Retail dealmakers are pushing neighborhood boundaries and activating streetscapes with fresh new stores and concepts. Of the deals completed last year, 18 are vying for the Real Estate Board of New York (REBNY) Retail Deal of the Year Awards — but only two can take home a prize.
The Most Ingenious Retail Deal of the Year Award will be bestowed on a transaction that demonstrates exceptional broker acumen — one that reflects both ingenuity and creativity. The Most Significant Retail Deal of the Year Award will recognize the overall characteristics of the transaction as well as its importance to the city’s retail marketplace.
The winners will be announced at the 20th annual Retail Deal of the Year cocktail party at the 101 Club on June 12.
“The REBNY Retail Committee is thrilled with the nominations,” says committee chair Steven Soutendijk, of Cushman & Wakefield. “This shows, that despite the negative press and sentiment, there were some unbelievably interesting, difficult and complicated — but important — deals signed last year.”
Food for thought
Cipriani is bringing a 28,000-square-foot grub hub, including a restaurant, food hall, market and bar, to 400 W. 61st St., also known as Two Waterline Square. Mitchell N. Friedel of Newmark Knight Frank represented the ownership, GID Development Group, in bringing hospitality family Cipriani to the new neighborhood.
Spinning their wheels
Peloton, known for its signature stationary bikes and treadmills whose users participate in livestreamed, recorded or in-person exercise classes, has leased 32,129 square feet on the new plaza at 5 Manhattan West. Benjamin Birnbaum of Newmark Knight Frank represented Peloton, while Patrick Smith, Matthew Ogle, Corey Zolcinski and Bob Gibson of JLL represented Brookfield. The deal for the multilevel space includes studio areas, a retail space to sell equipment and office space for Peloton employees.
Flour power
Princi, an Italian bakery that counts Starbucks as an investor and currently found stateside within the coffee giant’s Seattle Roastery, will open one of its first standalone locations in the United States at 1633 Broadway. David Firestein of the Shopping Center Group represented Princi, while Alan Schmerzler of Cushman & Wakefield represented the Paramount Group ownership of 1633 Broadway for the 2,864-square-foot space previously occupied by Cosi.
Wearing the pants
Facing both the 50th anniversary of its flagship and an expiring lease at 1601 Broadway, denim giant Levi’s wanted to reimagine its in-store experience. Laura Pomerantz of Cushman & Wakefield represented Levi’s in its upcoming move nearby to 18,939 square feet in Vornado Realty Trust’s 1535 Broadway. To seal the deal, she convinced Vornado to move other stores, getting Levi’s greater horizontal and vertical frontage that also allows for splashier LED signage and the brand’s “batwing” logo to fly high.
Cornering the market
Old Navy will get its first Upper East Side outpost in the base of an upcoming 22-story luxury apartment tower at 147 E. 86th St. on the northeast corner of Lexington Avenue. Andrew Mandell, Peter Ripka and Richard Skulnik of Ripco Real Estate represented the developers, Ceruzzi Properties and Kuafu Properties in the two-level, 25,000-square-foot lease. The deal included buying an adjacent building to increase frontage.
Culinary icons
An important Midtown East location — the connected 761 Lexington Ave. and One Beacon Court, former home to Le Cirque — is getting a major new tenant. Aqua Restaurant Group is opening its first North American restaurant there: Hutong, which serves northern Chinese cuisine. Paul Berkman of JLL represented London-based Aqua. Berkman, along with colleagues Michael Hirschfeld and his son, Brian, pursued the off-market space for their client with building owner Vornado. Its chairman, Steve Roth, then collaborated with Aqua on a dramatic design worthy of both the restaurant and the building.
Off the ‘Rack’
Nordstrom Rack has opened in 45,600 square feet at the base of the new 855 Sixth Ave., with frontage between 30th and 31st streets. Robert Futterman and Peter Whitenack of RKF represented the Durst Organization in the deal. When first assigned four years ago, the location in lower Herald Square was an obstacle. But the brokers proved there are plenty of shopping feet on the street just steps from the buzzy NoMad area.
Toy story
Famed toy store FAO Schwarz is coming back, opening its doors at the base of 30 Rockefeller Plaza, with frontage along both West 49th Street and the wintertime skating rink. Kenji Ota and Neil Seth of Cushman & Wakefield represented FAO Schwarz in this 16,000-square-foot lease between two icons.
