NEW YORK — Last week’s International Council of ShoppingCenters Conference and Deal Making at the Sheraton New York Hotel &Towers and the New York Hilton & Towers was a hive of activity.Attendance at the conference was the highest it’s been in five years,6,937. The low, in 2009, was 5,746. “It’s very, very busy,” said WilliamTaubman, chief operating officer of Taubman Centers Inc., which hasthree centers in the works, International Market Place in Honolulu, TheMall of San Juan in Puerto Rico and University Town Center in Sarasota,Fla. “There’s a lot of action. You can tell by the mood around thisroom. A lot more deals are happening, absolutely.”
Peter Leslie,senior executive vice president of leasing at Westfield Group, soundedpositively starry-eyed when he spoke at the Australian company’s party.“We believe we’re out of the recession and into the blue sky,” he said.“We’re making a massive reinvestment in the U.S. We’re spending $4billion in the next five years.”
That includes adding 500,000square feet to Garden State Plaza in Paramus, N.J., increasing the sizeof Valley Fair in Santa Clara, Calif., and developing and leasing theWorld Trade Center’s 365,000-square-foot retail component.
“There’sincredible progress being made downtown, most significantly atBrookfield Place, the new name for the World Financial Center,” saidStephen Stephanou, a broker at Crown Retail Services. “The push thereseems to be for well known luxury brands and young fashion brands.”
Accordingto retail sources, Brookfield has “convinced Louis Vuitton to take abig piece of space and J. Crew, two spaces. They’re talking to Hermès,Michael Kors, Ferragamo, Prada and Steven Allen.”
“Real estate inNew York City seems to be booming,” said Robert Siegel, chief executiveofficer of Metropole Realty Advisors. “Madison Avenue is back to whereit was before the crash — $1,000 per square foot.”
CrownAcquisitions has a stake in Olympic Tower on Fifth Avenue between 52ndand 53rd streets, where it plans to reposition the property and convertthird-floor office space into retail. “Fifth Avenue is a$3,000-a-square-foot market,” said Brittany Bragg, a principal at CrownAcquisitions. “Tenants keep paying because they’re successful at thoserents, with $50 million to $100 million in annual sales. Retailers tellus they used to open 100 stores a year. Now they open 25 stores” withhigher volumes.
“Now that rents have risen to a certain level,it’s making economic sense for [retail] tenants to purchase and ownspaces that are vital to their brand identity,” said Jeffrey C. Paisner,a broker at Ripco Real Estate, citing Inditex’s $324 million purchasefor Zara’s flagship at 666 Fifth Avenue. “It used to be better to paythe rent and use your capex to build other stores, but now thecomputations changed.”
Thor Equities on Wednesday said it formed ajoint venture, Thor Urbana Capital, with a Mexican developer, to invest$500 million in Mexico. Thor is focusing on Mexico, Peru, Brazil andColombia “because China is slowing down, so retailers are looking foralternative growth,” said Joseph Sitt, founder and ceo. Thor’s holdingsin Manhattan are growing. “We’re in contract to buy the entire block ofWashington Street between 13th Street and 14th Street, where Scoop has astore,” Sitt said. “Tiffany, Louis Vuitton and Giorgio Armani arelooking to build flagships in the Meatpacking District.”
“Thediverse projects in our region and other parts of the country indicatevery clearly that, ultimately, the American shopper is out buying at allprice levels,” said Lisa Rosenthal, a broker at Lansco.
On thealternative front, Pier 57, a floating mall near 15th Street, isexpected to open in April 2015. Its first tenant will be the TribecaFilm Festival. Norm Roumanous, development director, said half of the300,000 square feet of space will be used for food and the other halffor fashion, culture and entertainment. “We’re targeting $1,000 persquare foot in sales,” he said. Retail spaces range in size from 160square feet to 20,000 square feet. Pier 57 is reportedly talking to Nikeand J. Crew.
