The Real Deal New York

Clothing manufacturer grows to 37K sf at 463 Seventh Avenue

Mystic expands, renews lease at Arsenal-owned Garment District building
December 29, 2016 03:30PM

Women’s clothing manufacturer Mystic Inc. is expanding its office footprint in the Garment District, by renewing a lease and taking an extra 5,600 square feet at 463 Seventh Avenue.

The company will grow to a total of 36,800 square feet at the building, Crain’s reported. The lease means Mystic — which manufactures clothing for brands like Michael Kors and Anne Klein — will take 400,000-square-foot building’s entire 12th floor and part of the 13th floor. The lease is until 2030, and asking rents were $54 per square foot.

The Arsenal Company, a family-controlled real estate firm, has owned the building at 463 Seventh Avenue for 90 years, according to the publication. David Levy of Adams & Co represented the landlord.

Levy told the Commercial Observer that since the building’s largest tenant, Full Beauty, moved out, Arsenal has been working to fill the 130,000 square feet of space it left behind.

Swimwear maker Mocean Group recently inked a deal to take roughly 25,000 square feet at the building.

Between 2014 and 2015, around 55 garment tenants left the district, which stretches from Fifth to Ninth avenues and from 34th to 42nd streets.  But while the clothing companies have left, the area has seen an influx of hotels and TAMI tenants.[Crain’s]Miriam Hall