Outdoor brand leases Soho corner for first East Coast store
Vuori picks up 6K sf at 106 Spring Street
A West Coast performance apparel company will open its first East Coast store on a major Soho corner.
California-based Vuori has leased the former Burton space at 106 Spring Street, on the southwest corner of Mercer Street, sources told The Real Deal.
The new store has 4,880 square feet on the ground along with a 1,100-square-foot basement. The lease terms and asking rents were not revealed and it is unclear when the brand will open its outpost.
The Newmark team of Ross Berkowitz, Mitch Heifetz and Ariel Schuster represented the co-op unit’s ownership, Dallas-based investment firm Paceline Equity Partners.
Paceline purchased the retail co-op in March 2021 for $23.9 million after a UCC foreclosure auction overseen by Eastdil Secured.
At the time of its purchase, Paceline CEO Sam Loughlin called 106 Spring “a unique asset” that was well-placed to benefit from the city and neighborhood’s recovery from the pandemic.
“Paceline has a patient view of the recovery timeline for the Soho retail property market that will enable us to take a pragmatic approach to re-leasing and focus on identifying a high-quality long-term tenant for the space,” Loughlin told the Commercial Observer at the time.
The space had been owned by SL Green Realty, which paid 60 Guilders $79.5 million for it in 2019.
That sale was also completed at a loss: Three years earlier, 60 Guilders had paid co-op sponsor Workspace, operated by Mack Edge Management, an astounding $105 million when retailer Burton was relocating to 69 Greene Street.
Despite the booming market at that time, 60 Guilders struggled to lease the store as lawsuits between the parties were waged over the purchase of another property.
Headquartered in Encinitas, just north of San Diego, Vuori describes itself as a “premium performance apparel company” that is “inspired by the active Coastal California lifestyle; an integration of fitness, surf, sport, and art.”
At present, the brand only has stores in California, Colorado and Arizona.
That’s about to change. Fresh off raising $400 million from Softbank, Vuori founder and CEO Joe Kudla told Retail Dive in November the brand plans to open 15 stores in 2022, with two stores slated for New York, one in Boston and an international expansion expected in 2023.
In 2019, Vuori raised $45 million from Norwest Venture Partners. Kudla said sales tripled last year and are on track to more than double this year.
Vuori is represented by Los Angeles-based John Klein of Accelerator Advisors, which creates rollout plans for retail, lifestyle and wellness brands. Locally, Richard Skulnik and Lindsay Zegans of Ripco Real Estate represented the brand in its store hunt.
The Renaissance Revival style building at 106 Spring Street was designed by G.A. Schillinger and completed in 1896.
The New York City Landmarks Preservation Commission approved the installation of wheelchair-accessible ramps last year, as the building is within the Soho-Cast Iron Historic District. After the district was formed in 1973, Workspace acquired the property from its multi-generation family owners.
Newmark and Ripco declined to comment. Accelerator Advisors and Vuori did not immediately return requests for comment.