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:    September 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
		September 30, 2015 and December 31, 2014	3
		Consolidated Statements of Income (Unaudited) for the
		Three and Nine Months Ended September 30, 2015 and 2014	4
		Consolidated Statements of Comprehensive Income (Unaudited)
		for the Three and Nine Months Ended September 30, 2015 and 2014	5
		Consolidated Statements of Changes in Equity (Unaudited) for the
		Nine Months Ended September 30, 2015 and 2014	6
		Consolidated Statements of Cash Flows (Unaudited) for the
		Nine Months Ended September 30, 2015 and 2014	8
		Notes to Consolidated Financial Statements (Unaudited)	10
		Report of Independent Registered Public Accounting Firm	35
	Item 2.	Management's Discussion and Analysis of Financial Condition
		and Results of Operations	36
	Item 3.	Quantitative and Qualitative Disclosures About Market Risk	74
	Item 4.	Controls and Procedures	74
PART II.		Other Information:
	Item 1.	Legal Proceedings	75
	Item 1A.	Risk Factors	75
	Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds	75
	Item 3.	Defaults Upon Senior Securities	75
	Item 4.	Mine Safety Disclosures	75
	Item 5.	Other Information	75
	Item 6.	Exhibits	75
SIGNATURES			76
EXHIBIT INDEX			77

2

PART I. FINANCIAL INFORMATION

Item 1.    Financial Statements

VORNADO REALTY L.P.
CONSOLIDATED BALANCE SHEETS
(UNAUDITED)
(Amounts in thousands, except unit amounts)			September 30, 2015		December 31, 2014
ASSETS
Real estate, at cost:
	Land		$	4,045,042	$	3,861,913
	Buildings and improvements			12,278,443		11,705,749
	Development costs and construction in progress			1,389,471		1,128,037
	Leasehold improvements and equipment			131,760		126,659
		Total		17,844,716		16,822,358
	Less accumulated depreciation and amortization			(3,364,932)		(3,161,633)
Real estate, net				14,479,784		13,660,725
Cash and cash equivalents				788,137		1,198,477
Restricted cash				107,965		176,204
Marketable securities				152,927		206,323
Tenant and other receivables, net of allowance for doubtful accounts of $11,640 and $12,210				108,106		109,998
Investments in partially owned entities				1,460,178		1,240,489
Real estate fund investments				555,414		513,973
Receivable arising from the straight-lining of rents, net of allowance of $2,922 and $3,190				885,340		787,271
Deferred leasing and financing costs, net of accumulated amortization of $292,767 and $281,109				572,969		475,158
Identified intangible assets, net of accumulated amortization of $190,543 and $199,821				241,814		225,155
Assets related to discontinued operations				35,142		2,244,481
Other assets				584,150		410,066
			$	19,971,926	$	21,248,320
LIABILITIES, REDEEMABLE PARTNERSHIP UNITS AND EQUITY
Mortgages payable			$	9,159,413	$	8,263,165
Senior unsecured notes				847,594		1,347,159
Accounts payable and accrued expenses				465,045		447,745
Deferred revenue				377,951		358,613
Deferred compensation plan				117,037		117,284
Liabilities related to discontinued operations				11,520		1,511,362
Other liabilities				434,980		375,830
	Total liabilities			11,413,540		12,421,158
Commitments and contingencies
Redeemable partnership units:
	Class A units - 12,258,987 and 11,356,550 units outstanding			1,108,457		1,336,780
	Series D cumulative redeemable preferred units - 177,101 and 1 units outstanding			5,428		1,000
		Total redeemable partnership units		1,113,885		1,337,780
Equity:
	Partners' capital			8,517,270		8,157,544
	Earnings less than distributions			(1,878,716)		(1,505,385)
	Accumulated other comprehensive income			43,593		93,267
		Total Vornado Realty L.P. equity		6,682,147		6,745,426
Noncontrolling interests in consolidated subsidiaries				762,354		743,956
	Total equity			7,444,501		7,489,382
			$	19,971,926	$	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 Nine Months Ended
		September 30,				September 30,
		2015		2014		2015		2014
REVENUES:
	Property rentals	$	526,337	$	474,978	$	1,541,454	$	1,420,608
	Tenant expense reimbursements		67,098		65,953		196,234		180,364
	Fee and other income		34,161		37,779		112,998		114,530
Total revenues			627,596		578,710		1,850,686		1,715,502
EXPENSES:
	Operating		256,561		240,088		753,744		707,047
	Depreciation and amortization		141,920		114,822		402,999		359,814
	General and administrative		36,157		40,384		133,838		128,364
	Acquisition and transaction related costs		1,518		1,277		7,560		3,629
Total expenses			436,156		396,571		1,298,141		1,198,854
Operating income			191,440		182,139		552,545		516,648
Loss from partially owned entities			(325)		(26,034)		(8,709)		(78,676)
Income from real estate fund investments			1,665		24,160		52,122		142,418
Interest and other investment income, net			3,160		7,568		19,618		28,814
Interest and debt expense			(95,344)		(100,817)		(279,110)		(301,042)
Net gain on disposition of wholly owned and partially owned assets			103,037		2,665		104,897		13,205
Income before income taxes			203,633		89,681		441,363		321,367
Income tax (expense) benefit			(2,856)		(2,652)		84,245		(6,783)
Income from continuing operations			200,777		87,029		525,608		314,584
Income from discontinued operations			34,463		82,168		50,278		118,456
Net income			235,240		169,197		575,886		433,040
Less net income attributable to noncontrolling interests in
	consolidated subsidiaries		(3,302)		(9,685)		(38,370)		(85,239)
Net income attributable to Vornado Realty L.P.			231,938		159,512		537,516		347,801
Preferred unit distributions			(20,412)		(20,378)		(60,322)		(61,137)
NET INCOME attributable to Class A unitholders		$	211,526	$	139,134	$	477,194	$	286,664
INCOME PER CLASS A UNIT - BASIC:
	Income from continuing operations, net	$	0.88	$	0.28	$	2.13	$	0.83
	Income from discontinued operations		0.17		0.42		0.25		0.60
	Net income per Class A unit	$	1.05	$	0.70	$	2.38	$	1.43
	Weighted average units outstanding		199,609		198,322		199,111		198,158
INCOME PER CLASS A UNIT - DILUTED:
	Income from continuing operations, net	$	0.88	$	0.28	$	2.11	$	0.83
	Income from discontinued operations		0.17		0.41		0.25		0.59
	Net income per Class A unit	$	1.05	$	0.69	$	2.36	$	1.42
	Weighted average units outstanding		201,273		199,940		200,980		199,668
DISTRIBUTIONS PER CLASS A UNIT		$	0.63	$	0.73	$	1.89	$	2.19
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 Nine Months Ended
			September 30,				September 30,
			2015		2014		2015		2014
Net income			$	235,240	$	169,197	$	575,886	$	433,040
Other comprehensive income (loss):
	Reduction in unrealized net gain on available-for-sale securities			(7,064)		(22,764)		(53,396)		(7,761)
	Pro rata share of other comprehensive loss of
		nonconsolidated subsidiaries		(114)		(6,028)		(1,148)		(151)
	(Reduction) increase in value of interest rate swap and other			(289)		4,782		1,788		5,846
Comprehensive income				227,773		145,187		523,130		430,974
Less comprehensive income attributable to noncontrolling interests
	in consolidated subsidiaries			(3,302)		(9,685)		(38,370)		(85,239)
Comprehensive income attributable to Vornado Realty L.P.			$	224,471	$	135,502	$	484,760	$	345,735
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.				-		-		-		-		537,516		-		-		537,516
Net income attributable to redeemable
	partnership units			-		-		-		-		(28,189)		-		-		(28,189)
Net income attributable to noncontrolling
	interests in consolidated subsidiaries			-		-		-		-		-		-		38,370		38,370
Distribution of Urban Edge Properties				-		-		-		-		(464,262)		-		(341)		(464,603)
Distributions to Vornado				-		-		-		-		(355,945)		-		-		(355,945)
Distributions to preferred unitholders				-		-		-		-		(60,213)		-		-		(60,213)
Class A Units issued to Vornado:
	Upon redemption of redeemable Class A
		units, at redemption value		-		-		437		46,693		-		-		-		46,693
	Under Vornado's Employees' share option plan			-		-		198		14,205		(2,579)		-		-		11,626
	Under Vornado's dividend reinvestment plan			-		-		11		1,068		-		-		-		1,068
Contributions:
	Real estate fund investments			-		-		-		-		-		-		51,725		51,725
Distributions:
	Real estate fund investments			-		-		-		-		-		-		(70,875)		(70,875)
	Other			-		-		-		-		-		-		(397)		(397)
Conversion of Series A preferred units
	to Class A units			(1)		(41)		2		41		-		-		-		-
Deferred compensation units and options				-		-		6		2,047		(359)		-		-		1,688
Reduction in unrealized net gain on
	available-for-sale securities			-		-		-		-		-		(53,396)		-		(53,396)
Pro rata share of other comprehensive loss
	of nonconsolidated subsidiaries			-		-		-		-		-		(1,148)		-		(1,148)
Increase in value of interest rate swap				-		-		-		-		-		1,783		-		1,783
Adjustments to carry redeemable Class A
	units at redemption value			-		-		-		295,713		-		-		-		295,713
Redeemable partnership units' share of above
	adjustments			-		-		-		-		-		3,082		-		3,082
Other				-		-		-		-		700		5		(84)		621
Balance, September 30, 2015				52,678	$	1,276,985		188,541	$	7,240,285	$	(1,878,716)	$	43,593	$	762,354	$	7,444,501
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.				-		-		-		-		347,801		-		-		347,801
Net income attributable to redeemable
	partnership units			-		-		-		-		(16,552)		-		-		(16,552)
Net income attributable to noncontrolling
	interests in consolidated subsidiaries			-		-		-		-		-		-		85,239		85,239
Distributions to Vornado				-		-		-		-		(410,724)		-		-		(410,724)
Distributions to preferred unitholders				-		-		-		-		(61,099)		-		-		(61,099)
Class A units issued to Vornado:
	Upon redemption of redeemable Class A
		units, at redemption value		-		-		227		22,668		-		-		-		22,668
	Under Vornado's Employees' share option plan			-		-		199		12,350		-		-		-		12,350
	Under Vornado's dividend reinvestment plan			-		-		13		1,387		-		-		-		1,387
Contributions:
	Real estate fund investments			-		-		-		-		-		-		5,297		5,297
	Other			-		-		-		-		-		-		5,000		5,000
Distributions:
	Real estate fund investments			-		-		-		-		-		-		(182,964)		(182,964)
	Other			-		-		-		-		-		-		(643)		(643)
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				-		-		5		4,646		(340)		-		-		4,306
Reduction in unrealized net gain on
	available-for-sale securities			-		-		-		-		-		(7,761)		-		(7,761)
Pro rata share of other comprehensive loss
	of nonconsolidated subsidiaries			-		-		-		-		-		(151)		-		(151)
Increase in value of interest rate swap				-		-		-		-		-		5,846		-		5,846
Adjustments to carry redeemable Class A
	units at redemption value			-		-		-		(144,231)		-		-		-		(144,231)
Redeemable partnership units' share of above
	adjustments			-		-		-		-		-		109		-		109
Other				-		(6)		-		(297)		(2,372)		-		-		(2,675)
Balance, September 30, 2014				52,679	$	1,277,026		187,735	$	7,048,025	$	(1,878,125)	$	69,580	$	708,413	$	7,224,919
See notes to consolidated financial statements (unaudited).

7

VORNADO REALTY L.P.
CONSOLIDATED STATEMENTS OF CASH FLOWS
(UNAUDITED)
(Amounts in thousands)			For the Nine Months Ended September 30,
			2015		2014
Cash Flows from Operating Activities:
Net income			$	575,886	$	433,040
Adjustments to reconcile net income to net cash provided by operating activities:
	Depreciation and amortization (including amortization of deferred financing costs)			420,494		423,959
	Straight-lining of rental income			(108,529)		(56,983)
	Net gain on disposition of wholly owned and partially owned assets			(104,897)		(13,205)
	Return of capital from real estate fund investments			91,036		215,676
	Reversal of allowance for deferred tax assets			(90,030)		-
	Net gains on sale of real estate and other			(65,396)		(57,796)
	Distributions of income from partially owned entities			51,650		42,164
	Amortization of below-market leases, net			(45,918)		(32,663)
	Net realized and unrealized gains on real estate fund investments			(38,781)		(131,558)
	Other non-cash adjustments			35,190		28,691
	Loss from partially owned entities			7,961		77,426
	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		(95,010)		(3,392)
		Tenant and other receivables, net		1,892		(2,775)
		Prepaid assets		(77,899)		(85,372)
		Other assets		(92,413)		(68,833)
		Accounts payable and accrued expenses		(5,799)		36,949
		Other liabilities		(16,168)		(3,190)
Net cash provided by operating activities				443,525		828,569
Cash Flows from Investing Activities:
	Acquisitions of real estate and other			(388,565)		(95,546)
	Proceeds from sales of real estate and related investments			375,850		335,489
	Development costs and construction in progress			(339,586)		(368,571)
	Additions to real estate			(207,845)		(171,660)
	Restricted cash			201,895		101,592
	Investments in partially owned entities			(144,890)		(91,697)
	Distributions of capital from partially owned entities			31,822		8,130
	Investments in loans receivable			(25,845)		(11,380)
	Proceeds from repayments of mortgage and mezzanine loans receivable and other			16,781		96,504
Net cash used in investing activities				(480,383)		(197,139)
See notes to consolidated financial statements (unaudited).

8

VORNADO REALTY L.P.
CONSOLIDATED STATEMENTS OF CASH FLOWS - CONTINUED
(UNAUDITED)
(Amounts in thousands)				For the Nine Months Ended September 30,
				2015		2014
Cash Flows from Financing Activities:
	Proceeds from borrowings			$	2,876,460	$	1,713,285
	Repayments of borrowings				(2,539,677)		(343,354)
	Distributions to Vornado				(355,945)		(410,724)
	Cash included in the spin-off of Urban Edge Properties				(225,000)		-
	Distributions to redeemable security holders and noncontrolling interests				(93,738)		(208,773)
	Distributions to preferred unitholders				(60,213)		(61,102)
	Contributions from noncontrolling interests in consolidated subsidiaries				51,725		5,297
	Debt issuance costs				(37,467)		(40,424)
	Proceeds received from exercise of Vornado share options				15,273		13,738
	Repurchase of Class A units related to equity compensation agreements and/or related
		tax withholdings and other			(4,900)		(637)
	Purchase of marketable securities in connection with the defeasance of mortgage
		notes payable			-		(198,884)
Net cash (used in) provided by financing activities					(373,482)		468,422
Net (decrease) increase in cash and cash equivalents					(410,340)		1,099,852
Cash and cash equivalents at beginning of period					1,198,477		583,290
Cash and cash equivalents at end of period				$	788,137	$	1,683,142
Supplemental Disclosure of Cash Flow Information:
	Cash payments for interest, excluding capitalized interest of $40,924 and $46,517			$	256,254	$	317,162
	Cash payments for income taxes			$	7,640	$	9,407
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				295,713		(144,231)
	Transfer of interest in real estate to Pennsylvania Real Estate Investment Trust				(145,313)		-
	Write-off of fully depreciated assets				(127,788)		(103,184)
	Accrued capital expenditures included in accounts payable and accrued expenses				95,535		103,032
	Like-kind exchange of real estate:
			Acquisitions		80,269		50,159
			Dispositions		(213,621)		(50,159)
	Class A units in connection with acquisition				80,000		-
	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 93.6% of the common limited partnership interest in, the Operating Partnership at September 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) certain small retail properties that we plan to sell, and (ii) 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.  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 nine months ended September 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 nine months ended September 30, 2014, $7,698,000 and $25,889,000, 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 development site.

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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 September 30, 2015 and December 31, 2014, our taxable REIT subsidiaries had deferred tax assets related to net operating loss carryforwards 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 these 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.  Based upon residential condominium unit sales, among other factors, we have concluded that it is more-likely-than-not that we will generate sufficient taxable income to realize these 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.

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 – Dispositions 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 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).

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 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.

On September 25, 2015, we acquired 265 West 34th Street, a 1,700 square foot retail property and 15,200 square feet of additional zoning air rights, for approximately $28,500,000.        

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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 $23,768,000 net gain over the holding period.

At September 30, 2015, we had six real estate fund investments with an aggregate fair value of $555,414,000, or $190,620,000 in excess of cost, and had remaining unfunded commitments of $102,212,000, of which our share was $25,553,000.  Below is a summary of income from the Fund and the Co-Investment for the three and nine months ended September 30, 2015 and 2014.

(Amounts in thousands)		For the Three Months Ended				For the Nine Months Ended
		September 30,				September 30,
		2015		2014		2015		2014
Net investment income		$	5,116	$	3,829	$	13,716	$	10,860
Net realized (losses) gains on exited investments			(907)		51,584		24,684		126,653
Previously recorded unrealized gains on exited investments			-		(49,586)		(23,279)		(50,316)
Net unrealized (losses) gains on held investments			(2,544)		18,333		37,001		55,221
Income from real estate fund investments			1,665		24,160		52,122		142,418
Less income attributable to noncontrolling interests			(42)		(8,588)		(29,453)		(81,217)
Income from real estate fund investments attributable to Vornado Realty L.P.(1)		$	1,623	$	15,572	$	22,669	$	61,201
(1)	Excludes property management, leasing and development fees of $678 and $669 for the three months ended September 30, 2015 and 2014, respectively, and $2,015 and $1,925 for the nine months ended September 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 September 30, 2015 and December 31, 2014.

(Amounts in thousands)		As of September 30, 2015						As of December 31, 2014
				GAAP		Unrealized				GAAP		Unrealized
		Fair Value		Cost		Gain		Fair Value		Cost		Gain
Equity securities:
	Lexington Realty Trust	$	149,599	$	72,549	$	77,050	$	202,789	$	72,549	$	130,240
	Other		3,328		-		3,328		3,534		-		3,534
		$	152,927	$	72,549	$	80,378	$	206,323	$	72,549	$	133,774

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(UNAUDITED)

7.    Investments in Partially Owned Entities

Toys “R” Us (“Toys”)

As of September 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
						August 1, 2015		November 1, 2014
Balance Sheet:
	Assets					$	9,732,000	$	11,267,000
	Liabilities						9,056,000		10,377,000
	Noncontrolling interests						85,000		82,000
	Toys “R” Us, Inc. equity (1)						591,000		808,000
(Amounts in thousands)		For the Three Months Ended				For the Nine Months Ended
		August 1, 2015		August 2, 2014		August 1, 2015		August 2, 2014
Income Statement:
	Total revenues	$	2,293,000	$	2,440,000	$	9,601,000	$	10,186,000
	Net loss attributable to Toys		(108,700)		(133,000)		(44,700)		(244,000)
(1)	At September 30, 2015, the carrying amount of our investment in Toys is less than our share of Toys' equity by approximately $191,859. This basis difference results primarily from non-cash impairment losses aggregating $355,953 that we have recognized through September 30, 2015. We have allocated the basis difference primarily to Toys' real estate.

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

As of September 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 September 30, 2015, the market value (“fair value” pursuant to ASC 820, Fair Value Measurements and Disclosures (“ASC 820”)) of our investment in Alexander’s, based on Alexander’s September 30, 2015 closing share price of $374.00, was $618,621,000, or $487,226,000 in excess of the carrying amount on our consolidated balance sheet.  As of September 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 $40,527,000.  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
						September 30, 2015		December 31, 2014
Balance Sheet:
	Assets					$	1,457,000	$	1,423,000
	Liabilities						1,112,000		1,075,000
	Stockholders' equity						345,000		348,000
(Amounts in thousands)		For the Three Months Ended September 30,				For the Nine Months Ended September 30,
		2015		2014		2015		2014
Income Statement:
	Total revenues	$	52,000	$	50,000	$	155,000	$	149,000
	Net income attributable to Alexander’s		18,000		18,000		53,000		50,000

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 record our share of UE’s net income or loss 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) certain small retail properties that we plan to sell, and (ii) our affiliate, Alexander’s, Rego Park retail assets.  As of September 30, 2015, the fair value of our investment in UE, based on UE’s September 30, 2015 closing share price of $21.59, was $123,434,000, or $98,033,000 in excess of the carrying amount on our consolidated balance sheet.   

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 – Dispositions).  $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 record our share of PREIT’s net income or loss on a one-quarter lag basis.  As of September 30, 2015, the fair value of our investment in PREIT, based on PREIT’s September 30, 2015 closing share price of $19.83, was $123,938,000, or $14,327,000 lower than the carrying amount on our consolidated balance sheet.  As of September 30, 2015, the carrying amount of our investment in PREIT exceeds our share of the equity in the net assets of PREIT by approximately $65,681,000.  The majority of this basis difference resulted from the excess of the fair value of the PREIT operating units received over our share of the book value of PREIT’s net assets.  Substantially all of this basis difference was allocated, based on our estimates of the fair values of PREIT’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 PREIT’s net loss.  The basis difference related to the land will be recognized upon disposition of our investment.

512 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 512 West 22nd Street.  The development cost of this project is approximately $235,000,000.  The development is expected to commence during the fourth quarter of 2015 and be completed in 2017.  We account for our investment in the joint venture under the equity method.

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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
		September 30, 2015		September 30, 2015		December 31, 2014
Investments:
	Partially owned office buildings (1)		Various	$	857,282	$	760,749
	PREIT Associates		8.1%		138,265		-
	Alexander’s		32.4%		131,395		131,616
	India real estate ventures		4.1%-36.5%		48,114		76,752
	UE		5.4%		25,401		-
	Toys		32.5%		-		-
	Other investments (2)		Various		259,721		271,372
				$	1,460,178	$	1,240,489
(1)	Includes interests in 280 Park Avenue, 650 Madison Avenue, One Park Avenue, 666 Fifth Avenue (Office), 330 Madison Avenue, 512 West 22nd Street and others.
(2)	Includes interests in Independence Plaza, 85 Tenth Avenue, Fashion Center Mall, 50-70 West 93rd Street and others.

(Amounts in thousands)			Percentage		For the Three Months Ended				For the Nine Months Ended
			Ownership at		September 30,				September 30,
			September 30, 2015		2015		2014		2015			2014
Our Share of Net (Loss) Income:
	Alexander's:
		Equity in net income		32.4%	$	5,716	$	5,552	$	16,757		$	15,583
		Management, leasing and development fees				1,828		1,640		5,801			4,888
						7,544		7,192		22,558			20,471
	Partially owned office buildings (1)			Various		(2,039)		18		(14,573)			(1,387)
	Toys:
		Equity in net loss		32.5%		-		(20,357)		-			(4,691)
		Non-cash impairment loss				-		-		-			(75,196)
		Management fees				46		1,939		2,000			5,725
						46		(18,418)		2,000			(74,162)
	India real estate ventures			4.1%-36.5%		(1,704)		(262)		(18,380)	(2)		(2,440)
	Other investments (3)			Various		(4,172)		(14,564)		(314)			(21,158)
					$	(325)	$	(26,034)	$	(8,709)		$	(78,676)
(1)	Includes interests in 280 Park Avenue, 650 Madison Avenue, One Park Avenue, 666 Fifth Avenue (Office), 330 Madison Avenue, 512 West 22nd Street and others.
(2)	Includes $14,806 for our share of non-cash impairment losses.
(3)	Includes interests in UE, PREIT Associates, Independence Plaza, 85 Tenth Avenue, Fashion Center Mall, 50-70 West 93rd Street and others.  In the third quarter of 2014, we recognized a $10,263 non-cash charge, comprised of a $5,959 impairment loss and a $4,304 loan loss reserve, on our equity and debt investments in Suffolk Downs.

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(UNAUDITED)

8.    Dispositions

On September 9, 2015, we completed the sale of 1750 Pennsylvania Avenue, NW, a 278,000 square foot office building in Washington, DC for $182,000,000, resulting in a net gain of approximately $102,000,000 which is included in “net gain on disposition of wholly owned and partially owned assets” on our consolidated statement of income.  The tax gain of approximately $137,000,000 was deferred as part of a like-kind exchange.  We are managing the property on behalf of the new owner.

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).  In addition, we completed the following retail property sales, substantially completing the exit of the retail strips and malls business.

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 “income from discontinued operations” on our consolidated statements of income. 

On August 6, 2015, we sold our 50% interest in the Monmouth Mall in Eatontown, NJ to our joint venture partner for $38,000,000, valuing the property at approximately $229,000,000, which resulted in a net gain of $33,153,000.

We also sold five residual retail properties, in separate transactions, for an aggregate of $10,731,000, which resulted in net gains of $3,675,000.

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(UNAUDITED)

8.    Dispositions – continued

We have reclassified the revenues and expenses of the UE portfolio and other retail properties discussed above to “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 “income from discontinued operations” on our consolidated statements of income.  The tables below set forth the assets and liabilities related to discontinued operations at September 30, 2015 and December 31, 2014 and their combined results of operations and cash flows for the nine months ended September 30, 2015 and 2014.

(Amounts in thousands)					Balance as of
					September 30, 2015		December 31, 2014
Assets related to discontinued operations:
Real estate, net					$	27,560	$	2,028,677
Other assets						7,582		215,804
					$	35,142	$	2,244,481
Liabilities related to discontinued operations:
Mortgages payable					$	-	$	1,288,535
Other liabilities (primarily deferred revenue in 2014)						11,520		222,827
					$	11,520	$	1,511,362
(Amounts in thousands)	For the Three Months Ended				For the Nine Months Ended
	September 30,				September 30,
	2015		2014		2015		2014
Income from discontinued operations:
Total revenues	$	2,589	$	93,440	$	24,868	$	297,039
Total expenses		1,279		62,715		16,672		204,619
		1,310		30,725		8,196		92,420
Net gain on sale of our interest in Monmouth Mall		33,153		-		33,153		-
Net gains on sale of real estate		-		57,796		10,867		57,796
Transaction related costs (primarily UE spin off)		-		(5,828)		(22,972)		(9,343)
Net gain on sale of lease position in Geary Street, CA		-		-		21,376		-
Impairment losses		-		-		(256)		(20,842)
Pretax income from discontinued operations		34,463		82,693		50,364		120,031
Income tax expense		-		(525)		(86)		(1,575)
Income from discontinued operations	$	34,463	$	82,168	$	50,278	$	118,456
Cash flows related to discontinued operations:
Cash flows from operating activities					$	(34,490)	$	153,815
Cash flows from investing activities						348,697		(122,247)

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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 September 30, 2015 and December 31, 2014.

(Amounts in thousands)	Balance as of
	September 30, 2015		December 31, 2014
Identified intangible assets:
Gross amount	$	432,357	$	424,976
Accumulated amortization		(190,543)		(199,821)
Net	$	241,814	$	225,155
Identified intangible liabilities (included in deferred revenue):
Gross amount	$	666,370	$	657,976
Accumulated amortization		(316,908)		(329,775)
Net	$	349,462	$	328,201

Amortization of acquired below-market leases, net of acquired above-market leases, resulted in an increase to rental income of $19,786,000 and $8,099,000 for the three months ended September 30, 2015 and 2014, respectively, and $45,614,000 and $26,333,000 for the nine months ended September 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	$	51,780
2017		44,079
2018		42,733
2019		30,775
2020		23,143

Amortization of all other identified intangible assets (a component of depreciation and amortization expense) was $9,658,000 and $5,866,000 for the three months ended September 30, 2015 and 2014, respectively, and $24,402,000 and $21,697,000 for the nine months ended September 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	$	30,165
2017		24,745
2018		20,373
2019		15,685
2020		12,245

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 $458,000 for the three months ended September 30, 2015 and 2014 and $1,374,000 for the nine months ended September 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. 

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.

On September 22, 2015, we upsized the loan on our 220 Central Park South development by $350,000,000 to $950,000,000.  The interest rate on the loan is LIBOR plus 2.00% and the final maturity date is 2020.  In connection with the upsizing, the standby commitment for a $500,000,000 mezzanine loan for this development has been terminated by payment of a $15,000,000 contractual termination fee, which was capitalized as a component of “development costs and construction in progress” on our consolidated balance sheet as of September 30, 2015.

