)
Interest and Debt Expense, Total	$ 92,092	$ 103,913	$ 183,766	$ 200,225

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Consolidated Balance Sheets - Equity Method Investee Name [Domain] - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Real estate, at cost:
Land	$ 4,036,944	$ 3,861,913
Buildings and improvements	12,188,912	11,705,749
Development costs and construction in progress	1,273,897	1,128,037
Leasehold improvements and equipment	129,930	126,659
Total	17,629,683	16,822,358
Less accumulated depreciation and amortization	(3,303,014)	(3,161,633)
Real estate, net	14,326,669	13,660,725
Cash and cash equivalents	516,337	1,198,477
Restricted cash	127,857	176,204
Marketable securities	159,991	206,323
Tenant and other receivables, net of allowance for doubtful accounts of $10,944 and $12,210	115,049	109,998
Investments in partially owned entities	1,477,090	1,246,496
Real estate fund investments	565,976	513,973
Receivable arising from the straight-lining of rents, net of allowance of $3,229 and $3,190	851,894	787,271
Deferred leasing and financing costs, net of accumulated amortization of $280,286 and $281,109	528,179	475,158
Identified intangible assets, net of accumulated amortization of $207,744 and 199,821	245,846	225,155
Assets related to discontinued operations	34,891	2,238,474
Other assets	636,128	410,066
Assets	19,585,907	21,248,320
LIABILITIES, REDEEMABLE PARTNERSHIP UNITS AND EQUITY
Mortgages payable	8,562,314	8,263,165
Senior unsecured notes	847,463	1,347,159
Revolving credit facility debt	400,000	0
Accounts payable and accrued expenses	437,813	447,745
Deferred revenue	390,636	358,613
Deferred compensation plan	118,931	117,284
Liabilities related to discontinued operations	12,611	1,511,362
Other liabilities	417,935	375,830
Total liabilities	$ 11,187,703	$ 12,421,158
Commitments and contingencies
Redeemable partnership units:
Class A units - 11,455,453 and 11,356,550 units outstanding	$ 1,087,466	$ 1,336,780
Series D cumulative redeemable preferred units - 177,101 and 1 units outstanding	5,428	1,000
Total redeemable partnership units	1,092,894	1,337,780
Equity:
Partners' capital	8,445,677	8,157,544
Earnings less than distributions	(1,958,546)	(1,505,385)
Accumulated other comprehensive income	50,613	93,267
Total Vornado Realty L.P. equity	6,537,744	6,745,426
Noncontrolling interests in consolidated subsidiaries	767,566	743,956
Total equity	7,305,310	7,489,382
Total liabilities, redeemable partnership units and equity	$ 19,585,907	$ 21,248,320

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Segment Information (Tables)

6 Months Ended

Jun. 30, 2015

Segment Reporting [Abstract]

Schedule of Segment Information

(Amounts in thousands)		For the Three Months Ended June 30, 2015
			Total		New York			Washington, DC			Other
Total revenues			$	616,288	$	414,262		$	134,856		$	67,170
Total expenses				422,897		250,298			98,661			73,938
Operating income (loss)				193,391		163,964			36,195			(6,768)
(Loss) income from partially owned entities				(5,231)		3,176			(1,805)			(6,602)
Income from real estate fund investments				26,368		-			-			26,368
Interest and other investment income, net				5,666		1,892			13			3,761
Interest and debt expense				(92,092)		(47,173)			(17,483)			(27,436)
Income (loss) before income taxes				128,102		121,859			16,920			(10,677)
Income tax benefit (expense)				88,072		(1,095)			(466)			89,633
Income from continuing operations				216,174		120,764			16,454			78,956
Loss from discontinued operations				(774)		-			-			(774)
Net income				215,400		120,764			16,454			78,182
Less net income attributable to noncontrolling interests in
	consolidated subsidiaries			(19,186)		(2,552)			-			(16,634)
Net income attributable to Vornado Realty L.P.				196,214		118,212			16,454			61,548
Interest and debt expense(2)				115,073		61,057			20,891			33,125
Depreciation and amortization(2)				163,245		95,567			47,803			19,875
Income tax (benefit) expense(2)				(87,653)		1,152			486			(89,291)
EBITDA(1)			$	386,879	$	275,988	(3)	$	85,634	(4)	$	25,257	(5)

(Amounts in thousands)		For the Three Months Ended June 30, 2014
			Total		New York			Washington, DC			Other
Total revenues			$	574,411	$	375,674		$	134,826		$	63,911
Total expenses				385,143		226,840			87,352			70,951
Operating income (loss)				189,268		148,834			47,474			(7,040)
(Loss) income from partially owned entities				(53,742)		8,996			(2,248)			(60,490)
Income from real estate fund investments				100,110		-			-			100,110
Interest and other investment income, net				9,396		1,614			42			7,740
Interest and debt expense				(103,913)		(49,070)			(18,660)			(36,183)
Net gain on disposition of wholly owned and partially
	owned assets			905		-			-			905
Income before income taxes				142,024		110,374			26,608			5,042
Income tax expense				(3,280)		(1,226)			(115)			(1,939)
Income from continuing operations				138,744		109,148			26,493			3,103
Income from discontinued operations				26,943		5,919			-			21,024
Net income				165,687		115,067			26,493			24,127
Less net income attributable to noncontrolling interests in
	consolidated subsidiaries			(63,975)		(3,108)			-			(60,867)
Net income (loss) attributable to Vornado Realty L.P.				101,712		111,959			26,493			(36,740)
Interest and debt expense(2)				179,520		64,072			22,463			92,985
Depreciation and amortization(2)				173,443		74,007			35,806			63,630
Income tax (benefit) expense (2)				(574)		1,291			132			(1,997)
EBITDA(1)			$	454,101	$	251,329	(3)	$	84,894	(4)	$	117,878	(5)
See notes on page 31.

(Amounts in thousands)		For the Six Months Ended June 30, 2015
			Total		New York			Washington, DC			Other
Total revenues			$	1,223,090	$	813,775		$	268,824		$	140,491
Total expenses				861,985		503,058			191,658			167,269
Operating income (loss)				361,105		310,717			77,166			(26,778)
Loss from partially owned entities				(7,636)		(2,487)			(1,674)			(3,475)
Income from real estate fund investments				50,457		-			-			50,457
Interest and other investment income, net				16,458		3,754			26			12,678
Interest and debt expense				(183,766)		(92,524)			(35,643)			(55,599)
Net gain on disposition of wholly owned and partially
	owned assets			1,860		-			-			1,860
Income (loss) before income taxes				238,478		219,460			39,875			(20,857)
Income tax benefit (expense)				87,101		(2,038)			208			88,931
Income from continuing operations				325,579		217,422			40,083			68,074
Income from discontinued operations				15,067		-			-			15,067
Net income				340,646		217,422			40,083			83,141
Less net income attributable to noncontrolling interests in
	consolidated subsidiaries			(35,068)		(4,058)			-			(31,010)
Net income attributable to Vornado Realty L.P.				305,578		213,364			40,083			52,131
Interest and debt expense(2)				229,748		119,724			42,403			67,621
Depreciation and amortization(2)				319,695		189,691			88,555			41,449
Income tax (benefit) expense (2)				(88,392)		2,154			(2,150)			(88,396)
EBITDA(1)			$	766,629	$	524,933	(3)	$	168,891	(4)	$	72,805	(5)

(Amounts in thousands)		For the Six Months Ended June 30, 2014
		Total		New York			Washington, DC			Other
Total revenues		$	1,136,792	$	736,858		$	270,104		$	129,830
Total expenses			802,283		464,574			176,924			160,785
Operating income (loss)			334,509		272,284			93,180			(30,955)
(Loss) income from partially owned entities			(51,763)		10,562			(3,514)			(58,811)
Income from real estate fund investments			118,258		-			-			118,258
Interest and other investment income, net			21,246		3,055			78			18,113
Interest and debt expense			(200,225)		(91,909)			(38,007)			(70,309)
Net gain on disposition of wholly owned and partially
	owned assets		10,540		-			-			10,540
Income (loss) before income taxes			232,565		193,992			51,737			(13,164)
Income tax (expense) benefit			(4,131)		(2,195)			84			(2,020)
Income (loss) from continuing operations			228,434		191,797			51,821			(15,184)
Income from discontinued operations			35,409		11,786			-			23,623
Net income			263,843		203,583			51,821			8,439
Less net income attributable to noncontrolling interests in
	consolidated subsidiaries		(75,554)		(4,513)			-			(71,041)
Net income (loss) attributable to Vornado Realty L.P.			188,289		199,070			51,821			(62,602)
Interest and debt expense(2)			350,472		122,140			45,261			183,071
Depreciation and amortization(2)			369,782		161,594			71,956			136,232
Income tax expense (benefit)(2)			19,257		2,323			(57)			16,991
EBITDA(1)		$	927,800	$	485,127	(3)	$	168,981	(4)	$	273,692	(5)
See notes on the following page.

	Notes to preceding tabular information:
(1)	EBITDA represents "Earnings Before Interest, Taxes, Depreciation and Amortization." We consider EBITDA a supplemental non-GAAP financial measure for making decisions and assessing the unlevered performance of our segments as it relates to the total return on assets as opposed to the levered return on equity. As properties are bought and sold based on a multiple of EBITDA, we utilize this measure to make investment decisions as well as to compare the performance of our assets to that of our peers. EBITDA should not be considered a substitute for net income. EBITDA may not be comparable to similarly titled measures employed by other companies.
(2)	Interest and debt expense, depreciation and amortization and income tax expense (benefit) in the reconciliation of net income (loss) to EBITDA includes our share of these items from partially owned entities.
(3)	The elements of "New York" EBITDA are summarized below.
	(Amounts in thousands)			For the Three Months Ended						For the Six Months Ended
			June 30,						June 30,
			2015			2014			2015			2014
	Office			$	170,740		$	162,833		$	330,099		$	320,712
	Retail				86,151			67,947			167,456			134,142
	Alexander's				10,241			10,271			20,648			20,701
	Hotel Pennsylvania				8,856			10,278			6,730			9,572
		Total New York		$	275,988		$	251,329		$	524,933		$	485,127
(4)	The elements of "Washington, DC" EBITDA are summarized below.
	(Amounts in thousands)			For the Three Months Ended						For the Six Months Ended
			June 30,						June 30,
			2015			2014			2015			2014
	Office, excluding the Skyline Properties			$	68,514		$	67,057		$	135,898		$	134,314
	Skyline properties				6,984			7,073			13,039			13,572
		Total Office			75,498			74,130			148,937			147,886
	Residential				10,136			10,764			19,954			21,095
		Total Washington, DC		$	85,634		$	84,894		$	168,891		$	168,981

Details of Other EBITDA

	Notes to preceding tabular information - continued:
(5)	The elements of "Other" EBITDA are summarized below.
	(Amounts in thousands)		For the Three Months Ended						For the Six Months Ended
			June 30,						June 30,
			2015			2014			2015			2014
	Our share of real estate fund investments:
		Income before net realized/unrealized gains	$	1,533		$	2,191		$	4,285		$	4,617
		Net realized/unrealized gains on investments		6,054			24,265			10,464			27,807
		Carried interest		2,909			11,874			6,297			13,205
	Total			10,496			38,330			21,046			45,629
	The Mart and trade shows			22,144			22,454			43,185			41,541
	555 California Street			12,831			11,506			25,232			23,572
	Our share of Toys(a)			500			5,189			1,954			90,586
	India real estate ventures			375			99			2,216			1,923
	Other investments			11,222			6,780			18,966			14,380
				57,568			84,358			112,599			217,631
	Corporate general and administrative expenses(b) (c)			(23,760)			(23,022)			(59,702)			(49,004)
	Investment income and other, net(b)			6,561			8,032			15,323			16,105
	Our share of impairment loss on India real estate ventures			(14,806)			-			(14,806)			-
	Our share of gains on sale of real estate of partially owned entities				4,513			-			4,513			-
	Acquisition and transaction related costs			(4,061)			(1,067)			(6,042)			(2,352)
	UE and residual retail properties discontinued operations(d)			(758)			48,672			19,060			80,772
	Net gain on sale of residential condominiums and a land parcel				-			905			1,860			10,540
			$	25,257		$	117,878		$	72,805		$	273,692
	(a)	As a result of our investment being reduced to zero, we suspended equity method accounting in the third quarter of 2014 (see Note 7 - Investments in Partially Owned Entities). The six months ended June 30, 2014 includes an impairment loss of $75,196.
	(b)	The amounts in these captions (for this table only) exclude income/expense from the mark-to-market of our deferred compensation plan of $609 and $2,380 for the three months ended June 30, 2015 and 2014, respectively, and $2,250 and $6,780 for the six months ended June 30, 2015 and 2014, respectively.
	(c)	The six months ended June 30, 2015 includes $8,817 from the acceleration of the recognition of compensation expense related to 2013-2015 Out-Performance Plans due to the modification of the vesting criteria of awards such that they will fully vest at age 65. The accelerated expense will result in lower general and administrative expense for the remainder of 2015 of $1,734 and $6,217 thereafter.
	(d)	The three months ended June 30, 2015 and 2014, include $327 and $3,016, respectively, and the six months ended June 30, 2015 and 2014, include $22,972 and $3,515, respectively, of transaction costs related to the spin-off of our strip shopping centers and malls (see Note 1 - Organization).

