Pax to open two new Manhattan eateries

Real Estate Weekly, Sept 11, 2002

Keen to expand its presence in Manhattan, Pax Organization has just signed leases for two new stores in Midtown. The trendy eatery, which will have 25 stores open throughout the Metro region by the end of the year, has committed to 2,600 square feet at 225 West 42nd St. and to 2,400 SF at 787 Seventh Ave.

Insignia/ESG's Retail Group arranged both transactions. At 225 West 42nd St., where the group will build a PAX Wholesome Foods sandwich shop, David LaPierre represented the PAX Organization where, while Eric Gelber and Brad Mendelson represented the landlord, The New 42nd Street, Inc. The lease term is 21 years at an estimated aggregate rent of $10 million. At 787 Seventh Ave., David LaPierre once again represented the tenant, while David Green acted for landlord Lend Lease Real Estate. That deal is for a 15-year term and is valued at $4.6 million. At that location the tenant will construct a Cafe Europa store.

"These two West Side locations are ideal for Pax/Cafe Europa," said Mr. LaPierre, "since both areas enjoy such heavy foot traffic from tourists, the business community and residents, nearly 24/7."

"Lend Lease is particularly delighted to welcome the popular restaurant chain to 787," said Green. "Cafe Europa has distinguished itself with the high quality of its build-outs, and its presence in the building, aka Equitable Center, will become a valuable and convenient amenity for tenants."

The new locations are set to open in late 2002.

"We very much anticipate doing brisk sales at both new locations," said Alexander Xenopoulos, managing director of Cafe Europa, who added that the company is scouting further sites in New York.