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Shake Shack Opening in Grand Central

10/01/2013
Published By: The Retail Report
 

After a two-and-a-half year saga, Shake Shack will be opening its Grand Central Terminal location on October 5. In 2011, the burger and frozen custard chain beat out competition for the 2,300-square-foot space, but its predecessor, Mexican eatery Zócalo, refused to leave the premises and had to be evicted earlier this year.

Shake Shack officially took possession of the space on May 1, and it will join the chain’s other 33 locations in boasting a signature “concrete” dessert. The “GCT Crunch-stellation” is named after the terminal’s constellation mural, and it will combine frozen custard, malt, Valrhona chocolate crunchies, and chocolate toffee pieces.

The new outpost is located in the lower-level dining concourse, and marks a great deal for MTA, as Shake Shack will pay a substantially higher rent than its predecessor. Shake Shack’s 10-year lease started at an annual minimum rent of $435,000, about $100,000 higher than what Zócalo paid, and by 2023 Shake Shack’s rent will be up to $567,000, and giving MTA another 8% of gross sales over a threshold amount.

[Crain's New York]

[Newsday]

Release Date10/01/2013 - 07:00

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