Vornado Realty Trust to purchase 623 Fifth Ave. for $218 million

Manhattan, NY Vornado Realty Trust has entered into an agreement to purchase the 623 Fifth Ave. office condominium, a 36-story, 382,500 rentable s/f building situated above the flagship Saks Fifth Ave. department store, for $218 million. The building’s location provides for light, air and views of Midtown including Rockefeller Center and St. Patrick’s Cathedral.

The building is 75% vacant and Vornado intends to reposition and redevelop it into a class A boutique office building. The fully transformed 623 Fifth Ave. building will complement Vornado’s nearby Plaza District and Park Ave. holdings of 280 Park Ave., 350 Park Ave., 595 Madison Ave., 640 Fifth Ave., 689 Fifth Ave. and 1290 Avenue of the Americas.

Vornado expects to close the acquisition this month and complete the redevelopment for delivery to tenants in 2027.