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Segment Information
 12 Months Ended
Dec. 31, 2014
Segment Reporting [Abstract]  
Segment Information

25. Segment Information

 

As a result of the spin-off of substantially all of our Retail Properties segment (see Note 1 – Organization and Business), 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 6 - Investments in Partially Owned Entities) and the Toys segment no longer meets the criteria to be a separate reportable segment. Accordingly, the Retail Properties segment and Toys have been reclassified to the Other segment. Below is a summary of net income and a reconciliation of net income to EBITDA(1) by segment for the years ended December 31, 2014, 2013 and 2012.

 

  
(Amounts in thousands)For the Year Ended December 31, 2014
    Total New York Washington, DC Other 
Total revenues $ 2,312,512 $ 1,520,845 $ 537,151 $ 254,516 
Total expenses   1,622,619   946,466   358,019   318,134 
Operating income (loss)   689,893   574,379   179,132   (63,618) 
(Loss) income from partially owned entities, including Toys   (58,131)   20,701   (3,677)   (75,155) 
Income from Real Estate Fund   163,034   -   -   163,034 
Interest and other investment income, net   38,752   6,711   183   31,858 
Interest and debt expense   (412,755)   (183,427)   (75,395)   (153,933) 
Net gain on disposition of wholly owned and partially             
 owned assets   13,568   -   -   13,568 
Income (loss) before income taxes   434,361   418,364   100,243   (84,246) 
Income tax expense   (9,281)   (4,305)   (242)   (4,734) 
Income (loss) from continuing operations   425,080   414,059   100,001   (88,980) 
Income from discontinued operations   583,946   463,163   -   120,783 
Net income   1,009,026   877,222   100,001   31,803 
Less net income attributable to noncontrolling interests in             
 consolidated subsidiaries   (96,561)   (8,626)   -   (87,935) 
Net income (loss) attributable to Vornado Realty L.P.   912,465   868,596   100,001   (56,132) 
Interest and debt expense(2)   654,398   241,959   89,448   322,991 
Depreciation and amortization(2)   685,973   324,239   145,853   215,881 
Income tax expense(2)   24,248   4,395   288   19,565 
EBITDA(1) $ 2,277,084 $ 1,439,189 (3)$ 335,590 (4)$ 502,305 (5)
                
Balance Sheet Data:             
Real estate at cost $ 16,822,358 $ 9,732,818 $ 4,383,418 $ 2,706,122 
Investments in partially owned entities   1,246,496   1,036,130   102,635   107,731 
Total assets   21,248,320   10,752,763   4,310,974   6,184,583 
See notes on pages 111 and 112.             

25. Segment Information – continued

                
(Amounts in thousands)For the Year Ended December 31, 2013
    Total New York Washington, DC Other 
Total revenues $ 2,299,176 $ 1,470,907 $ 541,161 $ 287,108 
Total expenses   1,624,625   910,498   347,686   366,441 
Operating income (loss)   674,551   560,409   193,475   (79,333) 
(Loss) income from partially owned entities, including Toys   (338,785)   15,527   (6,968)   (347,344) 
Income from Real Estate Fund   102,898   -   -   102,898 
Interest and other investment (loss) income, net   (24,887)   5,357   129   (30,373) 
Interest and debt expense   (425,782)   (181,966)   (102,277)   (141,539) 
Net gain on disposition of wholly owned and partially             
 owned assets   2,030   -   -   2,030 
(Loss) income before income taxes   (9,975)   399,327   84,359   (493,661) 
Income tax benefit (expense)   8,717   (2,794)   14,031   (2,520) 
(Loss) income from continuing operations   (1,258)   396,533   98,390   (496,181) 
Income from discontinued operations   565,998   160,314   -   405,684 
Net income (loss)   564,740   556,847   98,390   (90,497) 
Less net income attributable to noncontrolling interests in             
 consolidated subsidiaries   (63,952)   (10,786)   -   (53,166) 
Net income (loss) attributable to Vornado Realty L.P.   500,788   546,061   98,390   (143,663) 
Interest and debt expense(2)   758,781   236,645   116,131   406,005 
Depreciation and amortization(2)   732,757   293,974   142,409   296,374 
Income tax expense (benefit)(2)   26,371   3,002   (15,707)   39,076 
EBITDA(1) $ 2,018,697 $ 1,079,682 (3)$ 341,223 (4)$ 597,792 (5)
                
