IKEA is doubling down on Manhattan.
The Swedish furniture giant announced this week that it will open a store in the former Nike outlet at 529 Broadway in SoHo after purchasing the building for $213 million.
Ingka Investments, the investment arm of Ingka Group, which owns most IKEA stores worldwide, snapped up 529 Broadway and will occupy about 25,000 square feet on the first and second floors of the building. The lower level will be used for storage and operations.
The upper floors will be converted into offices, with Ingka Investments operating the entire 53,000-square-foot property, according to the group.
“This marks Ingka Investments’ fourth acquisition of prime commercial real estate to support IKEA’s growth in the world’s leading cities,” said Peter van der Poel, managing director of Ingka Investments, in a statement. “This new location in New York City allows us to continue offering inspiring and accessible home furnishing solutions to everyone, regardless of their budget.”
The SoHo store, located at Broadway and Spring Street, marks the second planned IKEA outlet in Manhattan. Another superstore will be located at 570 Fifth Ave. in Midtown.
Earlier this year, Extell chairman Gary Barnett, in partnership with Ingka Investments, announced the purchase of 576 Fifth Ave. The site will be combined with Extell’s adjacent property at 574 Fifth Ave. to develop a full-block tower.
The Ingka Group has yet to announce an opening date for either Manhattan location.
“We are in the early stages of planning for the new store and look forward to sharing more details on the location in the future,” a spokesperson said.
Brooklyn remains the only borough with an operational IKEA store, offering a free weekend ferry from Manhattan to Red Hook. The company has not confirmed whether the service will continue once the new Manhattan locations open.
IKEA previously closed its Queens store at the Rego Center mall in 2022 after just two years in operation.
