Manhattan’s ritzy Fifth Avenue, known for high-end stores such as Tiffany’s and Chanel, will soon have a more utilitarian tenant: Ikea.
Ingka Investments, the investment arm of main Ikea retailer Ingka Group, said it was taking a minority stake in a new tower being developed on New York City’s premier retailing street, paving the way for the Swedish furniture group to open a “customer meeting point” in the iconic shopping district.
The investment marks the latest push by Ikea to expand into the US market, but also continues a recent trend of big global retailers, including LVMH, snapping up prime real estate in major cities across the world.
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