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Consolidated Statements of Changes in Equity - USD ($) shares in Thousands, $ in Thousands	Total	Real estate fund investments	All other except real estate fund investments	Preferred Shares	Class A Units Owned By Vornado	Earnings Less Than Distributions	Accumulated Other Comprehensive Income (Loss)	Non-controlling Interests in Consolidated Subsidiaries	Non-controlling Interests in Consolidated Subsidiaries Real estate fund investments	Non-controlling Interests in Consolidated Subsidiaries All other except real estate fund investments
Beginning balance, Units at Dec. 31, 2013				52,683	187,285
Beginning balance, Value at Dec. 31, 2013	$ 7,594,744			$ 1,277,225	$ 7,151,309	$ (1,734,839)	$ 71,537	$ 829,512
Net income attributable to Vornado Realty L.P.	188,289					188,289
Net income attributable to redeemable partnership units	(8,564)					(8,564)
Net income attributable to noncontrolling interests in consolidated subsidiaries	75,554	$ 72,629						75,554
Distributions to Vornado	(273,694)					(273,694)
Distributions to preferred unitholders	(40,734)					(40,734)
Class A units issued to Vornado:
Upon redemption of redeemable Class A units, at redemption value, Units					199
Upon redemption of redeemable Class A units, at redemption value, Value	19,771				$ 19,771
Under Vornado's employees' share option plan, Units					159
Under Vornado's employees' share option plan, Value	9,206				$ 9,206
Under Vornado's dividend reinvestment plan, Units					9
Under Vornado's dividend reinvestment plan, Value	919				$ 919
Contributions:
Contributions		5,297							$ 5,297
Distribution:
Distributions	(16,824)	(132,819)	$ (301)						(132,819)	$ (301)
Transfer of noncontrolling interest in real estate fund investments	(33,028)							(33,028)
Conversion of Series A preferred units to Class A units, Units				(4)	6
Conversion of Series A preferred units to Class A units, Value				$ (193)	$ 193
Deferred compensation units and options, Units					7
Deferred compensation units and options, Value	3,044				$ 3,384	(340)
Change in unrealized net (loss) gain on available-for-sale securities	15,003						15,003
Pro rata share of other comprehensive (loss) income of nonconsolidated subsidiaries	5,877						5,877
Change in value of interest rate swap	1,065						1,065
Adjustments to carry redeemable Class A units at redemption value	(227,338)				(227,338)
Redeemable partnership units' share of above adjustments	(1,260)						(1,260)
Other	(2,677)			$ (6)	$ (297)	(2,368)	(1)	(5)
Ending balance, Units at Jun. 30, 2014				52,679	187,665
Ending balance, Value at Jun. 30, 2014	7,198,354			$ 1,277,026	$ 6,957,147	(1,872,250)	92,221	744,210
Beginning balance, Units at Dec. 31, 2014				52,679	187,887
Beginning balance, Value at Dec. 31, 2014	7,489,382			$ 1,277,026	$ 6,880,518	(1,505,385)	93,267	743,956
Net income attributable to Vornado Realty L.P.	305,578					305,578
Net income attributable to redeemable partnership units	(15,485)					(15,485)
Net income attributable to noncontrolling interests in consolidated subsidiaries	35,068	29,411						35,068
Distribution of Urban Edge Properties	(464,603)					(464,262)		(341)
Distributions to Vornado	(237,160)					(237,160)
Distributions to preferred unitholders	(39,849)					(39,849)
Class A units issued to Vornado:
Upon redemption of redeemable Class A units, at redemption value, Units					400
Upon redemption of redeemable Class A units, at redemption value, Value	43,278				$ 43,278
Under Vornado's employees' share option plan, Units					195
Under Vornado's employees' share option plan, Value	10,400				$ 12,979	(2,579)
Under Vornado's dividend reinvestment plan, Units					7
Under Vornado's dividend reinvestment plan, Value	701				$ 701
Contributions:
Contributions		51,725							51,725
Distribution:
Distributions	(14,734)	$ (62,495)	$ (255)						$ (62,495)	$ (255)
Transfer of noncontrolling interest in real estate fund investments	0
Conversion of Series A preferred units to Class A units, Units				(1)	1
Conversion of Series A preferred units to Class A units, Value				$ (16)	$ 16
Deferred compensation units and options, Units					7
Deferred compensation units and options, Value	1,295				$ 1,654	(359)
Change in unrealized net (loss) gain on available-for-sale securities	(46,332)						(46,332)
Pro rata share of other comprehensive (loss) income of nonconsolidated subsidiaries	(1,034)						(1,034)
Change in value of interest rate swap	2,073						2,073
Adjustments to carry redeemable Class A units at redemption value	229,521				$ 229,521
Redeemable partnership units' share of above adjustments	2,635						2,635
Other	867					955	4	(92)
Ending balance, Units at Jun. 30, 2015				52,678	188,497
Ending balance, Value at Jun. 30, 2015	$ 7,305,310			$ 1,277,010	$ 7,168,667	$ (1,958,546)	$ 50,613	$ 767,566

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Identified Intangible Assets and Liabilities (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014	Dec. 31, 2014
Finite-Lived Intangible Assets [Line Items]
Gross amount	$ 453,590		$ 453,590		$ 424,976
Accumulated amortization	(207,744)		(207,744)		(199,821)
Net	245,846		245,846		225,155
Gross amount	668,314		668,314		657,976
Accumulated amortization	(306,956)		(306,956)		(329,775)
Net	361,358		361,358		$ 328,201
Below Market Leases Net Of Above Market Leases [Member]
Finite-Lived Intangible Assets [Line Items]
Amortization of Intangible Assets	13,378	$ 8,522	25,828	$ 18,234
2016	51,912		51,912
2017	49,937		49,937
2018	48,654		48,654
2019	29,912		29,912
2020	21,681		21,681
Other Identified Intangible Assets [Member]
Finite-Lived Intangible Assets [Line Items]
Amortization of Intangible Assets	5,309	6,940	11,494	15,831
2016	29,217		29,217
2017	24,385		24,385
2018	20,067		20,067
2019	14,246		14,246
2020	10,703		10,703
Tenant Under Ground Leases [Member]
Finite-Lived Intangible Assets [Line Items]
Amortization of Intangible Assets	457	$ 457	916	$ 916
2016	1,832		1,832
2017	1,832		1,832
2018	1,832		1,832
2019	1,832		1,832
2020	$ 1,832		$ 1,832

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Discontinued Operations (Tables)

6 Months Ended

Jun. 30, 2015

Discontinued Operations [Abstract]

Schedule of Disposal Groups, Including Discontinued Operations, Income Statement, Balance Sheet and Additional Disclosures [Text Block]

(Amounts in thousands)					Balance as of
					June 30, 2015		December 31, 2014
Assets related to discontinued operations:
Real estate, net					$	27,205	$	2,028,677
Other assets						7,686		209,797
					$	34,891	$	2,238,474
Liabilities related to discontinued operations:
Mortgages payable					$	-	$	1,288,535
Other liabilities (primarily deferred revenue in 2014)						12,611		222,827
					$	12,611	$	1,511,362
(Amounts in thousands)	For the Three Months Ended June 30,				For the Six Months Ended June 30,
	2015		2014		2015		2014
(Loss) income from discontinued operations:
Total revenues	$	1,573	$	96,157	$	21,531	$	202,720
Total expenses		2,020		65,879		15,393		141,904
		(447)		30,278		6,138		60,816
Transaction related costs		(327)		(3,016)		(22,972)		(3,515)
Net gain on sale of Geary Street, CA lease		-		-		21,376		-
Net gains on sale of real estate		-		-		10,867		-
Impairment losses		-		-		(256)		(20,842)
Pretax (loss) income from discontinued operations		(774)		27,262		15,153		36,459
Income tax expense		-		(319)		(86)		(1,050)
(Loss) income from discontinued operations	$	(774)	$	26,943	$	15,067	$	35,409
Cash flows related to discontinued operations:
Cash flows from operating activities					$	(35,738)	$	55,065
Cash flows from investing activities						310,069		(59,141)

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Fair Value Measurements (Narratives) (Details) $ in Thousands	6 Months Ended
	Jun. 30, 2015 USD ($) Investments	Dec. 31, 2014 USD ($)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Real estate fund investments	$ 565,976	$ 513,973
Real Estate Fund [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Number Of Investments Held By Fund | Investments	6
Real estate fund investments	$ 565,976
Excess of fair value over cost	$ 193,164
Real Estate Fund [Member] | Minimum [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair Value Measurement Anticipated Investment Holding Period	2 months 12 days
Real Estate Fund [Member] | Maximum [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair Value Measurement Anticipated Investment Holding Period	5 years 6 months

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Fair Value Measurements

6 Months Ended

Jun. 30, 2015

Fair Value Disclosures [Abstract]

Fair Value Measurements

14. Fair Value Measurements

ASC 820, Fair Value Measurements and Disclosures, defines fair value and establishes a framework for measuring fair value. The objective of fair value is to determine the price that would be received upon the sale of an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date (the exit price).ASC 820 establishes a fair value hierarchy that prioritizes observable and unobservable inputs used to measure fair value into three levels: Level 1 – quoted prices (unadjusted) in active markets that are accessible at the measurement date for assets or liabilities; Level 2 – observable prices that are based on inputs not quoted in active markets, but corroborated by market data; and Level 3 – unobservable inputs that are used when little or no market data is available. The fair value hierarchy gives the highest priority to Level 1 inputs and the lowest priority to Level 3 inputs. In determining fair value, we utilize valuation techniques that maximize the use of observable inputs and minimize the use of unobservable inputs to the extent possible, as well as consider counterparty credit risk in our assessment of fair value. Considerable judgment is necessary to interpret Level 2 and 3 inputs in determining the fair value of our financial and non-financial assets and liabilities. Accordingly, our fair value estimates, which are made at the end of each reporting period, may be different than the amounts that may ultimately be realized upon sale or disposition of these assets.

Financial Assets and Liabilities Measured at Fair Value on a Recurring Basis

Financial assets and liabilities that are measured at fair value on our consolidated balance sheets consist of(i) marketable securities, (ii) real estate fund investments,(iii) the assets in our deferred compensation plan (for which there is a corresponding liability on our consolidated balance sheet),(iv) mandatorily redeemable instruments (Series G-1 through G-4 convertible preferred units and Series D-13 cumulative redeemable preferred units), and (v) an interest rate swap. The tables below aggregate the fair values of these financial assets and liabilities by their levels in the fair value hierarchy at June 30, 2015 and December 31, 2014, respectively.

(Amounts in thousands)		As of June 30, 2015
		Total		Level 1		Level 2		Level 3
Marketable securities		$	159,991	$	159,991	$	-	$	-
Real estate fund investments (75% of which is attributable to
	noncontrolling interests)		565,976		-		-		565,976
Deferred compensation plan assets (included in other assets)			118,932		51,264		-		67,668
	Total assets	$	844,899	$	211,255	$	-	$	633,644
Mandatorily redeemable instruments (included in other liabilities)		$	55,097	$	55,097	$	-	$	-
Interest rate swap (included in other liabilities)			23,747		-		23,747		-
	Total liabilities	$	78,844	$	55,097	$	23,747	$	-
(Amounts in thousands)		As of December 31, 2014
		Total		Level 1		Level 2		Level 3
Marketable securities		$	206,323	$	206,323	$	-	$	-
Real estate fund investments (75% of which is attributable to
	noncontrolling interests)		513,973		-		-		513,973
Deferred compensation plan assets (included in other assets)			117,284		53,969		-		63,315
	Total assets	$	837,580	$	260,292	$	-	$	577,288
Mandatorily redeemable instruments (included in other liabilities)		$	55,097	$	55,097	$	-	$	-
Interest rate swap (included in other liabilities)			25,797		-		25,797		-
	Total liabilities	$	80,894	$	55,097	$	25,797	$	-

Financial Assets and Liabilities Measured at Fair Value on a Recurring Basis - continued

Real Estate Fund Investments

AtJune 30, 2015, we hadsixreal estate fund investmentswith an aggregate fair value of $565,976,000, or $193,164,000in excess of cost. These investments are classified as Level 3. We use a discounted cash flow valuation technique to estimate the fair value of each of these investments, which is updated quarterly by personnel responsible for the management of eachinvestment and reviewed by senior management at each reporting period.The discounted cash flow valuation technique requires us to estimate cash flows for each investment over the anticipated holding period, which currently ranges from 0.2 to 5.5 years.Cash flows are derived from property rental revenue (base rents plus reimbursements) less operating expenses, real estate taxes and capital and other costs, plus projected sales proceeds in the year of exit. Property rental revenue is based on leases currently in place and our estimates for future leasing activity, which are based on current market rents for similar space plus a projected growth factor. Similarly, estimated operating expenses and real estate taxes are based on amounts incurred in the current period plus a projected growth factor for future periods. Anticipated sales proceeds at the end of an investment's expected holding period are determined based on the net cash flow of the investment in the year of exit, divided by a terminal capitalization rate, less estimated selling costs.

