TJ Maxx signs first new NYC lease in a decade
One of the nation’s top off-price retailers has claimed a new location in one of Manhattan’s hottest retail locations.
TJ Maxx has signed a lease for a 40,000-sq.-ft. space at Herald Towers, across the street from both Macy’s flagship store and Madison Square Garden.
It is the first lease the brand has signed in New York City in 10 years.
“Herald Towers continues to attract best-in-class national retailers seeking scale, visibility, and unmatched connectivity,” said Jacob Jerome of JEMB Realty, who led the transaction. “We are proud to welcome TJ Maxx alongside Old Navy, further accelerating the resurgence of Herald Square retail and reinforcing the corridor’s role as one of the most important shopping districts in the country.”
Herald Square has experienced a dramatic transformation over the past year, fueled by surging foot traffic, unrivaled transportation infrastructure, and a renewed wave of institutional retail commitments, according to JEMB.
In the last 10 months, more than 100,000 sq. ft. of retail space has been leased at Herald Towers. Old Navy and Moo Futu are the other newest tenants.
Manhattan real estate has been on a roll with retail expansion over the past few years, and 34th Street has been hitting a streak.
Zara signed a lease for an 18,000-sq.-ft. space at 31 W. 34th St., and Primark plans to be opening up at the 78,000-sq.-ft. space vacated by Old Navy in its move to Herald Towers.
This leasing velocity comes at a time when retail rents in Manhattan have catapulted by nearly 17%, according to recent report from JLL.
“There’s a ton of tenants in the market and, for the first time in a long time, there are multiple proposals for spaces,” said Patrick A. Smith, vice chairman of JLL’s retail brokerage.
JLL’s latest “City Retail Report” revealed that New York, Los Angeles and Miami capture 60% of all notable retail expansion in prime urban corridors in the United States and Canada, and account for more than 80% of luxury and “luxury-lite” openings.
TJ Maxx is part of The TJX Cos.