The following is a summary of our debt:

(Amounts in thousands)		Interest Rate at		Balance at
		September 30, 2015		September 30, 2015		December 31, 2014
Mortgages Payable:
	Fixed rate		4.43%	$	6,341,271	$	6,499,396
	Variable rate		2.01%		2,818,142		1,763,769
			3.69%	$	9,159,413	$	8,263,165
Unsecured Debt:
	Senior unsecured notes		3.68%	$	847,594	$	1,347,159
	Revolving credit facility debt		-		-		-
			3.68%	$	847,594	$	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		16,552
Other comprehensive loss		(109)
Distributions		(25,166)
Redemption of Class A units, at redemption value		(22,668)
Adjustments to carry redeemable Class A units at redemption value		144,231
Other, net		23,592
Balance at September 30, 2014	$	1,140,052
Balance at December 31, 2014	$	1,337,780
Net income		28,189
Other comprehensive loss		(3,082)
Distributions		(22,502)
Redemption of Class A units, at redemption value		(46,693)
Adjustments to carry redeemable Class A units at redemption value		(295,713)
Issuance of Class A units		80,000
Issuance of Series D-17 Preferred Units		4,428
Other, net		31,478
Balance at September 30, 2015	$	1,113,885

As of September 30, 2015 and December 31, 2014, the aggregate redemption value of redeemable Class A units, which are those units held by third parties, was $1,108,457,000 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 $53,135,000 as of September 30, 2015 and $55,097,000 as of 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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(UNAUDITED)

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 September 30, 2015
Balance as of June 30, 2015		$	50,613	$	87,442	$	(10,026)	$	(23,730)	$	(3,073)
	OCI before reclassifications		(7,020)		(7,064)		(114)		(290)		448
	Amounts reclassified from AOCI		-		-		-		-		-
Net current period OCI			(7,020)		(7,064)		(114)		(290)		448
Balance as of September 30, 2015		$	43,593	$	80,378	$	(10,140)	$	(24,020)	$	(2,625)
For the Three Months Ended September 30, 2014
Balance as of June 30, 2014		$	92,221	$	134,312	$	(5,624)	$	(30,817)	$	(5,650)
	OCI before reclassifications		(22,641)		(22,764)		(6,028)		4,781		1,370
	Amounts reclassified from AOCI		-		-		-		-		-
Net current period OCI			(22,641)		(22,764)		(6,028)		4,781		1,370
Balance as of September 30, 2014		$	69,580	$	111,548	$	(11,652)	$	(26,036)	$	(4,280)
For the Nine Months Ended September 30, 2015
Balance as of December 31, 2014		$	93,267	$	133,774	$	(8,992)	$	(25,803)	$	(5,712)
	OCI before reclassifications		(49,674)		(53,396)		(1,148)		1,783		3,087
	Amounts reclassified from AOCI		-		-		-		-		-
Net current period OCI			(49,674)		(53,396)		(1,148)		1,783		3,087
Balance as of September 30, 2015		$	43,593	$	80,378	$	(10,140)	$	(24,020)	$	(2,625)
For the Nine Months Ended September 30, 2014
Balance as of December 31, 2013		$	71,537	$	119,309	$	(11,501)	$	(31,882)	$	(4,389)
	OCI before reclassifications		(1,957)		(7,761)		(151)		5,846		109
	Amounts reclassified from AOCI		-		-		-		-		-
Net current period OCI			(1,957)		(7,761)		(151)		5,846		109
Balance as of September 30, 2014		$	69,580	$	111,548	$	(11,652)	$	(26,036)	$	(4,280)

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(UNAUDITED)

13.    Variable Interest Entities (“VIEs”)

At September 30, 2015 and December 31, 2014, we have four unconsolidated VIEs.  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 September 30, 2015 and December 31, 2014, the net carrying amounts of our investment in these entities were $302,649,000 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 September 30, 2015 and December 31, 2014.   

14.    Fair Value Measurements

ASC 820 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 September 30, 2015 and December 31, 2014, respectively.

(Amounts in thousands)		As of September 30, 2015
		Total		Level 1		Level 2		Level 3
Marketable securities		$	152,927	$	152,927	$	-	$	-
Real estate fund investments (75% of which is attributable to
	noncontrolling interests)		555,414		-		-		555,414
Deferred compensation plan assets (included in other assets)			117,037		48,829		-		68,208
	Total assets	$	825,378	$	201,756	$	-	$	623,622
Mandatorily redeemable instruments (included in other liabilities)		$	53,135	$	53,135	$	-	$	-
Interest rate swap (included in other liabilities)			24,014		-		24,014		-
	Total liabilities	$	77,149	$	53,135	$	24,014	$	-
(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 September 30, 2015, we had six real estate fund investments with an aggregate fair value of $555,414,000, or $190,620,000 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 0.8 to 5.3 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 September 30, 2015 and December 31, 2014.

				Weighted Average
		Range		(based on fair value of investments)
Unobservable Quantitative Input		September 30, 2015	December 31, 2014	September 30, 2015	December 31, 2014
	Discount rates	12.0% to 14.5%	12.0% to 17.5%	13.2%	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 nine months ended September 30, 2015 and 2014.

(Amounts in thousands)	For the Three Months Ended September 30,				For the Nine Months Ended September 30,
		2015		2014	2015		2014
Beginning balance	$	565,976	$	549,091	$	513,973	$	667,710
Purchases		11		725		95,011		3,392
Dispositions / distributions		(8,029)		(74,755)		(91,450)		(307,268)
Net unrealized (losses) gains		(2,544)		18,333		37,001		55,221
Net realized (losses) gains		(907)		1,998		1,405		76,337
Other, net		907		-		(526)		-
Ending balance	$	555,414	$	495,392	$	555,414	$	495,392

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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 nine months ended September 30, 2015 and 2014. 

(Amounts in thousands)	For the Three Months Ended September 30,				For the Nine Months Ended September 30,
		2015		2014	2015		2014
Beginning balance	$	67,668	$	64,609	$	63,315	$	68,782
Purchases		2,153		1,377		8,384		10,936
Sales		(171)		(4,917)		(5,264)		(21,296)
Realized and unrealized (loss) gain		(1,466)		927		1,256		2,901
Other, net		24		1,187		517		1,860
Ending balance	$	68,208	$	63,183	$	68,208	$	63,183

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 September 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 borrowings under our revolving credit facility as of September 30, 2015 and December 31, 2014 and no mortgage and mezzanine loans outstanding as of September 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 September 30, 2015 and December 31, 2014.

(Amounts in thousands)		As of September 30, 2015				As of December 31, 2014
		Carrying		Fair		Carrying		Fair
		Amount		Value		Amount		Value
Cash equivalents		$	545,617	$	546,000	$	749,418	$	749,000
Mortgage and mezzanine loans receivable
	(included in other assets)		-		-		16,748		17,000
		$	545,617	$	546,000	$	766,166	$	766,000
Debt:
	Mortgages payable	$	9,159,413	$	9,272,000	$	8,263,165	$	8,224,000
	Senior unsecured notes		847,594		884,000		1,347,159		1,385,000
	Revolving credit facility debt		-		-		-		-
		$	10,007,007	$	10,156,000	$	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 $6,501,000 and $8,315,000 for the three months ended September 30, 2015 and 2014, respectively and $33,328,000 and $28,389,000 for the nine months ended September 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 Nine Months Ended
	September 30,				September 30,
	2015		2014		2015		2014
BMS cleaning fees	$	18,563	$	22,467	$	62,937	$	63,618
Management and leasing fees		4,045		4,266		12,511		15,859
Lease termination fees		1,517		3,300		8,157		11,422
Other income		10,036		7,746		29,393		23,631
	$	34,161	$	37,779	$	112,998	$	114,530

Management and leasing fees include management fees from Interstate Properties, a related party, of $132,000 and $132,000 for the three months ended September 30, 2015 and 2014, and $403,000 and $397,000 for the nine months ended September 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 Nine Months Ended
		September 30,				September 30,
		2015		2014		2015		2014
Dividends on marketable securities		$	3,215	$	3,200	$	9,620	$	9,504
Mark-to-market of investments in our deferred compensation plan (1)			(2,577)		1,352		(327)		8,132
Interest on loans receivable			1,154		1,129		5,113		4,843
Other, net			1,368		1,887		5,212		6,335
		$	3,160	$	7,568	$	19,618	$	28,814
(1)	This (loss) 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 Nine Months Ended
		September 30,				September 30,
		2015		2014		2015		2014
Interest expense		$	113,485	$	110,296	$	305,110	$	328,544
Amortization of deferred financing costs			7,864		6,856		22,817		19,015
Capitalized standby loan commitment termination fee
	(220 Central Park South development project)		(15,000)		-		(15,000)		-
Capitalized interest and debt expense			(11,005)		(16,335)		(33,817)		(46,517)
		$	95,344	$	100,817	$	279,110	$	301,042

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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 Nine Months Ended
			September 30,				September 30,
			2015		2014		2015		2014
Numerator:
	Income from continuing operations, net of income attributable
		to noncontrolling interests	$	197,475	$	77,344	$	487,238	$	229,345
	Income from discontinued operations			34,463		82,168		50,278		118,456
	Net income attributable to Vornado Realty L.P.			231,938		159,512		537,516		347,801
	Preferred unit distributions			(20,412)		(20,378)		(60,322)		(61,137)
	Net income attributable to Class A unitholders			211,526		139,134		477,194		286,664
	Earnings allocated to unvested participating securities			(1,053)		(769)		(2,862)		(2,436)
	Numerator for basic income per Class A unit			210,473		138,365		474,332		284,228
	Impact of assumed conversions:
		Convertible preferred unit distributions		23		24		69		-
	Numerator for diluted income per Class A unit		$	210,496	$	138,389	$	474,401	$	284,228
Denominator:
	Denominator for basic income per Class A unit – weighted
		average units		199,609		198,322		199,111		198,158
	Effect of dilutive securities(1):
		Vornado stock options and restricted unit awards		1,619		1,577		1,824		1,510
		Convertible preferred units		45		41		45		-
	Denominator for diluted income per Class A unit – weighted
		average units and assumed conversions		201,273		199,940		200,980		199,668
INCOME PER CLASS A UNIT – BASIC:
	Income from continuing operations, net		$	0.88	$	0.28	$	2.13	$	0.83
	Income from discontinued operations			0.17		0.42		0.25		0.60
	Net income per Class A unit		$	1.05	$	0.70	$	2.38	$	1.43
INCOME PER CLASS A UNIT – DILUTED:
	Income from continuing operations, net		$	0.88	$	0.28	$	2.11	$	0.83
	Income from discontinued operations			0.17		0.41		0.25		0.59
	Net income per Class A unit		$	1.05	$	0.69	$	2.36	$	1.42
(1)	The effect of dilutive securities for the three months ended September 30, 2015 and 2014 excludes an aggregate of 180 and 117 weighted average Class A unit equivalents, respectively, and 150 and 182 weighted average Class A unit equivalents for the nine months ended September 30, 2015 and 2014, respectively, as their effect was anti-dilutive.

28

VORNADO REALTY L.P.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - CONTINUED

(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 September 30, 2015, the aggregate dollar amount of these guarantees and master leases is approximately $430,000,000.

At September 30, 2015, $40,647,000 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 September 30, 2015, we expect to fund additional capital to certain of our partially owned entities aggregating approximately $76,000,000. 

29

VORNADO REALTY L.P.

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 – Dispositions), 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 nine months ended September 30, 2015 and 2014.  

(Amounts in thousands)		For the Three Months Ended September 30, 2015
			Total		New York			Washington, DC			Other
Total revenues			$	627,596	$	429,433		$	132,704		$	65,459
Total expenses				436,156		263,805			102,114			70,237
Operating income (loss)				191,440		165,628			30,590			(4,778)
(Loss) income from partially owned entities				(325)		4,010			(1,909)			(2,426)
Income from real estate fund investments				1,665		-			-			1,665
Interest and other investment income, net				3,160		1,888			34			1,238
Interest and debt expense				(95,344)		(50,480)			(16,580)			(28,284)
Net gain on disposition of wholly owned and partially
	owned assets			103,037		-			102,404			633
Income (loss) before income taxes				203,633		121,046			114,539			(31,952)
Income tax expense				(2,856)		(1,147)			(287)			(1,422)
Income (loss) from continuing operations				200,777		119,899			114,252			(33,374)
Income from discontinued operations				34,463		-			-			34,463
Net income				235,240		119,899			114,252			1,089
Less net income attributable to noncontrolling interests in				-
	consolidated subsidiaries			(3,302)		(2,582)			-			(720)
Net income attributable to Vornado Realty L.P.				231,938		117,317			114,252			369
Interest and debt expense(2)				118,977		64,653			20,010			34,314
Depreciation and amortization(2)				174,209		99,206			48,132			26,871
Income tax expense(2)				3,043		1,214			294			1,535
EBITDA(1)			$	528,167	$	282,390	(3)	$	182,688	(4)	$	63,089	(5)

(Amounts in thousands)		For the Three Months Ended September 30, 2014
			Total		New York			Washington, DC			Other
Total revenues			$	578,710	$	383,828		$	133,541		$	61,341
Total expenses				396,571		238,153			88,375			70,043
Operating income (loss)				182,139		145,675			45,166			(8,702)
(Loss) income from partially owned entities				(26,034)		5,810			(1,411)			(30,433)
Income from real estate fund investments				24,160		-			-			24,160
Interest and other investment income, net				7,568		1,834			15			5,719
Interest and debt expense				(100,817)		(43,061)			(18,685)			(39,071)
Net gain on disposition of wholly owned and partially
	owned assets			2,665		-			-			2,665
Income (loss) before income taxes				89,681		110,258			25,085			(45,662)
Income tax expense				(2,652)		(802)			(130)			(1,720)
Income (loss) from continuing operations				87,029		109,456			24,955			(47,382)
Income from discontinued operations				82,168		5,615			-			76,553
Net income				169,197		115,071			24,955			29,171
Less net income attributable to noncontrolling interests in
	consolidated subsidiaries			(9,685)		(2,690)			-			(6,995)
Net income attributable to Vornado Realty L.P.				159,512		112,381			24,955			22,176
Interest and debt expense(2)				160,252		58,010			22,208			80,034
Depreciation and amortization(2)				160,270		79,446			36,411			44,413
Income tax expense (2)				2,232		746			145			1,341
EBITDA(1)			$	482,266	$	250,583	(3)	$	83,719	(4)	$	147,964	(5)
See notes on page 32.

30

 

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NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - CONTINUED

(UNAUDITED)

21.    Segment Information – continued

(Amounts in thousands)		For the Nine Months Ended September 30, 2015
			Total		New York			Washington, DC			Other
Total revenues			$	1,850,686	$	1,243,208		$	401,528		$	205,950
Total expenses				1,298,141		766,863			293,772			237,506
Operating income (loss)				552,545		476,345			107,756			(31,556)
(Loss) income from partially owned entities				(8,709)		1,523			(3,583)			(6,649)
Income from real estate fund investments				52,122		-			-			52,122
Interest and other investment income, net				19,618		5,642			60			13,916
Interest and debt expense				(279,110)		(143,004)			(52,223)			(83,883)
Net gain on disposition of wholly owned and partially
	owned assets			104,897		-			102,404			2,493
Income (loss) before income taxes				441,363		340,506			154,414			(53,557)
Income tax benefit (expense)				84,245		(3,185)			(79)			87,509
Income from continuing operations				525,608		337,321			154,335			33,952
Income from discontinued operations				50,278		-			-			50,278
Net income				575,886		337,321			154,335			84,230
Less net income attributable to noncontrolling interests in
	consolidated subsidiaries			(38,370)		(6,640)			-			(31,730)
Net income attributable to Vornado Realty L.P.				537,516		330,681			154,335			52,500
Interest and debt expense(2)				348,725		184,377			62,413			101,935
Depreciation and amortization(2)				493,904		288,897			136,687			68,320
Income tax (benefit) expense (2)				(85,349)		3,368			(1,856)			(86,861)
EBITDA(1)			$	1,294,796	$	807,323	(3)	$	351,579	(4)	$	135,894	(5)

(Amounts in thousands)		For the Nine Months Ended September 30, 2014
		Total		New York			Washington, DC			Other
Total revenues		$	1,715,502	$	1,120,686		$	403,645		$	191,171
Total expenses			1,198,854		702,727			265,299			230,828
Operating income (loss)			516,648		417,959			138,346			(39,657)
(Loss) income from partially owned entities			(78,676)		16,372			(4,925)			(90,123)
Income from real estate fund investments			142,418		-			-			142,418
Interest and other investment income, net			28,814		4,889			93			23,832
Interest and debt expense			(301,042)		(134,970)			(56,692)			(109,380)
Net gain on disposition of wholly owned and partially
	owned assets		13,205		-			-			13,205
Income (loss) before income taxes			321,367		304,250			76,822			(59,705)
Income tax expense			(6,783)		(2,997)			(46)			(3,740)
Income (loss) from continuing operations			314,584		301,253			76,776			(63,445)
Income from discontinued operations			118,456		17,401			-			101,055
Net income			433,040		318,654			76,776			37,610
Less net income attributable to noncontrolling interests in
	consolidated subsidiaries		(85,239)		(7,203)			-			(78,036)
Net income (loss) attributable to Vornado Realty L.P.			347,801		311,451			76,776			(40,426)
Interest and debt expense(2)			510,724		180,150			67,469			263,105
Depreciation and amortization(2)			530,052		241,040			108,367			180,645
Income tax expense(2)			21,489		3,069			88			18,332
EBITDA(1)		$	1,410,066	$	735,710	(3)	$	252,700	(4)	$	421,656	(5)
See notes on the following page.

31

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 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 Nine Months Ended
			September 30,				September 30,
			2015		2014		2015		2014
	Office		$	166,663	$	159,568	$	496,762	$	480,280
	Retail			97,604		71,327		265,060		205,469
	Alexander's			10,502		10,387		31,150		31,088
	Hotel Pennsylvania			7,621		9,301		14,351		18,873
		Total New York	$	282,390	$	250,583	$	807,323	$	735,710
(4)	The elements of "Washington, DC" EBITDA are summarized below.
	(Amounts in thousands)		For the Three Months Ended				For the Nine Months Ended
			September 30,				September 30,
			2015		2014		2015		2014
	Office, excluding the Skyline properties		$	64,733	$	65,904	$	200,631	$	200,218
	Gain on sale of 1750 Pennsylvania Avenue			102,404		-		102,404		-
	Skyline properties			5,998		7,698		19,037		21,270
		Total Office		173,135		73,602		322,072		221,488
	Residential			9,553		10,117		29,507		31,212
		Total Washington, DC	$	182,688	$	83,719	$	351,579	$	252,700

32

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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 Nine Months Ended
			September 30,				September 30,
			2015		2014		2015		2014
	Our share of real estate fund investments:
		Income before net realized/unrealized (losses) gains	$	2,594	$	2,051	$	6,879	$	6,668
		Net realized/unrealized (losses) gains on investments		(922)		5,083		9,542		32,890
		Carried interest		(49)		8,438		6,248		21,643
	Total			1,623		15,572		22,669		61,201
	The Mart and trade shows			19,044		19,497		62,229		61,038
	555 California Street			13,005		11,994		38,237		35,566
	Our share of Toys(a)			46		12,440		2,000		103,026
	India real estate ventures			13		2,651		2,229		4,574
	Other investments			11,558		4,372		25,787		13,594
				45,289		66,526		153,151		278,999
	Corporate general and administrative expenses(b) (c)			(22,341)		(22,948)		(82,043)		(71,952)
	Investment income and other, net(b)			5,952		6,659		21,275		22,764
	Gains on sale of partially owned entities and other			33,153		-		37,666		-
	UE and residual retail properties discontinued operations(d)			2,516		106,602		26,313		192,532
	Acquisition and transaction related costs			(1,518)		(1,277)		(7,560)		(3,629)
	Net gain on sale of residential condominiums and a land parcel			633		2,665		2,493		13,205
	Impairment loss and loan loss reserve on investment in Suffolk Downs			(595)		(10,263)		(595)		(10,263)
	Our share of impairment losses on India real estate ventures			-		-		(14,806)		-
			$	63,089	$	147,964	$	135,894	$	421,656
	(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 nine months ended September 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 $2,577 and $1,352 for the three months ended September 30, 2015 and 2014, respectively, and $327 and $8,132 for the nine months ended September 30, 2015 and 2014, respectively.
	(c)	The nine months ended September 30, 2015 includes $7,084 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 $867 and $6,217 thereafter.
	(d)	The three months ended September 30, 2014 and the nine months ended September 30, 2015 and 2014, includes $5,828, $22,972 and $9,343, respectively, of transaction costs related to the spin-off of our strip shopping centers and malls (see Note 1 - Organization).

33

VORNADO REALTY L.P.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - CONTINUED

(UNAUDITED)

22.    Subsequent Events

20 Broad Street

On October 19, 2015, we entered into an agreement to sell our leasehold interest in 20 Broad Street, a 473,000 square foot office building in Manhattan.  We ground lease this property, which is contiguous to the New York Stock Exchange (“NYSE”), from the NYSE, who is also the major tenant in the building.  By agreement, we early terminated the NYSE space lease which was scheduled to expire in June 2016.  The aggregate consideration for the sale of the leasehold and the early termination of the NYSE lease is $200,000,000 or $423 per square foot.  The total income from this transaction is approximately $156,000,000 comprised of $141,000,000 from the gain on sale and $15,000,000 of lease termination income.  The sale, which is subject to customary closing conditions, is expected to be completed in the fourth quarter of 2015.

Unsecured Term Loan Facility

On October 30, 2015, we entered into an unsecured delayed-draw term loan facility in the maximum amount of $750,000,000.  The facility matures in October 2018 with two one-year extension options.  The interest rate is LIBOR plus 115 basis points with a fee of 20 basis points per annum on the unused portion. At closing, we drew $187,500,000. The facility provides that the maximum amount available is twice the amount outstanding on April 29, 2016, limited to $750,000,000, and all draws must be made by October 2017.

34

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 September 30, 2015, and the related consolidated statements of income and comprehensive income for the three month and nine month periods ended September 30, 2015 and 2014 and changes in equity and cash flows for the nine month periods ended September 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

November 6, 2015

35

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 nine months ended September 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 nine months ended September 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.

36

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 September 30, 2015.

		Total Return(1)
		Vornado	Office REIT	RMS
	Three-month	(4.1%)	(1.2%)	2.1%
	Nine-month	(13.6%)	(6.4%)	(4.3%)
	One-year	2.4%	5.5%	9.5%
	Three-year	36.4%	24.4%	31.1%
	Five-year	38.0%	46.1%	75.9%
	Ten-year	70.3%	56.2%	93.1%
(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.

37

Overview – continued

Quarter Ended September 30, 2015 Financial Results Summary

Net income attributable to Class A unitholders for the quarter ended September 30, 2015 was $211,526,000, or $1.05 per diluted unit, compared to $139,134,000, or $0.69 per diluted unit, for the prior year’s quarter.  Net income for the quarters ended September 30, 2015 and 2014 include $135,557,000 and $57,796,000, respectively, of net gains on sale of real estate. Net income for the quarter ended September 30, 2015 also includes $2,313,000 of real estate impairment losses.  In addition, the quarters ended September 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 quarters ended September 30, 2015 and 2014 by $133,101,000, or $0.66 per diluted unit, and $54,699,000, or $0.27 per diluted unit, respectively.

(Amounts in thousands)			For the Three Months Ended September 30,
			2015		2014
Items that affect comparability income (expense):
	Income from discontinued operations and sold properties (including UE spin-off related
		costs of $5,828 in 2014)	$	2,517	$	24,520
	Acquisition and transaction related costs			(1,518)		(1,277)
	Impairment loss and loan loss reserve on investment in Suffolk Downs			(595)		(10,263)
	Toys net income (loss)			46		(18,418)
	Other, net			(593)		2,341
Items that affect comparability			$	(143)	$	(3,097)

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 September 30, 2015 over the quarter ended September 30, 2014 and the trailing quarter ended June 30, 2015 are summarized below.

			New York			Washington, DC
Same Store EBITDA:
	September 30, 2015 vs. September 30, 2014
		Same store EBITDA	1.4	%	(1)	(4.5	%)
		Cash basis same store EBITDA	(0.3	%)	(1)	(9.4	%)
	September 30, 2015 vs. June 30, 2015
		Same store EBITDA	(0.9	%)	(2)	(5.4	%)
		Cash basis same store EBITDA	(3.5	%)	(2)	(7.2	%)
(1)	Excluding Hotel Pennsylvania, same store EBITDA increased by 2.2% and by 0.5% on a cash basis.
(2)	Excluding Hotel Pennsylvania, same store EBITDA decreased by 0.4% and by 3.0% on a cash basis.

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Overview – continued

Nine Months Ended September 30, 2015 Financial Results Summary

Net income attributable to Class A unitholders for the nine months ended September 30, 2015 was $477,194,000, or $2.36 per diluted unit, compared to $286,664,000, or $1.42 per diluted unit, for the nine months ended September 30, 2014.  Net income for the nine months ended September 30, 2015 and 2014 include $150,937,000 and $57,796,000, respectively, of net gains on sale of real estate, and $17,375,000 and $20,842,000, respectively, of real estate impairment losses.  In addition, the nine months ended September 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 nine months ended September 30, 2015 and 2014 by $232,505,000, or $1.15 per diluted unit, and $38,324,000, or $0.19 per diluted unit, respectively.

(Amounts in thousands)			For the Nine Months Ended September 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	$	-
	Income from discontinued operations and sold properties (including UE spin-off related
		costs of $22,972 and $9,343, respectively)		10,647		82,132
	Acquisition and transaction related costs			(7,560)		(3,629)
	Net gain on sale of residential condominiums and a land parcel in 2014			2,493		13,205
	Toys net income (loss) (including impairment losses of $75,196 in 2014)			2,000		(74,162)
	Impairment loss and loan loss reserve on investment in Suffolk Downs			(595)		(10,263)
	Other, net			1,928		(5,913)
Items that affect comparability			$	98,943	$	1,370

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

			New York			Washington, DC
Same Store EBITDA:
	September 30, 2015 vs. September 30, 2014
		Same store EBITDA	2.0	%	(1)	(1.4	%)
		Cash basis same store EBITDA	2.4	%	(1)	(6.8	%)
(1)	Excluding Hotel Pennsylvania, same store EBITDA increased by 2.7% and by 3.1% 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.

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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 512 West 22nd Street.  The development cost of this project is approximately $235,000,000.  The development is expected to commence during the fourth 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 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.

On September 25, 2015, we acquired 265 West 34th Street, a 1,700 square foot retail property and 15,200 square feet of additional zoning air rights, for approximately $28,500,000.        

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) certain small retail properties that we plan to sell, and (ii) 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 $23,768,000 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 “income from discontinued operations” on our consolidated statements of income.

On August 6, 2015, we sold our 50% interest in the Monmouth Mall in Eatontown, NJ to our joint venture partner for $38,000,000, valuing the property at approximately $229,000,000, which resulted in a net gain of $33,153,000.

On September 9, 2015, we completed the sale of 1750 Pennsylvania Avenue, NW, a 278,000 square foot office building in Washington, DC for $182,000,000, resulting in a net gain of approximately $102,000,000 which is included in “net gain on disposition of wholly owned and partially owned assets” on our consolidated statement of income.  The tax gain of approximately $137,000,000 was deferred as part of a like-kind exchange.  We are managing the property on behalf of the new owner.

40

Overview – continued

2015 Dispositions – continued

On October 19, 2015, we entered into an agreement to sell our leasehold interest in 20 Broad Street, a 473,000 square foot office building in Manhattan.  We ground lease this property, which is contiguous to the New York Stock Exchange (“NYSE”), from the NYSE, who is also the major tenant in the building.  By agreement, we early terminated the NYSE space lease which was scheduled to expire in June 2016.  The aggregate consideration for the sale of the leasehold and the early termination of the NYSE lease is $200,000,000 or $423 per square foot.  The total income from this transaction is approximately $156,000,000 comprised of $141,000,000 from the gain on sale and $15,000,000 of lease termination income.  The sale, which is subject to customary closing conditions, is expected to be completed in the fourth quarter of 2015.

We also sold five residual retail properties, in separate transactions, for an aggregate of $10,731,000, which resulted in net gains of $3,675,000.           

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.

On September 22, 2015, we upsized the loan on our 220 Central Park South development by $350,000,000 to $950,000,000.  The interest rate on the loan is LIBOR plus 2.00% and the final maturity date is 2020.  In connection with the upsizing, the standby commitment for a $500,000,000 mezzanine loan for this development has been terminated by payment of a $15,000,000 contractual termination fee, which was capitalized as a component of “development costs and construction in progress” on our consolidated balance sheet as of September 30, 2015.

On October 30, 2015, we entered into an unsecured delayed-draw term loan facility in the maximum amount of $750,000,000.  The facility matures in October 2018 with two one-year extension options.  The interest rate is LIBOR plus 115 basis points with a fee of 20 basis points per annum on the unused portion. At closing, we drew $187,500,000. The facility provides that the maximum amount available is twice the amount outstanding on April 29, 2016, limited to $750,000,000, and all draws must be made by October 2017.

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.

41

Overview – continued

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.

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 development site. 

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 September 30, 2015 and December 31, 2014, our taxable REIT subsidiaries had deferred tax assets related to net operating loss carryforwards 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 these 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.  Based upon residential condominium unit sales, among other factors, we have concluded that it is more-likely-than-not that we will generate sufficient taxable income to realize these 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.

42

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 September 30, 2015
	Total square feet leased					509		45		414
	Our share of square feet leased:					371		45		405
		Initial rent (1)			$	79.80	$	707.96	$	45.46
		Weighted average lease term (years)				5.7		15.2		5.9
		Second generation relet space:
			Square feet			334		44		331
			Cash basis:
				Initial rent (1)	$	78.61	$	722.36	$	46.32
				Prior escalated rent	$	63.04	$	321.63	$	48.57
				Percentage increase (decrease)		24.7%		124.6%		(4.6%)
			GAAP basis:
				Straight-line rent (2)	$	77.76	$	783.69	$	43.03
				Prior straight-line rent	$	62.00	$	274.10	$	46.56
				Percentage increase (decrease)		25.4%		185.9%		(7.6%)
		Tenant improvements and leasing commissions:
				Per square foot	$	42.07	$	777.37	$	36.10
				Per square foot per annum	$	7.38	$	51.14	$	6.12
				Percentage of initial rent		9.2%		7.2%		13.5%

Nine Months Ended September 30, 2015
	Total square feet leased					1,666		88		1,579
	Our share of square feet leased:					1,282		79		1,492
		Initial rent (1)			$	80.09	$	907.45	$	39.31
		Weighted average lease term (years)				8.7		14.1		9.0
		Second generation relet space:
			Square feet			854		71		1,038
			Cash basis:
				Initial rent (1)	$	80.64	$	895.79	$	38.91	(3)
				Prior escalated rent	$	68.56	$	336.95	$	43.63	(3)
				Percentage increase (decrease)		17.6%		165.9%		(10.8%)	(3)
			GAAP basis:
				Straight-line rent (2)	$	78.58	$	1,051.09	$	36.45	(3)
				Prior straight-line rent	$	64.70	$	514.67	$	41.02	(3)
				Percentage increase (decrease)		21.5%		104.2%		(11.1%)	(3)
		Tenant improvements and leasing commissions:
				Per square foot	$	69.06	$	712.66	$	60.08
				Per square foot per annum	$	7.94	$	50.54	$	6.68
				Percentage of initial rent		9.9%		5.6%		17.0%
(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 $41.63 and $43.45 per square foot, respectively (4.2% decrease), and the initial rent and prior escalated rent on a GAAP basis was $39.00 and $41.34 per square foot, respectively (5.7% decrease).

