Gucci’s Soho location sold to offshore buyer for $130M
Institutional owner sells 375 West Broadway amid retail resurgence
UPDATE 2/2/22 6:04 PM: Nothing’s cheap at Gucci, but now we know how much it would cost to buy the building that its Soho location calls home.
An institutional owner advised by JP Morgan Global Alternatives sold 375 West Broadway for $130 million. The building houses a 10,000-square-foot Gucci store on the ground floor beneath 60,000 square feet of office space.
The buyer was identified as an offshore family office advised by Macquarie Asset Management. A JLL team led by Andrew Scandalios and David Giancola represented the owner, whose identity could not be determined through public records. The deal was first reported in the Real Estate Daily Beat newsletter.
The building is fully leased, with a weighted average lease term of less than five years. Block, the conglomerate of digital payment company Cash App, music streaming app TIDAL and crypto platform TBD54566975, holds the offices, spread across the top four floors.
Real Estate Equities bought the building for $81 million in 2013, when it housed an Anthropologie. They sold it a year later for $118.9 million.
Retail foot traffic in Soho ticked back to pre-pandemic levels by the end of 2021, according to data from Placer.ai. The platform shows just over 144,000 visits to area retail locations in December 2021, 101 percent of the levels recorded in December 2019.
However, Manhattan’s retail recovery has proved uneven.
Upscale brands in recent months opened outposts away from the traditional Fifth Avenue and Madison Avenue shopping hubs, the New York Post reported in October. Companies looking to take advantage of lesser retail rents and the opportunity to pivot from e-commerce to physical retail turned to locations in Soho and the Meatpacking District.
UPDATE: A previous version of this article mistakenly identified Pearlmark as the seller. Pearlmark was an old adviser to the owner, not the owner.