Street style
Founded by Queens native Ronnie Fieg, lifestyle brand Kith — which sells sneakers, apparel and snacks to influencers — found a new and larger Manhattan home at 337 Lafayette St. to match its cool reputation. Shrouded in scaffolding for years, this formerly dilapidated building, known as the “Peace Pentagon” for its anti-war signs, was reimagined with guidance from local government agencies, including the Landmarks Preservation Commission. The store opened in October 2017.
Shake it off
Cult-favorite burger joint Shake Shack gets an outpost at the intersection of Seventh Avenue and the exit of the Holland Tunnel. An oversize sign and the large windows of its additional third-floor offices brand 225 Varick St. as the “Shake Shack Building,” overshadowing a rival fast-food outlet. Mark Weiss and Mallika Winsor of Cushman & Wakefield represented Shake Shack in the 27,000-square-foot lease, which includes 3,110 square feet on the ground floor, a 4,124-square-foot lower level with a test kitchen and the upstairs headquarters.
The ‘Real’ world
Upscale online consignment retailer The RealReal opened a brick-and-mortar space at 80 Wooster St. To seal the deal, the owner purchased the adjacent former gallery and its 400-square-foot outdoor area (where the late Andy Warhol once relaxed and Yoko Ono planted a tree). Robin Abrams of Eastern Consolidated represented The RealReal.
Lights on Broadway
The cute South Korean brand, Line Friends, leased part of the former Aeropostale store at 1515 Broadway on the west side of Times Square between 45th and 46th streets, becoming an Instagram favorite due to its signage splashed across the 7,629-square-foot duplex. Ariel Schuster of RKF, representing building owner SL Green Realty Corp., navigated that deal, as well as the 1,542 square feet leased
to European cosmetics giant Kiko Milano. Additionally, Schuster worked with office tenant Viacom to transform 8,700 square feet on the second floor into a studio for the reboot of the legendary MTV show “Total Request Live.”
Hall pass
Food market gurus Urbanspace leased a three-level, 11,500-square-foot space at the Art Deco landmarked tower at 570 Lexington Ave., owned by the Feil Organization. Amira Yunis and Anthony Stanford of CBRE represented Urbanspace in this deal. Having already opened Urbanspace Vanderbilt in the rear of 230 Park Ave. through the same brokers, the food hall was eager to perfect its layout and design and continue to offer eats in a Midtown East location starved for quick and easy options.
High fashion
Iconic fashion house Hermès will open on a major Meatpacking District corner with a rooftop events space to attract high-earning tech workers in the neighborhood. Joel Isaacs of Isaacs and Company represented Hermès in its 10,000-square-foot deal at 46-48 Gansevoort St., while Isaacs and his colleagues Joshua Lewin and David Baker, along with Jared Epstein of Aurora Capital Partners, represented the Aurora and William Gottlieb Real Estate ownership.
Screen time
Times Square will become even more high-tech with the opening of Lionsgate Entertainment City, which will feature virtual- and augmented-reality experiences around the company’s movies and television shows. Options for visitors are expected to include flying through “The Hunger Games,” a “Divergent” obstacle course and a “Mad Men” lounge along with a 4-D theater. Robert Futterman, Joshua Strauss and Scott Zinovoy of RKF represented SJP Properties and Parques Reunidos in its venture with Lionsgate for the 50,000-square-foot space in the base of the 11 Times Square office building on the southeast corner of Eighth Avenue and 42nd Street.
Drive to succeed
South Korea’s Hyundai Motors America will open a 40,000-square-foot flagship Genesis dealership and marketing center in the Solar Carve building at 40 10th Ave. Richard Nassimi and Michael Lohan of the Nassimi Group represented Hyundai while Jared Epstein of Aurora Capital Partners, represented the Aurora and William Gottlieb Real Estate ownership.
Book report
The 4,400-square-foot Book Culture bookstore opened in December 2017 and features a lower-level storytime and events space of the same size, becoming a favorite destination in Long Island City. Stu Morden of Walker Malloy & Company represented the store and the Rockrose ownership in the lease at 26-09 Jackson Ave., one of the small warehouses targeted by Rockrose’s Patricia Dunphy to create a local shopping district with an artsy vibe.
The Whole Foods effect
A curated concept grocery market designed for urban areas, 365 by Whole Foods, opened a 40,000-square-foot store in January inside the base of the 300 Ashland Place rental in Fort Greene. Owned by Two Trees, the tower also includes an Apple store and a Brooklyn Public Library branch. Jacqueline Klinger and Chase Welles of the Shopping Center Group represented 365 by Whole Foods Market.