Balance Sheet Data:             
Real estate at cost $ 15,392,968 $ 8,422,297 $ 4,243,048 $ 2,727,623 
Investments in partially owned entities   1,249,667   904,278   100,543   244,846 
Total assets   20,097,224   9,255,964   4,107,636   6,733,624 
                
See notes on page 111 and 112.             

25. Segment Information – continued

                
(Amounts in thousands)For the Year Ended December 31, 2012
    Total New York Washington, DC Other 
Total revenues $ 2,332,724 $ 1,319,470 $ 554,028 $ 459,226 
Total expenses   1,738,381   835,563   360,056   542,762 
Operating income (loss)   594,343   483,907   193,972   (83,536) 
Income (loss) from partially owned entities, including Toys   423,126   207,773   (5,612)   220,965 
Income from Real Estate Fund   63,936   -   -   63,936 
Interest and other investment (loss) income, net   (261,200)   4,002   126   (265,328) 
Interest and debt expense   (431,235)   (146,350)   (115,574)   (169,311) 
Net gain on disposition of wholly owned and partially             
 owned assets   4,856   -   -   4,856 
Income (loss) before income taxes   393,826   549,332   72,912   (228,418) 
Income tax expense   (8,132)   (3,491)   (1,650)   (2,991) 
Income (loss) from continuing operations   385,694   545,841   71,262   (231,409) 
Income from discontinued operations   308,847   30,293   167,766   110,788 
Net income (loss)    694,541   576,134   239,028   (120,621) 
Less net income attributable to noncontrolling interests in             
 consolidated subsidiaries   (32,018)   (2,138)   -   (29,880) 
Net income (loss) attributable to Vornado Realty L.P.   662,523   573,996   239,028   (150,501) 
Interest and debt expense(2)   760,523   187,855   133,625   439,043 
Depreciation and amortization(2)   735,293   252,257   157,816   325,220 
Income tax expense (2)   7,026   3,751   1,943   1,332 
EBITDA(1) $ 2,165,365 $ 1,017,859 (3)$ 532,412 (4)$ 615,094 (5)
Balance Sheet Data:             
Real estate at cost $ 15,287,078 $ 8,687,141 $ 4,171,879 $ 2,428,058 
Investments in partially owned entities   1,704,297   576,336   95,670   1,032,291 
Total assets   22,065,049   9,215,438   4,196,694   8,652,917 
                
See notes on page 111 and 112.             

25. Segment Information – continued

                  
 Notes to preceding tabular information:
                  
                  
                  
                  
(1)EBITDA represents "Earnings Before Interest, Taxes, Depreciation and Amortization." We consider EBITDA a supplemental measure for making decisions and assessing the unlevered performance of our segments as it relates to the total return on assets as opposed to the levered return on equity. As properties are bought and sold based on a multiple of EBITDA, we utilize this measure to make investment decisions as well as to compare the performance of our assets to that of our peers. EBITDA should not be considered a substitute for net income. EBITDA may not be comparable to similarly titled measures employed by other companies.
                  
                  
                  
                  
(2)Interest and debt expense, depreciation and amortization and income tax expense (benefit) in the reconciliation of net income (loss) to EBITDA includes our share of these items from partially owned entities.
                  
                  
                  
                  
(3)The elements of "New York" EBITDA are summarized below.
                  
