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                                                                   EXHIBIT 10.61

                             AMENDMENT TO
                         EMPLOYMENT AGREEMENT

          AMENDMENT, dated as of February 13, 2003, by and between Vornado
Realty Trust, a Maryland real estate investment trust (the "Company") and Melvyn
H. Blum (the "Executive").

          WHEREAS, the Executive and the Company entered into an employment
agreement as of January 24, 2000 (the "Employment Agreement");

          WHEREAS, Section 14 of the Employment Agreement provides that the
Company and the Executive may amend the Employment Agreement at any time;

          WHEREAS, the Company and the Executive deem it necessary to amend the
Employment Agreement;

          NOW, THEREFORE, the parties agree that the Employment Agreement is
amended as follows, effective as of January 1, 2003:

          1.   Section 5(a) is amended by deleting the last sentence thereof and
substituting the following:

          Employee will be eligible for grants of share options and
          restricted stock on the same basis as other executive officers
          of Employer of comparable seniority. For the avoidance of
          doubt, the Executive hereby waives any rights to grants of
          share options from Employer in fiscal years of the Employer
          ending prior to January 1, 2003. The foregoing shall have no
          effect on share options previously granted to the Executive by
          the Employer in fiscal years ending prior to January 1, 2003.

          2.   Clause (a) of the first sentence of Section 8 is amended in its
entirety as follows:

          (a) during the Period of Employment and the twelve (12) month
          period following his termination of employment for any reason
          other than pursuant to Section 7(c) hereof, Employee will not
          engage in any business otherwise competitive with that of
          Employer or any of its subsidiaries in the States of New
          Jersey, New York, Pennsylvania, Maryland, Massachusetts and
          Connecticut; provided that during the twelve (12) month period
          following a termination of employment which occurs after the
          expiration of the Period of Employment as a result of any
          nonextension of the Period of Employment, the prohibition
          contained in this clause (a) shall be limited to the Employee's
          engaging in any way, directly or

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          indirectly, in the financing, acquisition, construction,
          reconstruction, development, redevelopment or renovation of
          any commercial office real estate property located within a
          five block radius from the intersection of Fifty-ninth
          Street and Lexington Avenue in the borough of Manhattan in
          New York City, or any improvements thereon on behalf of any
          public or non-public company; and

          3.   The first sentence of Section 7(g)(ii) is amended in its entirety
as follows:

          In the event of a termination of the Period of Employment
          and Employee's employment pursuant to Section 7(a) or 7(d)
          hereof, Employee shall be fully vested in all share options
          and restricted stock granted to the Employee by the
          Employer.

          IN WITNESS WHEREOF, the parties hereto have executed this Agreement as
of the first date above written.

                                          VORNADO REALTY TRUST


                                          By:  /s/ Joseph Macnow
                                               -----------------
                                               Name: Joseph Macnow
                                               Title: Executive Vice President

                                               /s/ Melvyn H. Blum
                                               ------------------
                                               Melvyn H. Blum