State of New York Investigating Apple's Sweetheart Deal at Grand Central Station
As we've reported several times in recent weeks, Apple's forthcoming retail presence in New York City's Grand Central Station is the buzz of both the retail and tech worlds. Part of the impetus for the incessant coverage on this retail outlet is the fact that Apple received such a good deal on the real estate.
State Comptroller Thomas DiNapoli is behind the investigation that seeks to expose whether the Metropolitan Transportation Authority gave Apple overly generous terms on its lease for the shop, which will open next weekend. The Post reported that Apple’s $60-a-square-foot lease is "well below what many other tenants are paying" — including a future Shake Shack burger establishment, which will pay more than $200 a square foot.
“The article in the New York Post about the MTA’s contract with Apple in Grand Central Terminal is a cause for concern,” DiNapoli said this week. “This is a prime property, and I intend to make sure that the MTA hasn’t given away the store.” It should be pointed out that DiNapoli has a lengthy history of auditing the MTA real-estate portfolio. He has previously uncovered what the Post called "lax recordkeeping, hundreds of vacancies and mediocre marketing of properties."
It remains to be seen what - if anything - will come from the investigation. The only thing we know for certain is that the State of New York has some big, unanswered questions. And the answers should be interesting.
Source: New York Post