  For the Year Ended December 31,   
 (Amounts in thousands)2014 2013 2012   
 Office(a)$ 1,085,262 $ 759,941 $ 568,518   
 Retail  281,428   246,808   189,484   
 Alexander's(b)  41,746   42,210   231,402   
 Hotel Pennsylvania  30,753   30,723   28,455   
  Total New York$ 1,439,189 $ 1,079,682 $ 1,017,859   
                  
                  
 (a) 2014 and 2013 includes $440,537 and $127,512 net gains on sale of real estate, respectively.
                  
 (b) 2012 includes $179,934 for our share of net gain on sale of Kings Plaza.
                  
                  
                  
                  
(4)The elements of "Washington, DC" EBITDA are summarized below.
                  
  For the Year Ended December 31,   
 (Amounts in thousands)2014 2013 2012   
 Office, excluding the Skyline Properties (a)$ 266,859 $ 268,373 $ 449,448   
 Skyline properties  27,150   29,499   40,037   
  Total Office  294,009   297,872   489,485   
 Residential  41,581   43,351   42,927   
  Total Washington, DC$ 335,590 $ 341,223 $ 532,412   
                  
                  
 (a) 2012 includes $163,367 of net gains on sale of real estate.
                  
                  
                  
                  

25. Segment Information – continued

                
 Notes to preceding tabular information:         
                
(5)The elements of "other" EBITDA from continuing operations are summarized below.    
                
 (Amounts in thousands)For the Year Ended December 31, 
       2014 2013  2012 
 Our share of Real Estate Fund:         
  Income before net realized/unrealized gains$ 8,056 $ 7,752 $ 6,385 
  Net realized/unrealized gains on investments  37,535   23,489   13,840 
  Carried interest  24,715   18,230   4,379 
 Total  70,306   49,471   24,604 
 Our share of Toys "R" Us  103,632   (12,081)   281,289 
 The Mart and trade shows  79,636   74,270   62,470 
 555 California Street  48,844   42,667   46,167 
 India real estate ventures  6,434   5,841   3,654 
 LNR(a)  -   20,443   75,202 
 Lexington(b)  -   6,931   32,595 
 Other investments  26,586   28,505   25,103 
    335,438   216,047   551,084 
 Corporate general and administrative expenses(c)  (94,929)   (94,904)   (89,082) 
 Investment income and other, net(c)  31,665   46,525   45,563 
 Urban Edge Properties and residual retail properties discontinued operations(d)  235,989   531,493   201,035 
 Acquisition and transaction related costs, and impairment losses  (16,392)   (24,857)   (17,386) 
 Net gain on sale of marketable securities, land parcels and residential          
  condominiums  13,568   56,868   4,856 
 Our share of debt satisfaction gains and net gains on sale of real estate         
  of partially owned entities  13,000   -   - 
 Suffolk Downs impairment loss and loan reserve (10,263)   -   - 
 Our share of impairment losses of partially owned entities  (5,771)   -   (4,936) 
 Losses from the disposition of investment in J.C. Penney  -   (127,888)   (300,752) 
 Severance costs (primarily reduction in force at the Mart)  -   (5,492)   (3,005) 
 Purchase price fair value adjustment and accelerated amortization of          
  discount on investment in subordinated debt of Independence Plaza  -   -   105,366 
 The Mart discontinued operations -   -   93,588 
 Net gain resulting from Lexington's stock issuance and asset acquisition  -   -   28,763 
       $ 502,305 $ 597,792 $ 615,094 
                
                
 (a)On April 19, 2013, LNR was sold.
                
 (b)In the first quarter of 2013, we began accounting for our investment in Lexington as a marketable equity security - available for sale. This investment was previously accounted for under the equity method (see page 82 for details). 
                
 (c)The amounts in these captions (for this table only) exclude income/expense from the mark-to-market of our deferred compensation plan of $11,557, $10,636 and $6,809 for the years ended December 31, 2014, 2013 and 2012, respectively. 
                
 (d)The year ended December 31, 2014, includes $14,956 of transaction costs related to the spin-off of our strip shopping centers and malls.