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Overview - continued
Square footage (in service) and Occupancy as of September 30, 2015:
(Square feet in thousands)			Square Feet (in service)
		Number of	Total	Our
		Properties	Portfolio	Share	Occupancy %
New York:
	Office	36	21,724	18,051	96.2%
	Retail	62	2,550	2,370	96.3%
	Alexander's	7	2,178	706	99.7%
	Hotel Pennsylvania	1	1,400	1,400
	Residential - 1,653 units	2	1,521	761	94.7%
			29,373	23,288	96.2%
Washington, DC:
	Office, excluding the Skyline properties	49	13,148	10,782	89.8%
	Skyline properties	8	2,648	2,648	51.0%
	Total Office	57	15,796	13,430	82.2%
	Residential - 2,414 units	7	2,597	2,455	95.3%
	Other	7	555	555	100.0%
			18,948	16,440	84.7%
Other:
	The Mart	1	3,637	3,628	98.4%
	555 California Street	3	1,800	1,260	93.6%
	Other	2	751	751	100.0%
			6,188	5,639
Total square feet at September 30, 2015			54,509	45,367

44

 

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	32	20,625	17,094	97.0%
	Retail	58	2,736	2,278	96.5%
	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%
			28,463	22,241	96.9%
Washington, DC:
	Office, excluding the Skyline properties	50	13,184	10,806	87.4%
	Skyline properties	8	2,648	2,648	53.5%
	Total Office	58	15,832	13,454	80.7%
	Residential - 2,414 units	7	2,597	2,455	97.4%
	Other	6	384	384	100.0%
			18,813	16,293	83.6%
Other:
	The Mart	1	3,587	3,578	94.7%
	555 California Street	3	1,801	1,261	97.6%
	Other	2	672	672	100.0%
			6,060	5,511
Total square feet at December 31, 2014			53,336	44,045

45

Overview - continued

Washington, DC Segment

EBITDA before gains on sale of real estate and discontinued operations for the nine months ended September 30, 2015, was $3,438,000 behind last year's nine months.  We expect EBITDA for the fourth quarter to be flat to the fourth quarter of last year.  Accordingly, we expect 2015 EBITDA before gains on sale of real estate and discontinued operations will be approximately $3,500,000 less than 2014.  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 1,298,000 square feet has been leased or is pending.  The table below summarizes the status of the BRAC space as of September 30, 2015.

		Rent Per		Square Feet
		Square Foot		Total	Crystal City	Skyline	Rosslyn
Resolved:
	Relet as of September 30, 2015	$	37.62	1,293,000	825,000	384,000	84,000
	Leases pending		39.63	5,000	-	5,000	-
	Taken out of service for redevelopment			393,000	393,000	-	-
				1,691,000	1,218,000	389,000	84,000
To Be Resolved:
	Vacated as of September 30, 2015		35.43	684,000	198,000	422,000	64,000
	Expiring in 2015		41.87	20,000	20,000	-	-
				704,000	218,000	422,000	64,000
Total square feet subject to BRAC				2,395,000	1,436,000	811,000	148,000

46

 

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

(Amounts in thousands)		For the Three Months Ended September 30, 2015
			Total		New York			Washington, DC			Other
Total revenues			$	627,596	$	429,433		$	132,704		$	65,459
Total expenses				436,156		263,805			102,114			70,237
Operating income (loss)				191,440		165,628			30,590			(4,778)
(Loss) income from partially owned entities				(325)		4,010			(1,909)			(2,426)
Income from real estate fund investments				1,665		-			-			1,665
Interest and other investment income, net				3,160		1,888			34			1,238
Interest and debt expense				(95,344)		(50,480)			(16,580)			(28,284)
Net gain on disposition of wholly owned and partially
	owned assets			103,037		-			102,404			633
Income (loss) before income taxes				203,633		121,046			114,539			(31,952)
Income tax expense				(2,856)		(1,147)			(287)			(1,422)
Income (loss) from continuing operations				200,777		119,899			114,252			(33,374)
Income from discontinued operations				34,463		-			-			34,463
Net income				235,240		119,899			114,252			1,089
Less net income attributable to noncontrolling interests in				-
	consolidated subsidiaries			(3,302)		(2,582)			-			(720)
Net income attributable to Vornado Realty L.P.				231,938		117,317			114,252			369
Interest and debt expense(2)				118,977		64,653			20,010			34,314
Depreciation and amortization(2)				174,209		99,206			48,132			26,871
Income tax expense(2)				3,043		1,214			294			1,535
EBITDA(1)			$	528,167	$	282,390	(3)	$	182,688	(4)	$	63,089	(5)

(Amounts in thousands)		For the Three Months Ended September 30, 2014
			Total		New York			Washington, DC			Other
Total revenues			$	578,710	$	383,828		$	133,541		$	61,341
Total expenses				396,571		238,153			88,375			70,043
Operating income (loss)				182,139		145,675			45,166			(8,702)
(Loss) income from partially owned entities				(26,034)		5,810			(1,411)			(30,433)
Income from real estate fund investments				24,160		-			-			24,160
Interest and other investment income, net				7,568		1,834			15			5,719
Interest and debt expense				(100,817)		(43,061)			(18,685)			(39,071)
Net gain on disposition of wholly owned and partially
	owned assets			2,665		-			-			2,665
Income (loss) before income taxes				89,681		110,258			25,085			(45,662)
Income tax expense				(2,652)		(802)			(130)			(1,720)
Income (loss) from continuing operations				87,029		109,456			24,955			(47,382)
Income from discontinued operations				82,168		5,615			-			76,553
Net income				169,197		115,071			24,955			29,171
Less net income attributable to noncontrolling interests in
	consolidated subsidiaries			(9,685)		(2,690)			-			(6,995)
Net income attributable to Vornado Realty L.P.				159,512		112,381			24,955			22,176
Interest and debt expense(2)				160,252		58,010			22,208			80,034
Depreciation and amortization(2)				160,270		79,446			36,411			44,413
Income tax expense (2)				2,232		746			145			1,341
EBITDA(1)			$	482,266	$	250,583	(3)	$	83,719	(4)	$	147,964	(5)

_____________________________

See notes on the following page.

47

Net Income and EBITDA by Segment for the Three Months Ended  September 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 in the reconciliation of net income 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 September 30,
			2015		2014
	Office		$	166,663	$	159,568
	Retail			97,604		71,327
	Alexander's			10,502		10,387
	Hotel Pennsylvania			7,621		9,301
		Total New York	$	282,390	$	250,583
(4)	The elements of "Washington, DC" EBITDA are summarized below.
	(Amounts in thousands)		For the Three Months Ended September 30,
			2015		2014
	Office, excluding the Skyline properties		$	64,733	$	65,904
	Gain on sale of 1750 Pennsylvania Avenue			102,404		-
	Skyline properties			5,998		7,698
		Total Office		173,135		73,602
	Residential			9,553		10,117
		Total Washington, DC	$	182,688	$	83,719

48

Net Income and EBITDA by Segment for the Three Months Ended  September 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 September 30,
			2015		2014
	Our share of real estate fund investments:
		Income before net realized/unrealized (losses) gains	$	2,594	$	2,051
		Net realized/unrealized (losses) gains on investments		(922)		5,083
		Carried interest		(49)		8,438
	Total			1,623		15,572
	The Mart and trade shows			19,044		19,497
	555 California Street			13,005		11,994
	Our share of Toys			46		12,440
	India real estate ventures			13		2,651
	Other investments			11,558		4,372
				45,289		66,526
	Corporate general and administrative expenses(a)			(22,341)		(22,948)
	Investment income and other, net(a)			5,952		6,659
	Gains on sale of partially owned entities			33,153		-
	UE and residual retail properties discontinued operations(b)			2,516		106,602
	Acquisition and transaction related costs			(1,518)		(1,277)
	Net gain on sale of residential condominiums			633		2,665
	Impairment loss and loan loss reserve on investment in Suffolk Downs			(595)		(10,263)
			$	63,089	$	147,964
	(a)	The amounts in these captions (for this table only) exclude income/expense from the mark-to-market of our deferred compensation plan of $2,577 and $1,352 for the three months ended September 30, 2015 and 2014, respectively.
	(b)	The three months ended September 30, 2014, includes $5,828 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 September 30,
		2015	2014
Region:
	New York City metropolitan area	72%	68%
	Washington, DC / Northern Virginia area	20%	23%
	Chicago, IL	5%	6%
	San Francisco, CA	3%	3%
		100%	100%

49

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

Revenues

Our revenues, which consist primarily of property rentals, tenant expense reimbursements, and fee and other income, were $627,596,000 for the three months ended September 30, 2015, compared to $578,710,000 for the prior year’s quarter, an increase of $48,886,000.  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	$	19,320	$	19,775	$	(455)	$	-
	Development and redevelopment		16,192		15,289		62		841
	Hotel Pennsylvania		(1,319)		(1,319)		-		-
	Trade shows		458		-		-		458
	Same store operations		16,708		15,455		(411)		1,664
			51,359		49,200		(804)		2,963
Tenant expense reimbursements:
	Acquisitions and other		1,549		1,718		(169)		-
	Development and redevelopment		758		788		(30)		-
	Same store operations		(1,162)		(937)		(5)		(220)
			1,145		1,569		(204)		(220)
Fee and other income:
	BMS cleaning fees		(3,904)		(4,000)		-		96
	Management and leasing fees		(221)		232		(508)		55
	Lease termination fees		(1,782)		(3,021)		1,208		31
	Other income (loss)		2,289		1,625		(529)		1,193
			(3,618)		(5,164)		171		1,375
Total increase (decrease) in revenues		$	48,886	$	45,605	$	(837)	$	4,118

50

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

Expenses

Our expenses, which consist primarily of operating, depreciation and amortization and general and administrative expenses, were $436,156,000 for the three months ended September 30, 2015, compared to $396,571,000 for the prior year’s quarter, an increase of $39,585,000.  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		$	5,331	$	5,534	$	(203)	$	-
	Development and redevelopment			4,643		3,741		482		420
	Non-reimbursable expenses, including
		bad debt reserves		1,552		1,037		528		(13)
	Hotel Pennsylvania			(57)		(57)		-		-
	Trade shows			(212)		-		-		(212)
	BMS expenses			(2,966)		(3,300)		-		334
	Same store operations			8,182		5,093		1,751		1,338
				16,473		12,048		2,558		1,867
Depreciation and amortization:
	Acquisitions and other			10,527		10,652		(125)		-
	Development and redevelopment			13,083		1,513		10,697		873
	Same store operations			3,488		1,120		780		1,588
				27,098		13,285		11,352		2,461
General and administrative:
	Mark-to-market of deferred
		compensation plan liability (1)		(3,929)		-		-		(3,929)
	Same store operations			(298)		319		(171)		(446)
				(4,227)		319		(171)		(4,375)
Acquisition and transaction related costs				241		-		-		241
Total increase in expenses			$	39,585	$	25,652	$	13,739	$	194
(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.

51

 

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

 Loss from Partially Owned Entities

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

(Amounts in thousands)		Percentage
		Ownership at	For the Three Months Ended September 30,
		September 30, 2015	2015		2014
Our Share of  Net (Loss) Income:
Alexander's		32.4%	$	7,544	$	7,192
Partially owned office buildings (1)		Various		(2,039)		18
India real estate ventures		4.1%-36.5%		(1,704)		(262)
Toys (2)		32.5%		46		(18,418)
Other investments (3)		Various		(4,172)		(14,564)
			$	(325)	$	(26,034)
(1)	Includes interests in 280 Park Avenue, 650 Madison Avenue, One Park Avenue, 666 Fifth Avenue (Office), 330 Madison Avenue, 512 West 22nd Street and others.
(2)	For the three months ended September 30, 2015, we recognized net income of $46 from our investment in Toys, representing management fees earned and received, compared to a net loss of $18,418 for the three months ended September 30, 2014, comprised of $20,357 for our share of Toys' net loss, partially offset by $1,939 of management fees earned and received.
(3)	Includes interests in UE, PREIT Associates, Independence Plaza, 85 Tenth Avenue, Fashion Center Mall, 50-70 West 93rd Street and others.  In the third quarter of 2014, we recognized a $10,263 non-cash charge, comprised of a $5,959 impairment loss and a $4,304 loan loss reserve, on our equity and debt investments in Suffolk Downs.

Income from Real Estate Fund Investments

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

(Amounts in thousands)		For the Three Months Ended September 30,
		2015		2014
Net investment income		$	5,116	$	3,829
Net realized (losses) gains on exited investments			(907)		51,584
Previously recorded unrealized gains on exited investments			-		(49,586)
Net unrealized (losses) gains on held investments			(2,544)		18,333
Income from real estate fund investments			1,665		24,160
Less income attributable to noncontrolling interests			(42)		(8,588)
Income from real estate fund investments attributable to
	Vornado Realty L.P.(1)	$	1,623	$	15,572
(1)	Excludes property management, leasing and development fees of $678 and $669 for the three months ended September 30, 2015 and 2014, respectively, which are included as a component of "fee and other income" on our consolidated statements of income.

52

 

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

Interest and Other Investment Income, net

Interest and other investment income, net was $3,160,000 for the three months ended September 30, 2015, compared to $7,568,000 in the prior year’s quarter, a decrease of $4,408,000. This decrease resulted primarily from a decrease in the value of investments in our deferred compensation plan (offset by a corresponding decrease in the liability for plan assets in general and administrative expenses).

Interest and Debt Expense

Interest and debt expense was $95,344,000 for the three months ended September 30, 2015, compared to $100,817,000 in the prior year’s quarter, a decrease of $5,473,000.  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) $5,354,000 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 (iii) $5,330,000 of lower capitalized interest and (iv) $1,983,000 of higher interest expense from the current year’s financings of 150 West 34^th Street and the Center Building.

Net Gain on Disposition of Wholly Owned and Partially Owned Assets

For the three months ended September 30, 2015, we recognized a $103,037,000 net gain on disposition of wholly owned and partially owned assets, primarily from the sale of 1750 Pennsylvania Avenue, compared to $2,665,000 in the prior year’s quarter, primarily from the sale of  residential condominiums. 

Income Tax Expense

Income tax expense related to our taxable REIT subsidiaries was $2,856,000 for the three months ended September 30, 2015, compared to an expense of $2,652,000 in the prior year’s quarter.  The increase in expense of $204,000 was primarily attributable to higher income from our taxable REIT subsidiaries. 

Income from Discontinued Operations

We have reclassified the revenues and expenses of the UE portfolio and other retail properties that were sold or are currently held for sale to “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 September 30, 2015 and 2014.

(Amounts in thousands)	For the Three Months Ended September 30,
	2015		2014
Total revenues	$	2,589	$	93,440
Total expenses		1,279		62,715
		1,310		30,725
Net gain on sale of our interest in Monmouth Mall		33,153		-
Net gains on sale of real estate		-		57,796
Transaction related costs (primarily UE spin off)		-		(5,828)
Pretax income from discontinued operations		34,463		82,693
Income tax expense		-		(525)
Income from discontinued operations	$	34,463	$	82,168

53

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

Net Income Attributable to Noncontrolling Interests in Consolidated Subsidiaries

Net income attributable to noncontrolling interests in consolidated subsidiaries was $3,302,000 for the three months ended September 30, 2015, compared to $9,685,000 for the prior year’s quarter, a decrease of $6,383,000.  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 $20,412,000 for the three months ended September 30, 2015, compared to $20,378,000 for the prior year’s quarter, an increase of $34,000. 

54

Results of Operations – Three Months Ended September 30, 2015 Compared to September 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 September 30, 2015, compared to the three months ended September 30, 2014.

(Amounts in thousands)			New York			Washington, DC
EBITDA for the three months ended September 30, 2015			$	282,390		$	182,688
	Add-back:
		Non-property level overhead expenses included above		8,305			6,282
	Less EBITDA from:
		Acquisitions		(15,826)			-
		Dispositions, including net gains on sale		121			(104,006)
		Properties taken out-of-service for redevelopment		(19,588)			(20)
		Other non-operating income		(8,045)			(1,414)
Same store EBITDA for the three months ended September 30, 2015			$	247,357		$	83,530
EBITDA for the three months ended September 30, 2014			$	250,583		$	83,719
	Add-back:
		Non-property level overhead expenses included above		7,986			6,454
	Less EBITDA from:
		Acquisitions		50			-
		Dispositions, including net gains on sale		(5,800)			(1,926)
		Properties taken out-of-service for redevelopment		(5,944)			(401)
		Other non-operating income		(3,010)			(421)
Same store EBITDA for the three months ended September 30, 2014			$	243,865		$	87,425
Increase (decrease) in same store EBITDA -
	Three months ended September 30, 2015 vs. September 30, 2014		$	3,492	(1)	$	(3,895)	(2)
% increase (decrease) in same store EBITDA				1.4%			(4.5%)
See notes on following page

55

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

Notes to preceding tabular information:

(1)New York:

The $3,492,000 increase in New York same store EBITDA resulted primarily from increases in Office and Retail EBITDA of $3,287,000 and $1,799,000, respectively, partially offset by a decrease in Hotel Pennsylvania EBITDA of $1,681,000.  The Office and Retail EBITDA increases resulted primarily from higher rents, including signage, partially offset by lower BMS EBITDA and higher operating expenses, net of reimbursements.

(2)Washington, DC:

The $3,895,000 decrease in Washington, DC same store EBITDA resulted primarily from higher net operating expenses of $2,284,000, lower fee and other income of $530,000, and lower management and leasing fees of $508,000.

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 September 30, 2015		$	247,357	$	83,530
Less: Adjustments for straight line rents, amortization of acquired
	below-market leases, net, and other non-cash adjustments		(36,095)		(6,913)
Cash basis same store EBITDA for the three months ended
	September 30, 2015	$	211,262	$	76,617
Same store EBITDA for the three months ended September 30, 2014		$	243,865	$	87,425
Less: Adjustments for straight line rents, amortization of acquired
	below-market leases, net, and other non-cash adjustments		(31,993)		(2,840)
Cash basis same store EBITDA for the three months ended
	September 30, 2014	$	211,872	$	84,585
Decrease in Cash basis same store EBITDA -
	Three months ended September 30, 2015 vs. September 30, 2014	$	(610)	$	(7,968)
% decrease in Cash basis same store EBITDA			(0.3%)		(9.4%)

56

Net Income and EBITDA by Segment for the Nine Months Ended September 30, 2015 and 2014

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

(Amounts in thousands)		For the Nine Months Ended September 30, 2015
			Total		New York			Washington, DC			Other
Total revenues			$	1,850,686	$	1,243,208		$	401,528		$	205,950
Total expenses				1,298,141		766,863			293,772			237,506
Operating income (loss)				552,545		476,345			107,756			(31,556)
(Loss) income from partially owned entities				(8,709)		1,523			(3,583)			(6,649)
Income from real estate fund investments				52,122		-			-			52,122
Interest and other investment income, net				19,618		5,642			60			13,916
Interest and debt expense				(279,110)		(143,004)			(52,223)			(83,883)
Net gain on disposition of wholly owned and partially
	owned assets			104,897		-			102,404			2,493
Income (loss) before income taxes				441,363		340,506			154,414			(53,557)
Income tax benefit (expense)				84,245		(3,185)			(79)			87,509
Income from continuing operations				525,608		337,321			154,335			33,952
Income from discontinued operations				50,278		-			-			50,278
Net income				575,886		337,321			154,335			84,230
Less net income attributable to noncontrolling interests in
	consolidated subsidiaries			(38,370)		(6,640)			-			(31,730)
Net income attributable to Vornado Realty L.P.				537,516		330,681			154,335			52,500
Interest and debt expense(2)				348,725		184,377			62,413			101,935
Depreciation and amortization(2)				493,904		288,897			136,687			68,320
Income tax (benefit) expense (2)				(85,349)		3,368			(1,856)			(86,861)
EBITDA(1)			$	1,294,796	$	807,323	(3)	$	351,579	(4)	$	135,894	(5)

(Amounts in thousands)		For the Nine Months Ended September 30, 2014
		Total		New York			Washington, DC			Other
Total revenues		$	1,715,502	$	1,120,686		$	403,645		$	191,171
Total expenses			1,198,854		702,727			265,299			230,828
Operating income (loss)			516,648		417,959			138,346			(39,657)
(Loss) income from partially owned entities			(78,676)		16,372			(4,925)			(90,123)
Income from real estate fund investments			142,418		-			-			142,418
Interest and other investment income, net			28,814		4,889			93			23,832
Interest and debt expense			(301,042)		(134,970)			(56,692)			(109,380)
Net gain on disposition of wholly owned and partially
	owned assets		13,205		-			-			13,205
Income (loss) before income taxes			321,367		304,250			76,822			(59,705)
Income tax expense			(6,783)		(2,997)			(46)			(3,740)
Income (loss) from continuing operations			314,584		301,253			76,776			(63,445)
Income from discontinued operations			118,456		17,401			-			101,055
Net income			433,040		318,654			76,776			37,610
Less net income attributable to noncontrolling interests in
	consolidated subsidiaries		(85,239)		(7,203)			-			(78,036)
Net income (loss) attributable to Vornado Realty L.P.			347,801		311,451			76,776			(40,426)
Interest and debt expense(2)			510,724		180,150			67,469			263,105
Depreciation and amortization(2)			530,052		241,040			108,367			180,645
Income tax expense(2)			21,489		3,069			88			18,332
EBITDA(1)		$	1,410,066	$	735,710	(3)	$	252,700	(4)	$	421,656	(5)

_____________________________

See notes on the following page.

57

Net Income and EBITDA by Segment for the Nine Months Ended September 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 (benefit) expense in the reconciliation of net income 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 Nine Months Ended September 30,
			2015		2014
	Office		$	496,762	$	480,280
	Retail			265,060		205,469
	Alexander's			31,150		31,088
	Hotel Pennsylvania			14,351		18,873
		Total New York	$	807,323	$	735,710
(4)	The elements of "Washington, DC" EBITDA are summarized below.
	(Amounts in thousands)		For the Nine Months Ended September 30,
			2015		2014
	Office, excluding the Skyline properties		$	200,631	$	200,218
	Gain on sale of 1750 Pennsylvania Avenue			102,404		-
	Skyline properties			19,037		21,270
		Total Office		322,072		221,488
	Residential			29,507		31,212
		Total Washington, DC	$	351,579	$	252,700

58

Net Income and EBITDA by Segment for the Nine Months Ended September 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 Nine Months Ended  September 30,
			2015		2014
	Our share of real estate fund investments:
		Income before net realized/unrealized gains	$	6,879	$	6,668
		Net realized/unrealized gains on investments		9,542		32,890
		Carried interest		6,248		21,643
	Total			22,669		61,201
	The Mart and trade shows			62,229		61,038
	555 California Street			38,237		35,566
	India real estate ventures			2,229		4,574
	Our share of Toys(a)			2,000		103,026
	Other investments			25,787		13,594
				153,151		278,999
	Corporate general and administrative expenses(b) (c)			(82,043)		(71,952)
	Investment income and other, net(b)			21,275		22,764
	Gains on sale of partially owned entities and other			37,666		-
	UE and residual retail properties discontinued operations(d)			26,313		192,532
	Our share of impairment loss on India real estate ventures			(14,806)		-
	Acquisition and transaction related costs			(7,560)		(3,629)
	Net gain on sale of residential condominiums and a land parcel			2,493		13,205
	Impairment loss and loan loss reserve on investment in Suffolk Downs			(595)		(10,263)
			$	135,894	$	421,656
	(a)	As a result of our investment being reduced to zero, we suspended equity method accounting in the third quarter of 2014.  The nine months ended September 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 $327 and $8,132 for the nine months ended September 30, 2015 and 2014, respectively.
	(c)	The nine months ended September 30, 2015 includes $7,084 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 $867 and $6,217 thereafter.
	(d)	The nine months ended September 30, 2015 and 2014, include $22,972 and $9,343, 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 Nine Months Ended September 30,
		2015	2014
Region:
	New York City metropolitan area	70%	68%
	Washington, DC / Northern Virginia area	21%	23%
	Chicago, IL	6%	6%
	San Francisco, CA	3%	3%
		100%	100%

59

Results of Operations – Nine Months Ended September 30, 2015 Compared to September 30, 2014

Revenues

Our revenues, which consist primarily of property rentals, tenant expense reimbursements, and fee and other income, were $1,850,686,000 for the nine months ended September 30, 2015, compared to $1,715,502,000 for the prior year’s nine months, an increase of $135,184,000.  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	$	38,683	$	38,269	$	414	$	-
	Development and redevelopment		41,826		39,519		57		2,250
	Hotel Pennsylvania		(3,931)		(3,931)		-		-
	Trade shows		2,060		-		-		2,060
	Same store operations		42,208		35,779		(283)		6,712
			120,846		109,636		188		11,022
Tenant expense reimbursements:
	Acquisitions and other		2,797		2,945		(148)		-
	Development and redevelopment		2,179		2,166		13		-
	Same store operations		10,894		7,537		459		2,898
			15,870		12,648		324		2,898
Fee and other income:
	BMS cleaning fees		(681)		(1,213)		-		532
	Management and leasing fees		(3,348)		(2,510)		(676)		(162)
	Lease termination fees		(3,265)		(641)		(2,284)		(340)
	Other income		5,762		4,602		331		829
			(1,532)		238		(2,629)		859
Total increase (decrease) in revenues		$	135,184	$	122,522	$	(2,117)	$	14,779

60

Results of Operations – Nine Months Ended September 30, 2015 Compared to September 30, 2014 - continued

Expenses

Our expenses, which consist primarily of operating, depreciation and amortization and general and administrative expenses, were $1,298,141,000 for the nine months ended September 30, 2015, compared to $1,198,854,000 for the prior year’s nine months, an increase of $99,287,000.  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		$	8,544		$	8,628	$	(84)	$	-
	Development and redevelopment			14,876			11,245		1,134		2,497
	Non-reimbursable expenses, including bad debt
		reserves		(1,749)			(1,715)		(316)		282
	Hotel Pennsylvania			165			165		-		-
	Trade shows			68			-		-		68
	BMS expenses			(425)			(1,307)		-		882
	Same store operations			25,218			19,194		1,747		4,277
				46,697			36,210		2,481		8,006
Depreciation and amortization:
	Acquisitions and other			23,110			23,094		16		-
	Development and redevelopment			9,560			(9,313)		24,855		(5,982)
	Same store operations			10,515			8,331		3,096		(912)
				43,185			22,112		27,967		(6,894)
General and administrative:
	Mark-to-market of deferred compensation plan
		liability (1)		(8,459)			-		-		(8,459)
	Same store operations			13,933	(2)		5,814		(1,975)		10,094
				5,474			5,814		(1,975)		1,635
Acquisition and transaction related costs				3,931			-		-		3,931
Total increase in expenses			$	99,287		$	64,136	$	28,473	$	6,678
(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 $8,911 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 $1,077 and $7,834 thereafter.

61

 

Results of Operations – Nine Months Ended September 30, 2015 Compared to September 30, 2014 - continued

Loss from Partially Owned Entities

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

(Amounts in thousands)		Percentage
		Ownership at	For the Nine Months Ended September 30,
		September 30, 2015	2015			2014
Our Share of Net (Loss) Income:
Alexander's		32.4%	$	22,558		$	20,471
India real estate ventures		4.1%-36.5%		(18,380)	(1)		(2,440)
Partially owned office buildings (2)		Various		(14,573)			(1,387)
Toys (3)		32.5%		2,000			(74,162)
Other investments (4)		Various		(314)			(21,158)
			$	(8,709)		$	(78,676)
(1)	Includes $14,806 for our share of non-cash impairment losses.
(2)	Includes interests in 280 Park Avenue, 650 Madison Avenue, One Park Avenue, 666 Fifth Avenue (Office), 330 Madison Avenue, 512 West 22nd Street and others.
(3)	For the nine months ended September 30, 2015, we recognized net income of $2,000 from our investment in Toys, representing management fees earned and received, compared to a net loss of $74,162 for the nine months ended September 30, 2014, comprised of (i) $4,691 for our share of Toys’ net loss, (ii) a $75,196 non-cash impairment loss, partially offset by (iii) $5,725 of management fees earned and received.
(4)	Includes interests in UE, PREIT Associates, Independence Plaza, 85 Tenth Avenue, Fashion Center Mall, 50-70 West 93rd Street and others.  In the third quarter of 2014, we recognized a $10,263 non-cash charge, comprised of a $5,959 impairment loss and a $4,304 loan loss reserve, on our equity and debt investments in Suffolk Downs.

Income from Real Estate Fund Investments

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

(Amounts in thousands)		For the Nine Months Ended September 30,
		2015		2014
Net investment income		$	13,716	$	10,860
Net realized gains on exited investments			24,684		126,653
Previously recorded unrealized gains on exited investments			(23,279)		(50,316)
Net unrealized gains on held investments			37,001		55,221
Income from real estate fund investments			52,122		142,418
Less income attributable to noncontrolling interests			(29,453)		(81,217)
Income from real estate fund investments attributable to
	Vornado Realty L.P.(1)	$	22,669	$	61,201
(1)	Excludes property management, leasing and development fees of $2,015 and $1,925 for the nine months ended September 30, 2015 and 2014, respectively, which are included as a component of "fee and other income" on our consolidated statements of income.