The fair value of each property is calculated by discounting the future cash flows (including the projected sales proceeds), using an appropriate discount rate and then reduced by the property's outstanding debt, if any, to determine the fair value of the equity in each investment. Significant unobservable quantitative inputs used in determining the fair value of each investment include capitalization rates and discount rates. These rates are based on the location, type and nature of each property, and current and anticipated market conditions, which are derived from original underwriting assumptions, industry publications and from the experience of our Acquisitions and Capital Markets departments. Significant unobservable quantitative inputs in the table below were utilized in determining the fair value of these real estate fund investments at June 30, 2015 and December 31, 2014.

				Weighted Average
		Range		(based on fair value of investments)
Unobservable Quantitative Input		June 30, 2015	December 31, 2014	June 30, 2015	December 31, 2014
	Discount rates	12.0% to 14.5%	12.0% to 17.5%	13.4%	13.7%
	Terminal capitalization rates	4.8% to 6.5%	4.7% to 6.5%	5.5%	5.3%

The above inputs are subject to change based on changes in economic and market conditions and/or changes in use or timing of exit.Changes in discount rates and terminal capitalization rates result in increases or decreases in the fair values of these investments. The discount rates encompass, among other things, uncertainties in the valuation models with respect to terminal capitalization rates and the amount and timing of cash flows. Therefore, a change in the fair value of these investments resulting from a change in the terminal capitalization rate, may be partially offset by a change in the discount rate.It is not possible for us to predict the effect of future economic or market conditions on our estimated fair values.

The table below summarizes the changes in the fair value of real estate fundinvestments that are classified as Level 3,for the three and six months ended June 30, 2015 and 2014.

(Amounts in thousands)	For the Three Months Ended June 30,				For the Six Months Ended June 30,
		2015		2014	2015		2014
Beginning balance	$	554,426	$	682,002	$	513,973	$	667,710
Purchases		-		2,544		95,000		2,667
Dispositions / Distributions		(11,235)		(232,513)		(83,421)		(232,513)
Net unrealized gains		23,332		57,354		39,545		58,546
Net realized gains		886		39,704		2,312		52,681
Other, net		(1,433)		-		(1,433)		-
Ending balance	$	565,976	$	549,091	$	565,976	$	549,091

Financial Assets and Liabilities Measured at Fair Value on a Recurring Basis - continued

Deferred Compensation Plan Assets

Deferred compensation plan assets that are classified as Level 3 consist of investments in limited partnerships and investment funds, which are managed by third parties. We receive quarterly financial reports from a third-party administrator, which are compiled from the quarterly reports provided to them from each limited partnership and investment fund. The quarterly reports provide net asset values on a fair value basis which are audited by independent public accounting firms on an annual basis. The third-party administrator does not adjust these values in determining our share of the net assetsand we do not adjust these values when reported in our consolidated financial statements.

The table below summarizes the changes in the fair value of deferred compensation plan assetsthat are classified as Level 3, for the three and six months ended June 30, 2015 and 2014.

(Amounts in thousands)	For the Three Months Ended June 30,				For the Six Months Ended June 30,
		2015		2014	2015		2014
Beginning balance	$	64,836	$	67,627	$	63,315	$	68,782
Purchases		5,607		7,915		6,231		9,559
Sales		(4,655)		(11,255)		(5,093)		(16,379)
Realized and unrealized gain (loss)		1,387		(198)		2,722		1,974
Other, net		493		520		493		673
Ending balance	$	67,668	$	64,609	$	67,668	$	64,609

Fair Value Measurements on a Nonrecurring Basis

Assets measured at fair value on a nonrecurring basis on our consolidated balance sheets consist primarily ofreal estate assetsrequired to be measured for impairmentatDecember 31, 2014. There are no assets remaining at fair value on a nonrecurring basis at June 30, 2015.The fair values of real estate assets required to be measured for impairment were determined using widely accepted valuation techniques, including (i) discounted cash flow analysis, which considers, among other things, leasing assumptions, growth rates, discount rates and terminal capitalization rates, (ii) income capitalization approach, which considers prevailing market capitalization rates, and (iii) comparable sales activity.

(Amounts in thousands)	As of December 31, 2014
	Total		Level 1		Level 2		Level 3
Real estate assets	$	4,848	$	-	$	-	$	4,848

Financial Assets and Liabilities not Measured at Fair Value

Financial assets and liabilities that are not measured at fair value on our consolidated balance sheets include cash equivalents (primarily money market funds, which invest in obligations of the United States government), mortgage and mezzanine loans receivable and our secured and unsecured debt. Estimates of the fair value of these instruments are determined by the standard practice of modeling the contractual cash flows required under the instrument and discounting them back to their present value at the appropriate current risk adjusted interest rate, which isprovided by a third-party specialist. For floating rate debt, we use forward rates derived from observable market yield curves to project the expected cash flows we would be required to make under the instrument. The fair value of cash equivalents and borrowings under our revolving credit facility is classified as Level 1, and the fair value of our mortgage and mezzanine loans receivable as of December 31, 2014 is classified as Level 3. There are no mortgage and mezzanine loans receivable outstanding as ofJune 30, 2015. The fair value of our secured and unsecured debt are classified as Level 2.The table below summarizes the carrying amounts and fair value of these financial instruments as of June 30, 2015 and December 31, 2014.

(Amounts in thousands)		As of June 30, 2015				As of December 31, 2014
		Carrying		Fair		Carrying		Fair
		Amount		Value		Amount		Value
Cash equivalents		$	311,017	$	311,000	$	749,418	$	749,000
Mortgage and mezzanine loans receivable			-		-		16,748		17,000
		$	311,017	$	311,000	$	766,166	$	766,000
Debt:
	Mortgages payable	$	8,562,314	$	8,541,000	$	8,263,165	$	8,224,000
	Senior unsecured notes		847,463		882,000		1,347,159		1,385,000
	Revolving credit facility debt		400,000		400,000		-		-
		$	9,809,777	$	9,823,000	$	9,610,324	$	9,609,000

XML

Identified Intangible Assets and Liabilities (Tables)

6 Months Ended

Jun. 30, 2015

Finite-Lived Intangible Assets [Line Items]

Schedule of Identified Intangible Assets and Intangible Liabilities (Table)

(Amounts in thousands)	Balance as of
	June 30, 2015		December 31, 2014
Identified intangible assets:
Gross amount	$	453,590	$	424,976
Accumulated amortization		(207,744)		(199,821)
Net	$	245,846	$	225,155
Identified intangible liabilities (included in deferred revenue):
Gross amount	$	668,314	$	657,976
Accumulated amortization		(306,956)		(329,775)
Net	$	361,358	$	328,201

Below Market Leases Net Of Above Market Leases [Member]

Finite-Lived Intangible Assets [Line Items]

Schedule of Finite-Lived Intangible Assets, Future Amortization Expense [Table Text Block]

(Amounts in thousands)
2016	$	51,912
2017		49,937
2018		48,654
2019		29,912
2020		21,681

Other Identified Intangible Assets [Member]

Finite-Lived Intangible Assets [Line Items]

Schedule of Finite-Lived Intangible Assets, Future Amortization Expense [Table Text Block]

(Amounts in thousands)
2016	$	29,217
2017		24,385
2018		20,067
2019		14,246
2020		10,703

Tenant Under Ground Leases [Member]

Finite-Lived Intangible Assets [Line Items]

Schedule of Finite-Lived Intangible Assets, Future Amortization Expense [Table Text Block]

(Amounts in thousands)
2016	$	1,832
2017		1,832
2018		1,832
2019		1,832
2020		1,832

XML

Fee and Other Income

6 Months Ended

Jun. 30, 2015

Fee and Other Income [Abstract]

Fee and Other Income

16. Fee and Other Income

The following table sets forth the details of fee and other income:

(Amounts in thousands)	For the Three Months Ended				For the Six Months Ended
	June 30,				June 30,
	2015		2014		2015		2014
BMS cleaning fees	$	21,741	$	22,195	$	44,374	$	41,151
Management and leasing fees		4,274		5,765		8,466		11,593
Lease termination fees		2,893		4,545		6,640		8,122
Other income		10,322		8,306		19,357		15,885
	$	39,230	$	40,811	$	78,837	$	76,751

Management and leasing fees include management fees from Interstate Properties, a related party, of $132,000and $131,000for the three months endedJune 30, 2015 and 2014, and $271,000 and $265,000 for the six months ended June 30, 2015 and 2014, respectively. The above table excludes fee income from partially owned entities, which is included in “loss from partially owned entities” (see Note 7 – Investments in Partially Owned Entities).

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Fair Value Measurements (Details 2) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Senior unsecured notes	$ 847,463	$ 1,347,159
Carrying (Reported) Amount, Fair Value Disclosure [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Cash equivalents	311,017	749,418
Mortgage and mezzanine loans receivable	0	16,748
Total assets	311,017	766,166
Mortgages payable	8,562,314	8,263,165
Senior unsecured notes	847,463	1,347,159
Revolving credit facility debt	400,000	0
Total debt	9,809,777	9,610,324
Estimate of Fair Value, Fair Value Disclosure [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Cash equivalents	311,000	749,000
Mortgage and mezzanine loans receivable	0	17,000
Total assets	311,000	766,000
Mortgages payable	8,541,000	8,224,000
Senior unsecured notes	882,000	1,385,000
Revolving credit facility debt	400,000	0
Total debt	$ 9,823,000	$ 9,609,000

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Consolidated Statements of Cash Flows - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014
Cash Flows from Operating Activities:
Net income	$ 340,646	$ 263,843
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization (including amortization of deferred financing costs)	272,942	288,187
Reversal of allowance for deferred tax assets	(90,030)	0
Return of capital from real estate fund investments	83,443	140,920
Straight-lining of rental income	(64,121)	(33,413)
Net realized and unrealized gains on real estate fund investments	(41,857)	(111,227)
Distributions of income from partially owned entities	37,821	25,784
Net gains on sale of real estate and other	(32,243)	0
Amortization of below-market leases, net	(26,132)	(22,624)
Other non-cash adjustments	26,569	20,546
Loss from partially owned entities	7,636	51,763
Net gain on disposition of wholly owned and partially owned assets	(1,860)	(10,540)
Impairment losses	256	20,842
Defeasance cost in connection with the refinancing of mortgage notes payable	0	5,589
Changes in operating assets and liabilities:
Real estate fund investments	(95,000)	(2,666)
Tenant and other receivables, net	(5,051)	(2,355)
Prepaid assets	(138,473)	(138,884)
Other assets	(46,858)	(43,842)
Accounts payable and accrued expenses	(26,440)	2,157
Other liabilities	(16,632)	(6,437)
Net cash provided by operating activities	184,616	447,643
Cash Flows from Investing Activities:
Acquisitions of real estate and other	(381,001)	(8,963)
Proceeds from sales of real estate and related investments	334,725	125,037
Development costs and construction in progress	(200,970)	(214,615)
Additions to real estate	(137,528)	(105,116)
Investments in partially owned entities	(137,465)	(62,894)
Distributions of capital from partially owned entities	29,666	1,791
Restricted cash	25,118	102,087
Investments in loans receivable	(23,919)	0
Proceeds from repayments of mortgage and mezzanine loans receivable and other	16,772	96,159
Net cash used in investing activities	(474,602)	(66,514)
Cash Flows from Financing Activities:
Proceeds from borrowings	1,746,460	1,398,285
Repayments of borrowings	(1,607,574)	(313,444)
Distributions to Vornado	(237,160)	(273,694)
Cash included in the spin-off of Urban Edge Properties	(225,000)	0
Distributions to redeemable security holders and noncontrolling interests	(77,447)	(149,944)
Contributions from noncontrolling interests	51,725	5,297
Distributions to preferred unitholders	(39,849)	(40,737)
Debt issuance costs	(14,053)	(29,560)
Proceeds received from exercise of Vornado stock options	13,683	10,125
Repurchase of Class A units related to stock compensation agreements and/or related tax withholdings	(2,939)	(637)
Purchase of marketable securities in connection with the defeasance of mortgage notes payable	0	(198,884)
Net cash (used in) provided by financing activities	(392,154)	406,807
Net (decrease) increase in cash and cash equivalents	(682,140)	787,936
Cash and cash equivalents at beginning of period	1,198,477	583,290
Cash and cash equivalents at end of period	516,337	1,371,226
Supplemental Disclosure Of Cash Flow Information:
Cash payments for interest, excluding capitalized interest of $17,550 and $30,182	178,461	214,239
Cash payments for income taxes	6,584	6,726
Non-cash distribution of Urban Edge Properties:
Assets	1,722,263	0
Liabilities	(1,482,660)	0
Equity	(239,603)	0
Adjustments to carry redeemable Class A units at redemption value	229,521	(227,338)
Transfer of interest in real estate to Pennsylvania Real Estate Investment Trust	(145,313)	0
Write-off of fully depreciated assets	(81,027)	(85,037)
Accrued capital expenditures included in accounts payable and accrued expenses	70,672	111,742
Financing assumed in acquisitions	62,000	0
Marketable securities transferred in connection with the defeasance of mortgage notes payable	0	198,884
Defeasance of mortgage notes payable	0	(193,406)
Elimination of a mortgage and mezzanine loan asset and liability	0	59,375
Transfer of interest in real estate fund investments to an unconsolidated joint venture	0	(58,564)
Transfer of noncontrolling interest in real estate fund investments	0	(33,028)
Acquisitions [Member]
Non-cash distribution of Urban Edge Properties:
Like-kind exchange of real estate	62,355	0
Dispositions [Member]
Non-cash distribution of Urban Edge Properties:
Like-kind exchange of real estate	$ (38,822)	$ 0

