NEW YORK, July 26 (UPI) -- For decades, the famous retail space at 767 Fifth Ave. in Manhattan showcased some of the hottest toys on the market. Soon, it will brandish merchandise for one of the nation's hottest sportswear companies.
Maryland-based Under Armour announced Tuesday it will move into the former FAO Schwarz space in the General Motors Building near New York City's Madison Avenue.
Company founder and CEO Kevin Plank unveiled the move during an earnings call Tuesday, which also revealed an increase of Under Armour's net revenues for Q2 by nearly 30 percent, and total earnings of $6.3 billion for the quarter. The company says it expects total revenue of $4.93 billion for the year.
Plank said during the call Tuesday that the move into 767 Fifth Ave. could happen as soon as 2018. FAO Schwarz, one of the nation's oldest toy retailers, left the location in July 2015 due to its extravagant rent.
The average retail rent in the area near Fifth and Madison Avenues exceeds $3,000 per square foot -- widely believed to be the world's most expensive. Under Armour's new location has 53,000 square feet.
The move is part of an overall strategy by Under Armour to further establish and enrich its growing brand of sportswear and sporting equipment. Recently, it has made substantial gains on competitors like Nike and Adidas.
Aside from consumer retail, all three companies are also involved in outfitting professional and collegiate sports teams. In May, the company announced it had reached a record $280 million deal with UCLA's athletic department. Last year, it gained Notre Dame and California as new clients -- and already outfits several other prominent NCAA programs, including Auburn, Wisconsin, South Carolina and Utah.
FAO Schwarz, a high-end toy seller, occupied the building between 1986 and 2015.
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