CW Retail - Food Halls Report

Even with a conservative figure of 18 existing food hall projects accounting for 616,000 sf, New York City currently accounts for more than 25.4% of the entire U.S. food hall projects inventoried for this report. But that is only part of the story. At year- end 2015, we were tracking just 11 projects totaling 478,000 sf. And it is critical to note that our current numbers reflect the marketplace as of the close of Q3 2016. That means that through the first nine months of 2016, New York City has added seven major new food hall projects totaling more than 138,000 sf. One additional project—the Canal Street Market—is expected to be delivered during Q4 2016 and will add an additional 12,000 sf to that total. Also, the DeKalb Market Hall in Brooklyn (26,000 sf) is under construction with a planned 2017 delivery date. In addition to the Canal Street and Dekalb Hall Market, five more food halls are in the development pipeline, some of which are likely to break ground by the time this report is released. Those five projects, with delivery dates slated through 2019, could add an additional 293,000 sf to the market. That figure does not include projects which developers have not yet announced, projects which could up the ante by another 50,000 sf or more in the coming years. The food hall trend is playing out across the U.S. and our view is that it is more than a mere fad. Rather, it is a sustainable, long-term trend that has potential to impact the retail marketplace for a number of years ahead. Nowhere is this trend playing out with such velocity and sheer impact than in New York City. As we sought to catalog the top projects currently active across the nation, we felt it imperative that New York City stand alone in our rankings. Below are our informal rankings of the Top Ten Food Halls of New York City for 2016.

CUSHMAN & WAKEFIELD

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