v3.25.2
Revenue Recognition
 6 Months Ended
Jun. 30, 2025
Revenue from Contract with Customer [Abstract]  
Revenue Recognition Revenue Recognition
The following is a summary of revenue sources for the three and six months ended June 30, 2025 and 2024.
For the Three Months Ended June 30,For the Six Months Ended June 30,
(Amounts in thousands)2025202420252024
Lease revenues$49,502 $51,288 $102,228 $110,634 
Parking revenue1,218 1,185 2,414 2,315 
Tenant services869 919 1,862 1,840 
Rental revenues$51,589 $53,392 $106,504 $114,789 
The components of lease revenues for the three and six months ended June 30, 2025 and 2024 are as follows:
For the Three Months Ended June 30,For the Six Months Ended June 30,
(Amounts in thousands)2025202420252024
Fixed lease revenues$33,009 $34,400 $68,363 $76,934 
Variable lease revenues16,493 16,888 33,865 33,700 
Lease revenues$49,502 $51,288 $102,228 $110,634 

Bloomberg L.P. (“Bloomberg”) accounted for revenue of $64,446,000 and $60,946,000 for the six months ended June 30, 2025 and 2024, respectively, representing approximately 61% and 53% of our rental revenues in each period, respectively. No other tenant accounted for more than 10% of our rental revenues. If we were to lose Bloomberg as a tenant, or if Bloomberg were to be unable to fulfill its obligations under its lease, it would adversely affect our results of operations and financial condition. In order to assist us in our continuing assessment of Bloomberg’s creditworthiness, we receive certain confidential financial information and metrics from Bloomberg. In addition, we access and evaluate financial information regarding Bloomberg from other private sources, as well as publicly available data.
On January 31, 2025, Home Depot’s 83,000 square foot lease at the retail portion of our 731 Lexington Avenue property expired. Annual rental revenues from Home Depot were approximately $15,000,000.
In May 2024, Alexander’s and Bloomberg reached an agreement to extend the leases covering approximately 947,000 square feet at our 731 Lexington Avenue property that were scheduled to expire in February 2029 for a term of eleven years to February 2040. Upon execution of this lease extension, we paid a $32,000,000 leasing commission, of which $26,500,000 was to a third-party broker and $5,500,000 was to Vornado.
On December 3, 2022, IKEA closed its 112,000 square foot store at our Rego Park I property under a lease that was set to expire in December 2030. The lease included a right to terminate effective no earlier than March 16, 2026, subject to payment of rent through the termination date and an additional termination payment equal to the lesser of $10,000,000 or the amount of rent due under the remaining term. On September 27, 2023, we entered into a lease modification agreement with IKEA which accelerated its lease termination date to April 1, 2024. During the fourth quarter of 2023 and the first quarter of 2024, IKEA paid its remaining rent obligation through March 16, 2026 and the $10,000,000 termination payment.