updated 02:15 pm EDT, Sat July 23, 2011
Apple scores 10yr Grand Central store
Apple has already reached a deal for its Grand Central Terminal store. The Metropolitan Transportation Authority confirmed to the NY Post that Apple will have the location for 10 years and is refurbishing the space. Apple will start paying rent of $800,000 per year, or almost three times the $300,000 a year of the outgoing Metrazur restaurant.
MTA officials anticipated the store turning a profit for itself of about $5 million per year through the shoppers visiting the bus and train hub.
A formal approval from the MTA's financial committee is expected Monday, followed by a board of directors approval on Wednesday. Apple hasn't said when construction will start or when it expects the store to open.
The deal is a coup for Apple, whose only real store in the East upper midtown Manhattan area is the flagship 5th Avenue store more than a dozen blocks North. Along with soaking up the increasing retali traffic, it could be vital to catching demand from tourists or from residents of the other New York City boroughs that might pass through Grand Central but can't justify venturing to the other locations.
Having the space for a decade in itself is significant. Unlike most malls and other retail spaces, Grand Central store owners often have to bid to keep their own leases and can potentially lose their space even if they're otherwise profitable. [image via OpenTable]