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Consolidated Balance Sheets (Parentheticals) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
ASSETS
Tenant and other receivables, allowance for doubtful accounts (in US dollars)	$ 10,944	$ 12,210
Receivable arising from the straight-lining of rents, allowance (in US dollars)	3,229	3,190
Deferred leasing and financing costs, accumulated amortization (in US dollars)	280,286	281,109
Identified intangible assets, accumulated amortization (in US dollars)	$ 207,744	$ 199,821
Capital Unit Class A [Member]
LIABILITIES, REDEEMABLE PARTNERSHIP UNITS AND EQUITY
Outstanding Partnership Units held by Third Parties	11,455,453	11,356,550
Series D Cumulative Redeemable Preferred Unit [Member]
LIABILITIES, REDEEMABLE PARTNERSHIP UNITS AND EQUITY
Outstanding Partnership Units held by Third Parties	177,101	1

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Identified Intangible Assets and Liabilities

6 Months Ended

Jun. 30, 2015

Identified Intangible Assets and Liabilities [Abstract]

Identified Intangible Assets and Liabilities

9. Identified Intangible Assets and Liabilities

The following summarizes our identified intangible assets (primarily acquired in-place and above-market leases) and liabilities (primarily acquired below-market leases) as of June 30, 2015 and December 31, 2014.

(Amounts in thousands)	Balance as of
	June 30, 2015		December 31, 2014
Identified intangible assets:
Gross amount	$	453,590	$	424,976
Accumulated amortization		(207,744)		(199,821)
Net	$	245,846	$	225,155
Identified intangible liabilities (included in deferred revenue):
Gross amount	$	668,314	$	657,976
Accumulated amortization		(306,956)		(329,775)
Net	$	361,358	$	328,201

Amortization of acquired below-market leases, net of acquired above-market leases, resulted in anincrease to rental income of $13,378,000and $8,522,000for the three months ended June 30, 2015 and 2014, respectively, and $25,828,000 and $18,234,000for the six months ended June 30, 2015 and 2014, respectively. Estimated annual amortization of acquired below-market leases, net of acquired above-market leases, for each of the five succeeding years commencing January 1, 2016 is as follows:

(Amounts in thousands)
2016	$	51,912
2017		49,937
2018		48,654
2019		29,912
2020		21,681

Amortization of all other identified intangible assets (a component of depreciation and amortization expense) was $5,309,000 and $6,940,000for the three months ended June 30, 2015 and 2014, respectively, and $11,494,000 and $15,831,000 for the six months ended June 30, 2015 and 2014, respectively. Estimated annual amortization of all other identified intangible assets including acquired in-place leases, customer relationships, and third party contracts for each of the five succeeding years commencing January 1, 2016 is as follows:

(Amounts in thousands)
2016	$	29,217
2017		24,385
2018		20,067
2019		14,246
2020		10,703

We are a tenant under ground leases for certain properties. Amortization of these acquired below-market leases, net of above-market leases resulted in anincrease to rent expense of $457,000for the three months ended June 30, 2015 and2014 and $916,000for the six months ended June 30, 2015 and 2014. Estimated annual amortization of these below-market leases, net of above-market leases for each of the five succeeding years commencing January 1, 2016 is as follows:

(Amounts in thousands)
2016	$	1,832
2017		1,832
2018		1,832
2019		1,832
2020		1,832

XML

Document and Entity Information - Jun. 30, 2015 - shares	Total
Document and Entity Information [Abstract]
Entity Registrant Name	VORNADO REALTY LP
Entity Central Index Key	0001040765
Document Type	10-Q
Document Period End Date	Jun. 30, 2015
Document Fiscal Year Focus	2015
Document Fiscal Period Focus	Q2
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Entity Filer Category	Non-accelerated Filer
Entity Common Stock, Shares Outstanding	0
Entity Well Known Seasoned Issuer	Yes
Entity Voluntary Filers	No
Entity Current Reporting Status	Yes

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Debt

6 Months Ended

Jun. 30, 2015

Debt Disclosure [Abstract]

Debt

10. Debt

On January 1, 2015, we redeemed all of the $500,000,000 principal amount of our outstanding 4.25% senior unsecured notes, which were scheduled to mature on April 1, 2015, at a redemption price of 100% of the principal amount plus accrued interest through December 31, 2014.

On April 1, 2015, we completed a $308,000,000 refinancing of RiverHouse Apartments, a three building, 1,670 unit rental complex located in Arlington, VA. The loan is interest-only at LIBOR plus 1.28% and matures in 2025. We realized net proceeds of approximately $43,000,000. The property was previously encumbered by a 5.43%, $195,000,000 mortgage maturing in April 2015 and a $64,000,000 mortgage at LIBOR plus 1.53% maturing in 2018.

On June2, 2015, we completed a $205,000,000 financing in connection with the acquisition of 150 West 34th Street (see Note 4 – Acquisitions). The loan bears interest at LIBOR plus 2.25% and matures in 2018 with two one-year extension options.

The following is a summary of our debt:

(Amounts in thousands)		Interest Rate at		Balance at
		June 30, 2015		June 30, 2015		December 31, 2014
Mortgages Payable:
	Fixed rate		4.43%	$	6,349,878	$	6,499,396
	Variable rate		2.16%		2,212,436		1,763,769
			3.85%	$	8,562,314	$	8,263,165
Unsecured Debt:
	Senior unsecured notes		3.68%	$	847,463	$	1,347,159
	Revolving credit facility debt		1.24%		400,000		-
			2.90%	$	1,247,463	$	1,347,159

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Consolidated Statements of Income - Equity Method Investee Name [Domain] - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
REVENUES:
Property rentals	$ 514,843	$ 478,490	$ 1,015,117	$ 945,630
Tenant expense reimbursements	62,215	55,110	129,136	114,411
Fee and other income	39,230	40,811	78,837	76,751
Total revenues	616,288	574,411	1,223,090	1,136,792
EXPENSES:
Operating	242,690	230,398	497,183	466,959
Depreciation and amortization	136,957	113,200	261,079	244,992
General and administrative	39,189	40,478	97,681	87,980
Acquisition and transaction related costs	4,061	1,067	6,042	2,352
Total expenses	422,897	385,143	861,985	802,283
Operating income	193,391	189,268	361,105	334,509
Loss from partially owned entities	(5,231)	(53,742)	(7,636)	(51,763)
Income from real estate fund investments	26,368	100,110	50,457	118,258
Interest and other investment income, net	5,666	9,396	16,458	21,246
Interest and debt expense	(92,092)	(103,913)	(183,766)	(200,225)
Net gain on disposition of wholly owned and partially owned assets	0	905	1,860	10,540
Income before income taxes	128,102	142,024	238,478	232,565
Income tax benefit (expense)	88,072	(3,280)	87,101	(4,131)
Income from continuing operations	216,174	138,744	325,579	228,434
(Loss) income from discontinued operations	(774)	26,943	15,067	35,409
Net income	215,400	165,687	340,646	263,843
Less net income attributable to noncontrolling interests in consolidated subsidiaries	(19,186)	(63,975)	(35,068)	(75,554)
Net income attributable to Vornado Realty L.P.	196,214	101,712	305,578	188,289
Preferred unit distributions	(20,414)	(20,379)	(39,910)	(40,759)
NET INCOME attributable to Class A unitholders	$ 175,800	$ 81,333	$ 265,668	$ 147,530
INCOME PER CLASS A UNIT - BASIC:
Income from continuing operations, net (in dollars per unit)	$ 0.88	$ 0.27	$ 1.25	$ 0.56
Income from discontinued operations, net (in dollars per unit)	0.00	0.14	0.08	0.18
Net income per Class A unit (in dollars per unit)	$ 0.88	$ 0.41	$ 1.33	$ 0.74
Weighted average units outstanding (in units)	199,038	198,232	198,857	198,075
INCOME PER CLASS A UNIT - DILUTED:
Income from continuing operations, net (in dollars per unit)	$ 0.87	$ 0.27	$ 1.24	$ 0.55
Income from discontinued operations, net (in dollars per unit)	0.00	0.13	0.07	0.18
Net income per Class A unit (in dollars per unit)	$ 0.87	$ 0.40	$ 1.31	$ 0.73
Weighted average units outstanding (in units)	200,833	199,746	200,833	199,550
DISTRIBUTIONS PER CLASS A UNIT (in dollars per unit)	$ 0.63	$ 0.73	$ 1.26	$ 1.46

XML

Acquisitions

6 Months Ended

Jun. 30, 2015

Business Combinations [Abstract]

Acquisitions

4. Acquisitions

On January 20, 2015, we and one of our real estatefund's limited partners co-invested with the Fund to buy out the Fund's joint venture partner's 57% interest in the Crowne Plaza Times Square Hotel (see Note 5 – Real Estate Fund Investments).

On March 18, 2015, we acquired the Center Building, a 437,000 square foot office building, located at 33-00 Northern Boulevard in Long Island City, New York, for $142,000,000, including the assumption of an existing $62,000,000, 4.43% mortgage maturing in October 2018.

On June 2, 2015, we completed the acquisition of 150 West 34th Street, a 78,000 square foot retail property leased to Old Navy through May 2019, and 226,000 square feet of additional zoning air rights, for approximately $355,000,000. At closing we completed a $205,000,000 financing of the property (see Note 10 – Debt).

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Recently Issued Accounting Literature

6 Months Ended

Jun. 30, 2015

Recently Issued Accounting Literature [Abstract]

Recently Issued Accounting Literature

3. Recently Issued Accounting Literature

In April 2014, the Financial Accounting Standards Board (“FASB”) issued an update (“ASU 2014-08”) Reporting Discontinued Operations and Disclosures of Disposals of Components of an Entity to ASC Topic 205, Presentation of Financial Statements and ASC Topic 360, Property Plant and Equipment. Under ASU 2014-08, only disposals that represent a strategic shift that has (or will have) a major effect on the entity's results and operations would qualify as discontinued operations. In addition, ASU 2014-08 expands the disclosure requirements for disposals that meet the definition of a discontinued operation and requires entities to disclose information about disposals of individually significant components that do not meet the definition of discontinued operations. ASU 2014-08 is effective for interim and annual reporting periods in fiscal years that began after December 15, 2014. Upon adoption of this standard on January 1, 2015, individual properties sold in the ordinary course of business are not expected to qualify as discontinued operations. The financial results of UE and certain other retail assets are reflected in our consolidated financial statements as discontinued operations for all periods presented (see Note 8 – Discontinued Operations for further details).

In May 2014, the FASB issued an update ("ASU 2014-09") establishing ASC Topic 606, Revenue from Contracts with Customers. ASU 2014-09 establishes a single comprehensive model for entities to use in accounting for revenue arising from contracts with customers and supersedes most of the existing revenue recognition guidance. ASU 2014-09 requires an entity to recognize revenue when it transfers promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services and also requires certain additional disclosures. ASU 2014-09 is effective for interim and annual reporting periods in fiscal years that begin after December 15, 2017. We are currently evaluating the impact of the adoption of ASU 2014-09 on our consolidated financial statements.