62

Results of Operations – Nine Months Ended September 30, 2015 Compared to September 30, 2014 - continued

Interest and Other Investment Income, net

Interest and other investment income, net was $19,618,000 for the nine months ended September 30, 2015, compared to $28,814,000 for the prior year’s nine months, a decrease of $9,196,000. This decrease resulted primarily from a decrease in the value of investments in our deferred compensation plan (offset by a corresponding decrease in the liability for plan assets in general and administrative expenses). 

Interest and Debt Expense

Interest and debt expense was $279,110,000 for the nine months ended September 30, 2015, compared to $301,042,000 for the prior year’s nine months, a decrease of $21,932,000.  This decrease was primarily due to (i) $26,652,000 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) $16,021,000 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 (iii) $12,700,000 of lower capitalized interest, (iv) $5,297,000 of interest expense from the issuance of $450,000,000 of senior unsecured notes in June 2014 and (v) $3,188,000 of higher interest expense from the current year’s financings of 150 West 34^th Street and the Center Building.

Net Gain on Disposition of Wholly Owned and Partially Owned Assets

For the nine months ended September 30, 2015, we recognized a $104,897,000 net gain on disposition of wholly owned and partially owned assets, primarily from the sale of 1750 Pennsylvania Avenue, compared to $13,205,000 for the prior year’s nine 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 $84,245,000 for the nine months ended September 30, 2015, compared to an expense of $6,783,000 for the prior year’s nine months.  The decrease in expense of $91,028,000 was primarily attributable to the reversal of the valuation allowances against certain of 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. 

63

Results of Operations – Nine Months Ended September 30, 2015 Compared to September 30, 2014 - continued

Income from Discontinued Operations

We have reclassified the revenues and expenses of the UE portfolio and other retail properties that were sold or are currently held for sale to “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 nine months ended September 30, 2015 and 2014.

(Amounts in thousands)	For the Nine Months Ended September 30,
	2015		2014
Total revenues	$	24,868	$	297,039
Total expenses		16,672		204,619
		8,196		92,420
Net gain on sale of our interest in Monmouth Mall		33,153		-
Transaction related costs (primarily UE spin off)		(22,972)		(9,343)
Net gain on sale of lease position in Geary Street, CA		21,376		-
Net gains on sale of real estate		10,867		57,796
Impairment losses		(256)		(20,842)
Pretax income from discontinued operations		50,364		120,031
Income tax expense		(86)		(1,575)
Income from discontinued operations	$	50,278	$	118,456

Net Income Attributable to Noncontrolling Interests in Consolidated Subsidiaries

Net income attributable to noncontrolling interests in consolidated subsidiaries was $38,370,000 for the nine months ended September 30, 2015, compared to $85,239,000 for the prior year’s nine months, a decrease of $46,869,000.  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 $60,322,000 for the nine months ended September 30, 2015, compared to $61,137,000 for the prior year’s nine months, a decrease of $815,000. 

64

Results of Operations – Nine Months Ended September 30, 2015 Compared to September 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 nine months ended September 30, 2015, compared to nine months ended September 30, 2014.

(Amounts in thousands)			New York			Washington, DC
EBITDA for the nine months ended September 30, 2015			$	807,323		$	351,579
	Add-back:
		Non-property level overhead expenses included above		28,238			18,498
	Less EBITDA from:
		Acquisitions		(34,824)			-
		Dispositions, including net gains on sale		316			(108,055)
		Properties taken out-of-service for redevelopment		(50,303)			(144)
		Other non-operating income		(20,381)			(3,296)
Same store EBITDA for the nine months ended September 30, 2015			$	730,369		$	258,582
EBITDA for the nine months ended September 30, 2014			$	735,710		$	252,700
	Add-back:
		Non-property level overhead expenses included above		22,424			20,473
	Less EBITDA from:
		Acquisitions		50			-
		Dispositions, including net gains on sale		(18,187)			(5,751)
		Properties taken out-of-service for redevelopment		(17,795)			(981)
		Other non-operating income		(6,347)			(4,109)
Same store EBITDA for the nine months ended September 30, 2014			$	715,855		$	262,332
Increase (decrease) in same store EBITDA -
	Nine months ended September 30, 2015 vs. September 30, 2014		$	14,514	(1)	$	(3,750)	(2)
% increase (decrease) in same store EBITDA				2.0%			(1.4%)
See notes on following page.

65

Results of Operations – Nine Months Ended September 30, 2015 Compared to September 30, 2014 - continued

Notes to preceding tabular information:

(1)New York:

The $14,514,000 increase in New York same store EBITDA resulted primarily from increases in Office and Retail EBITDA of $8,496,000 and $10,369,000, respectively, partially offset by a decrease in Hotel Pennsylvania EBITDA of $4,523,000.  The Office and Retail EBITDA increases resulted primarily from higher rents, including signage, partially offset by higher operating expenses, net of reimbursements.

(2)Washington, DC:

The $3,750,000 decrease in Washington, DC same store EBITDA resulted primarily from higher net operating expenses of $972,000, lower fee and other income of $1,311,000, lower management and leasing fees of $677,000, and lower income from partially owned entities.

Reconciliation of Same Store EBITDA to Cash Basis Same Store EBITDA

(Amounts in thousands)		New York		Washington, DC
Same store EBITDA for the nine months ended September 30, 2015		$	730,369	$	258,582
Less: Adjustments for straight line rents, amortization of acquired
	below-market leases, net, and other non-cash adjustments		(91,370)		(18,203)
Cash basis same store EBITDA for the nine months ended
	September 30, 2015	$	638,999	$	240,379
Same store EBITDA for the nine months ended September 30, 2014		$	715,855	$	262,332
Less: Adjustments for straight line rents, amortization of acquired
	below-market leases, net, and other non-cash adjustments		(91,576)		(4,383)
Cash basis same store EBITDA for the nine months ended
	September 30, 2014	$	624,279	$	257,949
Increase (decrease) in cash basis same store EBITDA -
	Nine months ended September 30, 2015 vs. September 30, 2014	$	14,720	$	(17,570)
% increase (decrease) in cash basis same store EBITDA			2.4%		(6.8%)

66

SUPPLEMENTAL INFORMATION

Reconciliation of Net Income to EBITDA for the Three Months Ended June 30, 2015

(Amounts in thousands)	New York		Washington, DC
Net income attributable to Vornado Realty L.P. for the three months ended June 30, 2015	$	118,212	$	16,454
Interest and debt expense		61,057		20,891
Depreciation and amortization		95,567		47,803
Income tax expense		1,152		486
EBITDA for the three months ended June 30, 2015	$	275,988	$	85,634

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

(Amounts in thousands)			New York		Washington, DC
EBITDA for the three months ended September 30, 2015			$	282,390	$	182,688
	Add-back:
		Non-property level overhead expenses included above		8,305		6,282
	Less EBITDA from:
		Acquisitions		(7,379)		-
		Dispositions, including net gains on sale		121		(104,006)
		Properties taken out-of-service for redevelopment		(19,588)		(20)
		Other non-operating income		(11,145)		(1,414)
Same store EBITDA for the three months ended September 30, 2015			$	252,704	$	83,530
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		(3,534)		-
		Dispositions, including net gains on sale		161		(2,067)
		Properties taken out-of-service for redevelopment		(17,162)		(47)
		Other non-operating income		(8,329)		(1,753)
Same store EBITDA for the three months ended June 30, 2015			$	255,013	$	88,279
Decrease in same store EBITDA -
	Three months ended September 30, 2015 vs. June 30, 2015		$	(2,309)	$	(4,749)
% decrease in same store EBITDA				(0.9%)		(5.4%)

67

SUPPLEMENTAL INFORMATION – CONTINUED

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

(Amounts in thousands)		New York		Washington, DC
Same store EBITDA for the three months ended September 30, 2015		$	252,704	$	83,530
Less: Adjustments for straight line rents, amortization of acquired
	below-market leases, net, and other non-cash adjustments		(38,937)		(6,913)
Cash basis same store EBITDA for the three months ended
	September 30, 2015	$	213,767	$	76,617
Same store EBITDA for the three months ended June 30, 2015		$	255,013	$	88,279
Less: Adjustments for straight line rents, amortization of acquired
	below-market leases, net, and other non-cash adjustments		(33,593)		(5,707)
Cash basis same store EBITDA for the three months ended
	June 30, 2015	$	221,420	$	82,572
Decrease in cash basis same store EBITDA -
	Three months ended September 30, 2015 vs. June 30, 2015	$	(7,653)	$	(5,955)
% decrease in cash basis same store EBITDA			(3.5%)		(7.2%)

68

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 Nine Months Ended September 30, 2015

Our cash and cash equivalents were $788,137,000 at September 30, 2015, a $410,340,000 decrease over the balance at December 31, 2014.  Our consolidated outstanding debt was $10,007,007,000 at September 30, 2015, a $396,683,000 increase over the balance at December 31, 2014.  As of September 30, 2015 and December 31, 2014, $0 and $0, respectively, was outstanding under our revolving credit facilities.  During the remainder of 2015 and 2016, $0 and $1,409,929,000, 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 $443,525,000 was comprised of (i) net income of $575,886,000, (ii) return of capital from real estate fund investments of $91,036,000, (iii) distributions of income from partially owned entities of $51,650,000, and (iv) $10,350,000 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, partially offset by (v) the net change in operating assets and liabilities of $285,397,000 (including the acquisition of real estate fund investments of $95,010,000).

Net cash used in investing activities of $480,383,000 was comprised of (i) $388,565,000 of acquisitions of real estate and other, (ii) $339,586,000 of development costs and construction in progress, (iii) $207,845,000 of additions to real estate, (iv) $144,890,000 of investments in partially owned entities, and (v) $25,845,000 of investments in loans receivable, partially offset by (vi) $375,850,000 of proceeds from sales of real estate and related investments, (vii) $201,895,000 of changes in restricted cash, (viii) $31,822,000 of capital distributions from partially owned entities, and (ix) $16,781,000 of proceeds from repayments of mortgage and mezzanine loans receivable and other.

Net cash used in financing activities of $373,482,000 was comprised of (i) $2,539,677,000 for the repayments of borrowings, (ii) $355,945,000 of distributions to Vornado, (iii) $225,000,000 of distributions in connection with the spin-off of UE, (iv) $93,738,000 of distributions to redeemable security holders and noncontrolling interests, (v) $60,213,000 of distributions to preferred unitholders, (vi) $37,467,000 of debt issuance costs, and (vii) $4,900,000 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 and other, partially offset by (viii) $2,876,460,000 of proceeds from borrowings, (ix) $51,725,000 of contributions from noncontrolling interests in consolidated subsidiaries, and (x) $15,273,000 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.

69

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 nine months ended September 30, 2015.

(Amounts in thousands)			Total		New York		Washington, DC		Other
Expenditures to maintain assets			$	76,461	$	41,796	$	14,722	$	19,943
Tenant improvements				128,271		50,702		45,837		31,732
Leasing commissions				40,661		26,909		5,792		7,960
Non-recurring capital expenditures				101,517		67,623		32,762		1,132
Total capital expenditures and leasing commissions (accrual basis)				346,910		187,030		99,113		60,767
Adjustments to reconcile to cash basis:
		Expenditures in the current year applicable to prior periods		100,704		50,013		27,029		23,662
		Expenditures to be made in future periods for the current period		(196,872)		(99,269)		(70,128)		(27,475)
Total capital expenditures and leasing commissions (cash basis)			$	250,742	$	137,774	$	56,014	$	56,954
Tenant improvements and leasing commissions:
	Per square foot per annum		$	9.13	$	11.81	$	6.68	$	n/a
	Percentage of initial rent			11.2%		9.2%		17.0%		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.  Our development project budgets below include initial leasing costs, which are reflected as non-recurring capital expenditures in the table above.  

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 $1.3 billion, of which $238,000,000 has been expended as of September 30, 2015.  On September 22, 2015, we upsized the loan on our 220 Central Park South development by $350,000,000 to $950,000,000.  In connection with the upsizing, the standby commitment for a $500,000,000 mezzanine loan for this development has been terminated.

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 $196,000,000 has been expended as of September 30, 2015.

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 $145,000,000 has been expended as of September 30, 2015.

We are redeveloping an existing 171,000 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, of which $19,000,000 has been expended as of September 30, 2015.  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 September 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.

70

 

Liquidity and Capital Resources – continued

Development and Redevelopment Expenditures - continued

Below is a summary of development and redevelopment expenditures incurred in the nine months ended September 30, 2015.  These expenditures include interest of $48,817,000, payroll of $3,557,000 and other soft costs (primarily architectural and engineering fees, permits, real estate taxes and professional fees) aggregating $68,003,000, 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	$	98,680	$	-	$	-	$	98,680
The Bartlett		72,309		-		72,309		-
330 West 34th Street		25,707		25,707		-		-
90 Park Avenue		20,430		20,430		-		-
Marriott Marquis Times Square - retail and signage		19,069		19,069		-		-
Wayne Towne Center		17,827		-		-		17,827
2221 South Clark Street (residential conversion)		14,478		-		14,478		-
640 Fifth Avenue		11,603		11,603		-		-
Penn Plaza		11,003		11,003		-		-
251 18th Street		4,863		-		4,863		-
S. Clark Street/12th Street		3,120		-		3,120		-
608 Fifth Avenue		2,527		2,527		-		-
Other		37,970		4,932		17,969		15,069
	$	339,586	$	95,271	$	112,739	$	131,576

Cash Flows for the Nine Months Ended September 30, 2014

Our cash and cash equivalents were $1,683,142,000 at September 30, 2014, a $1,099,852,000 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 $828,569,000 was comprised of (i) net income of $433,040,000, (ii) $264,302,000 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 investments of $215,676,000 and (iv) distributions of income from partially owned entities of $42,164,000, partially offset by (v) the net change in operating assets and liabilities of $126,613,000, including $3,392,000 related to Real Estate Fund investments.

Net cash used in investing activities of $197,139,000 was comprised of (i) $368,571,000 of development costs and construction in progress, (ii) $171,660,000 of additions to real estate, (iii) $95,546,000 of acquisitions of real estate and other, (iv) $91,697,000 of investments in partially owned entities, and (v) $11,380,000 of investment in loans receivable, partially offset by (vi) $335,489,000 of proceeds from sales of real estate and related investments, (vii) $101,592,000 of changes in restricted cash, (viii) $96,504,000 of proceeds from repayments of mortgage and mezzanine loans receivable and other and (ix) $8,130,000 of distributions of capital from partially owned entities.   

Net cash provided by financing activities of $468,422,000 was comprised of (i) $1,713,285,000 of proceeds from borrowings, (ii) $13,738,000 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) $410,724,000 of distributions to Vornado, (v) $343,354,000 for the repayments of borrowings, (vi) $208,773,000 of distributions to redeemable security holders and noncontrolling interests, (vii) purchase of marketable securities in connection with the defeasance of mortgage notes payable of $198,884,000, (viii) $61,102,000 of distributions to preferred unitholders, (ix) $40,424,000 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.

71

Liquidity and Capital Resources – continued

Capital Expenditures in the nine months ended September 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 nine months ended September 30, 2014.

(Amounts in thousands)			Total		New York		Washington, DC		Other
Expenditures to maintain assets			$	61,235	$	33,464	$	9,815	$	17,956
Tenant improvements				135,999		102,411		16,280		17,308
Leasing commissions				59,322		50,173		3,555		5,594
Non-recurring capital expenditures				67,016		25,038		23,428		18,550
Total capital expenditures and leasing commissions (accrual basis)				323,572		211,086		53,078		59,408
Adjustments to reconcile to cash basis:
		Expenditures in the current year applicable to prior periods		110,934		40,117		48,294		22,523
		Expenditures to be made in future periods for the current period		(209,157)		(132,814)		(35,664)		(40,679)
Total capital expenditures and leasing commissions (cash basis)			$	225,349	$	118,389	$	65,708	$	41,252
Tenant improvements and leasing commissions:
	Per square foot per annum		$	6.40	$	6.80	$	5.09	$	n/a
	Percentage of initial rent			10.3%		9.5%		12.9%		n/a

Development and Redevelopment Expenditures in the nine months ended September 30, 2014

Below is a summary of development and redevelopment expenditures incurred in the nine months ended September 30, 2014.  These expenditures include interest of $46,517,000, payroll of $5,460,000 and other soft costs (primarily architectural and engineering fees, permits, real estate taxes and professional fees) aggregating $46,799,000, 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	$	92,696	$	-	$	-	$	92,696
Marriott Marquis Times Square - retail and signage		71,566		71,566		-		-
220 Central Park South		54,543		-		-		54,543
330 West 34th Street		32,014		32,014		-		-
The Bartlett		20,300		-		20,300		-
608 Fifth Avenue		18,127		18,127		-		-
Wayne Towne Center		16,109		-		-		16,109
7 West 34th Street		9,454		9,454		-		-
90 Park Avenue		6,293		6,293
Other		47,469		13,347		23,443		10,679
	$	368,571	$	150,801	$	43,743	$	174,027

72

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 September 30, 2015, the aggregate dollar amount of these guarantees and master leases is approximately $430,000,000.

At September 30, 2015, $40,647,000 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 September 30, 2015, we expect to fund additional capital to certain of our partially owned entities aggregating approximately $76,000,000.

73

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
			September 30,		Average	Change In		December 31,		Average
			Balance		Interest Rate	Base Rates		Balance		Interest Rate
Consolidated debt:
	Variable rate		$	2,818,142	2.01%	$	28,181	$	1,763,769	2.20%
	Fixed rate			7,188,865	4.34%		-		7,846,555	4.36%
			$	10,007,007	3.69%		28,181	$	9,610,324	3.97%
Pro rata share of debt of non-consolidated
	entities (non-recourse):
	Variable rate – excluding Toys		$	472,046	1.86%		4,720	$	319,387	1.72%
	Variable rate – Toys			1,046,123	7.05%		10,461		1,199,835	6.47%
	Fixed rate (including $662,214 and
		$674,443 of Toys debt in 2015 and 2014)		2,780,337	6.39%		-		2,754,410	6.45%
			$	4,298,506	6.05%		15,181	$	4,273,632	6.10%
Total change in annual net income						$	43,362
Per diluted unit						$	0.23

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 September 30, 2015, we have one interest rate swap on a $418,000,000 mortgage loan that swapped the rate from LIBOR plus 1.65% (1.85% at September 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 September 30, 2015, the estimated fair value of our consolidated debt was $10,156,000,000.

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 September 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.

74

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 September 30, 2015, we issued 4,000 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 $270,567 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.

75

 

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:  November 6, 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)

76

	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

77

EX-15

EXHIBIT 15.1

November 6, 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 September 30, 2015, and 2014, as indicated in our report dated November 6, 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 September 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.

November 6, 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.

November 6, 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 September 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.

November 6, 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 September 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.

November 6, 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)

9 Months Ended

Sep. 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 September 30, 2015
Balance as of June 30, 2015		$	50,613	$	87,442	$	(10,026)	$	(23,730)	$	(3,073)
	OCI before reclassifications		(7,020)		(7,064)		(114)		(290)		448
	Amounts reclassified from AOCI		-		-		-		-		-
Net current period OCI			(7,020)		(7,064)		(114)		(290)		448
Balance as of September 30, 2015		$	43,593	$	80,378	$	(10,140)	$	(24,020)	$	(2,625)
For the Three Months Ended September 30, 2014
Balance as of June 30, 2014		$	92,221	$	134,312	$	(5,624)	$	(30,817)	$	(5,650)
	OCI before reclassifications		(22,641)		(22,764)		(6,028)		4,781		1,370
	Amounts reclassified from AOCI		-		-		-		-		-
Net current period OCI			(22,641)		(22,764)		(6,028)		4,781		1,370
Balance as of September 30, 2014		$	69,580	$	111,548	$	(11,652)	$	(26,036)	$	(4,280)
For the Nine Months Ended September 30, 2015
Balance as of December 31, 2014		$	93,267	$	133,774	$	(8,992)	$	(25,803)	$	(5,712)
	OCI before reclassifications		(49,674)		(53,396)		(1,148)		1,783		3,087
	Amounts reclassified from AOCI		-		-		-		-		-
Net current period OCI			(49,674)		(53,396)		(1,148)		1,783		3,087
Balance as of September 30, 2015		$	43,593	$	80,378	$	(10,140)	$	(24,020)	$	(2,625)
For the Nine Months Ended September 30, 2014
Balance as of December 31, 2013		$	71,537	$	119,309	$	(11,501)	$	(31,882)	$	(4,389)
	OCI before reclassifications		(1,957)		(7,761)		(151)		5,846		109
	Amounts reclassified from AOCI		-		-		-		-		-
Net current period OCI			(1,957)		(7,761)		(151)		5,846		109
Balance as of September 30, 2014		$	69,580	$	111,548	$	(11,652)	$	(26,036)	$	(4,280)

XML

Investments in Partially Owned Entities (Alexander's Inc.) (Details) - Alexanders Inc [Member] - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 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)	$ 374.00		$ 374.00
Equity Method Investment Market Value	$ 618,621		$ 618,621
Excess of investee's fair value over carrying amount	487,226		487,226
Excess of investee's carrying amount over equity in net assets	40,527		40,527
Condensed Financial Information For Equity Method Investments [Abstract]
Assets	1,457,000		1,457,000		$ 1,423,000
Liabilities	1,112,000		1,112,000		1,075,000
Equity	345,000		345,000		$ 348,000
Total revenue	52,000	$ 50,000	155,000	$ 149,000
Net income (loss) income attributable to investee	$ 18,000	$ 18,000	$ 53,000	$ 50,000

XML

Basis of Presentation and Significant Accounting Policies (Details 1) - USD ($) $ in Thousands	3 Months Ended			9 Months Ended
	Sep. 30, 2015	Jun. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014	Dec. 31, 2014
Income Tax Expense Benefit Continuing Operations Income Tax Reconciliation [Line Items]
Deferred Tax Assets	$ 95,419			$ 95,419		$ 94,100
Proceeds from sale of real estate				10,731
Reversal of allowance for deferred tax assets		$ 90,030		90,030	$ 0
Income tax (expense) benefit	$ (2,856)		$ (2,652)	$ 84,245	$ (6,783)

XML

Fee and Other Income (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014
Fee And Other Income [Line Items]
BMS cleaning fees	$ 18,563	$ 22,467	$ 62,937	$ 63,618
Management and leasing fees	4,045	4,266	12,511	15,859
Lease termination fees	1,517	3,300	8,157	11,422
Other income	10,036	7,746	29,393	23,631
Fee and other income	34,161	37,779	112,998	114,530
Interstate Properties [Member]
Fee And Other Income [Line Items]
Management and leasing fees	$ 132	$ 132	$ 403	$ 397

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Investments in Partially Owned Entities (Urban Edge Properties and PREIT Associates L.P.) (Details) $ / shares in Units, ft² in Thousands			9 Months Ended
	Mar. 31, 2015 USD ($) ft² $ / shares shares	Jan. 15, 2015 shares	Sep. 30, 2015 USD ($) $ / shares
Schedule Of Equity Method Investments [Line Items]
Cash Proceeds from sale of real estate			$ 10,731,000
Pennsylavenia Real Estate Investment Trust [Member]
Schedule Of Equity Method Investments [Line Items]
Equity method ownership percentage	8.10%		8.10%
Closing share price (in dollars per share) | $ / shares			$ 19.83
Equity Method Investment fair Value			$ 123,938,000
Excess of investee's carrying amount over fair value			14,327,000
Excess of investee's carrying amount over equity in net assets			$ 65,681,000
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
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
Operating Partnership Unis Value Per Unit | $ / shares	$ 23.25
Payments for tenant improvements and allowances	$ 19,000,000
Urban Edge Properties [Member]
Schedule Of Equity Method Investments [Line Items]
Operating Partnership Units Received From Buyer | shares		5,717,184
Equity method ownership percentage		5.40%
Closing share price (in dollars per share) | $ / shares			$ 21.59
Equity Method Investment fair Value			$ 123,434,000
Excess of investee's fair value over carrying amount			$ 98,033,000
Urban Edge Properties [Member] | Maximum [Member]
Schedule Of Equity Method Investments [Line Items]
Duration Of Administrative Services		2 years

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Subsequent Events (Details 1) ft² in Thousands			3 Months Ended			9 Months Ended
	Oct. 30, 2015 USD ($) Extensions	Oct. 19, 2015 USD ($) ft² $ / ft²	Sep. 30, 2015 USD ($)	Mar. 31, 2015 USD ($)	Sep. 30, 2014 USD ($)	Sep. 30, 2015 USD ($)	Sep. 30, 2014 USD ($)	Dec. 31, 2014 USD ($)
Subsequent Events [Line Items]
Gain on sale of interest in leases			$ 0		$ 0	$ 21,376,000	$ 0
Real Estate Fund Nondepreciable Real Estate			555,414,000			555,414,000		$ 513,973,000
Proceeds from sales of real estate						375,850,000	335,489,000
Net gains on sale of real estate			0	$ 3,675,000	$ 57,796,000	10,867,000	$ 57,796,000
Unsecured term loan			$ 847,594,000			847,594,000		$ 1,347,159,000
Proceeds from sale of real estate						$ 10,731,000
Subsequent Event [Member] | Unsecured Term Loan [Member]
Subsequent Events [Line Items]
Unsecured term loan maturity	October 2018
Number Of Extensions Available | Extensions	2
Length Of Extension Available	1 year
Debt Instrument, Description of Variable Rate Basis	LIBOR
Debt Instrument, Basis Spread on Variable Rate	1.15%
Unsecured Term Loan Unused Fee	0.20%
Unsecured Term Loan Borrowing	$ 187,500,000
Unsecured term loan, description	The facility provides that the maximum amount available is twice the amount outstanding on April 29, 2016, limited to $750,000,000, and all draws must be made by October 2017.
Unsecured term loan final withdrawal date	October 2017
Subsequent Event [Member] | Unsecured Term Loan [Member] | Maximum [Member]
Subsequent Events [Line Items]
Unsecured term loan	$ 750,000,000
New York Office 20 Broad Street [Member] | Subsequent Event [Member]
Subsequent Events [Line Items]
Square Footage Of Real Estate Property | ft²		473
Aggregare consideration for sale of leasehold and early termination of lease		$ 200,000,000
Aggregare consideration for sale of leasehold and early termination of lease per square foot | $ / ft²		423
Income from sell of leashold interest in property		$ 156,000,000
Gain on sale of interest in leases		141,000,000
Lease termination income		$ 15,000,000

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Organization (Details)		9 Months Ended
	Jan. 15, 2015 USD ($) Properties shares	Sep. 30, 2015 USD ($)	Sep. 30, 2014 USD ($)
Organization [Abstract]
Common limited partnership interest in the Operating Partnership		93.60%
Real Estate Properties [Line Items]
Cash Considerations Transferred During Spin Off (in US Dollars) | $		$ 225,000,000	$ 0
Urban Edge Properties [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] | Urban Edge Properties [Member]
Real Estate Properties [Line Items]
Duration Of Administrative Services	2 years
Retail Segment Strip Shopping Centers [Member] | Urban Edge Properties [Member]
Real Estate Properties [Line Items]
Number Of Real Estate Properties	79
Retail Segment Regional Malls [Member] | Urban Edge Properties [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] | Urban Edge Properties [Member]
Real Estate Properties [Line Items]
Number Of Real Estate Properties	1

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Marketable Securities (Tables)

9 Months Ended

Sep. 30, 2015

Unrealized Gain (Loss) on Investments [Abstract]

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

(Amounts in thousands)		As of September 30, 2015						As of December 31, 2014
				GAAP		Unrealized				GAAP		Unrealized
		Fair Value		Cost		Gain		Fair Value		Cost		Gain
Equity securities:
	Lexington Realty Trust	$	149,599	$	72,549	$	77,050	$	202,789	$	72,549	$	130,240
	Other		3,328		-		3,328		3,534		-		3,534
		$	152,927	$	72,549	$	80,378	$	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		9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014
Income Per Class A Unit [Abstract]
Income from continuing operations, net of income attributable to noncontrolling interests	$ 197,475	$ 77,344	$ 487,238	$ 229,345
Income from discontinued operations	34,463	82,168	50,278	118,456
Net income attributable to Vornado Realty L.P.	231,938	159,512	537,516	347,801
Preferred unit distributions	(20,412)	(20,378)	(60,322)	(61,137)
Net income attributable to Class A unitholders	211,526	139,134	477,194	286,664
Earnings allocated to unvested participating securities	(1,053)	(769)	(2,862)	(2,436)
Numerator for basic income per Class A unit	210,473	138,365	474,332	284,228
Convertible preferred unit distributions	23	24	69	0
Numerator for diluted income per Class A unit	$ 210,496	$ 138,389	$ 474,401	$ 284,228
Denominator for basic income per Class A unit - weighted average units (in units)	199,609	198,322	199,111	198,158
Vornado stock options and restricted unit awards (in units)	1,619	1,577	1,824	1,510
Convertible preferred units (in units)	45	41	45	0
Denominator for diluted income per Class A unit - weighted average units and assumed conversions (in units)	201,273	199,940	200,980	199,668
INCOME PER CLASS A UNIT - BASIC:
Income from continuing operations, net (in dollars per unit)	$ 0.88	$ 0.28	$ 2.13	$ 0.83
Income from discontinued operations (in dollars per unit)	0.17	0.42	0.25	0.60
Net income per Class A unit (in dollars per unit)	1.05	0.70	2.38	1.43
INCOME PER CLASS A UNIT - DILUTED:
Income from continuing operations, net (in dollars per unit)	0.88	0.28	2.11	0.83
Income from discontinued operations (in dollars per unit)	0.17	0.41	0.25	0.59
Net income per Class A unit (in dollars per unit)	$ 1.05	$ 0.69	$ 2.36	$ 1.42

