New York’s MTA Plans Retail Revamp of Highly Trafficked Subway Stations

Andrea Image
ByAndrea
June 17,2019

The Metropolitan Transportation Authority (MTA) announced that it would request proposals for master leases at three transit hubs in Manhattan covering dozens of food, drink, and retail units spanning over 16,000 square feet.

The first hub, 42nd Street Port Authority Bus Terminal subway station, will enjoy a proliferation of local and national brands in the tunnel that connects it to Times Square Station. Over the coming nine months, the MTA plans to revitalize the subway stations with a mix of local and national brands, offering retail, food, and drink in 47th-50th Street Rockefeller Center and Times Square-42nd Street stations.

The primary role model the MTA is trying to emulate in its efforts is Grand Central Terminal, with its wide variety of bars, restaurants, and retail stores. Another example is Turnstyle Underground Market, a retail-and-food space established in an unused corridor, leading to the 59th Street-Columbus Circle subway station. Still, one must bear in mind that the three master leases are more of a challenge than Turnstyle, located on the periphery of Columbus Circle.

About 100,000 riders crowd the station below Port Authority Bus Terminal during peak hours, an opportunity for small and local businesses to sell third-wave coffee, some craft beer, or a quick snack.  Another 100,000 commuters come through the Times Square-42nd Street station every day, with the two stations streaming toward each other in a hive-like complex of staircases and passageways.

Commuters walking past a newsstand in the tunnel connecting Times Square Station to the 42nd Street Port Authority Bus terminal subway station will soon enjoy the many beverages and quality local foodstuffs as part of a plan to revamp dozens of subterranean retail stores.

In a recent interview, Janno Lieber, the MTA’s chief development officer, mentioned that he would like to see more local, independent shops and upmarket options, as opposed to the sort of businesses we see in a “run-of-the-mill, midrange, suburban shopping center.“

“Not just Starbucks,” said Lieber, “maybe a more New York coffee place.”

The preparations for the small business blossoming in the busy stations below the Port Authority Bus Terminal started two years ago, with the MTA  shifting leaseholders to month-to-month contracts. The station contains 18 retail units across 8,800 square feet.

Over the past couple of years, a barber shop, florist and a clothing store have moved out. A few stores, including a newsstand, are holding on.

The MTA’s director of real-estate transactions and operations, David Florio, said riders should expect new stores to open by the spring of 2021 at the latest.

More from news

The Spanish fashion retailer, Mango, announced its plans to open 30 new stores in the United States by the end of 2024. This is just a part of the retailer's global expansion, as there are also plans to open new stores in Europe and India. Although it had a lot of success in online sales during the pandemic, the company still believes that the brick-and-mortar experience is key to its growth.  The retailer currently has only six locations in the US and plans to start its expansion on Fifth Avenue in New York. The 2,100-square-foot flagship store is set to open in May. Besides this, the company targets Florida and has plans to open stores in Miami, Jacksonville, Orlando, and Boca Raton. This expansion will be followed by Texas, Nevada, Arizona, and California.  According to the company, the United States is currently a top-ten market, and the goal is to make it a top-five market. Last year, Mango had 2,447 stores worldwide, an increase of around 10% compared to 2020, and now the goal is to widen the market even more. Toni Ruiz, Chief executive at Mango, said: “The role of the store will evolve. We are sure that sometimes it’s more logistics, sometimes it’s more about experiences, but we are convinced human contact is very important.” One of the goals of this expansion is to enhance the shopping process and make it more interactive and engaging for customers. The customer will have the possibility to order eCommerce products while doing their in-store shopping.  There will also be a click-and-collect option for when they want to order products online and pick them up in-store. The company also plans to improve data collection to provide a more personalized experience for its customers. Mango wants to expand its homeware business to the US market, too. Laura Vila, the home director at Mango, commented on this, saying: “Entering the United States homeware market is a significant step forward in our strategy to diversify our business and at the same time strengthen our international expansion plan in one of the most strategic markets for the company.” 
By Julija A. · April 14,2022
According to a recent report, the Maersk eCommerce Logistics business unit is getting into business in the US in a push to capitalize on the $600B eCommerce market there. Maersk boasts a network of over 70 strategically placed e-fulfillment centers capable of delivering to 75% of the population in the US within 24 hours and 95% within 48 hours. Casey Adams, head of Maersk eCommerce logistics in North America, said the following in a recent press release:  “Business gets more competitive every day as US consumer online shopping demand continues to grow. Our fulfillment network is designed to bring B2C expertise and scale to Maersk customers with direct-to-consumer fulfillment, parcel delivery, and supply chain visibility in an end-to-end offering. By making eCommerce supply chains easier and more robust, we can deliver factory-to-sofa service.”  Before emerging in the US market, Maersk has rapidly expanded its eCommerce presence with recent acquisitions, purchasing Visible Supply Chain Management – a notable US-based eCommerce fulfillment firm in Salt Lake City, Utah. The company also acquired two European eCommerce firms: B2C Europe and HUUB and Asia's LF Logistics. Maersk hopes that the previous acquisitions will provide integrated logistics solutions in the North American market, especially in B2B warehousing and distribution. The Danish shipping company Maersk already has a significant presence in Europe and Asia, serving over 100,000 clients with B2B supply chains and transporting 12 million containers per year. Its services include order and transportation management, customs clearance, and a range of eCommerce fulfillment options. Its Californian-based branch, Performance Team (acquired in April 2020), will offer warehousing and distribution solutions and a full range of transportation services for the North American market. Mr. Adams and the Maersk team were in Las Vegas, Nevada, for the 2022 Shoptalk event from March 27-30. The agenda of the conference, which attracts over 8,000 people each year, covered the latest retail technologies, trends, and business models and discussed consumers’ behavior.   
By Nemanja Vasiljevic · April 06,2022
According to the National Retail Federation’s survey for 2020 and 2021, retail returns skyrocketed to over $760 billion in value.
By Vladana Donevski · March 14,2022

Leave your comment

Your email address will not be published.


There are no comments yet