Chanel eyes NYC Fifth Avenue tower that LVMH is also targeting

blog image

Chanel eyes NYC Fifth Avenue tower: Leading worldwide retailers are vying for prized premises along New York City’s famed luxury shopping avenue Fifth Avenue, and Chanel Ltd. is actively engaged in conversations about the potential purchase of a building on the street.

An informed source has revealed that Chanel has shown interest in the property at 745 Fifth Avenue, which is situated at the intersection of 58th Street. Both LVMH Moët Hennessy Louis Vuitton SE and Chanel are interested in buying the building, so they are competing with each other. The source, however, asked to remain anonymous in order to disclose this information because of how critical it is.

A Chanel official chose not to respond, while LVMH and Paramount Group Inc., the property’s landlord, also did not want to be publicly spoken against.

Famous high-end stores are vying for great real estate on Fifth Avenue in Manhattan, and the competition for these properties has heated up recently. Astonishingly, 715-717 Fifth Ave. was purchased by Gucci’s parent firm, Kering SA, for an astounding $963 million earlier this year. Bloomberg News reported last year that two nearby properties were purchased for $835 million by firms linked to Prada SpA.

Also, as another example of the trend of high-end companies purchasing prime Manhattan real estate, Swiss watchmaker Rolex is developing its headquarters at 665 Fifth Ave. Notably, LVMH has shown its dedication to the famous avenue by unveiling its restored Tiffany & Co. store at the intersection of 57th Street.

The hunt for good real estate isn’t limited to Manhattan; high-end stores are looking for chances all over the world. As part of its strategy to extend its presence in important areas worldwide, Kering recently announced a substantial investment of €1.3 billion ($1.41 billion) for a property in Milan, along with acquisitions in Tokyo and Paris.

Ethan Sullivan

Ethan's penchant for the pulse of the fashion world extends to covering lifestyle topics, offering readers a seamless blend of the latest style updates and lifestyle trends.

Read more