Nike signed a lease for a massive store of more than 60,000 square feet at 650 Fifth Avenue.
The location is on the southwest corner of West 52 Street across from Cartier and Olympic Tower. It will include a lower level along with the first six floors of the building.
The lease starts at approximately $35 million and is worth a combined $700 million over the term, a source familiar with the transaction told The Real Deal. The real estate trade pub described it as “one of the most expensive retail deals ever struck in Manhattan.”
Nike had reportedly been looking to get out of its flagship at 6 East 57th Street — an eight-story building next door to Trump Tower — since 2013. The lease expires in 2022. It’s not clear whether Nike will exit the existing flagship with the new 5th Avenue lease.
Nike was also among the bidders for FAO Schwarz’s former space at the General Motors Building, which was secured by Under Armour.
Nike just opened a 55,000-square-foot store in lower Manhattan at 529 Broadway.