TJ Maxx Signs 29K-SF Deal to Replace H&M at 150 East 86th Street

Discount department store T.J. Maxx is replacing H&M in a busy retail spread on Manhattan’s Upper East Side, Commercial Observer has learned.

T.J. Maxx has signed a lease for 28,837 square feet at Extell Development’s retail condominium unit at 150 East 86th Street, according to a source close to the deal and a third-quarter Manhattan retail report from CBRE.

The big-box store will replace Sweden-based apparel chain H&M in the space in late 2027, taking over approximately 4,000 square feet on the ground floor and roughly 25,000 square feet on the second floor.

Ripco Real Estate’s Richard Skulnik represented T.J. Maxx in a direct deal with the landlord. The length of the lease and the asking rent were not disclosed, but CBRE’s report found retail rents on the Upper East Side averaged $259 per square foot during the third quarter of 2026.

Extell bought the retail condo unit along East 86th Street from Vornado Realty Trust for $64 million in July 2025. Spokespeople for Extell and T.J. Maxx did not immediately respond to requests for comment.

News of T.J. Maxx’s new lease comes about eight months after the retailer signed its first Manhattan lease in nearly a decade at JEMB Realty’s Herald Towers, where it took 40,000 square feet for a term of 10 years. That store at 50 West 34th Street will open by the end of this year. Skulnik also repped T.J. Maxx in that lease.

T.J. Maxx will join plenty of nearby retailers on its new Upper East Side block between Lexington and Third avenues, including Target, Old Navy, Foot Locker, Victoria’s Secret and Ulta Beauty.

The retailer’s East 86th Street deal was also the largest retail lease signed in Manhattan during the third quarter of this year, followed by Five Iron Golf‘s 28,288-square-foot deal at 32 Old Slip in the Financial District and Crunch Fitness‘ 28,100-square-foot lease at 2192 Broadway on the Upper West Side, according to CBRE.