In June 2014, the FASB issued an update (“ASU 2014-12”) to ASC Topic 718, Compensation – Stock Compensation. ASU 2014-12 requires an entity to treat performance targets that can be met after the requisite service period of a share based award has ended, as a performance condition that affects vesting. ASU 2014-12 is effective for interim and annual reporting periods in fiscal years that begin after December 15, 2015. We are currently evaluating the impact of the adoption of ASU 2014-12 on our consolidated financial statements.

In February 2015, the FASB issued an update(“ASU 2015-02”)Amendments to the Consolidation Analysisto ASC Topic 810,Consolidation. ASU 2015-02 affects reporting entities that are required to evaluate whether they should consolidate certain legal entities. Specifically, the amendments: (i) modify the evaluation of whether limited partnerships and similar legal entities are variable interest entities ("VIEs") or voting interest entities, (ii) eliminate the presumption that a general partner should consolidate a limited partnership, (iii) affect the consolidation analysis of reporting entities that are involved with VIEs, and (iv) provide a scope exception for certain entities. ASU 2015-02 is effective for interim and annual reporting periods beginning after December 15, 2015. We are currently evaluating the impact of the adoption of ASU 2015-02 on our consolidated financial statements.

In April 2015, the FASB issued an update (“ASU 2015-03”) Simplifying the Presentation of Debt Issuance Costs to ASC Topic 835, Interest. ASU 2015-03 requires that debt issuance costs be presented in the balance sheet as a direct deduction from the carrying amount of the debt liability to which they relate, consistent with debt discounts, as opposed to being presented as assets. ASU 2015-03 is effective for interim and annual reporting periods in fiscal years that begin after December 15, 2015. The adoption of this update on January 1, 2016 will not have a material impact on our consolidated financial statements.

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Incentive Compensation

6 Months Ended

Jun. 30, 2015

Incentive Compensation [Abstract]

Incentive Compensation

15.Incentive Compensation

Vornado's2010 Omnibus Share Plan (the “Plan”) provides for grants of incentive and non-qualified Vornado stock options, Vornado restricted stock, restricted units and Out-Performance Plan awards to certain of Vornado'semployees and officers. We account for all stock-based compensation in accordance with ASC 718, Compensation – Stock Compensation. Stock-based compensation expense was $6,685,000 and $9,051,000for the three months ended June 30, 2015 and 2014, respectively and $26,827,000and $20,075,000for the six months ended June 30, 2015 and 2014, respectively.

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Redeemable Partnership Units

6 Months Ended

Jun. 30, 2015

Redeemable Partnership Units [Abstract]

Redeemable Partnership Units

11. Redeemable Partnership Units

Redeemable partnership units on our consolidated balance sheets are comprised primarily of Class A units that are held by third parties and are recorded at the greater of their carrying amount or redemption value at the end of each reporting period. Changes in the value from period to period are charged to “partners' capital” on our consolidated balance sheets. Below is a table summarizing the activity of redeemable partnership units.

(Amounts in thousands)
Balance at December 31, 2013	$	1,003,620
Net income		8,564
Other comprehensive income		1,260
Distributions		(16,824)
Redemption of Class A units, at redemption value		(19,771)
Adjustments to carry redeemable Class A units at redemption value		227,338
Other, net		16,771
Balance at June 30, 2014	$	1,220,958
Balance at December 31, 2014	$	1,337,780
Net income		15,485
Other comprehensive loss		(2,635)
Distributions		(14,734)
Redemption of Class A units, at redemption value		(43,278)
Adjustments to carry redeemable Class A units at redemption value		(229,521)
Issuance of Series D-17 Preferred Units		4,427
Other, net		25,370
Balance at June 30, 2015	$	1,092,894

As of June 30,2015 and December 31, 2014, the aggregate redemption value of redeemable Class A units, which are those units held by third parties,was $1,087,466,000and $1,336,780,000, respectively.

Redeemable partnership units exclude our Series G-1 through G-4 convertible preferred units and Series D-13 cumulative redeemable preferred units, as they are accounted for as liabilities in accordance with ASC 480, Distinguishing Liabilities and Equity, because of their possible settlement by issuing a variable number of Vornado common shares. Accordingly, the fair value of these units is included as a component of “other liabilities” on our consolidated balance sheets and aggregated$55,097,000as of June 30, 2015 and December 31, 2014.Changes in the value from period to period, if any, are charged to “interest and debt expense” on our consolidated statements of income.

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Investments in Partially Owned Entities

6 Months Ended

Jun. 30, 2015

Equity Method Investments and Joint Ventures [Abstract]

Investments in Partially Owned Entities

7. Investments in Partially Owned Entities

Toys “R” Us (“Toys”)

As of June 30, 2015, we own 32.5% of Toys. We have not guaranteed any of Toys' obligations and are not committed to provide any support to Toys.  Pursuant to ASC 323-10-35-20, we discontinued applying the equity method for our Toys' investment when the carrying amount was reduced to zero in the third quarter of 2014. We will resume application of the equity method if, during the period the equity method has been suspended, our share of unrecognized net income exceeds our share of unrecognized net losses.

In the first quarter of 2014, we recognized our share of Toys' fourth quarter net income of $75,196,000 and a corresponding non-cash impairment loss of the same amount.

Below is a summary of Toys' latest available financial information on a purchase accounting basis:

(Amounts in thousands)						Balance as of
						May 2, 2015		November 1, 2014
Balance Sheet:
	Assets					$	9,772,000	$	11,267,000
	Liabilities						8,965,000		10,377,000
	Noncontrolling interests						85,000		82,000
	Toys “R” Us, Inc. equity (1)						722,000		808,000
		For the Three Months Ended				For the Six Months Ended
		May 2, 2015		May 3, 2014		May 2, 2015		May 3, 2014
Income Statement:
	Total revenues	$	2,325,000	$	2,479,000	$	7,308,000	$	7,746,000
	Net (loss) income attributable to Toys		(129,700)		(194,000)		64,000		(111,000)
(1)	At June 30, 2015, the carrying amount of our investment in Toys is less than our share of Toys' equity by approximately $234,553. This basis difference results primarily from non-cash impairment losses aggregating $355,953 that we have recognized through June 30, 2015. We have allocated the basis difference primarily to Toys' real estate.

Alexander's, Inc. (“Alexander's”) (NYSE: ALX)

As of June 30, 2015, we own 1,654,068 Alexander's common shares, or approximately 32.4% of Alexander'scommon equity. We manage, lease and develop Alexander's properties pursuant to agreements which expire in March of each year and are automatically renewable.

As ofJune 30, 2015, the market value (“fair value” pursuant to ASC 820, Fair Value Measurements and Disclosures) of our investment in Alexander's, based on Alexander's June 30,2015 closing share price of $410.00,was $678,168,000, or $547,529,000 in excess of the carrying amount on our consolidated balance sheet. As of June 30,2015, the carrying amount of our investment in Alexander'sexceeds our share of the equity in the net assets of Alexander's by approximately $40,690,000.The majority of this basis difference resulted from the excess of our purchase price for the Alexander's common stock acquired over the book value of Alexander's net assets. Substantially all of this basis difference was allocated, based on our estimates of the fair values of Alexander's assets and liabilities, to real estate (land and buildings). We are amortizing the basis difference related to the buildings into earnings as additional depreciation expense over their estimated useful lives. This depreciation is not material to our share of equity in Alexander's net income. The basis difference related to the land will be recognized upon disposition of our investment.

Alexander's, Inc. (“Alexander's”) (NYSE: ALX) - continued

Below is a summary of Alexander's latest available financial information:

(Amounts in thousands)						Balance as of
						June 30, 2015		December 31, 2014
Balance Sheet:
	Assets					$	1,418,000	$	1,423,000
	Liabilities						1,074,000		1,075,000
	Stockholders' equity						344,000		348,000
		For the Three Months Ended June 30,				For the Six Months Ended June 30,
		2015		2014		2015		2014
Income Statement:
	Total revenues	$	51,000	$	50,000	$	103,000	$	99,000
	Net income attributable to Alexander’s		17,000		17,000		35,000		32,000

Urban Edge Properties (“UE”) (NYSE: UE)

As part of our spin-off of substantially all of our retail segment to UE on January 15, 2015 (see Note 1 – Organization), we retained5,717,184 UE operating partnership units, representing a 5.4% ownershipinterestin UE. We account for our investment in UE under the equity method and will recognize our share of UE's earnings on a one-quarter lag basis. We are providing transition services to UE for an initial period of up to two years, including information technology, human resources, tax and financial reporting. UE is providing us with leasing and property management services for (i) the Monmouth Mall, (ii) certain small retail properties that we plan to sell, and (iii) our affiliate, Alexander's,Rego Park retail assets.

Pennsylvania Real Estate Investment Trust (“PREIT”) (NYSE: PEI)

On March 31, 2015, we transferred the redeveloped Springfield Town Center, a 1,350,000 square foot mall located in Springfield, Fairfax County, Virginia, to PREIT Associates, L.P., which is the operating partnership of PREIT, in exchange for $485,313,000; comprised of $340,000,000 of cash and 6,250,000 PREIT operating partnership units (valued at $145,313,000 or $23.25 per PREIT unit) (See Note 8 – Discontinued Operations). $19,000,000 of tenant improvements and allowances was credited to PREIT as a closing adjustment. As a result of this transaction, we own an 8.1% interest in PREIT. We account for our investment in PREIT under the equity method and will recognize our share of PREIT's earnings on a one-quarter lag basis.

510 West 22nd Street

On June 24, 2015, we entered into a joint venture, in which we own a 55% interest, to develop a 173,000 square foot Class-A office building, located along the western edge of the High Line at 510 West 22nd Street. The development cost of this project is approximately $225,000,000. The development is expected to commence during the third quarter of 2015 and be completed in 2017.

Below are schedules summarizing our investments in, and (loss) income from, partially owned entities.

(Amounts in thousands)		Percentage
		Ownership at		Balance as of
		June 30, 2015		June 30, 2015		December 31, 2014
Investments:
	Partially owned office buildings (1)		Various	$	859,544	$	760,749
	PREIT Associates		8.1%		143,031		-
	Alexander’s		32.4%		130,639		131,616
	India real estate ventures		4.1%-36.5%		50,542		76,752
	UE		5.4%		25,610		-
	Toys		32.5%		-		-
	Other investments (2)		Various		267,724		277,379
				$	1,477,090	$	1,246,496
(1)	Includes interests in 280 Park Avenue, 650 Madison Avenue, One Park Avenue, 666 Fifth Avenue (Office), 330 Madison Avenue, 510 West 22nd Street and others.
(2)	Includes interests in Independence Plaza, Monmouth Mall, 85 Tenth Avenue, Fashion Center Mall, 50-70 West 93rd Street and others.

(Amounts in thousands)			Percentage		For the Three Months Ended				For the Six Months Ended
			Ownership at		June 30,				June 30,
			June 30, 2015		2015		2014		2015		2014
Our Share of Net (Loss) Income:
	Alexander's:
		Equity in net income		32.4%	$	5,447	$	5,272	$	11,041	$	10,031
		Management, leasing and development fees				1,876		1,622		3,973		3,248
						7,323		6,894		15,014		13,279
	Partially owned office buildings (1)			Various		(3,238)		990		(12,534)		(1,405)
	UE:
		Equity in net income		5.4%		404		-		404		-
		Management, leasing and development fees				500		-		1,084		-
						904		-		1,488		-
	Toys:
		Equity in net (loss) income		32.5%		-		(59,530)		-		15,666
		Non-cash impairment losses				-		-		-		(75,196)
		Management fees				500		1,939		1,954		3,786
						500		(57,591)		1,954		(55,744)
	India real estate ventures (2)			4.1%-36.5%		(16,567)		(2,041)		(16,676)		(2,178)
	Other investments (3)			Various		5,847		(1,994)		3,118		(5,715)
					$	(5,231)	$	(53,742)	$	(7,636)	$	(51,763)
(1)	Includes interests in 280 Park Avenue, 650 Madison Avenue, One Park Avenue, 666 Fifth Avenue (Office), 330 Madison Avenue, 510 West 22nd Street and others.
(2)	2015 includes $14,806 for our share of non-cash impairment loss.
(3)	Includes interests in Independence Plaza, Monmouth Mall, 85 Tenth Avenue, Fashion Center Mall, 50-70 West 93rd Street and others.

