Los Tacos No.1 Signs 10K-SF Lease for Commissary Kitchen at 318 West 39th Street

Los Tacos No. 1 is expanding into the Garment District to support its Times Square operations.

The busy taqueria signed a 10-year, 9,800-square-foot lease at GFP Real Estate’s 318 West 39th Street to open a commissary kitchen meant to help them produce tortillas, chips and other items for the restaurants, including the Los Tacos outpost at 229 West 43rd Street, according to the landlord.

GFP did not disclose the asking rent in the deal on the ground floor of the building, but the average asking rent for Manhattan’s 16 main retail corridors in the third quarter of 2024 was $716 per square foot, according to a report from CBRE. 

“Los Tacos No. 1 has grown into a New York institution, beloved for its commitment to authentic flavors and quality dining experiences,” Matthew Mandell, who represented GFP Real Estate in-house, said in a statement.

Neal Ohm of Newmark (NMRK) negotiated on behalf of the tenant. The brokerage did not immediately respond to a request for comment.

Los Taco No. 1 started as a stand inside Chelsea Market in 2013 and eventually expanded from there, next opening the Times Square outpost on West 43rd Street in 2017, Eater New York reported. It’s currently slinging tacos out of eight locations across Manhattan, including outposts in Hudson Yards, Penn Station and Grand Central Terminal, according to its website.

Built in 1915, the 13-story building at 318 West 39th Street designed by Crow, Lewis, & Wickenhafer is also home to nonprofit organization Skip of New York, which relocated its offices to 27,000 square feet in 2022, as wekk as grocery delivery service Boxed Market and photo and video rental space Go Studios Penthouse + Rooftop.

Mark Hallum can be reached at mhallum@commercialobserver.com.