* Q1 FFO shr $2.64
* Q1 FFO adjusted shr $1.77 vs Wall St view $2.00
* Shares fall 1 pct (Adds Wall St view, share price)
NEW YORK, May 3 (Reuters) - Vornado Realty Trust (VNO.N), owner of office buildings and retail centers, on Tuesday reported first-quarter funds from operations that rose 43 percent, chiefly on one-time gains from investments.
But stripping out the investments, the company reported FFO that fell short of analysts forecasts and its stock slipped 1 percent.
The company, which also invests in other companies, including J.C. Penney Co Inc (JCP.N) and special servicer LNR Property Group, reported funds from operations of $505.9 million, or $2.64 per share, up from $353.8 million, or $1.87 per share, in the year earlier quarter.
Excluding gains from debt investments and income from other investments including derivatives, FFO was $338.5 million or $1.77 per share, a slight decrease from $348.6 million, or $1.84 per share.
Analysts had expected adjusted FFO of $2.00, according to Thomson Reuters I/B/E/S.
FFO, a measure of performance of a real estate investment trust (REIT), removes the profit-reducing effect that depreciation has on earnings.
Shares of Vornado closed down 98 cents at $95.86 on the New York Stock Exchange.
Reporting by Ilaina Jonas; Editing by Steve Orlofsky, Phil Berlowitz