Modern mixed-use building located along the High Line corridor in prime West Chelsea.
Financial Breakdown
Annual Rent
$40,000 × 12 = $480,000/year
Price Per Square Foot
$480,000 ÷ 3,900 SF = ~$123/SF annually
This is aggressive pricing for West Chelsea retail.
Typical High Line / Chelsea retail:
• $175–$350/SF depending on frontage
• Prime corners significantly higher
At ~$123/SF, this is positioned as:
✔ Value opportunity
✔ Competitive entry into prime corridor
✔ Attractive for strong regional operators
Tenant Feasibility Analysis
To support $40,000/month rent:
Occupancy ratio modeling:
• 10% rent-to-revenue → $400,000/month gross sales
• 8% rent-to-revenue → $500,000/month gross sales
This level works for:
✔ Established gallery
✔ Boutique fitness concept
✔ Design showroom
✔ Hospitality concept
✔ Specialty retail brand
✔ Chef-driven restaurant (venting dependent)
Strategic Market Position — West Chelsea
West Chelsea is not neighborhood retail — it is destination retail.
Strength drivers:
• High Line tourism
• Luxury condo pipeline
• Hudson Yards spillover
• Strong long-term land value
• Low retail vacancy relative to many Manhattan submarkets
This is a stable institutional-quality retail corridor.
Investment / Landlord Perspective
At $40K/month:
✔ Wider tenant pool
✔ Lower vacancy risk
✔ Stronger underwriting stability
✔ Competitive positioning vs Hudson Yards rents
If landlord-owned long term, this pricing supports:
• Stable tenancy
• Lower turnover
• Long-term asset preservation
Strategic Assessment
This is a positioning play, not a discount corridor.
If ranking retail Manhattan submarkets:
• Prestige retail corridor → West Chelsea
• Volume-driven retail → Midtown South
• Value-growth retail → Upper Manhattan
507 West 24th is a prestige-location asset with a competitive entry rent.
