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Retail landlords near Barclays Center said to be unrealistic, seeking big-box rents

While Barclays Center is a positive development for Brooklyn, many building owners in the area are too quick to price their small-business tenants out, hoping for a big payday.
So says Anthony Lolli, CEO of Rapid Realty, a large franchise-based real estate rental brokerage in New York with more than 60 offices...
ā€œThey are making the strip radioactive,ā€ he continued. ā€œTheyā€™re asking big-box retail rents from small mom-and-pop locations.ā€
Business stemming from events at Barclays, he said, will spike on certain days, ā€œbut itā€™s not an ongoing business. The problem is that Barclays has great food vendors, and people fill up there.ā€
While Lolli didn't provide specifics, there have been anecdotal examples, such as a report last month in Crain's New York Business that The Chocolate Room, which has operated its dessert cafe/retail outlet at 86 Fifth Avenue in Park Slope for ten years faces a $13,500 rent, but instead counteroffered $7,000, which suggests the proposed rent was more than double

The Chocolate Room, like many other retailers, hasn't seen an arena-related a spike in business. 

Promotion an issue?

Lolli, in the interview, said, in the Eagle's paraphrase, that "local business owners havenā€™t done enough promotion to steer Nets fans and concert-goers to places outside."

I think that's a two-way street. The arena is supposed to promote area businesses, as well, in order to stagger arrival/departure times, but understandably wants to keep customers inside.

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