Big new residential projects along Tenth Avenue spur hopes of a surge in new business among retailers and of higher rents among landlords.
BY ADRIANNE PASQUARELLI ON FEBRUARY 26, 2013
Leasing activity on Tenth Avenue in Hell’s Kitchen is heating up as retailers anticipate the rewards of a number of residential developments rising in the neighborhood. In the latest example, new farm-to-table eatery The Marshal recently signed a 10-year deal for 600 square feet at 628 Tenth Ave., between West 44th and West 45th streets. Asking rent was $126 per square foot. The lease also includes a 600-square-foot basement.
“So many people are moving there, but they have no services,” said Howard Aaron, the Square Foot Realty broker who represented both The Marshal and landlord 630 Tenth Avenue. He noted the new Gotham West residential complex, boasting 1,258 apartments, will open next year.
Meanwhile, many existing retailers in the area are getting nervous about rents which are already rising and trying to renew their leases now while they can still afford to. Some landlords, however, are taking a wait-and-see approach, Mr. Aaron noted.
The Marshal, run by Charlie Marshall, will open for business on June 1. The eatery will have 43 seats.
“Ninth Avenue has gotten very oversaturated with restaurants, but Tenth has a lot going on,” said Mr. Marshall.
Mr. Aaron’s colleague Aaron Gavios was also involved with negotiations on behalf of the building owner.