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Dispositions (Narratives) (Details) ft² in Thousands							3 Months Ended				9 Months Ended
	Mar. 31, 2018 USD ($)	Sep. 09, 2015 USD ($) ft²	Aug. 06, 2015 USD ($)	Mar. 31, 2015 USD ($) ft²	Mar. 13, 2015 USD ($)	Jan. 15, 2015 USD ($) Properties	Sep. 30, 2015 USD ($)	Mar. 31, 2015 USD ($) ft²	Sep. 30, 2014 USD ($)	Mar. 31, 2014 USD ($)	Sep. 30, 2015 USD ($) Properties	Sep. 30, 2014 USD ($)
Dispositions [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	57,796,000		10,867,000	57,796,000
Impairment Losses											$ 256,000	20,842,000
Pennsylavenia Real Estate Investment Trust [Member]
Dispositions [Abstract]
Equity method ownership percentage				8.10%			8.10%	8.10%			8.10%
Deferred Gain on Sale of Property				$ 631,000				$ 631,000
Retail Springfield Mall [Member] | Retail Segment Regional Malls [Member]
Dispositions [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]
Dispositions [Abstract]
Square Footage Of Real Estate Property | ft²				1,350				1,350
Gross proceeds from the sale of real estate				$ 485,313,000
Cash Proceeds from sale of real estate				$ 340,000,000
Retail Springfield Mall [Member] | Retail Segment Regional Malls [Member] | Scenario Forecast [Member]
Dispositions [Abstract]
Additional Consideration Receivable Percent	50.00%
Additional Consideration Theshold, Value	$ 465,000,000
Capitalization rate	5.50%
Geary Street, CA [Member]
Dispositions [Abstract]
Proceeds from Sale of interest in leases					$ 34,189,000
Gain on sale of interest in leases					$ 21,376,000
Monmouth Mall [Member]
Dispositions [Abstract]
Net gains on sale of real estate							$ 33,153,000		$ 0		$ 33,153,000	$ 0
Monmouth Mall [Member] | Retail Segment Regional Malls [Member]
Dispositions [Abstract]
Gross proceeds from the sale of real estate			$ 38,000,000
Market value of the property sold			229,000,000
Net gains on sale of real estate			$ 33,153,000
Sale Of Ownership Interest Percent			50.00%
Urban Edge Properties [Member]
Dispositions [Abstract]
Cash Considerations Transferred During Spin Off (in US Dollars)						$ 225,000,000
Equity method ownership percentage						5.40%
Urban Edge Properties [Member] | Retail Segment Strip Shopping Centers [Member]
Dispositions [Abstract]
Number Of Real Estate Properties | Properties						79
Urban Edge Properties [Member] | Retail Segment Regional Malls [Member]
Dispositions [Abstract]
Number Of Real Estate Properties | Properties						3
Urban Edge Properties [Member] | Warehouse [Member]
Dispositions [Abstract]
Number Of Real Estate Properties | Properties						1
Washington DC Segment [Member] | 1750 Pennsylvania Avenue [Member] | Office Building [Member]
Dispositions [Abstract]
Square Footage Of Real Estate Property | ft²		278
Gross proceeds from the sale of real estate		$ 182,000,000
Net gains on sale of real estate		102,000,000
Deferred Tax Gain On Sale Of Real Estate		$ 137,000,000

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Segment Information (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014
Segment Reporting Information [Line Items]
Total Revenues	$ 627,596	$ 578,710	$ 1,850,686	$ 1,715,502
Total expenses	436,156	396,571	1,298,141	1,198,854
Operating income (loss)	191,440	182,139	552,545	516,648
(Loss) income from partially owned entities	(325)	(26,034)	(8,709)	(78,676)
Income from real estate fund investments	1,665	24,160	52,122	142,418
Interest and other investment income, net	3,160	7,568	19,618	28,814
Interest and debt expense	(95,344)	(100,817)	(279,110)	(301,042)
Net gain on disposition of wholly owned and partially owned assets	103,037	2,665	104,897	13,205
Income (loss) before income taxes	203,633	89,681	441,363	321,367
Income tax (expense) benefit	(2,856)	(2,652)	84,245	(6,783)
Income (loss) from continuing operations	200,777	87,029	525,608	314,584
Income from discontinued operations	34,463	82,168	50,278	118,456
Net income	235,240	169,197	575,886	433,040
Less net income attributable to noncontrolling interests in consolidated subsidiaries	(3,302)	(9,685)	(38,370)	(85,239)
Net income attributable to Vornado Realty L.P.	231,938	159,512	537,516	347,801
Interest and debt expense (2)	118,977	160,252	348,725	510,724
Depreciation and amortization (2)	174,209	160,270	493,904	530,052
Income tax (benefit) expense (2)	3,043	2,232	(85,349)	21,489
EBITDA	528,167	482,266	1,294,796	1,410,066
New York Segment [Member] | Operating Segments [Member]
Segment Reporting Information [Line Items]
Total Revenues	429,433	383,828	1,243,208	1,120,686
Total expenses	263,805	238,153	766,863	702,727
Operating income (loss)	165,628	145,675	476,345	417,959
(Loss) income from partially owned entities	4,010	5,810	1,523	16,372
Interest and other investment income, net	1,888	1,834	5,642	4,889
Interest and debt expense	(50,480)	(43,061)	(143,004)	(134,970)
Income (loss) before income taxes	121,046	110,258	340,506	304,250
Income tax (expense) benefit	(1,147)	(802)	(3,185)	(2,997)
Income (loss) from continuing operations	119,899	109,456	337,321	301,253
Income from discontinued operations		5,615		17,401
Net income	119,899	115,071	337,321	318,654
Less net income attributable to noncontrolling interests in consolidated subsidiaries	(2,582)	(2,690)	(6,640)	(7,203)
Net income attributable to Vornado Realty L.P.	117,317	112,381	330,681	311,451
Interest and debt expense (2)	64,653	58,010	184,377	180,150
Depreciation and amortization (2)	99,206	79,446	288,897	241,040
Income tax (benefit) expense (2)	1,214	746	3,368	3,069
EBITDA	282,390	250,583	807,323	735,710
Washington DC Segment [Member] | Operating Segments [Member]
Segment Reporting Information [Line Items]
Total Revenues	132,704	133,541	401,528	403,645
Total expenses	102,114	88,375	293,772	265,299
Operating income (loss)	30,590	45,166	107,756	138,346
(Loss) income from partially owned entities	(1,909)	(1,411)	(3,583)	(4,925)
Interest and other investment income, net	34	15	60	93
Interest and debt expense	(16,580)	(18,685)	(52,223)	(56,692)
Net gain on disposition of wholly owned and partially owned assets	102,404		102,404
Income (loss) before income taxes	114,539	25,085	154,414	76,822
Income tax (expense) benefit	(287)	(130)	(79)	(46)
Income (loss) from continuing operations	114,252	24,955	154,335	76,776
Net income	114,252	24,955	154,335	76,776
Net income attributable to Vornado Realty L.P.	114,252	24,955	154,335	76,776
Interest and debt expense (2)	20,010	22,208	62,413	67,469
Depreciation and amortization (2)	48,132	36,411	136,687	108,367
Income tax (benefit) expense (2)	294	145	(1,856)	88
EBITDA	182,688	83,719	351,579	252,700
Other Segment [Member]
Segment Reporting Information [Line Items]
Total Revenues	65,459	61,341	205,950	191,171
Total expenses	70,237	70,043	237,506	230,828
Operating income (loss)	(4,778)	(8,702)	(31,556)	(39,657)
(Loss) income from partially owned entities	(2,426)	(30,433)	(6,649)	(90,123)
Income from real estate fund investments	1,665	24,160	52,122	142,418
Interest and other investment income, net	1,238	5,719	13,916	23,832
Interest and debt expense	(28,284)	(39,071)	(83,883)	(109,380)
Net gain on disposition of wholly owned and partially owned assets	633	2,665	2,493	13,205
Income (loss) before income taxes	(31,952)	(45,662)	(53,557)	(59,705)
Income tax (expense) benefit	(1,422)	(1,720)	87,509	(3,740)
Income (loss) from continuing operations	(33,374)	(47,382)	33,952	(63,445)
Income from discontinued operations	34,463	76,553	50,278	101,055
Net income	1,089	29,171	84,230	37,610
Less net income attributable to noncontrolling interests in consolidated subsidiaries	(720)	(6,995)	(31,730)	(78,036)
Net income attributable to Vornado Realty L.P.	369	22,176	52,500	(40,426)
Interest and debt expense (2)	34,314	80,034	101,935	263,105
Depreciation and amortization (2)	26,871	44,413	68,320	180,645
Income tax (benefit) expense (2)	1,535	1,341	(86,861)	18,332
EBITDA	$ 63,089	$ 147,964	$ 135,894	$ 421,656

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Segment Information (Parentheticals) (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014	Dec. 31, 2014
Segment Reporting Information [Line Items]
Earnings Before Interest, Taxes, Depreciation, and Amortization	$ 528,167	$ 482,266	$ 1,294,796	$ 1,410,066
Carrying amount of investments in partially owned entitiies	1,460,178		1,460,178		$ 1,240,489
Mark-to-market of investments in our deferred compensation plan	(2,577)	1,352	(327)	8,132
Transaction Costs Spin Off	0	5,828	22,972	9,343
Out Performance Plan [Member]
Segment Reporting Information [Line Items]
Additional Expense From Acceleration Of Vesting			$ 7,084
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		0
Non-cash 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	(2,577)	1,352	$ (327)	8,132
Corporate General And Administrative Expenses For Remainder Of 2015			867
Corporate General And Administrative Expenses After 2015			6,217
Retail Segment Strip Shopping Centers [Member]
Segment Reporting Information [Line Items]
Transaction Costs Spin Off		5,828	22,972	9,343
New York Segment [Member] | Operating Segments [Member]
Segment Reporting Information [Line Items]
Earnings Before Interest, Taxes, Depreciation, and Amortization	282,390	250,583	807,323	735,710
New York Segment [Member] | Alexanders Inc [Member] | Operating Segments [Member]
Segment Reporting Information [Line Items]
Earnings Before Interest, Taxes, Depreciation, and Amortization	10,502	10,387	31,150	31,088
New York Segment [Member] | Hotel Pennsylvania [Member] | Operating Segments [Member]
Segment Reporting Information [Line Items]
Earnings Before Interest, Taxes, Depreciation, and Amortization	7,621	9,301	14,351	18,873
New York Segment [Member] | Retail Properties [Member] | Operating Segments [Member]
Segment Reporting Information [Line Items]
Earnings Before Interest, Taxes, Depreciation, and Amortization	97,604	71,327	265,060	205,469
New York Segment [Member] | Office [Member] | Operating Segments [Member]
Segment Reporting Information [Line Items]
Earnings Before Interest, Taxes, Depreciation, and Amortization	166,663	159,568	496,762	480,280
Washington DC Segment [Member] | Operating Segments [Member]
Segment Reporting Information [Line Items]
Earnings Before Interest, Taxes, Depreciation, and Amortization	182,688	83,719	351,579	252,700
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	64,733	65,904	200,631	200,218
Washington DC Segment [Member] | Washington DC Office 1750 Pennsylvania Avenue [Member] | Operating Segments [Member]
Segment Reporting Information [Line Items]
Earnings Before Interest, Taxes, Depreciation, and Amortization	102,404	0	102,404	0
Washington DC Segment [Member] | Washington DC Skyline Properties [Member] | Operating Segments [Member]
Segment Reporting Information [Line Items]
Earnings Before Interest, Taxes, Depreciation, and Amortization	5,998	7,698	19,037	21,270
Washington DC Segment [Member] | Washington Dc Residential Property [Member] | Operating Segments [Member]
Segment Reporting Information [Line Items]
Earnings Before Interest, Taxes, Depreciation, and Amortization	9,553	10,117	29,507	31,212
Washington DC Segment [Member] | Office [Member] | Operating Segments [Member]
Segment Reporting Information [Line Items]
Earnings Before Interest, Taxes, Depreciation, and Amortization	173,135	73,602	322,072	221,488
Other Segment [Member]
Segment Reporting Information [Line Items]
Earnings Before Interest, Taxes, Depreciation, and Amortization	63,089	147,964	135,894	421,656
Other Segment [Member] | Real Estate Fund [Member]
Segment Reporting Information [Line Items]
Earnings Before Interest, Taxes, Depreciation, and Amortization	1,623	15,572	22,669	61,201
Other Segment [Member] | Merchandise Mart Other [Member]
Segment Reporting Information [Line Items]
Earnings Before Interest, Taxes, Depreciation, and Amortization	19,044	19,497	62,229	61,038
Other Segment [Member] | Other Properties 555 California Street [Member]
Segment Reporting Information [Line Items]
Earnings Before Interest, Taxes, Depreciation, and Amortization	13,005	11,994	38,237	35,566
Other Segment [Member] | India real estate ventures [Member]
Segment Reporting Information [Line Items]
Earnings Before Interest, Taxes, Depreciation, and Amortization	13	2,651	2,229	4,574
Other Segment [Member] | Our share of Toys "R" Us [Member]
Segment Reporting Information [Line Items]
Earnings Before Interest, Taxes, Depreciation, and Amortization	46	12,440	2,000	103,026
Other Segment [Member] | Other Investments [Member]
Segment Reporting Information [Line Items]
Earnings Before Interest, Taxes, Depreciation, and Amortization	11,558	4,372	25,787	13,594
Other Segment [Member] | Corporate General And Administrative Expenses [Member]
Segment Reporting Information [Line Items]
Earnings Before Interest, Taxes, Depreciation, and Amortization	(22,341)	(22,948)	(82,043)	(71,952)
Other Segment [Member] | Investment Income and other, net [Member]
Segment Reporting Information [Line Items]
Earnings Before Interest, Taxes, Depreciation, and Amortization	5,952	6,659	21,275	22,764
Other Segment [Member] | Our share of impairment losses on India real estate ventures [Member]
Segment Reporting Information [Line Items]
Earnings Before Interest, Taxes, Depreciation, and Amortization	0	0	(14,806)	0
Other Segment [Member] | Gains on sale of partially owned entities and other [Member]
Segment Reporting Information [Line Items]
Earnings Before Interest, Taxes, Depreciation, and Amortization	33,153	0	37,666	0
Other Segment [Member] | UE and residual retail properties discontinued operations [Member]
Segment Reporting Information [Line Items]
Earnings Before Interest, Taxes, Depreciation, and Amortization	2,516	106,602	26,313	192,532
Other Segment [Member] | Acquisition and transaction related costs [Member]
Segment Reporting Information [Line Items]
Earnings Before Interest, Taxes, Depreciation, and Amortization	(1,518)	(1,277)	(7,560)	(3,629)
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	633	2,665	2,493	13,205
Other Segment [Member] | Suffolk Downs impairment loss and loan reserve [Member]
Segment Reporting Information [Line Items]
Earnings Before Interest, Taxes, Depreciation, and Amortization	(595)	(10,263)	(595)	(10,263)
Other Segment [Member] | Other EBITDA attributable to identifiable investments [Member]
Segment Reporting Information [Line Items]
Earnings Before Interest, Taxes, Depreciation, and Amortization	45,289	66,526	153,151	278,999
Other Segment [Member] | Income before net realized/unrealized gains [Member] | Real Estate Fund [Member]
Segment Reporting Information [Line Items]
Earnings Before Interest, Taxes, Depreciation, and Amortization	2,594	2,051	6,879	6,668
Other Segment [Member] | Net unrealized/realized (losses) gains on investments [Member] | Real Estate Fund [Member]
Segment Reporting Information [Line Items]
Earnings Before Interest, Taxes, Depreciation, and Amortization	(922)	5,083	9,542	32,890
Other Segment [Member] | Carried Interest [Member] | Real Estate Fund [Member]
Segment Reporting Information [Line Items]
Earnings Before Interest, Taxes, Depreciation, and Amortization	$ (49)	$ 8,438	$ 6,248	$ 21,643

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Interest and Other Investment Income, Net (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014
Schedule of Investment Income, Reported Amounts, by Category [Line Items]
Dividends on marketable securities	$ 3,215	$ 3,200	$ 9,620	$ 9,504
Mark-to-market of investments in our deferred compensation plan	(2,577)	1,352	(327)	8,132
Interest on loans receivable	1,154	1,129	5,113	4,843
Other, net	1,368	1,887	5,212	6,335
Interest and other investment (loss) income, net	$ 3,160	$ 7,568	$ 19,618	$ 28,814

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Interest and Other Investment Income, Net

9 Months Ended

Sep. 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 Nine Months Ended
		September 30,				September 30,
		2015		2014		2015		2014
Dividends on marketable securities		$	3,215	$	3,200	$	9,620	$	9,504
Mark-to-market of investments in our deferred compensation plan (1)			(2,577)		1,352		(327)		8,132
Interest on loans receivable			1,154		1,129		5,113		4,843
Other, net			1,368		1,887		5,212		6,335
		$	3,160	$	7,568	$	19,618	$	28,814
(1)	This (loss) 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) $ in Thousands		3 Months Ended		9 Months Ended		35 Months Ended
	Jan. 20, 2015 USD ($) LimitedPartners	Sep. 30, 2015 USD ($)	Sep. 30, 2014 USD ($)	Sep. 30, 2015 USD ($) Investments	Sep. 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)		$ 555,414		$ 555,414			$ 513,973
Mortgages payable (in US Dollars)		9,159,413		9,159,413			$ 8,263,165
Proceeds from sale of real estate				10,731
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
Mortgages payable (in US Dollars)	$ 310,000
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
Real Estate Fund [Member]
Investment Holdings [Line Items]
Aggregate fair value of Real Estate Fund investments (in US Dollars)		555,414		555,414
Net realized (loses) gains on exited investments		(907)	$ 51,584	$ 24,684	$ 126,653
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		190,620		$ 190,620
Unfunded Commitments Of Fund		102,212		102,212
Vornado Realty Trust [Member]
Investment Holdings [Line Items]
Unfunded Commitments Of Fund		$ 25,553		$ 25,553
Vornado Realty Trust [Member] | Crowne Plaza Time Square Hotel [Member]
Investment Holdings [Line Items]
Business Acquisition Cost Of Acquired Entity	$ 39,000
Santa Monica Office 520 Broadway [Member] | Real Estate Fund [Member]
Investment Holdings [Line Items]
Net realized (loses) gains on exited investments						$ 23,768
Proceeds from sale of real estate						$ 91,650

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Interest and Other Investment Income, Net (Tables)

9 Months Ended

Sep. 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 Nine Months Ended
		September 30,				September 30,
		2015		2014		2015		2014
Dividends on marketable securities		$	3,215	$	3,200	$	9,620	$	9,504
Mark-to-market of investments in our deferred compensation plan (1)			(2,577)		1,352		(327)		8,132
Interest on loans receivable			1,154		1,129		5,113		4,843
Other, net			1,368		1,887		5,212		6,335
		$	3,160	$	7,568	$	19,618	$	28,814
(1)	This (loss) 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 ($)	9 Months Ended
	Sep. 30, 2015	Jan. 01, 2016
Loss Contingencies [Line Items]
Guarantees and master leases	$ 430,000,000
Outstanding letters of credit	40,647,000
Commitment To Fund Additional Capital To Partially Owned Entities	76,000,000
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%	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%	16.00%

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Debt (Tables)

9 Months Ended

Sep. 30, 2015

Debt Disclosure [Abstract]

Schedule of Debt

(Amounts in thousands)		Interest Rate at		Balance at
		September 30, 2015		September 30, 2015		December 31, 2014
Mortgages Payable:
	Fixed rate		4.43%	$	6,341,271	$	6,499,396
	Variable rate		2.01%		2,818,142		1,763,769
			3.69%	$	9,159,413	$	8,263,165
Unsecured Debt:
	Senior unsecured notes		3.68%	$	847,594	$	1,347,159
	Revolving credit facility debt		-		-		-
			3.68%	$	847,594	$	1,347,159

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Marketable Securities (Details) - USD ($) $ in Thousands	Sep. 30, 2015	Dec. 31, 2014
Schedule of Available-for-sale Securities [Line Items]
Available-for-sale Securities, Equity Securities	$ 152,927	$ 206,323
Available-for-sale Equity Securities, Amortized Cost Basis	72,549	72,549
Available-for-sale Securities, Gross Unrealized Gain	80,378	133,774
Lexington Realty Trust [Member]
Schedule of Available-for-sale Securities [Line Items]
Available-for-sale Securities, Equity Securities	149,599	202,789
Available-for-sale Equity Securities, Amortized Cost Basis	72,549	72,549
Available-for-sale Securities, Gross Unrealized Gain	77,050	130,240
Other Equity Securities [Member]
Schedule of Available-for-sale Securities [Line Items]
Available-for-sale Securities, Equity Securities	3,328	3,534
Available-for-sale Equity Securities, Amortized Cost Basis	0	0
Available-for-sale Securities, Gross Unrealized Gain	$ 3,328	$ 3,534

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Fair Value Measurements (Details 1) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended		12 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014	Dec. 31, 2014
Real Estate Fund [Member]
Unobservable Quantitative Input [Abstract]
Beginning balance	$ 565,976	$ 549,091	$ 513,973	$ 667,710	$ 667,710
Purchases	11	725	95,011	3,392
Sales/Dispositions/distributions	(8,029)	(74,755)	(91,450)	(307,268)
Net unrealized (losses) gains	(2,544)	18,333	37,001	55,221
Net realized (losses) gains	(907)	1,998	1,405	76,337
Other, net	907	0	(526)	0
Ending balance	555,414	495,392	$ 555,414	495,392	$ 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			13.20%		13.70%
Capitalization rate			5.50%		5.30%
Deferred Compensation Plan Assets [Member]
Unobservable Quantitative Input [Abstract]
Beginning balance	67,668	64,609	$ 63,315	68,782	$ 68,782
Purchases	2,153	1,377	8,384	10,936
Sales/Dispositions/distributions	(171)	(4,917)	(5,264)	(21,296)
Realized and unrealized (loss) gain	(1,466)	927	1,256	2,901
Other, net	24	1,187	517	1,860
Ending balance	$ 68,208	$ 63,183	$ 68,208	$ 63,183	$ 63,315

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Debt (Summary of Debt) (Details) - USD ($) $ in Thousands	Sep. 30, 2015	Dec. 31, 2014
Debt Instrument [Line Items]
Mortgages payable (in US Dollars)	$ 9,159,413	$ 8,263,165
Senior unsecured notes	847,594	1,347,159
Notes And Mortgages Payable Fixed Rate [Member]
Debt Instrument [Line Items]
Mortgages payable (in US Dollars)	$ 6,341,271	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)	$ 2,818,142	1,763,769
Interest Rate, End of Period (in percentage)	2.01%
Total Notes And Mortgages Payable [Member]
Debt Instrument [Line Items]
Interest Rate, End of Period (in percentage)	3.69%
Senior Unsecured Notes [Member]
Debt Instrument [Line Items]
Senior unsecured notes	$ 847,594	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	$ 0	0
Interest Rate, End of Period (in percentage)
Unsecured Debt [Member]
Debt Instrument [Line Items]
Unsecured Debt And Revolving Credit Facility	$ 847,594	$ 1,347,159
Interest Rate, End of Period (in percentage)	3.68%

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Basis of Presentation and Significant Accounting Policies (Details) ft² in Thousands, $ in Thousands	3 Months Ended	9 Months Ended
	Sep. 30, 2014 USD ($)	Sep. 30, 2015 USD ($) ft²	Sep. 30, 2014 USD ($)
Property Plant And Equipment [Line Items]
Reclassification of signage revenue from fee and other income to property rentals	$ 7,698		$ 25,889
Real Estate Properties [Line Items]
Proceeds from sale of units in real estate property		$ 10,731
New York Manhattan 220 Central Park South Site [Member]
Real Estate Properties [Line Items]
Salable area (in sqft) | ft²		392

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Organization

9 Months Ended

Sep. 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 93.6% of the common limited partnership interest in, the Operating Partnership at September 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) certain small retail properties that we plan to sell, and (ii) 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.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	9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Dec. 31, 2014
Redeemable Partnership Units [Abstract]
Redeemable Noncontrolling Interest, Equity, Common, Carrying Amount	$ 1,108,457		$ 1,336,780
Redeemable Partnership Units Rollforward [Abstract]
Balance at December 31	1,337,780	$ 1,003,620
Net income	28,189	16,552
Other comprehensive loss	(3,082)	(109)
Distributions	(22,502)	(25,166)
Issuance of Units	80,000	0
Other, net	31,478	23,592
Balance at September 30	1,113,885	1,140,052
Capital Unit Class A [Member]
Redeemable Partnership Units [Abstract]
Redeemable Noncontrolling Interest, Equity, Common, Carrying Amount	1,108,457		1,336,780
Redeemable Partnership Units Rollforward [Abstract]
Redemption of Class A units, at redemption value	(46,693)	(22,668)
Adjustments to carry redeemable Class A units at redemption value	(295,713)	$ 144,231
Issuance of Units	80,000
Cumulative Redeemable Preferred Unit [Member]
Redeemable Noncontrolling Interests Additional Disclosure [Abstract]
Fair value of Series G convertible preferred units and Series D-13 cumulative redeemable preferred units	53,135		$ 55,097
Series D17 Cumulative Redeemable Preferred Unit [Member]
Redeemable Partnership Units Rollforward [Abstract]
Issuance of Units	$ 4,428

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Interest and Debt Expense (Tables)

9 Months Ended

Sep. 30, 2015

Interest and Debt Expense [Abstract]

Interest And Debt Expense [Table Text Block]

(Amounts in thousands)		For the Three Months Ended				For the Nine Months Ended
		September 30,				September 30,
		2015		2014		2015		2014
Interest expense		$	113,485	$	110,296	$	305,110	$	328,544
Amortization of deferred financing costs			7,864		6,856		22,817		19,015
Capitalized standby loan commitment termination fee
	(220 Central Park South development project)		(15,000)		-		(15,000)		-
Capitalized interest and debt expense			(11,005)		(16,335)		(33,817)		(46,517)
		$	95,344	$	100,817	$	279,110	$	301,042

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Segment Information

9 Months Ended

Sep. 30, 2015

Segment Information [Abstract]

Segment Information

21. Segment Information

As a result of the spin-off of substantially all of our Retail Properties segment (see Note 8–Dispositions), 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 nine months ended September 30, 2015 and 2014.

(Amounts in thousands)		For the Three Months Ended September 30, 2015
			Total		New York			Washington, DC			Other
Total revenues			$	627,596	$	429,433		$	132,704		$	65,459
Total expenses				436,156		263,805			102,114			70,237
Operating income (loss)				191,440		165,628			30,590			(4,778)
(Loss) income from partially owned entities				(325)		4,010			(1,909)			(2,426)
Income from real estate fund investments				1,665		-			-			1,665
Interest and other investment income, net				3,160		1,888			34			1,238
Interest and debt expense				(95,344)		(50,480)			(16,580)			(28,284)
Net gain on disposition of wholly owned and partially
	owned assets			103,037		-			102,404			633
Income (loss) before income taxes				203,633		121,046			114,539			(31,952)
Income tax expense				(2,856)		(1,147)			(287)			(1,422)
Income (loss) from continuing operations				200,777		119,899			114,252			(33,374)
Income from discontinued operations				34,463		-			-			34,463
Net income				235,240		119,899			114,252			1,089
Less net income attributable to noncontrolling interests in				-
	consolidated subsidiaries			(3,302)		(2,582)			-			(720)
Net income attributable to Vornado Realty L.P.				231,938		117,317			114,252			369
Interest and debt expense(2)				118,977		64,653			20,010			34,314
Depreciation and amortization(2)				174,209		99,206			48,132			26,871
Income tax expense(2)				3,043		1,214			294			1,535
EBITDA(1)			$	528,167	$	282,390	(3)	$	182,688	(4)	$	63,089	(5)

(Amounts in thousands)		For the Three Months Ended September 30, 2014
			Total		New York			Washington, DC			Other
Total revenues			$	578,710	$	383,828		$	133,541		$	61,341
Total expenses				396,571		238,153			88,375			70,043
Operating income (loss)				182,139		145,675			45,166			(8,702)
(Loss) income from partially owned entities				(26,034)		5,810			(1,411)			(30,433)
Income from real estate fund investments				24,160		-			-			24,160
Interest and other investment income, net				7,568		1,834			15			5,719
Interest and debt expense				(100,817)		(43,061)			(18,685)			(39,071)
Net gain on disposition of wholly owned and partially
	owned assets			2,665		-			-			2,665
Income (loss) before income taxes				89,681		110,258			25,085			(45,662)
Income tax expense				(2,652)		(802)			(130)			(1,720)
Income (loss) from continuing operations				87,029		109,456			24,955			(47,382)
Income from discontinued operations				82,168		5,615			-			76,553
Net income				169,197		115,071			24,955			29,171
Less net income attributable to noncontrolling interests in
	consolidated subsidiaries			(9,685)		(2,690)			-			(6,995)
Net income attributable to Vornado Realty L.P.				159,512		112,381			24,955			22,176
Interest and debt expense(2)				160,252		58,010			22,208			80,034
Depreciation and amortization(2)				160,270		79,446			36,411			44,413
Income tax expense (2)				2,232		746			145			1,341
EBITDA(1)			$	482,266	$	250,583	(3)	$	83,719	(4)	$	147,964	(5)
See notes on page 32.

