Brooks Brothers leases third Manhattan store on Fifth Ave

Real Estate Weekly, August 5, 1998

The new bi-level glass storefront is the result of the landlord's renovation of the building's retail spaces. The renovation entailed bringing the retail space, previously set back off of the Avenue, into direct contact with Fifth Avenue's vibrant pedestrian life. The proximity to Rockefeller Center and the retail environment of upper Fifth Avenue are in keeping with Brooks Brothers corporate expansion plans.

Moshe Sukenik, executive managing director of Newmark & Company Real Estate, Inc. and CEO Barry Gosin, represented Brooks Brothers in the transaction. Sumitomo Realty & Development, which owns and manages the building, negotiated on its own behalf.

The new Fifth Avenue store will position Brooks Brothers among both international and local New York City shoppers, in addition to the shoppers already frequenting the company's flagship 44th Street and Madison Avenue location.

"This is the consummate marriage of the City's most prestigious clothier and the City's most prestigious retail location," said Sukenik. He added that both outside counsel Jeffrey Moross, Esq., of Anderson Kill & Otick, and Brooks Brothers' in-house counsel, Mindy Novack, deserve much credit for getting the deal done. "Today in Manhattan the lease document that gets negotiated for half a year is likely to be a lease that never gets done. Jeff and Mindy's understanding and intelligence in distinguishing between the important issues and the ancillary issues made the difference and expedited the lease negotiation."

Brooks Brothers was formed in New York City in 1818. A subsidiary of United Kingdom-based retailer Marks & Spencer, plc, the company currently operates 71 retail and 50 factory stores in the United States, and a direct mail catalog business. Brooks Brothers also sells its merchandise in 66 retail stores in Japan, and two locations in Hong Kong. In addition to the flagship store on Madison Avenue, the company also operates a store in the Financial District, located at One Church Street.

Under the direction of President and CEO Joseph R. Gromek, the company has implemented an international growth strategy which includes development of the U.S. market, as well as Japan, Southeast Asia, and expansion into Europe capitals and Latin America.

Built in 1958 by Tishman Realty & Construction Co., Inc., the 39-story 1.3 million-square foot tower's other retail tenants include, most notably, the National Basketball Association store, which is scheduled to open this September. Brooks Brothers plans to occupy its new premises in the Spring of 1999.