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Debt (Narratives) (Details) - Subsequent Event Type [Domain] - Real Estate Properties [Domain] - Entity [Domain]		1 Months Ended		6 Months Ended
	Jun. 02, 2015 USD ($) Extensions	Apr. 30, 2015 USD ($) Properties ResidentialUnits	Jan. 31, 2015 USD ($)	Jun. 30, 2015 USD ($)	Jun. 30, 2014 USD ($)	Dec. 31, 2014 USD ($)
Debt Instrument [Line Items]
Proceeds from borrowings				$ 1,746,460,000	$ 1,398,285,000
Mortgages payable (in US Dollars)				$ 8,562,314,000		$ 8,263,165,000
Washington DC River House Apartments [Member]
Debt Instrument [Line Items]
Notes And Loans Payable Refinanced Amount (in US Dollars)		$ 308,000,000
Number Of Apartment Buildings | Properties		3
Number Of Units | ResidentialUnits		1,670
Debt Instrument, Description of Variable Rate Basis		LIBOR
Spread Over LIBOR (in percentage)		1.28%
Debt Instrument Maturity		2025
Proceeds from borrowings		$ 43,000,000
Washington DC River House Apartments [Member] | Mortgages Maturing April 2015 [Member]
Debt Instrument [Line Items]
Interest Rate, End of Period (in percentage)				5.43%
Debt Instrument Maturity				April 2015
Mortgages payable (in US Dollars)				$ 195,000,000
Washington DC River House Apartments [Member] | Mortgages Maturing 2018 [Member]
Debt Instrument [Line Items]
Debt Instrument, Description of Variable Rate Basis				LIBOR
Spread Over LIBOR (in percentage)				1.53%
Debt Instrument Maturity				2018
Mortgages payable (in US Dollars)				$ 64,000,000
Notes And Mortgages Payable Fixed Rate [Member]
Debt Instrument [Line Items]
Interest Rate, End of Period (in percentage)				4.43%
Mortgages payable (in US Dollars)				$ 6,349,878,000		6,499,396,000
Notes And Mortgages Payable Variable Rate [Member]
Debt Instrument [Line Items]
Interest Rate, End of Period (in percentage)				2.16%
Mortgages payable (in US Dollars)				$ 2,212,436,000		$ 1,763,769,000
Notes And Mortgages Payable Variable Rate [Member] | 150 West 34th Street [Member]
Debt Instrument [Line Items]
Debt Instrument, Description of Variable Rate Basis	LIBOR
Spread Over LIBOR (in percentage)	2.25%
Debt Instrument Maturity	2018
Mortgages payable (in US Dollars)	$ 205,000,000
Number Of Extensions Available | Extensions	2
Length Of Extension Available	1 year
Total Notes And Mortgages Payable [Member]
Debt Instrument [Line Items]
Interest Rate, End of Period (in percentage)				3.85%
Senior Unsecured Notes [Member]
Debt Instrument [Line Items]
Interest Rate, End of Period (in percentage)				3.68%
Senior Unsecured Notes 4.25% [Member]
Debt Instrument [Line Items]
Redemption of senior unsecured notes			$ 500,000,000
Interest Rate, End of Period (in percentage)			4.25%
Debt Instrument, Maturity Date			Apr. 01, 2015
Redemption Price, Percentage of Principal Amount Redeemed			100.00%
Unsecured Revolving Credit Facilities [Member]
Debt Instrument [Line Items]
Interest Rate, End of Period (in percentage)				1.24%

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Real Estate Fund Investments

6 Months Ended

Jun. 30, 2015

Real Estate Fund [Abstract]

Vornado Capital Partners Real Estate Fund (the "Fund")

5. Real Estate Fund Investments

We are the general partner and investment manager of Vornado Capital Partners Real Estate Fund (the“Fund”), which has an eight-year term and a three-year investment period that ended in July 2013. During the investment period, the Fund was our exclusive investment vehicle for all investments that fit within its investment parameters, as defined.The Fund is accounted for under ASC 946, Financial Services – Investment Companies(“ASC 946”) and its investments are reported on its balance sheet at fair value, with changes in value each period recognized in earnings. We consolidate the accounts of the Fund into our consolidated financial statements, retaining the fair value basis of accounting.

On January 20, 2015, we and one of the Fund's limited partners co-invested with the Fund to buy out the Fund's joint venture partner's 57% interest in the Crowne Plaza Times Square Hotel (the “Co-Investment”). The purchase price for the 57% interest was approximately $95,000,000 (our share $39,000,000) which valued the property at approximately $480,000,000. The property is encumbered by a $310,000,000 mortgage loan bearing interest at LIBOR plus 2.80% which matures in December 2018 with a one-year extension option. Our aggregate ownership interest in the property increased to 33% from 11%. The Co-Investment is also accounted for under ASC 946 and is included as a component of “real estate fund investments” on our consolidated balance sheet.

On March25, 2015, the Fund completed the sale of 520 Broadway in Santa Monica, CA for $91,650,000.The Fund realized a $24,705,000 net gain over the holding period.

AtJune 30, 2015, we hadsixreal estate fund investmentswith an aggregate fair value of $565,976,000, or $193,164,000 in excess of cost, and had remaining unfunded commitments of $102,324,000, of which our share was$25,581,000. Below is a summary of income from the Fund and the Co-Investment for the three and six months endedJune 30, 2015 and 2014.

(Amounts in thousands)		For the Three Months Ended				For the Six Months Ended
		June 30,				June 30,
		2015		2014		2015		2014
Net investment income		$	2,150	$	3,052	$	8,600	$	7,031
Net realized gains on exited investments			886		75,069		25,591		75,069
Previously recorded unrealized gains on exited investments			-		(35,365)		(23,279)		(22,388)
Net unrealized gains on held investments			23,332		57,354		39,545		58,546
Income from real estate fund investments			26,368		100,110		50,457		118,258
Less income attributable to noncontrolling interests			(15,872)		(61,780)		(29,411)		(72,629)
Income from real estate fund investments attributable to Vornado Realty L.P.(1)		$	10,496	$	38,330	$	21,046	$	45,629
(1)	Excludes property management, leasing and development fees of $633 and $638 for the three months ended June 30, 2015 and 2014, respectively, and $1,337 and $1,256 for the six months ended June 30, 2015 and 2014, respectively, which are included as a component of "fee and other income" on our consolidated statements of income.

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Marketable Securities

6 Months Ended

Jun. 30, 2015

Marketable Securities [Abstract]

Marketable Securities

6. Marketable Securities

Below is a summary of our marketable securities portfolio as of June 30, 2015 and December 31, 2014.

(Amounts in thousands)		As of June 30, 2015						As of December 31, 2014
				GAAP		Unrealized				GAAP		Unrealized
		Fair Value		Cost		Gain		Fair Value		Cost		Gain
Equity securities:
	Lexington Realty Trust	$	156,617	$	72,549	$	84,068	$	202,789	$	72,549	$	130,240
	Other		3,374		-		3,374		3,534		-		3,534
		$	159,991	$	72,549	$	87,442	$	206,323	$	72,549	$	133,774

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Discontinued Operations

6 Months Ended

Jun. 30, 2015

Discontinued Operations [Abstract]

Discontinued Operations

8. Discontinued Operations

On January 15, 2015, we completed the spin-off of substantially all of our retail segment comprised of 79 strip shopping centers, three malls, a warehouse park and $225,000,000 of cash to UE (NYSE: UE) (see Note 1 – Organization).

On March 13, 2015, we sold our Geary Street, CA lease for $34,189,000, which resulted in a net gain of $21,376,000.

On March 31, 2015, we transferred the redeveloped Springfield Town Center, a 1,350,000 square foot mall located in Springfield, Fairfax County, Virginia, to PREIT (see Note 7 – Investments in Partially Owned Entities).The financial statement gain was $7,823,000, of which $7,192,000 was recognized in the first quarter of 2015 and the remaining $631,000 was deferred based on our ownership interest in PREIT.On March 31, 2018, we will be entitled to additional consideration of 50% of the increase in the value of Springfield Town Center, if any, over $465,000,000, calculated utilizing a 5.5% capitalization rate.In the first quarter of 2014, we recorded a non-cash impairment loss of $20,000,000 on Springfield Town Center which is included in “(loss) income from discontinued operations” on our consolidated statements of income.

During the first quarter of 2015, we sold fiveresidual retail properties, in separate transactions, for an aggregate of $10,731,000, which resulted in net gainsof $3,675,000.

We have reclassified the revenues and expenses of theproperties discussed above to “(loss) income from discontinued operations” and the related assets and liabilities to “assets related to discontinued operations” and “liabilities related to discontinued operations” for all of the periods presented in the accompanying consolidated financial statements. The net gains resulting from the sale of these properties are included in “(loss) income from discontinued operations” on our consolidated statements of income. The tables below set forth the assets and liabilities related to discontinued operations at June 30, 2015 and December 31, 2014 and their combined results of operations and cash flows for thesix months ended June 30, 2015 and 2014.

(Amounts in thousands)					Balance as of
					June 30, 2015		December 31, 2014
Assets related to discontinued operations:
Real estate, net					$	27,205	$	2,028,677
Other assets						7,686		209,797
					$	34,891	$	2,238,474
Liabilities related to discontinued operations:
Mortgages payable					$	-	$	1,288,535
Other liabilities (primarily deferred revenue in 2014)						12,611		222,827
					$	12,611	$	1,511,362
(Amounts in thousands)	For the Three Months Ended June 30,				For the Six Months Ended June 30,
	2015		2014		2015		2014
(Loss) income from discontinued operations:
Total revenues	$	1,573	$	96,157	$	21,531	$	202,720
Total expenses		2,020		65,879		15,393		141,904
		(447)		30,278		6,138		60,816
Transaction related costs		(327)		(3,016)		(22,972)		(3,515)
Net gain on sale of Geary Street, CA lease		-		-		21,376		-
Net gains on sale of real estate		-		-		10,867		-
Impairment losses		-		-		(256)		(20,842)
Pretax (loss) income from discontinued operations		(774)		27,262		15,153		36,459
Income tax expense		-		(319)		(86)		(1,050)
(Loss) income from discontinued operations	$	(774)	$	26,943	$	15,067	$	35,409
Cash flows related to discontinued operations:
Cash flows from operating activities					$	(35,738)	$	55,065
Cash flows from investing activities						310,069		(59,141)

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Variable Interest Entities (Details) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Consolidated Variable Interest Entities [Member] | Independence Plaza And Warner Building [Member]
Variable Interest Entity [Line Items]
Variable Interest Entity, Consolidated, Carrying Amount, Assets and Liabilities, Net		$ 0
Consolidated Variable Interest Entities [Member] | One Park Avenue, Independence Plaza, Warner Building, Suffolk Downs [Member]
Variable Interest Entity [Line Items]
Variable Interest Entity, Consolidated, Carrying Amount, Assets and Liabilities, Net	$ 0
Non Consolidated Variable Interest Entities [Member] | Independence Plaza And Warner Building [Member]
Variable Interest Entity [Line Items]
Variable Interest Entity, Nonconsolidated, Carrying Amount, Assets		$ 286,783
Non Consolidated Variable Interest Entities [Member] | One Park Avenue, Independence Plaza, Warner Building, Suffolk Downs [Member]
Variable Interest Entity [Line Items]
Variable Interest Entity, Nonconsolidated, Carrying Amount, Assets	$ 305,865

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Fair Value Measurements (Details) - USD ($) $ in Thousands	6 Months Ended	12 Months Ended
	Jun. 30, 2015	Dec. 31, 2014
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Marketable Securities	$ 159,991	$ 206,323
Real Estate Fund Nondepreciable Real Estate	565,976	513,973
Fair Value, Measurements, Recurring [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Marketable Securities	159,991	206,323
Real Estate Fund Nondepreciable Real Estate	565,976	513,973
Deferred Compensation Plan Assets	118,932	117,284
Total assets	844,899	837,580
Mandatorily redeemable instruments (included in other liabilities)	55,097	55,097
Interest rate swap (included in other liabilities)	23,747	25,797
Total liabilities	$ 78,844	$ 80,894
Other Partners Ownership Interest In Real Estate Fund (in percentage)	75.00%	75.00%
Fair Value, Measurements, Nonrecurring [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total assets	$ 0
Real Estate, Net at Fair Value		$ 4,848
Fair Value, Inputs, Level 1 [Member] | Fair Value, Measurements, Recurring [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Marketable Securities	159,991	206,323
Real Estate Fund Nondepreciable Real Estate	0	0
Deferred Compensation Plan Assets	51,264	53,969
Total assets	211,255	260,292
Mandatorily redeemable instruments (included in other liabilities)	55,097	55,097
Interest rate swap (included in other liabilities)	0	0
Total liabilities	55,097	55,097
Fair Value, Inputs, Level 1 [Member] | Fair Value, Measurements, Nonrecurring [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Real Estate, Net at Fair Value		0
Fair Value Inputs Level 2 Member | Fair Value, Measurements, Recurring [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Marketable Securities	0	0
Real Estate Fund Nondepreciable Real Estate	0	0
Deferred Compensation Plan Assets	0	0
Total assets	0	0
Mandatorily redeemable instruments (included in other liabilities)	0	0
Interest rate swap (included in other liabilities)	23,747	25,797
Total liabilities	23,747	25,797
Fair Value Inputs Level 2 Member | Fair Value, Measurements, Nonrecurring [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Real Estate, Net at Fair Value		0
Fair Value, Inputs, Level 3 [Member] | Fair Value, Measurements, Recurring [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Marketable Securities	0	0
Real Estate Fund Nondepreciable Real Estate	565,976	513,973
Deferred Compensation Plan Assets	67,668	63,315
Total assets	633,644	577,288
Mandatorily redeemable instruments (included in other liabilities)	0	0
Interest rate swap (included in other liabilities)	0	0
Total liabilities	$ 0	0
Fair Value, Inputs, Level 3 [Member] | Fair Value, Measurements, Nonrecurring [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Real Estate, Net at Fair Value		$ 4,848

