Once a week, or so, Eater Nightlife Real Estate Guru-in-Residence Steven Kamali will be giving you the virtual tour of one of his fine properties. As you know, he is the broker of record on many a fine NY nightlife establishment, many of which change hands like clockwork every 36 months. Should you want to buy one of these gems, please be in touch with The Grim Reaper directly; we're not here to make money off of your failed nightlife ventures.
Veune: Rockefeller Center Hotel at Club Quarters, 25 West 51st Street (btw. 5th & 6th Avenues)
Kamali: “This location offers you a great view of Roc Center’s Christmas tree & Ice skating rink?And of course it makes you neighbors NBC Studios and Radio City Music Hall.”
Rent: $25,000 per month
Kamali: “Definitely fair-considering whose company you’re in?hotels spaces are coveted in today’s hospitality-driven real estate market.”
Escalations: 9% every 3 years
Kamali: “Just for the record-have the rent escalating on a tri-annual basis beats having your rent go up every year?do the math!”
Size: 6,000 SF (Lower Level)
Kamali: “They ceiling heights are incredible, giving you and your future patrons the sense that the space is larger than it actually is. The space is like an artist’s new canvas-do with at as please?just NO NIGHTCLUBS PLEASE!”
Term: 15 years (+5 year Option)
Kamali: “WOW! This gives you a great exit strategy if need be-or just a long stint in the restaurant industry. But, let's be honest, this hotel will take off and you'll be out of this deal in 2.5 years. We'll both net low-six figures, having upped the fixture fee by 50%."
Fixture Fee: $750,000
Kamali: "See above. Think of this as investment capital. If Club Quarters gets huge -- which it might, given its location, location, location -- you can double this number in 24 months and make us both a little richer."
The Hard Sell: "These numbers aren't scary -- they just separate the men from the boys. If you're looking for a cute, cozy, little bar in Chinatown, this isn't the one for you. But, are you looking for a challenge? A little glory? This is a hotel bar, folks. Built in business at $19 a cocktail. Should I have my assistant prep the paperwork?"
Previously, in the The Hard Sell.