Inditex Spend $280 Million On Flagship In New York, USA

(ITX.MC) it has spent $280 million to purchase a commercial building built in nineteenth Century in downtown Manhattan, New York, for opening.

Flagship store is expected to open before the end of the year.

The building is located between Broome Street and Spring Street of Broadway in SoHo District, with an area of 4400 square meters.

This is the second property purchased by Inditex SA (ITX.MC) in New York. In 2011, the group bought 666 of Fifth Avenue in Manhattan for $324 million.

The cash rich world's largest clothing retailer owns property in prime locations in London and Milan, but it represents future.

It will also rely mainly on rental stores.

Inditex SA (ITX.MC) chairman and chief executive Pablo Isla announced in a statement that the opening of the Zara SoHo flagship store is an important milestone for the group's US expansion strategy, and also coincides with the growth mode of the United States strategy combining flagship stores and online sales.

Inditex SA (ITX.MC) has nearly 6500 stores around the world, most of which are concentrated in Europe and Asia, and are currently limited in penetration in the North American market.

The group plans to accelerate the expansion of Zara in the United States this year, adding more than one or more new stores in big cities like Las Vegas, Losangeles, Santiago, Boston, Houston, Dallas, Seattle, Chicago and so on.

The total number of stores in Manhattan increased to 8 by the end of the year.