Just after Christmas, the first Starbucks in Manhattan’s Inwood neighborhood opened for business, a sign to many of gentrification to come.
“When Starbucks comes, the likelihood of some more national companies coming probably increases,” explained David Firestein, the Shopping Center Group partner who represented Starbucks in its 1,400-square-foot lease on the corner of Dyckman Street and Broadway.
From 2007 to 2012, ridership at the Dyckman Street A-line subway station grew 28 percent to 2.3 million annually, according to the Metropolitan Transportation Authority. And new chain brands have followed that population growth, leading to higher rents for many established area retailers, according to Crain’s.
“The demographics have changed. Ten years ago, the nationals were Payless, McDonald’s, GameStop—brands targeting a lower-income demographic,” Dylan Murphy, director of retail leasing at Massey Knakal Realty Services, who is marketing a space on Broadway, told Crain’s. “Starbucks changes the dialogue, and suddenly people who wouldn’t talk to me six months ago are now interested in leasing space.” [Crain’s] —Christopher Cameron