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Crown ground leases 225K sf Flushing Macy’s building

Isaac Chera’s firm could significantly expand the property: sources

136-50 Roosevelt Avenue in Flushing (inset: Isaac Chera)
136-50 Roosevelt Avenue in Flushing (inset: Isaac Chera)

Isaac Chera’s Crown Acquisitions made a major play in Flushing, signing a 99-year ground lease for a large retail building right in the heart of the neighborhood’s central shopping district.

Chera will take over the management of the four-story, 225,000-square-foot property at 136-50 Roosevelt Avenue after striking the deal with long-term owner, Benider Co.

Macy’s lease at the building expires soon, Chera told the Wall Street Journal. He may be seeking to strike a deal with the retailer to redevelop the property and bring in new tenants, Tim King of CPEX Real Estate, who wasn’t involved in the deal, told the Journal.

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“We believe at some point in the near future the rents will be greater than what Macy’s is paying,” Chera told the Journal. He said the building is located “on the 50-yard line in a booming Flushing marketplace.”

Macy’s has no plans to quit the building, which occupies a 65,000-square-foot lot, a spokesperson told the Journal. The retailer announced last week it will close 40 stores nationwide and lay off about 4,350 workers.

Last week, it hired Eastdil Secured to approach potential joint venture partners to buy stakes in its flagship stories, including its Herald Square location. [WSJ]Ariel Stulberg

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