The famous Palace Theater will be getting a facelift soon. The New York City Landmarks Preservation Commission has already approved this renovation project.
The Real Deal states that "The Nederlander Organization, which owns nine Broadway theaters, is embarking on a $2 billion project in Times Square that will create a one-of-a-kind retail space." It is noted that the organization thinks to elevate "the famed Palace Theatre 29 feet, creating space for subgrade retail." Thus, the renovation will cost a multi-million dollar.
Report says that Palace Theater's present condition is "encased by the DoubleTree Suites hotel at the corner of Seventh Avenue and West 47th Street." The frontage of the theater has been unattended and obliterated for several years already. The only thing that has been somehow preserved is the splendid interior of the theater.
In addition, the "New York City Landmarks Preservation Commission has approved the project, which is a joint venture between the Nederlanders and Maefield Development." Based on report, the said renovation project "will unlock 10,000 square feet of space over four levels." When the Palace Theater will become functional after the project is done, "the leases could potentially create a billion dollars worth of value over time."
New York Post reports that this renovation project has an estimate cost of $2 billion USD. It is also noted that it was Maefield that "first to recognize the gold mine underneath the Palace." Looking at the Times Square's ground floor retail space, its square foot now costs $350 according to a broker. The "basement retail space" is now at $150 per square foot. Thus, "the Palace will unlock 10,000 square feet of space over four levels (three in the basement, one on the ground floor) that could be let to, say, the Olive Garden."
Maefield was the first to recognize the gold mine underneath the Palace. Ground-floor retail space in Times Square commands $350 a square foot, brokers say, with basement retail space commanding $150. Raising - sorry, "elevating" - the Palace will unlock 10,000 square feet of space over four levels (three in the basement, one on the ground floor) that could be let to, say, the Olive Garden.
Based on the experts' calculation, the leases would soar not only hundreds of USD but even billions.
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