This post appeared in a previous blog and is here for posterity’s sake.
untitled, originally uploaded by Keisuke Omi
Looks like the New York Times woke up, and figured out that SoHo Bounces Back as a Fashion Center:
Before Sept. 11, 2001, SoHo seemed on the way to emerging as one of the most prestigious shopping districts in Manhattan. But after the attack on the World Trade Center, many retailers eventually left their stores after it appeared that shoppers had abandoned the district.
Now, SoHo is on the rise again, particularly among foreign clothing retailers seeking to establish stores in New York.
I’ve been calling the areas around Broadway, Prince, Spring, and Green the SoHo Mall
for ‘nigh on two years now. But no bother, let’s get into some real retail porn.
The article lists rent between $62-$70/SF for the area, and gives specific rents for the following stores:
- 69 Greene Street occupied by Bo Concept at 7,000 SF @ $385,000 ($55/SF) leased in 2005
- 71 Greene Street occupied by Phi at 7,000 SF @ $450,000 ($62/SF) leased in 2006
- 546 Broadway occupied by Uniqlo at 50,000 SF @ $3.5 million ($70/SF) leased in March 2006
But get ready for this:
Mr. Staav and another senior managing director with Lansco, Christine Emery, both retail specialists in the SoHo area, recently assisted the landlord at 92 Greene Street, a 50,000-square-foot loft condominium building under construction on a former parking lot, in two leasing transactions with foreign designers. Evisu, a Japanese jeans maker, took 3,200 square feet, and Cotélac, a French women’s clothier, leased 2,500 square feet.
The asking annual rent for both spaces was about $200 a foot. “Just two years ago, the area was dead,” Ms. Emery said. “Now we’re seeing a return to pre-9/11 rents,” which were about $500,000 a year for a 3,500- to 4,000-square-foot space on Greene Street.
$200 a square foot! That exceeds Ms. Emery’s pre-9/11 rental rates which were $125-143/SF!
Looks like the SoHo mall is staying for good.
Hey Grubby- I’ve thought of Soho as an outdoor mall for about 5 years actually, since before 9/11 really…its history has been moving this direction for some time. I am wondering if the retail space being located in new construction is affecting the price at all? Most of the buildings are older, if I remember correctly and maybe have less ammenities? Its been a while since I was there….
Susan, yeah I agree that SoHo as a mall has been going on for awhile. I too remember walking through it in the middle/late 1990’s and thinking how much of a mall it was then. I remember how the Yellow Rat Bastard at Broadway and Broome (???) marked the beginning of the mall entrance.
Good times.
Regarding the high rents, some of the recently renovated spaces could fetch higher rents, but you are basically paying for location.
To see a jump from 70 bones a sq ft to 200 within 6-12 months has to have something more than location involved. I wonder if there was competition for the new space and it became a bidding war?? Sounds like a research project!!