(Amounts in thousands)		For the Nine Months Ended September 30, 2015
			Total		New York			Washington, DC			Other
Total revenues			$	1,850,686	$	1,243,208		$	401,528		$	205,950
Total expenses				1,298,141		766,863			293,772			237,506
Operating income (loss)				552,545		476,345			107,756			(31,556)
(Loss) income from partially owned entities				(8,709)		1,523			(3,583)			(6,649)
Income from real estate fund investments				52,122		-			-			52,122
Interest and other investment income, net				19,618		5,642			60			13,916
Interest and debt expense				(279,110)		(143,004)			(52,223)			(83,883)
Net gain on disposition of wholly owned and partially
	owned assets			104,897		-			102,404			2,493
Income (loss) before income taxes				441,363		340,506			154,414			(53,557)
Income tax benefit (expense)				84,245		(3,185)			(79)			87,509
Income from continuing operations				525,608		337,321			154,335			33,952
Income from discontinued operations				50,278		-			-			50,278
Net income				575,886		337,321			154,335			84,230
Less net income attributable to noncontrolling interests in
	consolidated subsidiaries			(38,370)		(6,640)			-			(31,730)
Net income attributable to Vornado Realty L.P.				537,516		330,681			154,335			52,500
Interest and debt expense(2)				348,725		184,377			62,413			101,935
Depreciation and amortization(2)				493,904		288,897			136,687			68,320
Income tax (benefit) expense (2)				(85,349)		3,368			(1,856)			(86,861)
EBITDA(1)			$	1,294,796	$	807,323	(3)	$	351,579	(4)	$	135,894	(5)

(Amounts in thousands)		For the Nine Months Ended September 30, 2014
		Total		New York			Washington, DC			Other
Total revenues		$	1,715,502	$	1,120,686		$	403,645		$	191,171
Total expenses			1,198,854		702,727			265,299			230,828
Operating income (loss)			516,648		417,959			138,346			(39,657)
(Loss) income from partially owned entities			(78,676)		16,372			(4,925)			(90,123)
Income from real estate fund investments			142,418		-			-			142,418
Interest and other investment income, net			28,814		4,889			93			23,832
Interest and debt expense			(301,042)		(134,970)			(56,692)			(109,380)
Net gain on disposition of wholly owned and partially
	owned assets		13,205		-			-			13,205
Income (loss) before income taxes			321,367		304,250			76,822			(59,705)
Income tax expense			(6,783)		(2,997)			(46)			(3,740)
Income (loss) from continuing operations			314,584		301,253			76,776			(63,445)
Income from discontinued operations			118,456		17,401			-			101,055
Net income			433,040		318,654			76,776			37,610
Less net income attributable to noncontrolling interests in
	consolidated subsidiaries		(85,239)		(7,203)			-			(78,036)
Net income (loss) attributable to Vornado Realty L.P.			347,801		311,451			76,776			(40,426)
Interest and debt expense(2)			510,724		180,150			67,469			263,105
Depreciation and amortization(2)			530,052		241,040			108,367			180,645
Income tax expense(2)			21,489		3,069			88			18,332
EBITDA(1)		$	1,410,066	$	735,710	(3)	$	252,700	(4)	$	421,656	(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 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 Nine Months Ended
			September 30,						September 30,
			2015			2014			2015			2014
	Office			$	166,663		$	159,568		$	496,762		$	480,280
	Retail				97,604			71,327			265,060			205,469
	Alexander's				10,502			10,387			31,150			31,088
	Hotel Pennsylvania				7,621			9,301			14,351			18,873
		Total New York		$	282,390		$	250,583		$	807,323		$	735,710
(4)	The elements of "Washington, DC" EBITDA are summarized below.
	(Amounts in thousands)			For the Three Months Ended						For the Nine Months Ended
			September 30,						September 30,
			2015			2014			2015			2014
	Office, excluding the Skyline properties			$	64,733		$	65,904		$	200,631		$	200,218
	Gain on sale of 1750 Pennsylvania Avenue				102,404			-			102,404			-
	Skyline properties				5,998			7,698			19,037			21,270
		Total Office			173,135			73,602			322,072			221,488
	Residential				9,553			10,117			29,507			31,212
		Total Washington, DC		$	182,688		$	83,719		$	351,579		$	252,700

	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 Nine Months Ended
			September 30,						September 30,
			2015			2014			2015			2014
	Our share of real estate fund investments:
		Income before net realized/unrealized (losses) gains	$	2,594		$	2,051		$	6,879		$	6,668
		Net realized/unrealized (losses) gains on investments		(922)			5,083			9,542			32,890
		Carried interest		(49)			8,438			6,248			21,643
	Total			1,623			15,572			22,669			61,201
	The Mart and trade shows			19,044			19,497			62,229			61,038
	555 California Street			13,005			11,994			38,237			35,566
	Our share of Toys(a)			46			12,440			2,000			103,026
	India real estate ventures			13			2,651			2,229			4,574
	Other investments			11,558			4,372			25,787			13,594
				45,289			66,526			153,151			278,999
	Corporate general and administrative expenses(b) (c)			(22,341)			(22,948)			(82,043)			(71,952)
	Investment income and other, net(b)			5,952			6,659			21,275			22,764
	Gains on sale of partially owned entities and other				33,153			-			37,666			-
	UE and residual retail properties discontinued operations(d)			2,516			106,602			26,313			192,532
	Acquisition and transaction related costs			(1,518)			(1,277)			(7,560)			(3,629)
	Net gain on sale of residential condominiums and a land parcel				633			2,665			2,493			13,205
	Impairment loss and loan loss reserve on investment in Suffolk Downs			(595)			(10,263)			(595)			(10,263)
	Our share of impairment losses on India real estate ventures			-			-			(14,806)			-
			$	63,089		$	147,964		$	135,894		$	421,656
	(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 nine months ended September 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 $2,577 and $1,352 for the three months ended September 30, 2015 and 2014, respectively, and $327 and $8,132 for the nine months ended September 30, 2015 and 2014, respectively.
	(c)	The nine months ended September 30, 2015 includes $7,084 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 $867 and $6,217 thereafter.
	(d)	The three months ended September 30, 2014 and the nine months ended September 30, 2015 and 2014, includes $5,828, $22,972 and $9,343, respectively, of transaction costs related to the spin-off of our strip shopping centers and malls (see Note 1 - Organization).

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Commitments and Contingencies

9 Months Ended

Sep. 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 September 30, 2015, the aggregate dollar amount of these guarantees and master leases is approximately $430,000,000.

At September 30, 2015, $40,647,000of 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 September 30, 2015, we expect to fund additional capital to certain of our partially owned entities aggregating approximately$76,000,000.

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Investments in Partially Owned Entities (512 West 22nd Street) (Details) - New York 512 West 22nd Street [Member] - Office Building [Member] ft² in Thousands, $ in Millions	Jun. 24, 2015 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	$ 235
Estimated Project Start Date	Fourth Quarter of 2015
Estimated Project Completion Date	2017

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Income Per Class A Unit (Tables)

9 Months Ended

Sep. 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 Nine Months Ended
			September 30,				September 30,
			2015		2014		2015		2014
Numerator:
	Income from continuing operations, net of income attributable
		to noncontrolling interests	$	197,475	$	77,344	$	487,238	$	229,345
	Income from discontinued operations			34,463		82,168		50,278		118,456
	Net income attributable to Vornado Realty L.P.			231,938		159,512		537,516		347,801
	Preferred unit distributions			(20,412)		(20,378)		(60,322)		(61,137)
	Net income attributable to Class A unitholders			211,526		139,134		477,194		286,664
	Earnings allocated to unvested participating securities			(1,053)		(769)		(2,862)		(2,436)
	Numerator for basic income per Class A unit			210,473		138,365		474,332		284,228
	Impact of assumed conversions:
		Convertible preferred unit distributions		23		24		69		-
	Numerator for diluted income per Class A unit		$	210,496	$	138,389	$	474,401	$	284,228
Denominator:
	Denominator for basic income per Class A unit – weighted
		average units		199,609		198,322		199,111		198,158
	Effect of dilutive securities(1):
		Vornado stock options and restricted unit awards		1,619		1,577		1,824		1,510
		Convertible preferred units		45		41		45		-
	Denominator for diluted income per Class A unit – weighted
		average units and assumed conversions		201,273		199,940		200,980		199,668
INCOME PER CLASS A UNIT – BASIC:
	Income from continuing operations, net		$	0.88	$	0.28	$	2.13	$	0.83
	Income from discontinued operations			0.17		0.42		0.25		0.60
	Net income per Class A unit		$	1.05	$	0.70	$	2.38	$	1.43
INCOME PER CLASS A UNIT – DILUTED:
	Income from continuing operations, net		$	0.88	$	0.28	$	2.11	$	0.83
	Income from discontinued operations			0.17		0.41		0.25		0.59
	Net income per Class A unit		$	1.05	$	0.69	$	2.36	$	1.42
(1)	The effect of dilutive securities for the three months ended September 30, 2015 and 2014 excludes an aggregate of 180 and 117 weighted average Class A unit equivalents, respectively, and 150 and 182 weighted average Class A unit equivalents for the nine months ended September 30, 2015 and 2014, respectively, as their effect was anti-dilutive.

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Subsequent Events

9 Months Ended

Sep. 30, 2015

Subsequent Events [Abstract]

Subsequent Events [Text Block]

22.Subsequent Events

20 Broad Street

On October 19, 2015, we entered into an agreement to sell our leasehold interest in 20 Broad Street, a 473,000 square foot office building in Manhattan. We ground lease this property, which is contiguous to the New York Stock Exchange (“NYSE”), from the NYSE, who is also the major tenant in the building. By agreement, we early terminated the NYSE space lease which was scheduled to expire in June 2016. The aggregate consideration for the sale of the leasehold and the early termination of the NYSE lease is $200,000,000 or $423 per square foot. The total income from this transaction is approximately $156,000,000 comprised of $141,000,000 from the gain on sale and $15,000,000 of lease termination income. The sale, which is subject to customary closing conditions, is expected to be completed in the fourth quarter of 2015.

Unsecured Term Loan Facility

On October 30, 2015, we entered into an unsecured delayed-draw term loan facility in the maximum amount of $750,000,000. The facility matures in October 2018 with two one-year extension options. The interest rate is LIBOR plus 115 basis points with a fee of 20 basis points per annum on the unused portion. At closing, we drew $187,500,000.The facility provides that the maximum amount available is twice the amount outstanding on April 29, 2016, limited to $750,000,000, and all draws must be made by October 2017.

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Basis of Presentation and Significant Accounting Policies (Policy)

9 Months Ended

Sep. 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 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 nine months endedSeptember 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 nine months endedSeptember 30, 2014, $7,698,000 and $25,889,000, respectively,related to signage revenue has been reclassified from “fee and other income” to “property rentals” to conform to the current period presentation.

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 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 September 30, 2015 and December 31, 2014, our taxable REIT subsidiaries had deferred tax assetsrelated to net operating loss carryforwards 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 these 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.Based upon residential condominium unit sales, among other factors,we have concluded that it is more-likely-than-not that we will generate sufficient taxable income to realize these 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.

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.

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 September 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, 2014is classified as Level 3. There are no borrowings under our revolving credit facility as of September 30, 2015and December 31, 2014 and no mortgage and mezzanine loans outstanding as of September 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	9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014
Statement of Cash Flows [Abstract]
Capitalized interest	$ 40,924	$ 46,517

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Real Estate Fund Investments (Tables)

9 Months Ended

Sep. 30, 2015

Real Estate Fund Investments [Abstract]

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

(Amounts in thousands)		For the Three Months Ended				For the Nine Months Ended
		September 30,				September 30,
		2015		2014		2015		2014
Net investment income		$	5,116	$	3,829	$	13,716	$	10,860
Net realized (losses) gains on exited investments			(907)		51,584		24,684		126,653
Previously recorded unrealized gains on exited investments			-		(49,586)		(23,279)		(50,316)
Net unrealized (losses) gains on held investments			(2,544)		18,333		37,001		55,221
Income from real estate fund investments			1,665		24,160		52,122		142,418
Less income attributable to noncontrolling interests			(42)		(8,588)		(29,453)		(81,217)
Income from real estate fund investments attributable to Vornado Realty L.P.(1)		$	1,623	$	15,572	$	22,669	$	61,201
(1)	Excludes property management, leasing and development fees of $678 and $669 for the three months ended September 30, 2015 and 2014, respectively, and $2,015 and $1,925 for the nine months ended September 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)

9 Months Ended

Sep. 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 September 30, 2015
		Total		Level 1		Level 2		Level 3
Marketable securities		$	152,927	$	152,927	$	-	$	-
Real estate fund investments (75% of which is attributable to
	noncontrolling interests)		555,414		-		-		555,414
Deferred compensation plan assets (included in other assets)			117,037		48,829		-		68,208
	Total assets	$	825,378	$	201,756	$	-	$	623,622
Mandatorily redeemable instruments (included in other liabilities)		$	53,135	$	53,135	$	-	$	-
Interest rate swap (included in other liabilities)			24,014		-		24,014		-
	Total liabilities	$	77,149	$	53,135	$	24,014	$	-
(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 September 30, 2015				As of December 31, 2014
		Carrying		Fair		Carrying		Fair
		Amount		Value		Amount		Value
Cash equivalents		$	545,617	$	546,000	$	749,418	$	749,000
Mortgage and mezzanine loans receivable
	(included in other assets)		-		-		16,748		17,000
		$	545,617	$	546,000	$	766,166	$	766,000
Debt:
	Mortgages payable	$	9,159,413	$	9,272,000	$	8,263,165	$	8,224,000
	Senior unsecured notes		847,594		884,000		1,347,159		1,385,000
	Revolving credit facility debt		-		-		-		-
		$	10,007,007	$	10,156,000	$	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		September 30, 2015	December 31, 2014	September 30, 2015	December 31, 2014
	Discount rates	12.0% to 14.5%	12.0% to 17.5%	13.2%	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 September 30,				For the Nine Months Ended September 30,
		2015		2014	2015		2014
Beginning balance	$	565,976	$	549,091	$	513,973	$	667,710
Purchases		11		725		95,011		3,392
Dispositions / distributions		(8,029)		(74,755)		(91,450)		(307,268)
Net unrealized (losses) gains		(2,544)		18,333		37,001		55,221
Net realized (losses) gains		(907)		1,998		1,405		76,337
Other, net		907		-		(526)		-
Ending balance	$	555,414	$	495,392	$	555,414	$	495,392

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 September 30,				For the Nine Months Ended September 30,
		2015		2014	2015		2014
Beginning balance	$	67,668	$	64,609	$	63,315	$	68,782
Purchases		2,153		1,377		8,384		10,936
Sales		(171)		(4,917)		(5,264)		(21,296)
Realized and unrealized (loss) gain		(1,466)		927		1,256		2,901
Other, net		24		1,187		517		1,860
Ending balance	$	68,208	$	63,183	$	68,208	$	63,183

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Investments in Partially Owned Entities (Details) - USD ($)	3 Months Ended					9 Months Ended
	Sep. 30, 2015	Aug. 01, 2015	Sep. 30, 2014	Aug. 02, 2014	Mar. 31, 2014	Sep. 30, 2015	Aug. 01, 2015	Sep. 30, 2014	Aug. 02, 2014	Mar. 31, 2015	Dec. 31, 2014	Nov. 01, 2014
Equity Method Investments And Income From Equity Method Investments [Abstract]
Carrying amount of investments in partially owned entities	$ 1,460,178,000					$ 1,460,178,000					$ 1,240,489,000
Our share of Net (Loss) Income	$ (325,000)		$ (26,034,000)			(8,709,000)		$ (78,676,000)
Impairment Losses						$ 256,000		20,842,000
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			0
Our share of Net (Loss) Income	46,000		(18,418,000)			2,000,000		(74,162,000)
Non-cash impairment losses					$ 75,196,000	355,953,000
Condensed Financial Information For Equity Method Investments [Abstract]
Assets		$ 9,732,000,000					$ 9,732,000,000					$ 11,267,000,000
Liabilities		9,056,000,000					9,056,000,000					10,377,000,000
Noncontrolling interests		85,000,000					85,000,000					82,000,000
Equity		591,000,000					591,000,000					$ 808,000,000
Total revenue		2,293,000,000		$ 2,440,000,000			9,601,000,000		$ 10,186,000,000
Net income (loss) income attributable to investee		$ (108,700,000)		$ (133,000,000)			$ (44,700,000)		$ (244,000,000)
Equity Method Investment, Difference Excess Of Underlying Equity Over Carrying Amount	191,859,000					191,859,000
Toys R Us [Member] | Equity In Net Income After Income Taxes [Member]
Equity Method Investments And Income From Equity Method Investments [Abstract]
Our share of Net (Loss) Income	0		(20,357,000)			0		(4,691,000)
Toys R Us [Member] | Management Fees [Member]
Equity Method Investments And Income From Equity Method Investments [Abstract]
Our share of Net (Loss) Income	46,000		1,939,000			2,000,000		5,725,000
Toys R Us [Member] | Impairment Loss [Member]
Equity Method Investments And Income From Equity Method Investments [Abstract]
Our share of Net (Loss) Income	$ 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	$ 131,395,000					$ 131,395,000					131,616,000
Excess of investee's carrying amount over equity in net assets	40,527,000					40,527,000
Our share of Net (Loss) Income	7,544,000		7,192,000			22,558,000		20,471,000
Condensed Financial Information For Equity Method Investments [Abstract]
Assets	1,457,000,000					1,457,000,000					1,423,000,000
Liabilities	1,112,000,000					1,112,000,000					1,075,000,000
Equity	345,000,000					345,000,000					348,000,000
Total revenue	52,000,000		50,000,000			155,000,000		149,000,000
Net income (loss) income attributable to investee	18,000,000		18,000,000			53,000,000		50,000,000
Alexanders Inc [Member] | Equity In Net Income After Income Taxes [Member]
Equity Method Investments And Income From Equity Method Investments [Abstract]
Our share of Net (Loss) Income	5,716,000		5,552,000			16,757,000		15,583,000
Alexanders Inc [Member] | Management Leasing And Development Fees [Member]
Equity Method Investments And Income From Equity Method Investments [Abstract]
Our share of Net (Loss) Income	1,828,000		1,640,000			5,801,000		4,888,000
India real estate ventures [Member]
Equity Method Investments And Income From Equity Method Investments [Abstract]
Carrying amount of investments in partially owned entities	48,114,000					48,114,000					76,752,000
Our share of Net (Loss) Income	(1,704,000)		(262,000)			(18,380,000)		(2,440,000)
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	$ 857,282,000					$ 857,282,000					760,749,000
Our share of Net (Loss) Income	$ (2,039,000)		18,000			$ (14,573,000)		(1,387,000)
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	$ 25,401,000					$ 25,401,000					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	$ 138,265,000					$ 138,265,000					0
Excess of investee's carrying amount over equity in net assets	65,681,000					65,681,000
Other equity method investments [Member]
Equity Method Investments And Income From Equity Method Investments [Abstract]
Carrying amount of investments in partially owned entities	259,721,000					259,721,000					$ 271,372,000
Our share of Net (Loss) Income	$ (4,172,000)		(14,564,000)			$ (314,000)		$ (21,158,000)
Other equity method investments [Member] | Suffolk Downs [Member]
Equity Method Investments And Income From Equity Method Investments [Abstract]
Non-cash impairment losses			10,263,000
Impairment Losses			5,959,000
Asset Impairment Loan Loss Reserve			$ 4,304,000

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Interest and Debt Expense (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014
Interest and Debt Expense [Abstract]
Interest expense	$ 113,485	$ 110,296	$ 305,110	$ 328,544
Amortization of deferred financing costs	7,864	6,856	22,817	19,015
Capitalized standby loan commitment termination fee (220 Central Park South development project)	(15,000)	0	(15,000)	0
Capitalized interest and debt expenses	(11,005)	(16,335)	(33,817)	(46,517)
Interest and Debt Expense, Total	$ 95,344	$ 100,817	$ 279,110	$ 301,042

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Consolidated Balance Sheets - USD ($) $ in Thousands	Sep. 30, 2015	Dec. 31, 2014
Real estate, at cost:
Land	$ 4,045,042	$ 3,861,913
Buildings and improvements	12,278,443	11,705,749
Development costs and construction in progress	1,389,471	1,128,037
Leasehold improvements and equipment	131,760	126,659
Total	17,844,716	16,822,358
Less accumulated depreciation and amortization	(3,364,932)	(3,161,633)
Real estate, net	14,479,784	13,660,725
Cash and cash equivalents	788,137	1,198,477
Restricted cash	107,965	176,204
Marketable securities	152,927	206,323
Tenant and other receivables, net of allowance for doubtful accounts of $11,640 and $12,210	108,106	109,998
Investments in partially owned entities	1,460,178	1,240,489
Real estate fund investments	555,414	513,973
Receivable arising from the straight-lining of rents, net of allowance of $2,922 and $3,190	885,340	787,271
Deferred leasing and financing costs, net of accumulated amortization of $292,767 and $281,109	572,969	475,158
Identified intangible assets, net of accumulated amortization of $190,543 and 199,821	241,814	225,155
Assets related to discontinued operations	35,142	2,244,481
Other assets	584,150	410,066
Assets	19,971,926	21,248,320
LIABILITIES, REDEEMABLE PARTNERSHIP UNITS AND EQUITY
Mortgages payable	9,159,413	8,263,165
Senior unsecured notes	847,594	1,347,159
Accounts payable and accrued expenses	465,045	447,745
Deferred revenue	377,951	358,613
Deferred compensation plan	117,037	117,284
Liabilities related to discontinued operations	11,520	1,511,362
Other liabilities	434,980	375,830
Total liabilities	$ 11,413,540	$ 12,421,158
Commitments and contingencies
Redeemable partnership units:
Class A units - 12,258,987 and 11,356,550 units outstanding	$ 1,108,457	$ 1,336,780
Series D cumulative redeemable preferred units - 177,101 and 1 units outstanding	5,428	1,000
Total redeemable partnership units	1,113,885	1,337,780
Equity:
Partners' capital	8,517,270	8,157,544
Earnings less than distributions	(1,878,716)	(1,505,385)
Accumulated other comprehensive income	43,593	93,267
Total Vornado Realty L.P. equity	6,682,147	6,745,426
Noncontrolling interests in consolidated subsidiaries	762,354	743,956
Total equity	7,444,501	7,489,382
Total liabilities, redeemable partnership units and equity	$ 19,971,926	$ 21,248,320

XML

Segment Information (Tables)

9 Months Ended

Sep. 30, 2015

Segment Information [Abstract]

Schedule of Segment Information

(Amounts in thousands)		For the Three Months Ended September 30, 2015
			Total		New York			Washington, DC			Other
Total revenues			$	627,596	$	429,433		$	132,704		$	65,459
Total expenses				436,156		263,805			102,114			70,237
Operating income (loss)				191,440		165,628			30,590			(4,778)
(Loss) income from partially owned entities				(325)		4,010			(1,909)			(2,426)
Income from real estate fund investments				1,665		-			-			1,665
Interest and other investment income, net				3,160		1,888			34			1,238
Interest and debt expense				(95,344)		(50,480)			(16,580)			(28,284)
Net gain on disposition of wholly owned and partially
	owned assets			103,037		-			102,404			633
Income (loss) before income taxes				203,633		121,046			114,539			(31,952)
Income tax expense				(2,856)		(1,147)			(287)			(1,422)
Income (loss) from continuing operations				200,777		119,899			114,252			(33,374)
Income from discontinued operations				34,463		-			-			34,463
Net income				235,240		119,899			114,252			1,089
Less net income attributable to noncontrolling interests in				-
	consolidated subsidiaries			(3,302)		(2,582)			-			(720)
Net income attributable to Vornado Realty L.P.				231,938		117,317			114,252			369
Interest and debt expense(2)				118,977		64,653			20,010			34,314
Depreciation and amortization(2)				174,209		99,206			48,132			26,871
Income tax expense(2)				3,043		1,214			294			1,535
EBITDA(1)			$	528,167	$	282,390	(3)	$	182,688	(4)	$	63,089	(5)

(Amounts in thousands)		For the Three Months Ended September 30, 2014
			Total		New York			Washington, DC			Other
Total revenues			$	578,710	$	383,828		$	133,541		$	61,341
Total expenses				396,571		238,153			88,375			70,043
Operating income (loss)				182,139		145,675			45,166			(8,702)
(Loss) income from partially owned entities				(26,034)		5,810			(1,411)			(30,433)
Income from real estate fund investments				24,160		-			-			24,160
Interest and other investment income, net				7,568		1,834			15			5,719
Interest and debt expense				(100,817)		(43,061)			(18,685)			(39,071)
Net gain on disposition of wholly owned and partially
	owned assets			2,665		-			-			2,665
Income (loss) before income taxes				89,681		110,258			25,085			(45,662)
Income tax expense				(2,652)		(802)			(130)			(1,720)
Income (loss) from continuing operations				87,029		109,456			24,955			(47,382)
Income from discontinued operations				82,168		5,615			-			76,553
Net income				169,197		115,071			24,955			29,171
Less net income attributable to noncontrolling interests in
	consolidated subsidiaries			(9,685)		(2,690)			-			(6,995)
Net income attributable to Vornado Realty L.P.				159,512		112,381			24,955			22,176
Interest and debt expense(2)				160,252		58,010			22,208			80,034
Depreciation and amortization(2)				160,270		79,446			36,411			44,413
Income tax expense (2)				2,232		746			145			1,341
EBITDA(1)			$	482,266	$	250,583	(3)	$	83,719	(4)	$	147,964	(5)
See notes on page 32.

(Amounts in thousands)		For the Nine Months Ended September 30, 2015
			Total		New York			Washington, DC			Other
Total revenues			$	1,850,686	$	1,243,208		$	401,528		$	205,950
Total expenses				1,298,141		766,863			293,772			237,506
Operating income (loss)				552,545		476,345			107,756			(31,556)
(Loss) income from partially owned entities				(8,709)		1,523			(3,583)			(6,649)
Income from real estate fund investments				52,122		-			-			52,122
Interest and other investment income, net				19,618		5,642			60			13,916
Interest and debt expense				(279,110)		(143,004)			(52,223)			(83,883)
Net gain on disposition of wholly owned and partially
	owned assets			104,897		-			102,404			2,493
Income (loss) before income taxes				441,363		340,506			154,414			(53,557)
Income tax benefit (expense)				84,245		(3,185)			(79)			87,509
Income from continuing operations				525,608		337,321			154,335			33,952
Income from discontinued operations				50,278		-			-			50,278
Net income				575,886		337,321			154,335			84,230
Less net income attributable to noncontrolling interests in
	consolidated subsidiaries			(38,370)		(6,640)			-			(31,730)
Net income attributable to Vornado Realty L.P.				537,516		330,681			154,335			52,500
Interest and debt expense(2)				348,725		184,377			62,413			101,935
Depreciation and amortization(2)				493,904		288,897			136,687			68,320
Income tax (benefit) expense (2)				(85,349)		3,368			(1,856)			(86,861)
EBITDA(1)			$	1,294,796	$	807,323	(3)	$	351,579	(4)	$	135,894	(5)

(Amounts in thousands)		For the Nine Months Ended September 30, 2014
		Total		New York			Washington, DC			Other
Total revenues		$	1,715,502	$	1,120,686		$	403,645		$	191,171
Total expenses			1,198,854		702,727			265,299			230,828
Operating income (loss)			516,648		417,959			138,346			(39,657)
(Loss) income from partially owned entities			(78,676)		16,372			(4,925)			(90,123)
Income from real estate fund investments			142,418		-			-			142,418
Interest and other investment income, net			28,814		4,889			93			23,832
Interest and debt expense			(301,042)		(134,970)			(56,692)			(109,380)
Net gain on disposition of wholly owned and partially
	owned assets		13,205		-			-			13,205
Income (loss) before income taxes			321,367		304,250			76,822			(59,705)
Income tax expense			(6,783)		(2,997)			(46)			(3,740)
Income (loss) from continuing operations			314,584		301,253			76,776			(63,445)
Income from discontinued operations			118,456		17,401			-			101,055
Net income			433,040		318,654			76,776			37,610
Less net income attributable to noncontrolling interests in
	consolidated subsidiaries		(85,239)		(7,203)			-			(78,036)
Net income (loss) attributable to Vornado Realty L.P.			347,801		311,451			76,776			(40,426)
Interest and debt expense(2)			510,724		180,150			67,469			263,105
Depreciation and amortization(2)			530,052		241,040			108,367			180,645
Income tax expense(2)			21,489		3,069			88			18,332
EBITDA(1)		$	1,410,066	$	735,710	(3)	$	252,700	(4)	$	421,656	(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 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 Nine Months Ended
			September 30,						September 30,
			2015			2014			2015			2014
	Office			$	166,663		$	159,568		$	496,762		$	480,280
	Retail				97,604			71,327			265,060			205,469
	Alexander's				10,502			10,387			31,150			31,088
	Hotel Pennsylvania				7,621			9,301			14,351			18,873
		Total New York		$	282,390		$	250,583		$	807,323		$	735,710
(4)	The elements of "Washington, DC" EBITDA are summarized below.
	(Amounts in thousands)			For the Three Months Ended						For the Nine Months Ended
			September 30,						September 30,
			2015			2014			2015			2014
	Office, excluding the Skyline properties			$	64,733		$	65,904		$	200,631		$	200,218
	Gain on sale of 1750 Pennsylvania Avenue				102,404			-			102,404			-
	Skyline properties				5,998			7,698			19,037			21,270
		Total Office			173,135			73,602			322,072			221,488
	Residential				9,553			10,117			29,507			31,212
		Total Washington, DC		$	182,688		$	83,719		$	351,579		$	252,700

