Forever 21 Pop-Up Shop…

Crain’s reporter, Adrianne Pasquarelli reports that fast-fashion retailer Forever 21 has secured a 6 month lease for 693 Fifth Avenue, the former Takashimaya building.  This will be the 5th store in New York for the retailer and a smart move to reach a new demographic. Currently, the property has 5.700 square feet of retail space on each floor one through eight, for a total of 51,000 square ft, which includes retail space in the basement.  Thor properties, which purchased the the building in July for $142 Million, plans to spend $60 million on a facelift according to the article.

This represents in my opinion an excellent example of how temporary or Pop-Up retail can be beneficial to both owner and retailer.  In this instance, Thor properties will gain some income until they find a permanent tenant.  Who knows maybe Forever 21 will make a long term deal?  Additionally, the store won’t sit empty with the stigma of distress especially as we approach the busy holiday season.  If you ever walk Fifth Avenue during December the streets are jam packed with shoppers and tourists.  On the retail side, look at the PR Forever 21 just got for the deal!  More to come, I assure you.  Additionally, they can build there customer base to include a new customer that is unfamiliar with the brand. This also creates jobs, jobs, jobs and supports the surrounding retail businesses that will feed off the traffic they create.  -CN