Amazon Signs 17-Year Lease for Office And Retail Space in Manhattan

Amazon Signs 17-Year Lease for Office And Retail Space in Manhattan Amazon Remember that report last month that Amazon was going to open their first store in Manhattan, the one which I could not find any evidence of earlier this week?

Well, Amazon's new landlord has revealed in a press release that Amazon is indeed leasing space at 7 West 34th Street, only it's not (just) space for a retail store. Amazon is renting 470,000 square feet, which is the entire building at that address.

I had already looked into this, so I can readily tell you that the building in question was built as a department store at the turn of the century. It's 12 stories tall, with the street level occupied by a couple retail stores.

According to Amazon's new landlord, Vornado Realty Trust, each floor has around 43,000 sq. ft of space to lease. They also said that Amazon is renting 470,000 square feet, which is actually more floor space than the entire building contains.

In short, it looks like this is going to be Amazon's new New York City office building. Whether it will also be Amazon's first retail store is another matter.

I don't know anything about Amazon's office space in NYC, but I would expect that they at least lease a floor here and there. But with the lease of the entire building at 7 West 34th Street, it is very likely that this will become Amazon's main office in New York City (assuming they don't have one already).

But will this also be a store? We'll just have to wait and see.

Update: The WSJ reports that:

Amazon is planning to convert some of the space into a mini-warehouse, with limited inventory for same-day delivery within New York, product returns and exchanges, and pickups of online orders, according to people familiar with the matter.

Over time, Amazon could use the space to showcase some inventory, such as its Kindle e-readers, Fire tablets and set-top box, among other merchandise, these people said.

Amazon's current physical retail efforts are limited to less than permanent pop up stores (including a couple in California this holiday season), delivery lockers, and vending machines installed in airports and other high traffic locations.

Update: Amazon told Geekwire that: "we have leased this building primarily as corporate office space and we intend to sublease to other tenants the ground floor retail space".

There's been a lot of talk about Amazon opening a store, but so far that's all it's been: talk, and almost none of it is coming from Amazon.

Thanks, Greg!

Nate Hoffelder

View posts by Nate Hoffelder
Nate Hoffelder is the founder and editor of The Digital Reader: He's here to chew bubble gum and fix broken websites, and he is all out of bubble gum. He has been blogging about indie authors since 2010 while learning new tech skills at the drop of a hat. He fixes author sites, and shares what he learns on The Digital Reader's blog. In his spare time, he fosters dogs for A Forever Home, a local rescue group.

9 Comments

  1. Fbone20 November, 2014

    Right across the street from the Empire State Building.

    An office building around the corner goes for $49/sq ft. Conservatively, Amazon is paying about $20 million/yr for this space. Its location premium, though, is high with all the tourists.

    Reply
  2. Greg Strandberg21 November, 2014

    Into the belly of the beast. How ’bout they just thumb their nose at traditional publishing and make it a warehouse or pet clothes department?

    Reply
  3. puzzled21 November, 2014

    “They also said that Amazon is renting 470,000 square feet, which is actually more floor space than the entire building contains”

    I guess there really is a 13th floor in the building.

    Reply
    1. Nate Hoffelder21 November, 2014

      There’s a rooftop terrace, actually. That could be where Amazon plans to hold future press events.

      Reply
      1. Rob Siders21 November, 2014

        I imagine some will speculate that indie authors who don’t speak well enough—as well as trad-pub authors who speak poorly—of Amazon will be lured up there to be pushed over the edge.

        Reply
  4. […] cost. The packages are apparently going to be delivered out of the office building Amazon leased a month back, and carried by bike […]

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  5. […] But at this point, that is just speculation. For all we know this could rumor could prove to be as accurate as past rumors about Amazon opening stores. All of those rumors turned out to be false, or in the case of the Manhattan retail store, only half true at best. […]

    Reply
  6. […] about the customer service location which Amazon is said to be planning for the office building it recently leased in Manhattan. That will likely have a very different interior, but both locations will share certain […]

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  7. […] nine months back I suggested that Amazon would open a bookstore in the office building they leased on west 34th in Manhattan, and it looks like I guessed […]

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