For Michael Glimcher, chairman and ceo of GlimcherRealty Trust, the experience is everything. Glimcher is raising food to20 percent of the total mix at centers, from 10 percent, adding yogastudios and bike shops, along with outdoor space. There will be morepersonal care options such as salons. “It’s not that we don’t want tosell shoes, handbags and dresses,” he said. “If all we are is adistribution channel,” consumers will lose interest. At ScottsdaleQuarter in Arizona, there’s an outdoor splash pad for kids as well asfarmers markets. Town Center Plaza in Kansas City will build a bandshell for outdoor concerts, along with a coffee bar and eatery.
“Wetry to storyboard the experience,” Glimcher said. “We have an activepipeline. We will expand Polaris Fashion Place in Columbus, Ohio, withmore retail in 2014. We have a lot going on making what we have better.”
“What he has done at Vuitton is really exceptional,” said @gameofthrones’ actress Gwendoline Christie on @mrkimjones’ final show for @louisvuitton. “He has rebooted luxury in terms of making it commercial, viable and contemporary. And most importantly artistic. He has never compromised his artistic vision for the sake of commodity.” (📷: @zefashioninsider)
After seeing a demand for men’s wear from its customers, British contemporary women’s wear label @ariesarise has added a men’s wear component and will launch a unisex collection with @mrporterlive. The 20-piece collection includes jackets, denim, logo T-shirts and more with deconstructed ‘90s vibes. Set to launch on January 18, you can shop the pieces on Aries’ website and on mrporter.com. #wwdfashion
“And so spending so much time with a character who thinks like that, inevitability you try and analyze yourself and go back and think about your own demons and dark chapters that you had in your life,” says @thedanielbruhl of his role in TNT’s “The Alienist.” The show, set in the Gilded Age of New York, also stars Dakota Fanning and Luke Evans. Head to WWD.com to read about how 39-year-old Brühl prepared for the role and why he thinks the show is so relevant to today #wwdeye ( 📷: @Eriktanner)
Now that Celine Dion’s collection has topped $10 million in sales, the pop superstar, fashion icon and newly-minted industry player is eyeing growth in Asia. Read the full report by @tiffanyap, link in bio. #wwdnews #celinedion
“My personal philosophy to beauty is paying attention to oneself. I love to be outdoors, lots of fresh air, trying to take care of yourself as best you can. I always notice that comes through,” says Felicity Jones, the global face of @shiseido-owned @cledepeaubeauteus, which launches today. Head to WWD.com to read more about the actress’ love for beauty and how she prepared for her new role in “The Basis of Sex,” playing the young Ruth Bader Ginsburg. #wwdbeauty (📷: @dandoperalski)
Among the familiar faces at @off____white’s show was a surprise figure: Japanese artist @takashipom, pictured here on Wednesday morning. Other show-goers included @jerrylorenzo, who spoke about his upcoming project: a @nike collaboration for back to school, with designs inspired by his childhood on the West Coast. Sitting in the front row were Future, Don Crawley, @miguel and more. See the rest of the photos on WWD.com #wwdeye (📷: Stephane Feugere)
According to @laurentsai, former “Terrace House: Aloha State” cast member, she didn’t know she was auditioning for the Japanese version of “Real World.” “I was telling a couple of my friends and someone’s like, ‘That sounds a lot like Terrace House.’ I was like, ’No it can’t be.’” Turns out, it was. But Tsai isn’t just a reality star — she’s an illustrator who has worked with Starbucks Japan and most recently, she’s dipping her toes into the fashion world. Head to WWD.com to read about her time on the show, modeling and her art. #wwdeye (📷: @danieldorsa)
More changes are coming to New York Fashion Week: Beginning with the spring 2019 collection, @alexanderwangny will move his New York show to June from September, adopting a biannual schedule with collections shown in June and December. Additionally, the @cfda is planning for an official summer/winter fashion season taking place as soon as June and December 2018. Read more about the upcoming changes on WWD.com. #wwdnews #wwdfashion (📷: @slovekinpics)