Osso Buco Will Reinvigorate Itself

You can almost spot our building.

From Eater.com:

The big former space of iconic Union Square diner the Coffee Shop will soon be split into four new retail spaces — three of which will be reserved for new restaurants, according to the property manager.

No leases have been signed yet, writes Eric Gural, executive managing director of Newmark Knight Frank, who would not comment on rumors that Chase Bank is a potential option to take over the space. Another source associated with the property confirmed that Chase Bank is in talks to take over the non-restaurant space, though he also said it is not final.

Brazilian-ish restaurant Coffee Shop, known for its fashionable staff and cultural gravitas via appearances on shows like Sex and the City, closed earlier this month after nearly 30 years at the corner of 16th Street and Union Square West. It was a trailblazer when it opened in 1990 and became a popular spot for celebrities, tourists, and locals seeking a place near the transit hub, particularly because its huge neon sign made it an easy landmark.

Owners said this summer that the restaurant had to close in part due to high rents, but Gural notes that there is still time on the restaurant lease, contesting that the departure was because of a rent hike.

Number one advocate of old New York Jeremiah Moss first posted the rumor that Chase Bank might replace Coffee Shop, calling it “yet another example of New York City soul snatching.” Besides the new tenancy, a tipster told him that the Coffee Shop sign might be redone to say “Chase”; Gural did not comment on this rumor. Incidentally, the tenant before Coffee Shop was an actual coffee shop called Chase, and Coffee Shop got its name from Chase’s neon sign, which it kept

From the Times: “Venice was Chris Jaeckle’s inspiration for this duplex restaurant. “It has always had the most global outlook of any place in Italy,” said Mr. Jaeckle, the chef and a partner. “And that goes back 800 years.” But Venice is only a starting point. He also applies a touch of Japanese flavor to the typical Venetian rice, noodles and seafood. “With these ingredients, Japanese food has a lot in common with Venetian,” he said. Sardines with typical sweet-and-sour “in saor” flavors are artistically arranged Japanese-style. A touch of miso brightens razor clams. He interprets Venetian liver and onions with monkfish liver and adds a touch of curry to spaghetti with clams. Chris Cannon, the manager and consultant, has created a list with more than 36 Italian sparkling wines (white, rosé, red and even orange varieties) to pair with the food. The upstairs dining room is relaxed and understated; the ground floor is the bar. (Opens Monday): 22 East 13th Street, 212-231-2236, allondanyc.com.”

What might be next in the Virgin Megastore space? The New York Post has these rumors:

RELATED Cos. is negotiating with several tenants at One Union Square South for the Virgin Megastore space, sources said. The chain, which was purchased by Related and Vornado Realty Trust in 2007, is closing the store in late May or early June. All US-based Virgin Megastores are due to shut down by the summer.

Related controls the Union Square outlet, while Vornado handles the one in Times Square, which is closing in April to make way for Forever 21, the retailer that signed a megadeal for 100,000 square feet. The two real-estate giants licensed the then 11-unit Virgin chain precisely so they’d be able to control the retail in their buildings.

Sources said the asking rent in Union Square has recently dropped to $15 million per year from $25 million. According to its CoStar Group flyers, Winick Realty is seeking $700 a foot for the 26,000-foot ground floor and $150 a foot for the 31,035-foot lower level. One Union Square South, at 52 E. 14th St., includes the hulking Metronome artwork on the lower north side of the luxury apartment tower that rises from the retail base. Some of the prospective tenants include CVS and Best Buy, which has its eye on the Circuit City space now being controlled by the bankruptcy court.

Last fall, Related signed a letter of intent with Nordstrom Rack for about 40,000 feet. But Nordstrom in the end was reportedly loath to bring its off-price success story into the Big Apple before it snagged an A-plus site for the upscale department store flagship and nixed the Union Square opening. A Nordstrom spokeswoman said, “We will keep looking for a great spot to serve our customers.”

There is also talk that Forever 21 might jump from Vornado’s Whole Foods building at 40-48 E. 14th St., which also hosts Filene’s Basement, and expand into 19,200 feet at One Union Square. The Forever 21 store, which opened right after 9/11, has seven years left on its deal. But a buyout doesn’t make sense in the current economic climate.

Imagine a 538-foot tall condo at 5 West 13th St., and imagine it holding just 36 units (three units less than our co-op). Well, it’s very likely to happen.

Please note that the annual shareholders’ will be happening this year on July 22.