Apple’s Grand Central store to open on Friday

Apple announced last Thursday it will open its new store in Grand Central Terminal, New York, this week as state authorities said they are looking into whether the company is paying enough for the prime location.

Apple said it will open the doors to the Grand Central store in downtown Manhattan on Friday. It will be Apple’s fifth store in New York.

The New York Post reported last Thursday that state comptroller Thomas Di Napoli is probing whether the Metropolitan Transportation Authority (MTA) gave Apple overly generous terms on its 10-year lease for the store.

According to the newspaper, Apple is the only retailer among the 100 or so in Grand Central not required to make revenue-sharing payments to the landlord, and its first-year lease rate is “well below” that of neighbouring tenants.

The Comptroller’s Office performed an audit last year of MTA’s real estate management practices, and Di Napoli said last Thursday that he has asked his staff to immediately conduct a follow-up audit.

“While it is common to check back with agencies my office has audited to determine if progress has been made based on our recommendations, the article in the New York Post about the MTA’s contract with Apple in Grand Central Terminal is a cause for concern,” he said in a statement.

“This is a prime property and I intend to make sure the MTA hasn’t given away the store.”

Apple has 360 stores worldwide, including 245 in the US.