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 Nine Months Ended
			September 30,						September 30,
			2015			2014			2015			2014
	Our share of real estate fund investments:
		Income before net realized/unrealized (losses) gains	$	2,594		$	2,051		$	6,879		$	6,668
		Net realized/unrealized (losses) gains on investments		(922)			5,083			9,542			32,890
		Carried interest		(49)			8,438			6,248			21,643
	Total			1,623			15,572			22,669			61,201
	The Mart and trade shows			19,044			19,497			62,229			61,038
	555 California Street			13,005			11,994			38,237			35,566
	Our share of Toys(a)			46			12,440			2,000			103,026
	India real estate ventures			13			2,651			2,229			4,574
	Other investments			11,558			4,372			25,787			13,594
				45,289			66,526			153,151			278,999
	Corporate general and administrative expenses(b) (c)			(22,341)			(22,948)			(82,043)			(71,952)
	Investment income and other, net(b)			5,952			6,659			21,275			22,764
	Gains on sale of partially owned entities and other				33,153			-			37,666			-
	UE and residual retail properties discontinued operations(d)			2,516			106,602			26,313			192,532
	Acquisition and transaction related costs			(1,518)			(1,277)			(7,560)			(3,629)
	Net gain on sale of residential condominiums and a land parcel				633			2,665			2,493			13,205
	Impairment loss and loan loss reserve on investment in Suffolk Downs			(595)			(10,263)			(595)			(10,263)
	Our share of impairment losses on India real estate ventures			-			-			(14,806)			-
			$	63,089		$	147,964		$	135,894		$	421,656
	(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 nine months ended September 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 $2,577 and $1,352 for the three months ended September 30, 2015 and 2014, respectively, and $327 and $8,132 for the nine months ended September 30, 2015 and 2014, respectively.
	(c)	The nine months ended September 30, 2015 includes $7,084 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 $867 and $6,217 thereafter.
	(d)	The three months ended September 30, 2014 and the nine months ended September 30, 2015 and 2014, includes $5,828, $22,972 and $9,343, 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	Other	Preferred Units	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 Other
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.	347,801					347,801
Net income attributable to redeemable partnership units	(16,552)					(16,552)
Net income attributable to noncontrolling interests in consolidated subsidiaries	85,239	$ 81,217						85,239
Distributions to Vornado	(410,724)					(410,724)
Distributions to preferred unitholders	(61,099)					(61,099)
Class A Units issued to Vornado:
Upon redemption of redeemable Class A units, at redemption value, Units					227
Upon redemption of redeemable Class A units, at redemption value, Value	22,668				$ 22,668
Under Vornado's Employees' share option plan, Units					199
Under Vornado's Employees' share option plan, Value	12,350				$ 12,350
Under Vornado's dividend reinvestment plan, Units					13
Under Vornado's dividend reinvestment plan, Value	1,387				$ 1,387
Contributions:
Contributions		5,297	$ 5,000						$ 5,297	$ 5,000
Distribution:
Distributions	(25,166)	(182,964)	(643)						(182,964)	(643)
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					5
Deferred compensation units and options, Value	4,306				$ 4,646	(340)
Reduction in unrealized net gain on available-for-sale securities	(7,761)						(7,761)
Pro rata share of other comprehensive loss of nonconsolidated subsidiaries	(151)						(151)
Increase in value of interest rate swap	5,846						5,846
Adjustments to carry redeemable Class A units at redemption value	(144,231)				(144,231)
Redeemable partnership units' share of above adjustments	109						109
Other	(2,675)			$ (6)	$ (297)	(2,372)
Ending balance, Units at Sep. 30, 2014				52,679	187,735
Ending balance, Value at Sep. 30, 2014	7,224,919			$ 1,277,026	$ 7,048,025	(1,878,125)	69,580	708,413
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.	537,516					537,516
Net income attributable to redeemable partnership units	(28,189)					(28,189)
Net income attributable to noncontrolling interests in consolidated subsidiaries	38,370	29,453						38,370
Distribution of Urban Edge Properties	(464,603)					(464,262)		(341)
Distributions to Vornado	(355,945)					(355,945)
Distributions to preferred unitholders	(60,213)					(60,213)
Class A Units issued to Vornado:
Upon redemption of redeemable Class A units, at redemption value, Units					437
Upon redemption of redeemable Class A units, at redemption value, Value	46,693				$ 46,693
Under Vornado's Employees' share option plan, Units					198
Under Vornado's Employees' share option plan, Value	11,626				$ 14,205	(2,579)
Under Vornado's dividend reinvestment plan, Units					11
Under Vornado's dividend reinvestment plan, Value	1,068				$ 1,068
Contributions:
Contributions		51,725							51,725
Distribution:
Distributions	(22,502)	$ (70,875)	$ (397)						$ (70,875)	$ (397)
Transfer of noncontrolling interest in real estate fund investments	0
Conversion of Series A preferred units to Class A units, Units				(1)	2
Conversion of Series A preferred units to Class A units, Value				$ (41)	$ 41
Deferred compensation units and options, Units					6
Deferred compensation units and options, Value	1,688				$ 2,047	(359)
Reduction in unrealized net gain on available-for-sale securities	(53,396)						(53,396)
Pro rata share of other comprehensive loss of nonconsolidated subsidiaries	(1,148)						(1,148)
Increase in value of interest rate swap	1,783						1,783
Adjustments to carry redeemable Class A units at redemption value	295,713				$ 295,713
Redeemable partnership units' share of above adjustments	3,082						3,082
Other	621					700	5	(84)
Ending balance, Units at Sep. 30, 2015				52,678	188,541
Ending balance, Value at Sep. 30, 2015	$ 7,444,501			$ 1,276,985	$ 7,240,285	$ (1,878,716)	$ 43,593	$ 762,354

XML

Identified Intangible Assets and Liabilities (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014	Dec. 31, 2014
Finite-Lived Intangible Assets [Line Items]
Gross amount	$ 432,357		$ 432,357		$ 424,976
Accumulated amortization	(190,543)		(190,543)		(199,821)
Net	241,814		241,814		225,155
Gross amount	666,370		666,370		657,976
Accumulated amortization	(316,908)		(316,908)		(329,775)
Net	349,462		349,462		$ 328,201
Below Market Leases Net Of Above Market Leases [Member]
Finite-Lived Intangible Assets [Line Items]
Amortization of Intangible Assets	19,786	$ 8,099	45,614	$ 26,333
2016	51,780		51,780
2017	44,079		44,079
2018	42,733		42,733
2019	30,775		30,775
2020	23,143		23,143
Other Identified Intangible Assets [Member]
Finite-Lived Intangible Assets [Line Items]
Amortization of Intangible Assets	9,658	5,866	24,402	21,697
2016	30,165		30,165
2017	24,745		24,745
2018	20,373		20,373
2019	15,685		15,685
2020	12,245		12,245
Tenant Under Ground Leases [Member]
Finite-Lived Intangible Assets [Line Items]
Amortization of Intangible Assets	458	$ 458	1,374	$ 1,374
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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Dispositions (Tables)

9 Months Ended

Sep. 30, 2015

Dispositions [Abstract]

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

(Amounts in thousands)					Balance as of
					September 30, 2015		December 31, 2014
Assets related to discontinued operations:
Real estate, net					$	27,560	$	2,028,677
Other assets						7,582		215,804
					$	35,142	$	2,244,481
Liabilities related to discontinued operations:
Mortgages payable					$	-	$	1,288,535
Other liabilities (primarily deferred revenue in 2014)						11,520		222,827
					$	11,520	$	1,511,362
(Amounts in thousands)	For the Three Months Ended				For the Nine Months Ended
	September 30,				September 30,
	2015		2014		2015		2014
Income from discontinued operations:
Total revenues	$	2,589	$	93,440	$	24,868	$	297,039
Total expenses		1,279		62,715		16,672		204,619
		1,310		30,725		8,196		92,420
Net gain on sale of our interest in Monmouth Mall		33,153		-		33,153		-
Net gains on sale of real estate		-		57,796		10,867		57,796
Transaction related costs (primarily UE spin off)		-		(5,828)		(22,972)		(9,343)
Net gain on sale of lease position in Geary Street, CA		-		-		21,376		-
Impairment losses		-		-		(256)		(20,842)
Pretax income from discontinued operations		34,463		82,693		50,364		120,031
Income tax expense		-		(525)		(86)		(1,575)
Income from discontinued operations	$	34,463	$	82,168	$	50,278	$	118,456
Cash flows related to discontinued operations:
Cash flows from operating activities					$	(34,490)	$	153,815
Cash flows from investing activities						348,697		(122,247)

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Fair Value Measurements (Narratives) (Details) $ in Thousands	9 Months Ended
	Sep. 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	$ 555,414	$ 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	$ 555,414
Excess of fair value over cost	$ 190,620
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	9 months 18 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 3 months 18 days

XML

Fair Value Measurements

9 Months Ended

Sep. 30, 2015

Fair Value Disclosures [Abstract]

Fair Value Measurements

14. Fair Value Measurements

ASC 820defines 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 September 30, 2015 and December 31, 2014, respectively.

(Amounts in thousands)		As of September 30, 2015
		Total		Level 1		Level 2		Level 3
Marketable securities		$	152,927	$	152,927	$	-	$	-
Real estate fund investments (75% of which is attributable to
	noncontrolling interests)		555,414		-		-		555,414
Deferred compensation plan assets (included in other assets)			117,037		48,829		-		68,208
	Total assets	$	825,378	$	201,756	$	-	$	623,622
Mandatorily redeemable instruments (included in other liabilities)		$	53,135	$	53,135	$	-	$	-
Interest rate swap (included in other liabilities)			24,014		-		24,014		-
	Total liabilities	$	77,149	$	53,135	$	24,014	$	-
(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

AtSeptember 30, 2015, we hadsixreal estate fund investmentswith an aggregate fair value of $555,414,000, or $190,620,000in 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 0.8 to 5.3 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 September 30, 2015 and December 31, 2014.

				Weighted Average
		Range		(based on fair value of investments)
Unobservable Quantitative Input		September 30, 2015	December 31, 2014	September 30, 2015	December 31, 2014
	Discount rates	12.0% to 14.5%	12.0% to 17.5%	13.2%	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 nine months ended September 30, 2015 and 2014.

(Amounts in thousands)	For the Three Months Ended September 30,				For the Nine Months Ended September 30,
		2015		2014	2015		2014
Beginning balance	$	565,976	$	549,091	$	513,973	$	667,710
Purchases		11		725		95,011		3,392
Dispositions / distributions		(8,029)		(74,755)		(91,450)		(307,268)
Net unrealized (losses) gains		(2,544)		18,333		37,001		55,221
Net realized (losses) gains		(907)		1,998		1,405		76,337
Other, net		907		-		(526)		-
Ending balance	$	555,414	$	495,392	$	555,414	$	495,392

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 nine months ended September 30, 2015 and 2014.

(Amounts in thousands)	For the Three Months Ended September 30,				For the Nine Months Ended September 30,
		2015		2014	2015		2014
Beginning balance	$	67,668	$	64,609	$	63,315	$	68,782
Purchases		2,153		1,377		8,384		10,936
Sales		(171)		(4,917)		(5,264)		(21,296)
Realized and unrealized (loss) gain		(1,466)		927		1,256		2,901
Other, net		24		1,187		517		1,860
Ending balance	$	68,208	$	63,183	$	68,208	$	63,183

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 September 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, 2014is classified as Level 3. There are no borrowings under our revolving credit facility as of September 30, 2015and December 31, 2014 and no mortgage and mezzanine loans outstanding as of September 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 September 30, 2015 and December 31, 2014.

(Amounts in thousands)		As of September 30, 2015				As of December 31, 2014
		Carrying		Fair		Carrying		Fair
		Amount		Value		Amount		Value
Cash equivalents		$	545,617	$	546,000	$	749,418	$	749,000
Mortgage and mezzanine loans receivable
	(included in other assets)		-		-		16,748		17,000
		$	545,617	$	546,000	$	766,166	$	766,000
Debt:
	Mortgages payable	$	9,159,413	$	9,272,000	$	8,263,165	$	8,224,000
	Senior unsecured notes		847,594		884,000		1,347,159		1,385,000
	Revolving credit facility debt		-		-		-		-
		$	10,007,007	$	10,156,000	$	9,610,324	$	9,609,000

XML

Identified Intangible Assets and Liabilities (Tables)

9 Months Ended

Sep. 30, 2015

Finite-Lived Intangible Assets [Line Items]

Schedule of Identified Intangible Assets and Intangible Liabilities (Table)

(Amounts in thousands)	Balance as of
	September 30, 2015		December 31, 2014
Identified intangible assets:
Gross amount	$	432,357	$	424,976
Accumulated amortization		(190,543)		(199,821)
Net	$	241,814	$	225,155
Identified intangible liabilities (included in deferred revenue):
Gross amount	$	666,370	$	657,976
Accumulated amortization		(316,908)		(329,775)
Net	$	349,462	$	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	$	51,780
2017		44,079
2018		42,733
2019		30,775
2020		23,143

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	$	30,165
2017		24,745
2018		20,373
2019		15,685
2020		12,245

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

9 Months Ended

Sep. 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 Nine Months Ended
	September 30,				September 30,
	2015		2014		2015		2014
BMS cleaning fees	$	18,563	$	22,467	$	62,937	$	63,618
Management and leasing fees		4,045		4,266		12,511		15,859
Lease termination fees		1,517		3,300		8,157		11,422
Other income		10,036		7,746		29,393		23,631
	$	34,161	$	37,779	$	112,998	$	114,530

Management and leasing fees include management fees from Interstate Properties, a related party, of $132,000and $132,000for the three months endedSeptember 30, 2015 and 2014,and $403,000and $397,000for the nine months ended September 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	Sep. 30, 2015	Dec. 31, 2014
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Senior unsecured notes	$ 847,594	$ 1,347,159
Carrying (Reported) Amount, Fair Value Disclosure [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Cash equivalents	545,617	749,418
Mortgage and mezzanine loans receivable (included in other assets)	0	16,748
Total assets	545,617	766,166
Mortgages payable	9,159,413	8,263,165
Senior unsecured notes	847,594	1,347,159
Revolving credit facility debt	0	0
Total debt	10,007,007	9,610,324
Estimate of Fair Value, Fair Value Disclosure [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Cash equivalents	546,000	749,000
Mortgage and mezzanine loans receivable (included in other assets)	0	17,000
Total assets	546,000	766,000
Mortgages payable	9,272,000	8,224,000
Senior unsecured notes	884,000	1,385,000
Revolving credit facility debt	0	0
Total debt	$ 10,156,000	$ 9,609,000

XML

Consolidated Statements of Cash Flows - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014
Cash Flows from Operating Activities:
Net income	$ 575,886	$ 433,040
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization (including amortization of deferred financing costs)	420,494	423,959
Straight-lining of rental income	(108,529)	(56,983)
Net gain on disposition of wholly owned and partially owned assets	(104,897)	(13,205)
Return of capital from real estate fund investments	91,036	215,676
Reversal of allowance for deferred tax assets	(90,030)	0
Net gains on sale of real estate and other	(65,396)	(57,796)
Distributions of income from partially owned entities	51,650	42,164
Amortization of below-market leases, net	(45,918)	(32,663)
Net realized and unrealized gains on real estate fund investments	(38,781)	(131,558)
Other non-cash adjustments	35,190	28,691
Loss from partially owned entities	8,709	78,676
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	(95,010)	(3,392)
Tenant and other receivables, net	1,892	(2,775)
Prepaid assets	(77,899)	(85,372)
Other assets	(92,413)	(68,833)
Accounts payable and accrued expenses	(5,799)	36,949
Other liabilities	(16,168)	(3,190)
Net cash provided by operating activities	443,525	828,569
Cash Flows from Investing Activities:
Acquisitions of real estate and other	(388,565)	(95,546)
Proceeds from sales of real estate and related investments	375,850	335,489
Development costs and construction in progress	(339,586)	(368,571)
Additions to real estate	(207,845)	(171,660)
Restricted cash	201,895	101,592
Investments in partially owned entities	(144,890)	(91,697)
Distributions of capital from partially owned entities	31,822	8,130
Investments in loans receivable	(25,845)	(11,380)
Proceeds from repayments of mortgage and mezzanine loans receivable and other	16,781	96,504
Net cash used in investing activities	(480,383)	(197,139)
Cash Flows from Financing Activities:
Proceeds from borrowings	2,876,460	1,713,285
Repayments of borrowings	(2,539,677)	(343,354)
Distributions to Vornado	(355,945)	(410,724)
Cash included in the spin-off of Urban Edge Properties	(225,000)	0
Distributions to redeemable security holders and noncontrolling interests	(93,738)	(208,773)
Distributions to preferred unitholders	(60,213)	(61,102)
Contributions from noncontrolling interests in consolidated subsidiaries	51,725	5,297
Debt issuance costs	(37,467)	(40,424)
Proceeds received from exercise of Vornado share options	15,273	13,738
Repurchase of Class A units related to equity compensation agreements and/or related tax withholdings and other	(4,900)	(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	(373,482)	468,422
Net (decrease) increase in cash and cash equivalents	(410,340)	1,099,852
Cash and cash equivalents at beginning of period	1,198,477	583,290
Cash and cash equivalents at end of period	788,137	1,683,142
Supplemental Disclosure Of Cash Flow Information:
Cash payments for interest, excluding capitalized interest of $40,924 and $46,517	256,254	317,162
Cash payments for income taxes	7,640	9,407
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	295,713	(144,231)
Transfer of interest in real estate to Pennsylvania Real Estate Investment Trust	(145,313)	0
Write-off of fully depreciated assets	(127,788)	(103,184)
Accrued capital expenditures included in accounts payable and accrued expenses	95,535	103,032
Class A units in connection with acquisition	80,000	0
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)
Discontinued Operations [Member]
Adjustments to reconcile net income to net cash provided by operating activities:
Loss from partially owned entities	7,961	77,426
Acquisitions [Member]
Non-cash distribution of Urban Edge Properties:
Like-kind exchange of real estate	80,269	50,159
Dispositions [Member]
Non-cash distribution of Urban Edge Properties:
Like-kind exchange of real estate	$ (213,621)	$ (50,159)

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Consolidated Balance Sheets (Parentheticals) - USD ($) $ in Thousands	Sep. 30, 2015	Dec. 31, 2014
ASSETS
Tenant and other receivables, allowance for doubtful accounts (in US dollars)	$ 11,640	$ 12,210
Receivable arising from the straight-lining of rents, allowance (in US dollars)	2,922	3,190
Deferred leasing and financing costs, accumulated amortization (in US dollars)	292,767	281,109
Identified intangible assets, accumulated amortization (in US dollars)	$ 190,543	$ 199,821
Capital Unit Class A [Member]
LIABILITIES, REDEEMABLE PARTNERSHIP UNITS AND EQUITY
Outstanding Partnership Units held by Third Parties	12,258,987	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

9 Months Ended

Sep. 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 September 30, 2015 and December 31, 2014.

(Amounts in thousands)	Balance as of
	September 30, 2015		December 31, 2014
Identified intangible assets:
Gross amount	$	432,357	$	424,976
Accumulated amortization		(190,543)		(199,821)
Net	$	241,814	$	225,155
Identified intangible liabilities (included in deferred revenue):
Gross amount	$	666,370	$	657,976
Accumulated amortization		(316,908)		(329,775)
Net	$	349,462	$	328,201

Amortization of acquired below-market leases, net of acquired above-market leases, resulted in anincrease to rental income of $19,786,000and $8,099,000 for the three months ended September 30, 2015 and 2014, respectively, and $45,614,000 and $26,333,000for the nine months ended September 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	$	51,780
2017		44,079
2018		42,733
2019		30,775
2020		23,143

Amortization of all other identified intangible assets (a component of depreciation and amortization expense) was $9,658,000 and $5,866,000for the three months ended September 30, 2015 and 2014, respectively, and $24,402,000 and $21,697,000 for the nine months ended September 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	$	30,165
2017		24,745
2018		20,373
2019		15,685
2020		12,245

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 $458,000for the three months ended September 30, 2015 and2014 and $1,374,000 for the nine months ended September 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	9 Months Ended
	Sep. 30, 2015 shares
Document and Entity Information [Abstract]
Entity Registrant Name	VORNADO REALTY LP
Entity Central Index Key	0001040765
Document Type	10-Q
Document Period End Date	Sep. 30, 2015
Document Fiscal Year Focus	2015
Document Fiscal Period Focus	Q3
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

9 Months Ended

Sep. 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.

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.

On September 22, 2015, we upsized the loan on our 220 Central Park South development by $350,000,000 to $950,000,000. The interest rate on the loan is LIBOR plus 2.00% and the final maturity date is 2020. In connection with the upsizing, the standby commitment for a $500,000,000 mezzanine loan for this development has been terminated by payment of a $15,000,000 contractual termination fee, which was capitalized as a component of“development costsand construction in progress” on our consolidated balance sheet as of September 30, 2015.

The following is a summary of our debt:

(Amounts in thousands)		Interest Rate at		Balance at
		September 30, 2015		September 30, 2015		December 31, 2014
Mortgages Payable:
	Fixed rate		4.43%	$	6,341,271	$	6,499,396
	Variable rate		2.01%		2,818,142		1,763,769
			3.69%	$	9,159,413	$	8,263,165
Unsecured Debt:
	Senior unsecured notes		3.68%	$	847,594	$	1,347,159
	Revolving credit facility debt		-		-		-
			3.68%	$	847,594	$	1,347,159

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Consolidated Statements of Income - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014
REVENUES:
Property rentals	$ 526,337	$ 474,978	$ 1,541,454	$ 1,420,608
Tenant expense reimbursements	67,098	65,953	196,234	180,364
Fee and other income	34,161	37,779	112,998	114,530
Total revenues	627,596	578,710	1,850,686	1,715,502
EXPENSES:
Operating	256,561	240,088	753,744	707,047
Depreciation and amortization	141,920	114,822	402,999	359,814
General and administrative	36,157	40,384	133,838	128,364
Acquisition and transaction related costs	1,518	1,277	7,560	3,629
Total expenses	436,156	396,571	1,298,141	1,198,854
Operating income	191,440	182,139	552,545	516,648
Loss from partially owned entities	(325)	(26,034)	(8,709)	(78,676)
Income from real estate fund investments	1,665	24,160	52,122	142,418
Interest and other investment income, net	3,160	7,568	19,618	28,814
Interest and debt expense	(95,344)	(100,817)	(279,110)	(301,042)
Net gain on disposition of wholly owned and partially owned assets	103,037	2,665	104,897	13,205
Income before income taxes	203,633	89,681	441,363	321,367
Income tax (expense) benefit	(2,856)	(2,652)	84,245	(6,783)
Income from continuing operations	200,777	87,029	525,608	314,584
Income from discontinued operations	34,463	82,168	50,278	118,456
Net income	235,240	169,197	575,886	433,040
Less net income attributable to noncontrolling interests in consolidated subsidiaries	(3,302)	(9,685)	(38,370)	(85,239)
Net income attributable to Vornado Realty L.P.	231,938	159,512	537,516	347,801
Preferred unit distributions	(20,412)	(20,378)	(60,322)	(61,137)
NET INCOME attributable to Class A unitholders	$ 211,526	$ 139,134	$ 477,194	$ 286,664
INCOME PER CLASS A UNIT - BASIC:
Income from continuing operations, net (in dollars per unit)	$ 0.88	$ 0.28	$ 2.13	$ 0.83
Income from discontinued operations (in dollars per unit)	0.17	0.42	0.25	0.60
Net income per Class A unit (in dollars per unit)	$ 1.05	$ 0.70	$ 2.38	$ 1.43
Weighted average units outstanding (in units)	199,609	198,322	199,111	198,158
INCOME PER CLASS A UNIT - DILUTED:
Income from continuing operations, net (in dollars per unit)	$ 0.88	$ 0.28	$ 2.11	$ 0.83
Income from discontinued operations (in dollars per unit)	0.17	0.41	0.25	0.59
Net income per Class A unit (in dollars per unit)	$ 1.05	$ 0.69	$ 2.36	$ 1.42
Weighted average units outstanding (in units)	201,273	199,940	200,980	199,668
DISTRIBUTIONS PER CLASS A UNIT (in dollars per unit)	$ 0.63	$ 0.73	$ 1.89	$ 2.19

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Acquisitions

9 Months Ended

Sep. 30, 2015

Acquisitions [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).

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 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 newlyissued Operating Partnership units valued at approximately $80,000,000.

On September 25, 2015, we acquired 265 West 34th Street, a 1,700 square foot retail property and 15,200 square feet of additional zoning air rights, for approximately $28,500,000.

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Recently Issued Accounting Literature

9 Months Ended

Sep. 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 – Dispositions 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

9 Months Ended

Sep. 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 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 $6,501,000 and $8,315,000for the three months ended September 30, 2015 and 2014, respectively and $33,328,000and $28,389,000for the nine months ended September 30, 2015 and 2014, respectively.

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Redeemable Partnership Units

9 Months Ended

Sep. 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		16,552
Other comprehensive loss		(109)
Distributions		(25,166)
Redemption of Class A units, at redemption value		(22,668)
Adjustments to carry redeemable Class A units at redemption value		144,231
Other, net		23,592
Balance at September 30, 2014	$	1,140,052
Balance at December 31, 2014	$	1,337,780
Net income		28,189
Other comprehensive loss		(3,082)
Distributions		(22,502)
Redemption of Class A units, at redemption value		(46,693)
Adjustments to carry redeemable Class A units at redemption value		(295,713)
Issuance of Class A units		80,000
Issuance of Series D-17 Preferred Units		4,428
Other, net		31,478
Balance at September 30, 2015	$	1,113,885

As of September 30,2015 and December 31, 2014, the aggregate redemption value of redeemable Class A units, which are those units held by third parties, was $1,108,457,000and $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$53,135,000as of September 30, 2015 and $55,097,000 as of 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

9 Months Ended

Sep. 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 September 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
						August 1, 2015		November 1, 2014
Balance Sheet:
	Assets					$	9,732,000	$	11,267,000
	Liabilities						9,056,000		10,377,000
	Noncontrolling interests						85,000		82,000
	Toys “R” Us, Inc. equity (1)						591,000		808,000
(Amounts in thousands)		For the Three Months Ended				For the Nine Months Ended
		August 1, 2015		August 2, 2014		August 1, 2015		August 2, 2014
Income Statement:
	Total revenues	$	2,293,000	$	2,440,000	$	9,601,000	$	10,186,000
	Net loss attributable to Toys		(108,700)		(133,000)		(44,700)		(244,000)
(1)	At September 30, 2015, the carrying amount of our investment in Toys is less than our share of Toys' equity by approximately $191,859. This basis difference results primarily from non-cash impairment losses aggregating $355,953 that we have recognized through September 30, 2015. We have allocated the basis difference primarily to Toys' real estate.

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

As of September 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 ofSeptember 30, 2015, the market value (“fair value” pursuant to ASC 820, Fair Value Measurements and Disclosures(“ASC 820”)) of our investment in Alexander's, based on Alexander's September 30,2015 closing share price of $374.00, was $618,621,000, or $487,226,000in excess of the carrying amount on our consolidated balance sheet. As of September 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 $40,527,000.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
						September 30, 2015		December 31, 2014
Balance Sheet:
	Assets					$	1,457,000	$	1,423,000
	Liabilities						1,112,000		1,075,000
	Stockholders' equity						345,000		348,000
(Amounts in thousands)		For the Three Months Ended September 30,				For the Nine Months Ended September 30,
		2015		2014		2015		2014
Income Statement:
	Total revenues	$	52,000	$	50,000	$	155,000	$	149,000
	Net income attributable to Alexander’s		18,000		18,000		53,000		50,000

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% ownershipinterestin UE. We account for our investment in UE under the equity method and record our share of UE's net income or loss 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) certain small retail properties that we plan to sell, and (ii) our affiliate, Alexander's,Rego Park retail assets. As of September 30, 2015, the fair value of our investment in UE, based on UE's September 30, 2015 closing share price of $21.59, was $123,434,000, or$98,033,000 in excess of the carrying amount on our consolidated balance sheet.

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 – Dispositions). $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 record our share of PREIT's net income or loss on a one-quarter lag basis. As of September 30, 2015, the fair value of our investment in PREIT, based on PREIT's September 30, 2015closing share price of $19.83, was $123,938,000, or $14,327,000 lower than the carrying amount on our consolidated balance sheet. As ofSeptember 30, 2015, the carrying amount of our investment in PREIT exceeds our share of the equity in the net assets of PREIT by approximately $65,681,000. The majority of this basis difference resulted from the excess of the fair value of the PREIT operating units received over our share of the book value of PREIT's net assets. Substantially all of this basis difference was allocated, based on our estimates of the fair values of PREIT'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 PREIT's net loss. The basis difference related to the land will be recognized upon disposition of our investment.

512 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 512 West 22nd Street.The development cost of this project is approximately $235,000,000. The development is expected to commence during the fourth quarter of 2015 and be completed in 2017. We account for our investment in the joint venture under the equity method.

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

(Amounts in thousands)		Percentage
		Ownership at		Balance as of
		September 30, 2015		September 30, 2015		December 31, 2014
Investments:
	Partially owned office buildings (1)		Various	$	857,282	$	760,749
	PREIT Associates		8.1%		138,265		-
	Alexander’s		32.4%		131,395		131,616
	India real estate ventures		4.1%-36.5%		48,114		76,752
	UE		5.4%		25,401		-
	Toys		32.5%		-		-
	Other investments (2)		Various		259,721		271,372
				$	1,460,178	$	1,240,489
(1)	Includes interests in 280 Park Avenue, 650 Madison Avenue, One Park Avenue, 666 Fifth Avenue (Office), 330 Madison Avenue, 512 West 22nd Street and others.
(2)	Includes interests in Independence Plaza, 85 Tenth Avenue, Fashion Center Mall, 50-70 West 93rd Street and others.

