New York's Vornado Acquires Kaempfer Co. Office-Building Giant Increases D.C.-Area Holdings in Long-Anticipated Deal
Byline: Tim Lemke, THE WASHINGTON TIMES
Vornado Realty Trust said yesterday it bought Kaempfer Co., one of the largest office-property managers in Washington, in a deal worth up to $42.4 million.
The long-awaited deal expands the Washington-area presence of Vornado, a New York real estate-investment trust and that city's largest owner of office buildings.
The company is expanding in the Washington area at a time when the District has the lowest office-vacancy rate in the nation and when the federal government is expected to gobble up office space as it expands homeland-security operations.
Vornado bought Charles E. Smith Commercial Realty, owner of most of the buildings in the Crystal City section of Arlington, for $1.58 billion in October 2001.
Kaempfer has some of the most prized holdings in the Washington area. It has an ownership stake in six top-quality, or "Class A," buildings in and around the District, including the 600,000-square-foot Warner Building near the White House.
Kaempfer also collects management fees from four other buildings in the region and has a combined 5 percent equity interest in all of the properties.
Vornado paid $33.4 million for the equity in the buildings and the management business. …