WeWork Buys Lord & Taylor Flagship NY Store for $850M
WeWork acquired the flagship New York store of Lord & Taylor on Manhattan’s Fifth Avenue from Hudson’s Bay Co. for $850 million. The landmark building will be converted into office space and become WeWork’s HQ.
The move to divest real estate holdings by the Canadian retailer reflects the dramatic shifts occurring in the retail sector, even for grand stores such as the century-old, limestone-clad Italian Renaissance style structure. Lord & Taylor plans to operate a smaller, 150,000-square-foot store at the location (currently 650,000 square feet), with the more than $20-billion in valuation real estate startup occupying the majority of the 12-floor building.
The addition will help WeWork continue to fill an office pipeline in CBD’s, where it prefers to offer shared office spaces. WeWork was founded in Manhattan in 2010, and currently has 10 million square feet of workspaces globally.
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