Prada Close to Deal for Manhattan Skyscraper Expansion
Prada is close to finalising a deal with Related for a new Manhattan skyscraper. The luxury fashion house has been searching for development partners since earlier this year, holding talks with Vornado and SL Green before settling on Related. The price Prada agreed to pay is considered high, but it reflects the competitive nature of Manhattan's luxury real estate market.
Prada's recent purchases include two Fifth Avenue buildings for $835 million. The deal included 724 Fifth Avenue, where Prada had been renting space, and the 15-story building next door at 720. The new skyscraper Prada plans to build with Related could share amenities with the nearby Aman hotel and residences. Meanwhile, LVMH has filed plans for a 25-story tower at 1 E. 57th Street, where its flagship store is temporarily closed.
Prada has partnered with architecture office OMA to create a news high-rise on the property. This tower will house offices, exhibition spaces, and a new Prada flagship store. Currently, Prada occupies about 15,500 square feet over the first four floors of the 12-story building at 724 Fifth Avenue. The new 225,000-square-foot skyscraper planned with Related will have a store on the bottom, with office space and luxury housing above.
Prada's expansion in Manhattan continues with this potential deal with Related. The new skyscraper, once completed, will provide Prada with a larger flagship store and additional office space, further cementing the luxury brand's presence in the city.
