Supermarket signals demise as Target eyes Astoria

Key Food warns entire staff of layoffs following rent impasse

New York /
Jul.July 13, 2020 04:30 PM
22-15 31st Street (Google Maps)

22-15 31st Street (Google Maps)

It wasn’t the pandemic, for once.

An Astoria Key Food has told the state it will lay off all 151 of its employees and shut its doors this October.

Rather than the coronavirus, a proposed redevelopment of the Queens site led to a breakdown in lease negotiations between Man-Dell Food Stores and landlord Jenel Management.

Jenel reportedly plans to raze the two-story building at 22-15 31st Street and replace it with a three-story structure that features Target on the upper two floors, leaving room for a supermarket below. Michael Hirschhorn, who represents the development for Jenel, did not immediately respond to questions.

Man-Dell chief administrative officer Roseann Marabello-Rivera said that the two sides have been negotiating since 2018, but last spoke “a month ago, maybe a little more” and that negotiations were no longer active.

Jenel said it has finalized a new lease for the ground-floor space with a “major supermarket chain” although it has yet to be signed because of the pandemic, according to NY1.

In the past, Hirschhorn had said he preferred for Key Food to remain, and that architectural plans accommodated a grocer on the ground floor.

“They have been a good tenant for more than 20 years and I want them to stay,” Hirschhorn told the Astoria Post last year. “We came up with a number of layouts, numbers, rate schedules and we were negotiating for two and a half years.”

The Queens Daily Eagle has identified A&H Acquisitions as a development partner on the site. The company could not be reached for comment.

Nearly 100 employees at Key Food Astoria are members of the UFCW Local 1500, according to the Eagle.

“It’s unfortunate how we tell our employees they’re essential workers during the pandemic one day,” said Marabello-Rivera, “and give them unemployment notices the next.”

Contact Orion Jones at [email protected]


Related Articles

arrow_forward_ios
L-R: Savanna's Chris Schlank, Eastdil Secured's Will Silverman, JLL's Bob Knakal (Photos by Paul Dilakian)
Office royalty talk conversions, distress and the “downsize upgrade” trend
Office royalty talk conversions, distress and the “downsize upgrade” trend
Columbia Property Trust's Nelson Mills and 799 Broadway (Columbia Property Trust, 799 Broadway, iStock)
Columbia Property Trust signs investment firm to 71K sf at 799 Broadway
Columbia Property Trust signs investment firm to 71K sf at 799 Broadway
East End Capital's Jonathon Yormak and 141 East Houston Street (141 East Houston Street, East End Capital)
Boutique LES office scores blockchain firm as anchor tenant
Boutique LES office scores blockchain firm as anchor tenant
Vice Media CEO Nancy Dubuc and 225 Broadway (Getty Images, Google Maps, iStock)
Refinery29 subleasing at 225 Broadway for move in with Vice
Refinery29 subleasing at 225 Broadway for move in with Vice
Naftali Group's Miki Naftali, BRP Companies' Meredith Marshall (Photos by Paul Dilakian)
Miki Naftali, Meredith Marshall talk development, death of 421a
Miki Naftali, Meredith Marshall talk development, death of 421a
R-L: Willow's Kevin Danehy, Era Ventures' Clelia Warburg Peters, Fifth Wall's Brad Greiwe and The Real Deal's Hiten Samtani (Photo by Paul Dilakian)
Real estate tech is coming for your business
Real estate tech is coming for your business
Gary Barnett
Gary Barnett has something to say
Gary Barnett has something to say
Industrious CEO Jamie Hodari and CBRE chief financial and investment officer Emma Giamartino (LinkedIn, CBRE)
CBRE doubles down on flex-office provider Industrious
CBRE doubles down on flex-office provider Industrious
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...