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Accumulated Other Comprehensive Income ("AOCI") (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Accumulated other comprehensive (loss) income, Beginning Balance	$ 72,609	$ 77,626	$ 93,267	$ 71,537
OCI before reclassifications	(21,996)	14,595	(42,654)	20,684
Amounts reclassified from AOCI	0	0	0	0
Net current period OCI	(21,996)	14,595	(42,654)	20,684
Accumulated other comprehensive (loss) income, Ending Balance	50,613	92,221	50,613	92,221
Interest rate Swap [Member]
Accumulated other comprehensive (loss) income, Beginning Balance	(26,579)	(30,272)	(25,803)	(31,882)
OCI before reclassifications	2,849	(545)	2,073	1,065
Amounts reclassified from AOCI	0	0	0	0
Net current period OCI	2,849	(545)	2,073	1,065
Accumulated other comprehensive (loss) income, Ending Balance	(23,730)	(30,817)	(23,730)	(30,817)
Securities available for sale [Member]
Accumulated other comprehensive (loss) income, Beginning Balance	112,442	132,434	133,774	119,309
OCI before reclassifications	(25,000)	1,878	(46,332)	15,003
Amounts reclassified from AOCI	0	0	0	0
Net current period OCI	(25,000)	1,878	(46,332)	15,003
Accumulated other comprehensive (loss) income, Ending Balance	87,442	134,312	87,442	134,312
Pro Rata Share Of Non Consolidated Subsidiaries Oci [Member]
Accumulated other comprehensive (loss) income, Beginning Balance	(8,835)	(19,787)	(8,992)	(11,501)
OCI before reclassifications	(1,191)	14,163	(1,034)	5,877
Amounts reclassified from AOCI	0	0	0	0
Net current period OCI	(1,191)	14,163	(1,034)	5,877
Accumulated other comprehensive (loss) income, Ending Balance	(10,026)	(5,624)	(10,026)	(5,624)
Other [Member]
Accumulated other comprehensive (loss) income, Beginning Balance	(4,419)	(4,749)	(5,712)	(4,389)
OCI before reclassifications	1,346	(901)	2,639	(1,261)
Amounts reclassified from AOCI	0	0	0	0
Net current period OCI	1,346	(901)	2,639	(1,261)
Accumulated other comprehensive (loss) income, Ending Balance	$ (3,073)	$ (5,650)	$ (3,073)	$ (5,650)

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Investments in Partially Owned Entities (Tables)

6 Months Ended

Jun. 30, 2015

Schedule Of Equity Method Investments [Line Items]

Equity Method Investments [Table Text Block]

(Amounts in thousands)		Percentage
		Ownership at		Balance as of
		June 30, 2015		June 30, 2015		December 31, 2014
Investments:
	Partially owned office buildings (1)		Various	$	859,544	$	760,749
	PREIT Associates		8.1%		143,031		-
	Alexander’s		32.4%		130,639		131,616
	India real estate ventures		4.1%-36.5%		50,542		76,752
	UE		5.4%		25,610		-
	Toys		32.5%		-		-
	Other investments (2)		Various		267,724		277,379
				$	1,477,090	$	1,246,496
(1)	Includes interests in 280 Park Avenue, 650 Madison Avenue, One Park Avenue, 666 Fifth Avenue (Office), 330 Madison Avenue, 510 West 22nd Street and others.
(2)	Includes interests in Independence Plaza, Monmouth Mall, 85 Tenth Avenue, Fashion Center Mall, 50-70 West 93rd Street and others.

(Amounts in thousands)			Percentage		For the Three Months Ended				For the Six Months Ended
			Ownership at		June 30,				June 30,
			June 30, 2015		2015		2014		2015		2014
Our Share of Net (Loss) Income:
	Alexander's:
		Equity in net income		32.4%	$	5,447	$	5,272	$	11,041	$	10,031
		Management, leasing and development fees				1,876		1,622		3,973		3,248
						7,323		6,894		15,014		13,279
	Partially owned office buildings (1)			Various		(3,238)		990		(12,534)		(1,405)
	UE:
		Equity in net income		5.4%		404		-		404		-
		Management, leasing and development fees				500		-		1,084		-
						904		-		1,488		-
	Toys:
		Equity in net (loss) income		32.5%		-		(59,530)		-		15,666
		Non-cash impairment losses				-		-		-		(75,196)
		Management fees				500		1,939		1,954		3,786
						500		(57,591)		1,954		(55,744)
	India real estate ventures (2)			4.1%-36.5%		(16,567)		(2,041)		(16,676)		(2,178)
	Other investments (3)			Various		5,847		(1,994)		3,118		(5,715)
					$	(5,231)	$	(53,742)	$	(7,636)	$	(51,763)
(1)	Includes interests in 280 Park Avenue, 650 Madison Avenue, One Park Avenue, 666 Fifth Avenue (Office), 330 Madison Avenue, 510 West 22nd Street and others.
(2)	2015 includes $14,806 for our share of non-cash impairment loss.
(3)	Includes interests in Independence Plaza, Monmouth Mall, 85 Tenth Avenue, Fashion Center Mall, 50-70 West 93rd Street and others.

Toys R Us [Member]

Schedule Of Equity Method Investments [Line Items]

Equity Method Investments [Table Text Block]

(Amounts in thousands)						Balance as of
						May 2, 2015		November 1, 2014
Balance Sheet:
	Assets					$	9,772,000	$	11,267,000
	Liabilities						8,965,000		10,377,000
	Noncontrolling interests						85,000		82,000
	Toys “R” Us, Inc. equity (1)						722,000		808,000
		For the Three Months Ended				For the Six Months Ended
		May 2, 2015		May 3, 2014		May 2, 2015		May 3, 2014
Income Statement:
	Total revenues	$	2,325,000	$	2,479,000	$	7,308,000	$	7,746,000
	Net (loss) income attributable to Toys		(129,700)		(194,000)		64,000		(111,000)
(1)	At June 30, 2015, the carrying amount of our investment in Toys is less than our share of Toys' equity by approximately $234,553. This basis difference results primarily from non-cash impairment losses aggregating $355,953 that we have recognized through June 30, 2015. We have allocated the basis difference primarily to Toys' real estate.

Alexanders Inc [Member]

Schedule Of Equity Method Investments [Line Items]

Equity Method Investments [Table Text Block]

(Amounts in thousands)						Balance as of
						June 30, 2015		December 31, 2014
Balance Sheet:
	Assets					$	1,418,000	$	1,423,000
	Liabilities						1,074,000		1,075,000
	Stockholders' equity						344,000		348,000
		For the Three Months Ended June 30,				For the Six Months Ended June 30,
		2015		2014		2015		2014
Income Statement:
	Total revenues	$	51,000	$	50,000	$	103,000	$	99,000
	Net income attributable to Alexander’s		17,000		17,000		35,000		32,000

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Real Estate Fund Investments (Details 1) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Details Of Income From Real Estate Funds [Abstract]
Income from real estate fund investments	$ 26,368	$ 100,110	$ 50,457	$ 118,258
Less income attributable to noncontrolling interests	(19,186)	(63,975)	(35,068)	(75,554)
Fee And Other Income	39,230	40,811	78,837	76,751
Real Estate Fund [Member]
Details Of Income From Real Estate Funds [Abstract]
Net investment income	2,150	3,052	8,600	7,031
Net realized gains on exited investments	886	75,069	25,591	75,069
Previously recorded unrealized gains on exited investments	0	(35,365)	(23,279)	(22,388)
Net unrealized gains on held investments	23,332	57,354	39,545	58,546
Income from real estate fund investments	26,368	100,110	50,457	118,258
Less income attributable to noncontrolling interests	(15,872)	(61,780)	(29,411)	(72,629)
Income from real estate fund investments attributable to Vornado Realty L.P.	10,496	38,330	21,046	45,629
Fee And Other Income	$ 633	$ 638	$ 1,337	$ 1,256

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Variable Interest Entities ("VIEs")

6 Months Ended

Jun. 30, 2015

Variable Interest Entities [Abstract]

Variable Interest Entities ("VIEs")

13. Variable Interest Entities (“VIEs”)

AtJune 30, 2015 and December 31, 2014,we have unconsolidated VIEs comprised of our investments in the entities that own One Park Avenue, Independence Plaza,the Warner Building and Suffolk Downs. We do not consolidate these entities because we are not the primary beneficiary and the nature of our involvement in the activities of these entities does not give us power over decisions that significantly affect these entities' economic performance. We account for our investment in these entities under the equity method. As of June 30, 2015 and December 31, 2014, the net carrying amounts of our investment in these entities were $305,865,000 and$286,783,000, respectively, and our maximum exposure to loss in these entities is limited to our investment. We did not have any consolidated VIEs as of June 30, 2015 and December 31, 2014.

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Interest and Debt Expense

6 Months Ended

Jun. 30, 2015

Interest and Debt Expense [Abstract]

Interest And Debt Expense [Text Block]

18. Interest and Debt Expense

The following table sets forth the details of interest and debt expense:

(Amounts in thousands)	For the Three Months Ended				For the Six Months Ended
	June 30,				June 30,
	2015		2014		2015		2014
Interest expense	$	96,297	$	112,736	$	191,625	$	218,248
Amortization of deferred financing costs		7,497		7,737		14,953		12,159
Capitalized interest and debt expense		(11,702)		(16,560)		(22,812)		(30,182)
	$	92,092	$	103,913	$	183,766	$	200,225

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Acquisitions (Narratives) (Details) - Subsequent Event Type [Domain] - Real Estate And Accumulated Depreciation Name Of Property [Domain] ft² in Thousands	Jun. 02, 2015 USD ($) ft²	Mar. 18, 2015 USD ($) ft²	Jan. 20, 2015 USD ($) LimitedPartners	Jun. 30, 2015 USD ($)	Dec. 31, 2014 USD ($)
Business Acquisition [Line Items]
Mortgages payable				$ 8,562,314,000	$ 8,263,165,000
Real Estate Fund [Member]
Business Acquisition [Line Items]
Number Of Limited Partners | LimitedPartners			1
Center Building [Member] | New York Segment [Member] | Office Building [Member]
Business Acquisition [Line Items]
Square Footage Of Real Estate Property | ft²		437
Business Acquisition Cost Of Acquired Entity		$ 142,000,000
Mortgages payable		$ 62,000,000
Interest Rate, End of Period (in percentage)		4.43%
Debt Instrument Maturity		October 2018
Crowne Plaza Time Square Hotel [Member]
Business Acquisition [Line Items]
Equity method ownership percentage			33.00%		11.00%
Crowne Plaza Time Square Hotel [Member] | Real Estate Fund Joint Venture [Member]
Business Acquisition [Line Items]
Equity method ownership percentage			57.00%
Business Acquisition Cost Of Acquired Entity			$ 95,000,000
Mortgages payable			$ 310,000,000
Debt Instrument Maturity			December 2018
150 West 34th Street [Member] | New York Segment [Member] | Retail Properties [Member]
Business Acquisition [Line Items]
Square Footage Of Real Estate Property | ft²	78
Business Acquisition Cost Of Acquired Entity	$ 355,000,000
Mortgages payable	$ 205,000,000
Lease Expiration Date	May 2019
Area Of Additional Zoning Air Rights | ft²	226

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Fee and Other Income (Tables)

6 Months Ended

Jun. 30, 2015

Fee And Other Income Tables [Abstract]

Fee and Other Income (Table)

(Amounts in thousands)	For the Three Months Ended				For the Six Months Ended
	June 30,				June 30,
	2015		2014		2015		2014
BMS cleaning fees	$	21,741	$	22,195	$	44,374	$	41,151
Management and leasing fees		4,274		5,765		8,466		11,593
Lease termination fees		2,893		4,545		6,640		8,122
Other income		10,322		8,306		19,357		15,885
	$	39,230	$	40,811	$	78,837	$	76,751

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Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Net income	$ 215,400	$ 165,687	$ 340,646	$ 263,843
Other comprehensive income (loss):
Change in unrealized net (loss) gain on available-for-sale securities	(25,000)	1,878	(46,332)	15,003
Pro rata share of other comprehensive (loss) income of nonconsolidated subsidiaries	(1,191)	14,163	(1,034)	5,877
Change in value of interest rate swap and other	2,848	(547)	2,077	1,064
Comprehensive income	192,057	181,181	295,357	285,787
Less comprehensive income attributable to noncontrolling interests in consolidated subsidiaries	(19,186)	(63,975)	(35,068)	(75,554)
Comprehensive income attributable to Vornado Realty L.P.	$ 172,871	$ 117,206	$ 260,289	$ 210,233

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Basis of Presentation and Significant Accounting Policies

6 Months Ended

Jun. 30, 2015

Basis of Presentation and Significant Accounting Policies [Abstract]

Basis Of Presentation And Significant Accounting Policies

2. Basis of Presentation and Significant Accounting Policies

Basis of Presentation

The accompanying consolidated financial statements are unaudited and include the accounts of VornadoRealty L.P. and its consolidated subsidiaries. All intercompany amounts have been eliminated. In our opinion, all adjustments (which include only normal recurring adjustments) necessary to present fairly the financial position, results of operations and changes in cash flows have been made. Certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) have been condensed or omitted.These condensed consolidated financial statements have been prepared in accordance with the instructions to Form 10-Q of the SEC and should be read in conjunction with the consolidated financial statements and notes thereto included in our Annual Report on Form 10-K, as amended, for the year ended December 31,2014, as filed with the SEC.

