Sephora To Open Times Square Flagship

NEW YORK CITY-Beauty products retailer Sephora has signed on for 12,000 square feet at 5 Times Square to open what will be the chain’s first flagship store. Cory Zelnik, who represented landlord AVR Realty Co., tells GlobeSt.com the annual asking rent for the space was $4.2 million.

The three-level store, with ground level at the base of the 1.1-million-square-foot office tower, is scheduled to open sometime this summer, says Zelnik, president of Zelnik & Co. Taking advantage of the location’s visibility, Sephora plans to incorporate an undulating sign with animations.

Zelnik says the space was vacant due to the bankruptcy of Times Square Brewery, its former tenant. AVR acquired 5 Times Square from Boston Properties for $1.3 billion in early 2007 and subsequently negotiated a mutually beneficial termination with leaseholder Disney. This gave AVR the leeway to market the location, and Zelnik says “we went out to traditional retailers as well as exploring branding opportunities for corporate tenants.”