Continuing its Manhattan retail play, Vornado Realty Trust has signed a 20-year lease for the retail space underneath the Marriott Marquis Times Square hotel, Host Hotels & Resorts, the hotel’s owner, announced today.
The trust will spend as much as $140 million to expand the space, at 1535 Broadway, convert the underground parking lot into additional selling space, and create a six-story, 300-foot-long LED sign. The lease gives Vornado the option to buy the space for a price to be determined by the its future cash flows.
Vornado, which also owns the property across the street at 1540 Broadway, recently spent $710 million to acquire the retail at 666 Fifth Avenue and has reached a deal to acquire the retail underneath the Carlton House for $280 million. — Adam Fusfeld