In a jolt to Fifth Avenue’s retail scene, the Japanese coffee company Geshary has been identified as the new owner of a boutique building at 560 Fifth Ave., shelling out $38 million for it.
Sealed by the Riese Organization, the deal marks a caffeine-fueled resurgence along the famed shopping corridor — and gives caffeine addicts another option for a dose when they’re in the area.
Zach Redding and Dylan Kane of Colliers represented the Riese Organization, while a CBRE team led by Daniel Kaplan repped Geshary.
According to Colliers, this transaction stands as the priciest deal for an entire Fifth Avenue retail building since the pandemic’s onset. The building listed early this year for $45 million for the first time in more than 50 years.
The Real Deal was the first to report on the transaction.
“This transaction demonstrates that Upper Fifth Avenue continues to be viewed as a safe haven for long-term investment regardless of current market conditions,” Colliers’ Redding said in a statement, underlining the appeal of this location, on the corner of West 46th Street.
The 13,580-square-foot property boasts 24,500 square feet of air rights and 125 feet of frontage on Fifth Avenue.
Notably, sunglasses brand Oakley has been a fixture on the corner for a decade, with its lease set to conclude in March 2024.
For Geshary Coffee, a brand famed for its multi-story coffee haven in Tokyo’s equivalent of the Financial District, the Fifth Avenue location is poised to become a caffeine-fueled oasis for fashionistas out shopping. It will also be a good amenity for office workers at nearby towers who are more present in the area with return-to-office mandates.
With each floor representing a stage in the coffee-production process, Geshary patrons can anticipate high-end espressos as they make pit stops during their shopping sprees.
This strategic move by Geshary aligns with a broader trend of luxury retailers reinvesting in physical storefronts on Fifth Avenue.
Rolex, for example, is bringing its largest store to 655 Fifth Ave., while Tiffany & Co. splurged $250 million on renovating its flagship on Fifth Avenue and East 57th Street.
Louis Vuitton is literally demolishing buildings to create a lavish flagship, and Chanel has secured its first space on the illustrious avenue.
Notably, this isn’t the first time the Riese Organization has passed the Fifth Avenue torch to a Japanese buyer.
Source : New York Post
