Tiffany's Redeveloping Retail Space on World's Most Expensive Street

NEW YORK CITY-On the corner of 57th Street and Fifth Avenue, the world-famous store that has helped launch engagements, been featured in films, music videos and the lyrics of a Marilyn Monroe tune and inspired global jewelry trends, will be growing even larger. The location is as a gateway into the world’s most expensive retail location. The redevelopment of the store will result in 25% more retail space.

As reported late last week by John Howe for GlobeSt.com, Cushman & Wakefield has released a report rating East 57th Street as the single most expensive retail location in the entire world. At its location, Tiffany’s marks the entrance into the corridor with a bang–or perhaps a crystal clink. Shopping in New York is the goal of serious shoppers the world over, and there are few places to do it quite like here, but with the absolute highest rents on the globe, prices of merchandise here is rather dear.

The shops from Tiffany’s east on 57th pay about $700 per sf. Jil Sander, as reported Nov. 6 here on GlobeSt.com, has signed on for Hermes’ vacated space at 11 E. 57th St. at more than $750 per sf. Unlike its neighbors that are paying such high rents, Tiffany’s bought its building last year for about $94 million.

Tiffany’s upscale neighbors on East 57th Street include Chanel, Escada and Burberry. On Fifth Avenue its neighbors include Mikimoto jewelers, the cultured pearls specialists, footwear retailer Cole-Haan and Trump Tower. These are among the places that make the corridor between Madison and Fifth Avenues a premier destination.

Floors one through four will sell merchandise and the two floors of offices will be relocated to 600 Madison Avenue with Tiffany’s headquarters. The two vacated floors will then be redesigned for customer service on the sixth floor and a display of special Tiffany’s own museum collection pieces. The increase is a careful replanning of existing space where from the East Side to Midtown off 57th Street the average price of retail space is $133 per sf to $115 per sf. The average size of a store is 3,600 sf to 7,000 sf.