(Amounts in thousands)			Percentage		For the Three Months Ended				For the Nine Months Ended
			Ownership at		September 30,				September 30,
			September 30, 2015		2015		2014		2015			2014
Our Share of Net (Loss) Income:
	Alexander's:
		Equity in net income		32.4%	$	5,716	$	5,552	$	16,757		$	15,583
		Management, leasing and development fees				1,828		1,640		5,801			4,888
						7,544		7,192		22,558			20,471
	Partially owned office buildings (1)			Various		(2,039)		18		(14,573)			(1,387)
	Toys:
		Equity in net loss		32.5%		-		(20,357)		-			(4,691)
		Non-cash impairment loss				-		-		-			(75,196)
		Management fees				46		1,939		2,000			5,725
						46		(18,418)		2,000			(74,162)
	India real estate ventures			4.1%-36.5%		(1,704)		(262)		(18,380)	(2)		(2,440)
	Other investments (3)			Various		(4,172)		(14,564)		(314)			(21,158)
					$	(325)	$	(26,034)	$	(8,709)		$	(78,676)
(1)	Includes interests in 280 Park Avenue, 650 Madison Avenue, One Park Avenue, 666 Fifth Avenue (Office), 330 Madison Avenue, 512 West 22nd Street and others.
(2)	Includes $14,806 for our share of non-cash impairment losses.
(3)	Includes interests in UE, PREIT Associates, Independence Plaza, 85 Tenth Avenue, Fashion Center Mall, 50-70 West 93rd Street and others. In the third quarter of 2014, we recognized a $10,263 non-cash charge, comprised of a $5,959 impairment loss and a $4,304 loan loss reserve, on our equity and debt investments in Suffolk Downs.

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Debt (Narratives) (Details) ft² in Thousands				1 Months Ended		3 Months Ended			9 Months Ended
	Sep. 22, 2015 USD ($)	Jul. 28, 2015 USD ($) ft²	Jun. 02, 2015 USD ($) Extensions	Apr. 30, 2015 USD ($) Properties ResidentialUnits	Jan. 31, 2015 USD ($)	Sep. 30, 2015 USD ($) ft²	Mar. 31, 2015 USD ($)	Sep. 30, 2014 USD ($)	Sep. 30, 2015 USD ($) ft²	Sep. 30, 2014 USD ($)	Dec. 31, 2014 USD ($)
Debt Instrument [Line Items]
Net proceeds from borrowings									$ 2,876,460,000	$ 1,713,285,000
Mortgages payable (in US Dollars)						$ 9,159,413,000			9,159,413,000		$ 8,263,165,000
Mezzanine loan contract termination fee						$ 15,000,000		$ 0	$ 15,000,000	$ 0
New York Manhattan 220 Central Park South Site [Member]
Debt Instrument [Line Items]
Square Footage Of Real Estate Property | ft²						392			392
New York Office 100 West 33rd Street [Member]
Debt Instrument [Line Items]
Square Footage Of Real Estate Property | ft²		851
New York Manhattan Mall [Member]
Debt Instrument [Line Items]
Square Footage Of Real Estate Property | ft²		256
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
Net 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%			4.43%
Mortgages payable (in US Dollars)						$ 6,341,271,000			$ 6,341,271,000		6,499,396,000
Notes And Mortgages Payable Variable Rate [Member]
Debt Instrument [Line Items]
Interest Rate, End of Period (in percentage)						2.01%			2.01%
Mortgages payable (in US Dollars)						$ 2,818,142,000			$ 2,818,142,000		$ 1,763,769,000
Notes And Mortgages Payable Variable Rate [Member] | New York Manhattan 220 Central Park South Site [Member]
Debt Instrument [Line Items]
Debt Instrument, Description of Variable Rate Basis	LIBOR
Spread Over LIBOR (in percentage)	2.00%
Debt Instrument Maturity	2020
Mortgages payable (in US Dollars)	$ 950,000,000
Increase in loan amount	350,000,000
Notes And Mortgages Payable Variable Rate [Member] | New York Office 100 West 33rd Street [Member]
Debt Instrument [Line Items]
Notes And Loans Payable Refinanced Amount (in US Dollars)		$ 580,000,000
Debt Instrument, Description of Variable Rate Basis		LIBOR
Spread Over LIBOR (in percentage)		1.65%
Debt Instrument Maturity		July 2020
Net proceeds from borrowings		$ 242,000,000
Square Footage Of Real Estate Property | ft²		1,100
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)						3.69%			3.69%
Standby Commitment [Member] | New York Manhattan 220 Central Park South Site [Member]
Debt Instrument [Line Items]
Mezzanine loan financing (in US Dollars)	500,000,000
Mezzanine loan contract termination fee	$ 15,000,000
Senior Unsecured Notes [Member]
Debt Instrument [Line Items]
Interest Rate, End of Period (in percentage)						3.68%			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)

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Real Estate Fund Investments

9 Months Ended

Sep. 30, 2015

Real Estate Fund Investments [Abstract]

Real Estate Fund Investments

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 $23,768,000 net gain over the holding period.

AtSeptember 30, 2015, we hadsixreal estate fund investmentswith an aggregate fair value of $555,414,000, or $190,620,000in excess of cost, and had remaining unfunded commitments of $102,212,000, of which our share was$25,553,000. Below is a summary of income from the Fund and the Co-Investment for the three and nine months endedSeptember 30, 2015 and 2014.

(Amounts in thousands)		For the Three Months Ended				For the Nine Months Ended
		September 30,				September 30,
		2015		2014		2015		2014
Net investment income		$	5,116	$	3,829	$	13,716	$	10,860
Net realized (losses) gains on exited investments			(907)		51,584		24,684		126,653
Previously recorded unrealized gains on exited investments			-		(49,586)		(23,279)		(50,316)
Net unrealized (losses) gains on held investments			(2,544)		18,333		37,001		55,221
Income from real estate fund investments			1,665		24,160		52,122		142,418
Less income attributable to noncontrolling interests			(42)		(8,588)		(29,453)		(81,217)
Income from real estate fund investments attributable to Vornado Realty L.P.(1)		$	1,623	$	15,572	$	22,669	$	61,201
(1)	Excludes property management, leasing and development fees of $678 and $669 for the three months ended September 30, 2015 and 2014, respectively, and $2,015 and $1,925 for the nine months ended September 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

9 Months Ended

Sep. 30, 2015

Marketable Securities [Abstract]

Marketable Securities

6. Marketable Securities

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

(Amounts in thousands)		As of September 30, 2015						As of December 31, 2014
				GAAP		Unrealized				GAAP		Unrealized
		Fair Value		Cost		Gain		Fair Value		Cost		Gain
Equity securities:
	Lexington Realty Trust	$	149,599	$	72,549	$	77,050	$	202,789	$	72,549	$	130,240
	Other		3,328		-		3,328		3,534		-		3,534
		$	152,927	$	72,549	$	80,378	$	206,323	$	72,549	$	133,774

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Dispositions

9 Months Ended

Sep. 30, 2015

Dispositions [Abstract]

Dispositions

8. Dispositions

On September 9, 2015, we completed the sale of 1750 Pennsylvania Avenue, NW, a 278,000 square foot office building in Washington, DC for $182,000,000, resulting in a net gain of approximately$102,000,000 which is included in “net gain on disposition of wholly owned and partially owned assets” on our consolidated statement of income. The tax gain of approximately $137,000,000 wasdeferred as part of a like-kind exchange. We are managing the property on behalf of the new owner.

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). In addition, we completed the following retail property sales, substantially completing the exit of the retail strips and malls business.

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 “income from discontinued operations” on our consolidated statements of income.

On August 6, 2015, we sold our 50% interest in the Monmouth Mall in Eatontown, NJ to our joint venture partner for $38,000,000, valuing the property at approximately $229,000,000, which resulted in a net gain of $33,153,000.

We also 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 the UE portfolio and other retailproperties discussed above to “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 “income from discontinued operations” on our consolidated statements of income. The tables below set forth the assets and liabilities related to discontinued operations at September 30, 2015 and December 31, 2014 and their combined results of operations and cash flows for thenine months ended September 30, 2015 and 2014.

(Amounts in thousands)					Balance as of
					September 30, 2015		December 31, 2014
Assets related to discontinued operations:
Real estate, net					$	27,560	$	2,028,677
Other assets						7,582		215,804
					$	35,142	$	2,244,481
Liabilities related to discontinued operations:
Mortgages payable					$	-	$	1,288,535
Other liabilities (primarily deferred revenue in 2014)						11,520		222,827
					$	11,520	$	1,511,362
(Amounts in thousands)	For the Three Months Ended				For the Nine Months Ended
	September 30,				September 30,
	2015		2014		2015		2014
Income from discontinued operations:
Total revenues	$	2,589	$	93,440	$	24,868	$	297,039
Total expenses		1,279		62,715		16,672		204,619
		1,310		30,725		8,196		92,420
Net gain on sale of our interest in Monmouth Mall		33,153		-		33,153		-
Net gains on sale of real estate		-		57,796		10,867		57,796
Transaction related costs (primarily UE spin off)		-		(5,828)		(22,972)		(9,343)
Net gain on sale of lease position in Geary Street, CA		-		-		21,376		-
Impairment losses		-		-		(256)		(20,842)
Pretax income from discontinued operations		34,463		82,693		50,364		120,031
Income tax expense		-		(525)		(86)		(1,575)
Income from discontinued operations	$	34,463	$	82,168	$	50,278	$	118,456
Cash flows related to discontinued operations:
Cash flows from operating activities					$	(34,490)	$	153,815
Cash flows from investing activities						348,697		(122,247)

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Variable Interest Entities ("VIEs") (Details) $ in Thousands	Sep. 30, 2015 USD ($) Entities	Dec. 31, 2014 USD ($) Entities
Consolidated Variable Interest Entities [Member]
Variable Interest Entity [Line Items]
Number Of Variable Interest Entities	0	0
Non Consolidated Variable Interest Entities [Member]
Variable Interest Entity [Line Items]
Number Of Variable Interest Entities	4	4
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 | $	$ 302,649

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Fair Value Measurements (Details) - USD ($) $ in Thousands	9 Months Ended	12 Months Ended
	Sep. 30, 2015	Dec. 31, 2014
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Marketable Securities	$ 152,927	$ 206,323
Real Estate Fund Nondepreciable Real Estate	555,414	513,973
Fair Value, Measurements, Recurring [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Marketable Securities	152,927	206,323
Real Estate Fund Nondepreciable Real Estate	555,414	513,973
Deferred Compensation Plan Assets	117,037	117,284
Total assets	825,378	837,580
Mandatorily redeemable instruments (included in other liabilities)	53,135	55,097
Interest rate swap (included in other liabilities)	24,014	25,797
Total liabilities	$ 77,149	$ 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	152,927	206,323
Real Estate Fund Nondepreciable Real Estate	0	0
Deferred Compensation Plan Assets	48,829	53,969
Total assets	201,756	260,292
Mandatorily redeemable instruments (included in other liabilities)	53,135	55,097
Interest rate swap (included in other liabilities)	0	0
Total liabilities	53,135	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)	24,014	25,797
Total liabilities	24,014	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	555,414	513,973
Deferred Compensation Plan Assets	68,208	63,315
Total assets	623,622	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		9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014
Accumulated other comprehensive (loss) income, Beginning Balance	$ 50,613	$ 92,221	$ 93,267	$ 71,537
OCI before reclassifications	(7,020)	(22,641)	(49,674)	(1,957)
Amounts reclassified from AOCI	0	0	0	0
Net current period OCI	(7,020)	(22,641)	(49,674)	(1,957)
Accumulated other comprehensive (loss) income, Ending Balance	43,593	69,580	43,593	69,580
Interest rate Swap [Member]
Accumulated other comprehensive (loss) income, Beginning Balance	(23,730)	(30,817)	(25,803)	(31,882)
OCI before reclassifications	(290)	4,781	1,783	5,846
Amounts reclassified from AOCI	0	0	0	0
Net current period OCI	(290)	4,781	1,783	5,846
Accumulated other comprehensive (loss) income, Ending Balance	(24,020)	(26,036)	(24,020)	(26,036)
Securities available for sale [Member]
Accumulated other comprehensive (loss) income, Beginning Balance	87,442	134,312	133,774	119,309
OCI before reclassifications	(7,064)	(22,764)	(53,396)	(7,761)
Amounts reclassified from AOCI	0	0	0	0
Net current period OCI	(7,064)	(22,764)	(53,396)	(7,761)
Accumulated other comprehensive (loss) income, Ending Balance	80,378	111,548	80,378	111,548
Pro Rata Share Of Non Consolidated Subsidiaries Oci [Member]
Accumulated other comprehensive (loss) income, Beginning Balance	(10,026)	(5,624)	(8,992)	(11,501)
OCI before reclassifications	(114)	(6,028)	(1,148)	(151)
Amounts reclassified from AOCI	0	0	0	0
Net current period OCI	(114)	(6,028)	(1,148)	(151)
Accumulated other comprehensive (loss) income, Ending Balance	(10,140)	(11,652)	(10,140)	(11,652)
Other [Member]
Accumulated other comprehensive (loss) income, Beginning Balance	(3,073)	(5,650)	(5,712)	(4,389)
OCI before reclassifications	448	1,370	3,087	109
Amounts reclassified from AOCI	0	0	0	0
Net current period OCI	448	1,370	3,087	109
Accumulated other comprehensive (loss) income, Ending Balance	$ (2,625)	$ (4,280)	$ (2,625)	$ (4,280)

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Investments in Partially Owned Entities (Tables)

9 Months Ended

Sep. 30, 2015

Schedule Of Equity Method Investments [Line Items]

Equity Method Investments [Table Text Block]

(Amounts in thousands)		Percentage
		Ownership at		Balance as of
		September 30, 2015		September 30, 2015		December 31, 2014
Investments:
	Partially owned office buildings (1)		Various	$	857,282	$	760,749
	PREIT Associates		8.1%		138,265		-
	Alexander’s		32.4%		131,395		131,616
	India real estate ventures		4.1%-36.5%		48,114		76,752
	UE		5.4%		25,401		-
	Toys		32.5%		-		-
	Other investments (2)		Various		259,721		271,372
				$	1,460,178	$	1,240,489
(1)	Includes interests in 280 Park Avenue, 650 Madison Avenue, One Park Avenue, 666 Fifth Avenue (Office), 330 Madison Avenue, 512 West 22nd Street and others.
(2)	Includes interests in Independence Plaza, 85 Tenth Avenue, Fashion Center Mall, 50-70 West 93rd Street and others.

(Amounts in thousands)			Percentage		For the Three Months Ended				For the Nine Months Ended
			Ownership at		September 30,				September 30,
			September 30, 2015		2015		2014		2015			2014
Our Share of Net (Loss) Income:
	Alexander's:
		Equity in net income		32.4%	$	5,716	$	5,552	$	16,757		$	15,583
		Management, leasing and development fees				1,828		1,640		5,801			4,888
						7,544		7,192		22,558			20,471
	Partially owned office buildings (1)			Various		(2,039)		18		(14,573)			(1,387)
	Toys:
		Equity in net loss		32.5%		-		(20,357)		-			(4,691)
		Non-cash impairment loss				-		-		-			(75,196)
		Management fees				46		1,939		2,000			5,725
						46		(18,418)		2,000			(74,162)
	India real estate ventures			4.1%-36.5%		(1,704)		(262)		(18,380)	(2)		(2,440)
	Other investments (3)			Various		(4,172)		(14,564)		(314)			(21,158)
					$	(325)	$	(26,034)	$	(8,709)		$	(78,676)
(1)	Includes interests in 280 Park Avenue, 650 Madison Avenue, One Park Avenue, 666 Fifth Avenue (Office), 330 Madison Avenue, 512 West 22nd Street and others.
(2)	Includes $14,806 for our share of non-cash impairment losses.
(3)	Includes interests in UE, PREIT Associates, Independence Plaza, 85 Tenth Avenue, Fashion Center Mall, 50-70 West 93rd Street and others. In the third quarter of 2014, we recognized a $10,263 non-cash charge, comprised of a $5,959 impairment loss and a $4,304 loan loss reserve, on our equity and debt investments in Suffolk Downs.

Toys R Us [Member]

Schedule Of Equity Method Investments [Line Items]

Equity Method Investments [Table Text Block]

(Amounts in thousands)						Balance as of
						August 1, 2015		November 1, 2014
Balance Sheet:
	Assets					$	9,732,000	$	11,267,000
	Liabilities						9,056,000		10,377,000
	Noncontrolling interests						85,000		82,000
	Toys “R” Us, Inc. equity (1)						591,000		808,000
(Amounts in thousands)		For the Three Months Ended				For the Nine Months Ended
		August 1, 2015		August 2, 2014		August 1, 2015		August 2, 2014
Income Statement:
	Total revenues	$	2,293,000	$	2,440,000	$	9,601,000	$	10,186,000
	Net loss attributable to Toys		(108,700)		(133,000)		(44,700)		(244,000)
(1)	At September 30, 2015, the carrying amount of our investment in Toys is less than our share of Toys' equity by approximately $191,859. This basis difference results primarily from non-cash impairment losses aggregating $355,953 that we have recognized through September 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
						September 30, 2015		December 31, 2014
Balance Sheet:
	Assets					$	1,457,000	$	1,423,000
	Liabilities						1,112,000		1,075,000
	Stockholders' equity						345,000		348,000
(Amounts in thousands)		For the Three Months Ended September 30,				For the Nine Months Ended September 30,
		2015		2014		2015		2014
Income Statement:
	Total revenues	$	52,000	$	50,000	$	155,000	$	149,000
	Net income attributable to Alexander’s		18,000		18,000		53,000		50,000

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Real Estate Fund Investments (Details 1) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014
Details Of Income From Real Estate Funds [Abstract]
Income from real estate fund investments	$ 1,665	$ 24,160	$ 52,122	$ 142,418
Less income attributable to noncontrolling interests	(3,302)	(9,685)	(38,370)	(85,239)
Fee And Other Income	34,161	37,779	112,998	114,530
Real Estate Fund [Member]
Details Of Income From Real Estate Funds [Abstract]
Net investment income	5,116	3,829	13,716	10,860
Net realized (loses) gains on exited investments	(907)	51,584	24,684	126,653
Previously recorded unrealized gains on exited investments	0	(49,586)	(23,279)	(50,316)
Net unrealized (losses) gains on held investments	(2,544)	18,333	37,001	55,221
Income from real estate fund investments	1,665	24,160	52,122	142,418
Less income attributable to noncontrolling interests	(42)	(8,588)	(29,453)	(81,217)
Income from real estate fund investments attributable to Vornado	1,623	15,572	22,669	61,201
Fee And Other Income	$ 678	$ 669	$ 2,015	$ 1,925

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Variable Interest Entities ("VIEs")

9 Months Ended

Sep. 30, 2015

Variable Interest Entities [Abstract]

Variable Interest Entities ("VIEs")

13. Variable Interest Entities (“VIEs”)

AtSeptember 30, 2015 and December 31, 2014,we havefour unconsolidated VIEs. 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 September 30, 2015 and December 31, 2014, the net carrying amounts of our investment in these entities were $302,649,000and$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 September 30, 2015 and December 31, 2014.

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Interest and Debt Expense

9 Months Ended

Sep. 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 Nine Months Ended
		September 30,				September 30,
		2015		2014		2015		2014
Interest expense		$	113,485	$	110,296	$	305,110	$	328,544
Amortization of deferred financing costs			7,864		6,856		22,817		19,015
Capitalized standby loan commitment termination fee
	(220 Central Park South development project)		(15,000)		-		(15,000)		-
Capitalized interest and debt expense			(11,005)		(16,335)		(33,817)		(46,517)
		$	95,344	$	100,817	$	279,110	$	301,042

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Acquisitions (Narratives) (Details)	Sep. 25, 2015 USD ($) ft²	Jul. 31, 2015 USD ($) ft² RenewalOptions shares	Jun. 02, 2015 USD ($) ft²	Mar. 18, 2015 USD ($) ft²	Jan. 20, 2015 USD ($) LimitedPartners	Sep. 30, 2015 USD ($)	Dec. 31, 2014 USD ($)
Business Acquisition [Line Items]
Mortgages payable						$ 9,159,413,000	$ 8,263,165,000
Real Estate Fund [Member]
Business Acquisition [Line Items]
Number Of Limited Partners | LimitedPartners					1
Retail Properties [Member] | 265 West 34th Street [Member]
Business Acquisition [Line Items]
Square Footage Of Real Estate Property | ft²	1,700
Business Acquisition Cost Of Acquired Entity	$ 28,500,000
Area Of Additional Zoning Air Rights | ft²	15,200
Office Building [Member] | 260 11th Avenue [Member]
Business Acquisition [Line Items]
Square Footage Of Real Estate Property | ft²		235,000
Lease Expiration Date		2021
Area Of Parking Lot And Additional Air Rights | ft²		10,000
Number Of Market Renewal Options | RenewalOptions		2
Term Of Market Renewal Options		5 years
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
Center Building [Member] | New York Segment [Member] | Office Building [Member]
Business Acquisition [Line Items]
Square Footage Of Real Estate Property | ft²				437,000
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			78,000
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			226,000

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Fee and Other Income (Tables)

9 Months Ended

Sep. 30, 2015

Fee And Other Income Tables [Abstract]

Fee and Other Income (Table)

(Amounts in thousands)	For the Three Months Ended				For the Nine Months Ended
	September 30,				September 30,
	2015		2014		2015		2014
BMS cleaning fees	$	18,563	$	22,467	$	62,937	$	63,618
Management and leasing fees		4,045		4,266		12,511		15,859
Lease termination fees		1,517		3,300		8,157		11,422
Other income		10,036		7,746		29,393		23,631
	$	34,161	$	37,779	$	112,998	$	114,530

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Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014
Net income	$ 235,240	$ 169,197	$ 575,886	$ 433,040
Other comprehensive income (loss):
Reduction in unrealized net gain on available-for-sale securities	(7,064)	(22,764)	(53,396)	(7,761)
Pro rata share of other comprehensive loss of nonconsolidated subsidiaries	(114)	(6,028)	(1,148)	(151)
(Reduction) increase in value of interest rate swap and other	(289)	4,782	1,788	5,846
Comprehensive income	227,773	145,187	523,130	430,974
Less comprehensive income attributable to noncontrolling interests in consolidated subsidiaries	(3,302)	(9,685)	(38,370)	(85,239)
Comprehensive income attributable to Vornado Realty L.P.	$ 224,471	$ 135,502	$ 484,760	$ 345,735

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Basis of Presentation and Significant Accounting Policies

9 Months Ended

Sep. 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 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 nine months endedSeptember 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 nine months endedSeptember 30, 2014, $7,698,000 and $25,889,000, 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 392,000salable square feet on our 220 Central Park South development site.

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 September 30, 2015 and December 31, 2014, our taxable REIT subsidiaries had deferred tax assetsrelated to net operating loss carryforwards 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 these 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.Based upon residential condominium unit sales, among other factors,we have concluded that it is more-likely-than-not that we will generate sufficient taxable income to realize these 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.

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Dispositions (Details 1) - USD ($) $ in Thousands	3 Months Ended			9 Months Ended
	Sep. 30, 2015	Mar. 31, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014	Dec. 31, 2014
Dispositions [Abstract]
Real Estate, Net	$ 27,560			$ 27,560		$ 2,028,677
Other Assets	7,582			7,582		215,804
Assets related to discontinued operations	35,142			35,142		2,244,481
Mortgages Payable	0			0		1,288,535
Other Liabilities (primarily deferred revenue in 2014)	11,520			11,520		222,827
Liabilities related to discontinued operations	11,520			11,520		$ 1,511,362
Income from discontinued operations:
Total revenues	2,589		$ 93,440	24,868	$ 297,039
Total expenses	1,279		62,715	16,672	204,619
Income from discontinued operations before gain on sale of real estate	1,310		30,725	8,196	92,420
Net gains on sale of real estate	0	$ 3,675	57,796	10,867	57,796
Transaction related costs (primarily UE Spin off)	0		(5,828)	(22,972)	(9,343)
Net gain on sale of lease position in Geary Street, CA	0		0	21,376	0
Impairment losses	0		0	(256)	(20,842)
Pretax income from discontinued operations	34,463		82,693	50,364	120,031
Income tax expense	0		(525)	(86)	(1,575)
Income from Discontinued Operations	34,463		82,168	50,278	118,456
Cash flows related to discontinued Operations:
Cash flows from operating activities, discontinued operations				(34,490)	153,815
Cash flows from investing activities, discontinued operations				348,697	(122,247)
Monmouth Mall [Member]
Income from discontinued operations:
Net gains on sale of real estate	$ 33,153		$ 0	$ 33,153	$ 0

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Incentive Compensation (Narratives) (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Share Based Compensation Expense	$ 6,501	$ 8,315	$ 33,328	$ 28,389

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Income Per Class A Unit

9 Months Ended

Sep. 30, 2015

Income Per Class A Unit [Abstract]

Income Per Class A 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 Nine Months Ended
			September 30,				September 30,
			2015		2014		2015		2014
Numerator:
	Income from continuing operations, net of income attributable
		to noncontrolling interests	$	197,475	$	77,344	$	487,238	$	229,345
	Income from discontinued operations			34,463		82,168		50,278		118,456
	Net income attributable to Vornado Realty L.P.			231,938		159,512		537,516		347,801
	Preferred unit distributions			(20,412)		(20,378)		(60,322)		(61,137)
	Net income attributable to Class A unitholders			211,526		139,134		477,194		286,664
	Earnings allocated to unvested participating securities			(1,053)		(769)		(2,862)		(2,436)
	Numerator for basic income per Class A unit			210,473		138,365		474,332		284,228
	Impact of assumed conversions:
		Convertible preferred unit distributions		23		24		69		-
	Numerator for diluted income per Class A unit		$	210,496	$	138,389	$	474,401	$	284,228
Denominator:
	Denominator for basic income per Class A unit – weighted
		average units		199,609		198,322		199,111		198,158
	Effect of dilutive securities(1):
		Vornado stock options and restricted unit awards		1,619		1,577		1,824		1,510
		Convertible preferred units		45		41		45		-
	Denominator for diluted income per Class A unit – weighted
		average units and assumed conversions		201,273		199,940		200,980		199,668
INCOME PER CLASS A UNIT – BASIC:
	Income from continuing operations, net		$	0.88	$	0.28	$	2.13	$	0.83
	Income from discontinued operations			0.17		0.42		0.25		0.60
	Net income per Class A unit		$	1.05	$	0.70	$	2.38	$	1.43
INCOME PER CLASS A UNIT – DILUTED:
	Income from continuing operations, net		$	0.88	$	0.28	$	2.11	$	0.83
	Income from discontinued operations			0.17		0.41		0.25		0.59
	Net income per Class A unit		$	1.05	$	0.69	$	2.36	$	1.42
(1)	The effect of dilutive securities for the three months ended September 30, 2015 and 2014 excludes an aggregate of 180 and 117 weighted average Class A unit equivalents, respectively, and 150 and 182 weighted average Class A unit equivalents for the nine months ended September 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		9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014
Income Per Class A Unit [Abstract]
Weighted average Class A unit equivalents of excluded dilutive securities due to anti-dilutive effect	180	117	150	182

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Redeemable Partnership Units (Tables)

9 Months Ended

Sep. 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		16,552
Other comprehensive loss		(109)
Distributions		(25,166)
Redemption of Class A units, at redemption value		(22,668)
Adjustments to carry redeemable Class A units at redemption value		144,231
Other, net		23,592
Balance at September 30, 2014	$	1,140,052
Balance at December 31, 2014	$	1,337,780
Net income		28,189
Other comprehensive loss		(3,082)
Distributions		(22,502)
Redemption of Class A units, at redemption value		(46,693)
Adjustments to carry redeemable Class A units at redemption value		(295,713)
Issuance of Class A units		80,000
Issuance of Series D-17 Preferred Units		4,428
Other, net		31,478
Balance at September 30, 2015	$	1,113,885

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Accumulated Other Comprehensive Income ("AOCI")

9 Months Ended

Sep. 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 September 30, 2015
Balance as of June 30, 2015		$	50,613	$	87,442	$	(10,026)	$	(23,730)	$	(3,073)
	OCI before reclassifications		(7,020)		(7,064)		(114)		(290)		448
	Amounts reclassified from AOCI		-		-		-		-		-
Net current period OCI			(7,020)		(7,064)		(114)		(290)		448
Balance as of September 30, 2015		$	43,593	$	80,378	$	(10,140)	$	(24,020)	$	(2,625)
For the Three Months Ended September 30, 2014
Balance as of June 30, 2014		$	92,221	$	134,312	$	(5,624)	$	(30,817)	$	(5,650)
	OCI before reclassifications		(22,641)		(22,764)		(6,028)		4,781		1,370
	Amounts reclassified from AOCI		-		-		-		-		-
Net current period OCI			(22,641)		(22,764)		(6,028)		4,781		1,370
Balance as of September 30, 2014		$	69,580	$	111,548	$	(11,652)	$	(26,036)	$	(4,280)
For the Nine Months Ended September 30, 2015
Balance as of December 31, 2014		$	93,267	$	133,774	$	(8,992)	$	(25,803)	$	(5,712)
	OCI before reclassifications		(49,674)		(53,396)		(1,148)		1,783		3,087
	Amounts reclassified from AOCI		-		-		-		-		-
Net current period OCI			(49,674)		(53,396)		(1,148)		1,783		3,087
Balance as of September 30, 2015		$	43,593	$	80,378	$	(10,140)	$	(24,020)	$	(2,625)
For the Nine Months Ended September 30, 2014
Balance as of December 31, 2013		$	71,537	$	119,309	$	(11,501)	$	(31,882)	$	(4,389)
	OCI before reclassifications		(1,957)		(7,761)		(151)		5,846		109
	Amounts reclassified from AOCI		-		-		-		-		-
Net current period OCI			(1,957)		(7,761)		(151)		5,846		109
Balance as of September 30, 2014		$	69,580	$	111,548	$	(11,652)	$	(26,036)	$	(4,280)