GU Inks 11K-SF Office Lease Near Future SoHo Flagship
By Mark Hallum August 14, 2024 2:59 pm
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Uniqlo sister brand GU will be opening its first U.S. office near its future flagship store in SoHo.
The Japanese fashion brand signed an 11,259-square-foot sublease for the second floor of Cape Advisors’ 5 Crosby Street as it makes a push into North American markets, according to tenant brokers Lantern Real Estate.
GU is subleasing the second floor from insurance provider Lemonade, who will keep its space on the third floor, a source with knowledge of the deal said.
GU’s office will be near where it leased 25,000 square feet at 568 Broadway for a brick-and-mortar store in February, part of the brand’s plans to double its North American retail footprint.
The asking rent and the length of its office lease were not disclosed but the average office asking rent in SoHo in the second quarter of 2024 was $73.16 per square foot, according to a report from Avison Young.
JLL (JLL)’s Lance Yasinsky represented GU in the deal while Matthew Seigel of Lantern handled the deal for the sublandlord, which was not identified. Both Yasinsky and Seigel did not respond to requests for comment.
With about 450 stores in Asia, GU revealed a strategy in 2022 to make their brand known among American consumers too, stating that it would open 100 new stores by 2025, bringing its total footprint in North America to 200.
GU began using 568 Broadway — owned by Allied Partners, Midtown Equities, Aurora Capital Associates and A&H Acquisitions — as a pop-up location following the closure of Forever 21 and decided to make its store there more permanent in February.
Update: This story has been updated to clarify GU signed a sublease with Lemonade for the space.
Mark Hallum can be reached at mhallum@commercialobserver.com.
