To compete in this economy,\u00a0shops have to pop. <\/p>\n
From Printemps at One Wall Street and Prada on Fifth Avenue to Pop Mart in the Oculus and virtual reality at Meta\u2019s Fifth Avenue outpost \u2014\u00a0retailers are luring crowds with festive atmospheres that add energy to the streets. But to make a big impression, you\u2019ve got to have a front-and-center space.<\/p>\n
\u201cAlmost every high street has had an unbelievable year,\u201d said Joe Hudson of CBRE.<\/p>\n
Meta is offering a virtual experience in a real-world space on Fifth Avenue. Stefano Giovannini for NY Post<\/p>\n
Jared Epstein of Aurora Capital Associates\u00a0\u2014 whose company owns retail in several hot neighborhoods \u2014 explained that the strong market means that the best spaces are drawing multiple offers, even while they are still occupied.\u00a0<\/p>\n
\u201cDeals are being done quickly, and brands are willing to pay a premium for true flagship locations that deliver foot traffic, visibility and an experiential backdrop you simply can\u2019t replicate online,\u201d Epstein said.<\/p>\n
Just look at Printemps, said Jackie Totolo of Newmark, as it\u2019s become a new downtown destination. \u201cIt\u2019s monumental how they converted the lower stack [of One Wall Street] into beautiful retail,\u201d she said. <\/p>\n
Parisian department store Printemps is drawing uptown crowds to Fidi. Gieves Anderson for Printemps New York.<\/p>\n
The new Aritzia in the Flatiron at 115 Fifth Ave. is another example.<\/p>\n
Monos at 120 Mercer St., in the rear of the Scholastic Building, is also a standout. The building was recently purchased by Empire State Realty Trust, which will add amenities for office tenants. Nearby, Lululemon has drawn attention by flipping the menswear to the ground and moving women\u2019s stretchy things upstairs.<\/p>\n
\u201cNiche brands want to be in Soho where fashion and art come together,\u201d said attorney Clara Feldman of Blank Rome who represents retailers.<\/p>\n
Women\u2019s boutique Aritzia is playing a similar role, attracting fashion-forward shoppers to the Flatiron District. Yvonne Tnt\/BFA.com\/Shutterstock<\/p>\n
Every brand is chasing the Gen Z dollar. A recent Bank of America Global Research study found Gen Z\u2019s global income will hit $36 trillion in five years. They may have only spent $2.7 trillion in 2024, but that will rise to $12.6 trillion by 2030. \u201cThey continue to spend up in a down market, which is very unusual,\u201d said Robert Cohen of Newmark.<\/p>\n
One thing Gen Z is spending big on is second-hand luxury. \u201cResale is now a central high street category,\u201d Cohen said, pointing to stores like the Real Real and Rebag.<\/p>\n
Uptown isn\u2019t immune to the creep of cool luxury, either. Clubs like\u00a0Casa Tua at 20 E. 76th\u00a0St. and Maximes at 848 Madison have created a \u201cripple effect\u201d on Madison Ave. by bringing in new shoppers and brands. Susan Alexandra, which is also on the Lower East Side, will open at 1088 Madison with in-store experiential moments.\u00a0The French fashion company S\u00e9zane \u2014 which has outposts in Nolita and Williamsburg \u2014\u00a0just leased in\u00a0the base of the Benson, Naftali Group\u2019s luxury condominium at 1045 Madison between East 79th\u00a0and 80th\u00a0streets. Le Labo is already there.<\/p>\n
Shops like Tuckernuck, a cozy living room for fashion, are revitalizing the upper portions of Madison Avenue. Courtesy of Tuckernuck<\/p>\n
A few blocks north,\u00a0Tuckernuck at 1121 Madison Ave. was designed to feel like the interior of a home with antiques and curiosities while\u00a0Swarovski,\u00a0Fr\u00e9d\u00e9ric\u00a0Malle and Todd Snyder are in the base of the Bellemont, which Naftali Group developed at 1165 Madison at East 86th\u00a0Street.<\/p>\n
\u201cBrands that fought to get into stores in the 70s on Madison are now fighting to get into stores in the 80s,\u201d said Sara Armet of Mantis, who organized the Holiday on Madison pop-up at\u00a0804 Madison along with Jennifer Bernstein from Newmark. The pop-up featured over 60 emerging vendors.<\/p>\n
\u201cPeople aren\u2019t there just to shop, they\u2019re also coming to dine, exercise, be pampered, socialize and experience the city,\u201d Armet said. \u201cBrands are having fun and taking risks and doing a lot more experiential moments and finding unique ways to connect with their customers.\u201d<\/p>\n
An avenue over, Moncler will open in the spring at 767 Fifth Ave. by the Apple Cube, according to Steven Soutendijk of Cushman & Wakefield who is now marketing the former Dior location on the building\u2019s north side.<\/p>\n
Moncler will open this spring at the GM Building at 767 Fifth Ave. Stefano Giovannini for NY Post<\/p>\n
In Midtown, Totolo\u2019s tenant, Bonhams, will open on Feb. 9\u00a0at 111 E. 57th\u00a0St. The next block east on Billionaires\u2019 Row between Sixth and Fifth avenues has been decimated by demolition but will soon get shovels in the ground for new towers with retail bases.<\/p>\n
And further east, Gary Barnett\u2019s 74-story tower at 655 Madison Ave. is expected to host a flagship for Chanel. Prada may have to relocate when Related helps it develop another luxury condominium tower on its site at 720-724 Fifth Ave., while LVMH is developing a new 25-story tower to host its 1 E. 57th St. corner store and offices.<\/p>\n
