SL Green Realty Corp.
) disclosed that the company and its partner Jeff Sutton penned a
deal to buy out the lease of retailer Juicy Couture at 650 Fifth
Avenue. The deal follows the recent acquisition of a 49-year
leasehold interest encompassing the whole retail section of 650
Fifth Avenue by the SL Green - Sutton venture.
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The deal, in particular, would help unite Juicy Couture's present
basement, grade-level and second floor retail space with other
vacant spaces on the third floor. This would help the partners
reposition the retail corner site of the building.
As a matter of fact, the investment at 650 Fifth Avenue offers SL
Green significant prospects to solidify its partnership in the
renowned Fifth Avenue luxury retail corridor. The company already
has notable presence in this region.
SL Green along with Sutton enjoys control over the 717 Fifth
Avenue property, featuring the Giorgio Armani and Dolce &
Gabbana flagships, 720 Fifth Avenue that houses retailer
Abercrombie & Fitch Co.
) and 724 Fifth Avenue that has Prada's flagship store. Recently,
SL Green along with its partner Jeff Sutton renewed the lease
agreement with Prada at 724 Fifth Avenue and the lease deal now
runs through 2028.
SL Green is further seeking to tap opportunities in New York
City's premium retail locations with investments that complement
its core office and structured finance businesses. We believe
that this diversification of investments in retail properties
would offer SL Green sufficient growth prospects going forward.
SL Green currently has a Zacks Rank #3 (Hold). Some better-ranked
stocks in the retail sector include
Sabra Health Care REIT, Inc.
Chatham Lodging Trust
). While Sabra Health Care carries a Zacks Rank #1 (Strong Buy),
Chatham Lodging holds a Zacks Rank #2 (Buy).