Lululemon Nails Down 20K-SF Two-Story Glass Retail Corner at 592 Fifth Avenue
Athleisure brand Lululemon Athletica last Friday signed a lease for roughly 20,000 square feet at 592 Fifth Avenue at West 48th Street, Commercial Observer has learned. The space spans 6,000 square feet on the ground floor, 7,000 square feet on the lower level and 7,000 square feet on the second floor, per sources with knowledge of the deal. The rent is just under $7 million per year and the lease is for 10 years, the sources indicated.
The store is slated to open this Christmas. Lululemon will more than double its space in a relocation from across the street at 597 Fifth Avenue to a two-story glass corner at the base of the 11-story 592 Fifth Avenue, owned by Singaporean lender United Overseas Bank.
Puma was reportedly in talks last year to sign a deal for retail space at 592 Fifth Avenue, but the German sportswear company ended up signing a lease for 24,000 square feet at 609 Fifth Avenue in May 2018, as CO reported at the time.
Office tenants at 592 Fifth Avenue include United Overseas Bank and a lot of jewelers.
CBRE (CBRE)’s Michael Kadosh and Lon Rubackin represented the landlord in the deal.
“The recent repositioning of 592 Fifth Avenue by the landlord, United Overseas Bank, coupled with the property’s prominent visibility and global exposure in one of the most desirable markets in the world, made this space extremely attractive to retailers,” Kadosh said in a statement. “Lululemon’s lease for a new, multi-level flagship store at 592 Fifth Avenue is a testament to how important of a role brick-and-mortar is to the overall success of retailers today.”
Representatives for Lululemon and United Overseas Bank didn’t respond to a request for comment, nor did RKF’s Jeremy Ezra, who represented Lululemon.