Further south, Barnett will construct a now larger, 1.6 million-square-foot office tower at 570 Fifth with an Ikea at its base.<\/p>\n
There are numerous large locations available in Times Square that will need to be divided up into smaller spaces. \u201cIt\u2019s about creating configurations that the tenants want,\u201d Soutendijk said.\u00a0<\/p>\n
Hudson Yards continues to innovate as Related repositions tenants to fix the mix. \u201cThere are new concepts on the third floor, and they are shifting traffic patterns,\u201d said Armet.<\/p>\n
Purveyor of cracking crystal, Baccarat, is opening a second location in the Meatpacking District. Stefano Giovannini for NY Post<\/p>\n
In the Meatpacking District, Baccarat moved from pop-up to a permanent store at 33 Ninth Ave. \u201cIt is trying to rebrand to a younger audience, and the market has totally changed,\u201d Feldman said. \u201cGen Xers are now looking at buying the Baccarat bar and stem wear.\u201d<\/p>\n
The Whitney Museum boosted that market and soon, a 600-unit apartment tower will add both office workers and new residents, eager to shop and dine. STK will move from Little W. 12th\u00a0St. to the former Salt Bae space at 412 W. 15th\u00a0St., which was marketed by a Cushman & Wakefield team led by Soutendijk. \u00a0<\/p>\n
\u201cIf you are not already in Meatpacking it will be on fire and whatever space is left the luxury brands will continue to fill,\u201d said Armet.\u00a0<\/p>\n
STK is leaving its 26 Little West 12th St. locale (above) for a new home at 412 W. 15th\u00a0St. Bloomberg via Getty Images<\/p>\n
Although the West 34th Street corridor has been a laggard, Vornado\u2019s investment in the Penn District is improving the area with new office tenants, Life Time Fitness pickleball courts, new bars and eateries. Nearby, at 150 W. 34th St., Primark\u2019s opening will create \u201cexcitement\u201d in the market.<\/p>\n
\u201cWe will now transform the entirely old, may I even say, junky retail on both sides of Seventh Avenue and along 34th Street that we inherited into attractive, modern and exciting retail offerings,\u201d said Steve Roth, Vornado\u2019s chairman, during a November conference call.<\/p>\n
Government cheese<\/p>\n
A sale at 717 Fifth Ave. earned the city $25.3 million in taxes. Bloomberg via Getty Images<\/p>\n
Ongoing purchases of retail stores by new investors are reaping extra revenue for city and state coffers.<\/p>\n
The December investment by the Paris-based private equity investment group, Ardian, into fashion conglomerate Kering\u2019s 115,000-square-foot retail and office condominium at 717 Fifth Ave., revalued the joint venture at $900 million.<\/p>\n
The transactions spun off $14.17 million in transfer taxes to the Big Apple with another $3.51 million to the state. A Kering entity also obtained a new $450 million mortgage from Credit Agricole that generated $4.16 million for the transit system with another $8.43 million for the city.<\/p>\n
In 2024, the sale of the same 717 Fifth condominium property to Kering for $963 million generated $25.3 million for the city and another $6.26 million for the state.<\/p>\n
The seller, Jeff Sutton, was also behind last year\u2019s $213 million sale of the Nike store at 529 Broadway in Soho to Ikea, which added $5.59 million for the city and another $1.38 million for the state.<\/p>\n
The city also reaped just over $1 million on the May transfer of the entity that owned numerous Walgreens and VillageMD locations to Sycamore Partners.\u00a0<\/p>\n
While not strictly a retail sale, last year\u2019s largest office transfer of 590 Madison Ave. for $1.1 billion \u2014 which included land on East 57th Street \u2014 added $28.35 million to city coffers and $7.02 million to the state. It will also make ongoing payments of more than $25 million each year in property taxes to support city services.<\/p>\n","protected":false},"excerpt":{"rendered":"To compete in this economy,\u00a0shops have to pop. From Printemps at One Wall Street and Prada on Fifth…\n","protected":false},"author":3,"featured_media":537174,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[5122],"tags":[5229,12611,7744,3991,1165,19113,405,403,5226,5225,5228,5227,4329,6270,49311,1164,67,586,132,5230,68,2969],"class_list":{"0":"post-537173","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-new-york","8":"tag-america","9":"tag-commercial-real-estate","10":"tag-fifth-avenue","11":"tag-gen-z","12":"tag-lifestyle","13":"tag-lululemon","14":"tag-new-york","15":"tag-new-york-city","16":"tag-newyork","17":"tag-newyorkcity","18":"tag-ny","19":"tag-nyc","20":"tag-real-estate","21":"tag-retail","22":"tag-retailers","23":"tag-travel","24":"tag-united-states","25":"tag-united-states-of-america","26":"tag-unitedstates","27":"tag-unitedstatesofamerica","28":"tag-us","29":"tag-usa"},"share_on_mastodon":{"url":"https:\/\/pubeurope.com\/@us\/115944826091180783","error":""},"_links":{"self":[{"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/posts\/537173","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/comments?post=537173"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/posts\/537173\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/media\/537174"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/media?parent=537173"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/categories?post=537173"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/tags?post=537173"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}