The Real Deal New York

Zara to pay $324M for 666 Fifth retail condo

March 04, 2011 04:15PM

In one of the city’s largest-ever retail condominium deals, Spain’s Inditex Group has agreed to pay $324 million to purchase 32,000 square feet at 666 Fifth Avenue for a new flagship Zara store, the company announced today. The space, formerly an NBA store, is roughly one-third of the 90,000 square feet purchased by Stanley Chera’s Crown Acquisitions, the Carlyle Group and Kushner Companies for $525 million in 2008, according to the Wall Street Journal, which originally broke the news of the deal. The rest, which is currently leased by Uniqlo and Hollister, is also on the market. The purchase price for the Zara space includes the buyout of the remaining time on the NBA’s lease, which sources said had less than three years before its expiration. Uniqlo’s lease at 666 Fifth last year, in which it agreed to pay $300 million over 15 years, was among the city’s most expensive retail leases ever. [WSJ]

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