Gucci Validates Trump's Claim
December 21, 2006
We are the first one to admit we snickered more than a little when Donald Trump claimed the corner of 56th Street and Fifth Avenue as the "world's best" retail corner. It's a good corner, of course, but not nearly as good as the one down the block occupied by next door neighbor Tiffany, or the ones inhabited by Van Cleef & Arpels, Louis Vuitton and Bulgari that he clearly doesn't own. Well, damned if Gucci didn't come along and bolster his claim! The luxury juggernaut has swooped in and leased 46,000 square feet of said corner at 725 Fifth Avenue where it plans a New York flagship even more lavish than the one a couple of blocks down Fifth Avenue which it only recently spent two years renovating at enormous expense. Perhaps the brand wants to further distance itself from bitterly estranged former designer Tom Ford who used that store as a template for the company's retail design. What a way to gloat about how well they have been doing since he left.
WWD estimates that the rent will be in the range of $15 million to $20
million. Trump is said to have had other offers for the space, but was
holding out for a well-established luxury brand with deep pockets who
at least had a chance of turning a profit in the exhorbitantly priced
space, unlike previous tenant Asprey,
who disastrously hemorrhaged money during its Trump Tower tenancy. If
Gucci's plans are anything like the Ginza Flagship showplace they just
opened in Tokyo, prepare to be dazzled. On a strangely related note,
Asprey will be leaving its temporary space on East 57th Street when it
moves into a permanent home on Madison Avenue between 69th and 70th Streets which is currently part
of the Yves Saint Laurent Rive Gauche
boutique. Parent company, yes, Gucci will close the shop to downsize it
into a women's only location after the holidays, as its higher profile
57th Street store will serve as the NY flagship.
Gucci Inks Lease For Trump Tower Space (WWD)
Gucci inks deal for Trump Tower flagship (Crain's New York Business)
Love it! I can't stand Donald Trump but you have to hand it to him - when it comes to matters real estate he is still the king.
Posted by: Tanzanite | September 15, 2008 at 11:16 AM