We have made estimates and assumptions that affect the reported amounts of assets and liabilities, disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting periods. Actual results could differ from those estimates.The results of operations for the three and six months endedJune 30, 2015 are not necessarily indicative of the operating results for the full year.

Certain prior year balances have been reclassified in order to conform to the current period presentation.Beginning in the three months ended March 31, 2015, the Company classifies signage revenue within “property rentals”.  For the three and six months endedJune 30, 2014, $8,873,000 and $18,191,000, respectively,related to signage revenue has been reclassified from “fee and other income” to “property rentals” to conform to the current period presentation.

Significant Accounting Policies

Condominium Units Held For Sale: Pursuant to ASC 605-35-25-88, Revenue Recognition: Completed Contract Method, revenue from condominium unit sales is recognized upon closing of the sale, as all conditions for full profit recognition have not been met until that time. We use the relative sales value method to allocate costs to individual condominium units.

We are constructing a residential condominium tower containing 392,000 salable square feet on our 220 Central Park South (“220 CPS”) development site. As of June 30, 2015, we had entered into agreements to sell approximately 40% of the projectfor aggregate sales proceeds of $1.4 billion. In connection therewith, $209,902,000of deposits are held with a third party escrow agent.

Income Taxes:As a limited partnership, our partners are required to report their respective share of taxable income on their individual tax returns. The provision for income taxes in our consolidated financial statements relate to certain taxable REIT subsidiaries pursuant to an amendment to the Internal Revenue Code that became effective January 1, 2001. Taxable REIT subsidiaries may participate in non-real estate related activities and/or perform non-customary services for tenants and are subject to Federal and State income tax at regular corporate tax rates.

At June 30, 2015 and December 31, 2014, our taxable REIT subsidiaries had deferred tax assets of $95,419,000 and $94,100,000, respectively, which are included in “other assets” on our consolidated balance sheets. Prior to the quarter ended June 30, 2015, there was a full valuation allowance against our deferred tax assets becausewe had not determined that it is more-likely-than-not that we woulduse the net operating loss carryforwards to offset future taxable income. During the second quarter of 2015, we began toenter into agreements to sell residential condominium units at 220 CPSand as of June 30, 2015, we had entered into agreements to sell approximately 40% of theprojectfor aggregate sales proceeds of $1.4 billion. Based on these agreements, among other factors,we have concluded that it is more-likely-than-not that we will generate sufficient taxable income to realize the deferred tax assets. Accordingly, during the second quarter of 2015, we reversed $90,030,000of the allowance for deferred tax assets and recognized an income tax benefit in our consolidated statements of income in the threeand six months ended June 30, 2015.

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Discontinued Operations (Details 1) - Disposal Groups Including Discontinued Operations Name [Domain] - USD ($)	3 Months Ended			6 Months Ended
	Jun. 30, 2015	Mar. 31, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014	Dec. 31, 2014
Disposal Group Including Discontinued Operation Unclassified Balance Sheet Disclosures Abstract
Real Estate, Net	$ 27,205,000			$ 27,205,000		$ 2,028,677,000
Other Assets	7,686,000			7,686,000		209,797,000
Assets related to discontinued operations	34,891,000			34,891,000		2,238,474,000
Mortgages Payable	0			0		1,288,535,000
Other Liabilities (primarily deferred revenue in 2014)	12,611,000			12,611,000		222,827,000
Liabilities related to discontinued operations	12,611,000			12,611,000		$ 1,511,362,000
(Loss) income from discontinued operations:
Total revenues	1,573,000		$ 96,157,000	21,531,000	$ 202,720,000
Total expenses	2,020,000		65,879,000	15,393,000	141,904,000
Income from discontinued operations before gain on sale of real estate	(447,000)		30,278,000	6,138,000	60,816,000
Transaction related costs	(327,000)		(3,016,000)	(22,972,000)	(3,515,000)
Net gain on sale of lease position in Geary Street, CA	0		0	21,376,000	0
Net gains on sale of real estate	0	$ 3,675,000	0	10,867,000	0
Impairment losses	0		0	(256,000)	(20,842,000)
Pretax (loss) income from discontinued operations	(774,000)		27,262,000	15,153,000	36,459,000
Income tax expense	0		(319,000)	(86,000)	(1,050,000)
(Loss) income from Discontinued Operations	(774,000)		26,943,000	15,067,000	35,409,000
Cash flows related to discontinued Operations:
Cash flows from operating activities, discontinued operations				(35,738,000)	55,065,000
Cash flows from investing activities, discontinued operations				310,069,000	(59,141,000)
Other Segment [Member]
(Loss) income from discontinued operations:
(Loss) income from Discontinued Operations	$ (774,000)		$ 21,024,000	$ 15,067,000	$ 23,623,000

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Incentive Compensation (Narratives) (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Share Based Compensation Expense	$ 6,685	$ 9,051	$ 26,827	$ 20,075

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Income Per Class A Unit

6 Months Ended

Jun. 30, 2015

Income Per Class A Unit [Abstract]

Income Per Unit

19.       Income Per Class A Unit

The following table provides a reconciliation of both net income and the number of Class A units used in the computation of (i) basic income per Class A unit - which includes the weighted average number of Class A units outstanding without regard to dilutive potential Class A units, and (ii) diluted income per Class A unit - which includes the weighted average Class A units and dilutive unit equivalents. Dilutive unit equivalents may include our Series A convertible preferred units, Vornado stock options, restricted unit and Out-Performance Plan awards.

(Amounts in thousands, except per unit amounts)			For the Three Months Ended				For the Six Months Ended
			June 30,				June 30,
			2015		2014		2015		2014
Numerator:
	Income from continuing operations, net of income attributable
		to noncontrolling interests	$	196,988	$	74,769	$	290,511	$	152,880
	(Loss) income from discontinued operations, net of income
		attributable to noncontrolling interests		(774)		26,943		15,067		35,409
	Net income attributable to Vornado Realty L.P.			196,214		101,712		305,578		188,289
	Preferred unit distributions			(20,414)		(20,379)		(39,910)		(40,759)
	Net income attributable to Class A unitholders			175,800		81,333		265,668		147,530
	Earnings allocated to unvested participating securities			(1,183)		(769)		(1,781)		(1,667)
	Numerator for basic income per Class A unit			174,617		80,564		263,887		145,863
	Impact of assumed conversions:
		Convertible preferred unit distributions		23		-		47		-
	Numerator for diluted income per Class A unit		$	174,640	$	80,564	$	263,934	$	145,863
Denominator:
	Denominator for basic income per Class A unit – weighted
		average units		199,038		198,232		198,857		198,075
	Effect of dilutive securities(1):
		Vornado stock options and restricted unit awards		1,750		1,514		1,930		1,475
		Convertible preferred units		45		-		46		-
	Denominator for diluted income per Class A unit – weighted
		average units and assumed conversions		200,833		199,746		200,833		199,550
INCOME PER CLASS A UNIT – BASIC:
	Income from continuing operations, net		$	0.88	$	0.27	$	1.25	$	0.56
	Income from discontinued operations, net			0.00		0.14		0.08		0.18
	Net income per Class A unit		$	0.88	$	0.41	$	1.33	$	0.74
INCOME PER CLASS A UNIT – DILUTED:
	Income from continuing operations, net		$	0.87	$	0.27	$	1.24	$	0.55
	Income from discontinued operations, net			0.00		0.13		0.07		0.18
	Net income per Class A unit		$	0.87	$	0.40	$	1.31	$	0.73
(1)	The effect of dilutive securities for the three months ended June 30, 2015 and 2014 excludes an aggregate of 148 and 159 weighted average Class A unit equivalents, respectively, and 151 and 184 weighted average Class A unit equivalents for the six months ended June 30, 2015 and 2014, respectively, as their effect was anti-dilutive.

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Income Per Class A Unit (Parentheticals) (Details) - shares shares in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Income Per Class A Unit [Abstract]
Weighted average Class A unit equivalents of excluded dilutive securities due to anti-dilutive effect	148	159	151	184

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Redeemable Partnership Units (Tables)

6 Months Ended

Jun. 30, 2015

Redeemable Partnership Units [Abstract]

Summary Of Activity Of Redeemable Partnership Units

(Amounts in thousands)
Balance at December 31, 2013	$	1,003,620
Net income		8,564
Other comprehensive income		1,260
Distributions		(16,824)
Redemption of Class A units, at redemption value		(19,771)
Adjustments to carry redeemable Class A units at redemption value		227,338
Other, net		16,771
Balance at June 30, 2014	$	1,220,958
Balance at December 31, 2014	$	1,337,780
Net income		15,485
Other comprehensive loss		(2,635)
Distributions		(14,734)
Redemption of Class A units, at redemption value		(43,278)
Adjustments to carry redeemable Class A units at redemption value		(229,521)
Issuance of Series D-17 Preferred Units		4,427
Other, net		25,370
Balance at June 30, 2015	$	1,092,894

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Accumulated Other Comprehensive Income ("AOCI")

6 Months Ended

Jun. 30, 2015

Accumulated Other Comprehensive Income [Abstract]

Accumulated Other Comprehensive Income Disclosure [Text Block]

12. Accumulated Other Comprehensive Income (“AOCI”)

The following tables set forth the changes in accumulated other comprehensive income (loss) by component.

(Amounts in thousands)				Securities		Pro rata share of		Interest
				available-		nonconsolidated		rate
		Total		for-sale		subsidiaries' OCI		swap		Other
For the Three Months Ended June 30, 2015
Balance as of March 31, 2015		$	72,609	$	112,442	$	(8,835)	$	(26,579)	$	(4,419)
	OCI before reclassifications		(21,996)		(25,000)		(1,191)		2,849		1,346
	Amounts reclassified from AOCI		-		-		-		-		-
Net current period OCI			(21,996)		(25,000)		(1,191)		2,849		1,346
Balance as of June 30, 2015		$	50,613	$	87,442	$	(10,026)	$	(23,730)	$	(3,073)
For the Three Months Ended June 30, 2014
Balance as of March 31, 2014		$	77,626	$	132,434	$	(19,787)	$	(30,272)	$	(4,749)
	OCI before reclassifications		14,595		1,878		14,163		(545)		(901)
	Amounts reclassified from AOCI		-		-		-		-		-
Net current period OCI			14,595		1,878		14,163		(545)		(901)
Balance as of June 30, 2014		$	92,221	$	134,312	$	(5,624)	$	(30,817)	$	(5,650)
For the Six Months Ended June 30, 2015
Balance as of December 31, 2014		$	93,267	$	133,774	$	(8,992)	$	(25,803)	$	(5,712)
	OCI before reclassifications		(42,654)		(46,332)		(1,034)		2,073		2,639
	Amounts reclassified from AOCI		-		-		-		-		-
Net current period OCI			(42,654)		(46,332)		(1,034)		2,073		2,639
Balance as of June 30, 2015		$	50,613	$	87,442	$	(10,026)	$	(23,730)	$	(3,073)
For the Six Months Ended June 30, 2014
Balance as of December 31, 2013		$	71,537	$	119,309	$	(11,501)	$	(31,882)	$	(4,389)
	OCI before reclassifications		20,684		15,003		5,877		1,065		(1,261)
	Amounts reclassified from AOCI		-		-		-		-		-
Net current period OCI			20,684		15,003		5,877		1,065		(1,261)
Balance as of June 30, 2014		$	92,221	$	134,312	$	(5,624)	$	(30,817)	$	(5,650)