A high-end clothing retailer has inked a deal for retail space in Chicago’s Gold Coast shopping district.
New York-based Kith, founded by designer Ronnie Fieg, leased an entire building at 50-54 East Walton Street, CoStar reported. The building, which previously housed a Sprinkles Cupcakes location, spans 17,600 square feet, according to Crexi.
The deal was disclosed during an analyst call by the building’s landlord, Acadia Realty Trust. Acadia did not directly identify the tenant during the call, but sources familiar with the deal later confirmed that Kith would occupy the space.
Kith’s entry follows a wave of high-profile leases in the Gold Coast, where luxury brands like Chanel and Van Cleef & Arpels have recently relocated from the Magnificent Mile. Spanish retailer Mango leased an 8,000-square-foot space at Arcadia’s 664-670 North Michigan Avenue.
“The Walton Street lease shows how strong the Gold Coast is, and it continues the changing face of Walton Street,” said John Vance, a retail broker at Stone Real Estate who was not affiliated with the deal. “With very low vacancy on Rush and Oak, this quadrant of Walton has taken off.”
Another high-end brand to make its entry to Chicago’s Gold Coast is Lugano Diamonds. The luxury brand is set to occupy a multilevel space at 100-104 East Oak Street, a building owned by Ponte Gadea USA, the real estate investment arm of Spanish billionaire Amancio Ortega.
Acadia, based in Westchester, New York, has been on a retail buying spree in New York City’s SoHo, the West Village and Williamsburg, Crain’s reported. Its Chicago portfolio is 82 percent occupied, well below the rate of its New York properties.
Chicago’s retail occupancy hit a 30-year low of 4.7 percent in the third quarter, according to Matthews.
— Andrew Terrell