Thursday, November 15, 2007

High rents at root of tree price hike


By Matthew Lysiak

Special to amNewYork

November 15, 2007

You better hope that eggnog is spiked ‹ the priciest Christmas trees in the world just got even pricier.

That¹s because the soaring cost of Manhattan real estate is seeping through to the sidewalks, where tree dealers are already feeling the holiday pinch. This translates into bad tidings for city consumers already accustomed to paying unprecedented pine prices, although just how large the increase will be is yet to be determined.

³It¹s unbelievable, the cost of renting the space to sell my trees has quadrupled since I began,² said Scott Lechner, whose Winnebago will be parked next week on Sixth Avenue and Spring Street at the site of one of the world¹s most prominent tree stands. ³The rising cost of the real estate on top of the increases in fuel has created a real problem for us and all tree dealers.²

It wasn¹t always this complicated. In 1982, when Lechner began his journey into the forest of sturdy Canadian Balsams and the more fragrant Balsam Firs, setting up a stand in the city was a lot simpler ‹ and cheaper. But in today¹s Manhattan, nothing comes cheap ‹ not even the sidewalks. In the past few years, the rent at his spot in SoHo has increased from $2,500 to $12,500, according to Lechner, who plans to offset the expenses by selling more trees at the same price.

³We try to internalize the increases because I believe the tree stand is one place where there should never be sticker shock.²

The sheer volume of Lechner¹s fresh-cut inventory might help him absorb the rising fees, but the numerous small dealers scattered throughout the city won¹t be as fortunate.

That means for most residents, tree prices will keep rising, but don¹t expect residents to stop paying.

The tree market appears to be insulated from the rising fees of Manhattan sidewalk real estate prices, at least in part, by a captive audience intent on carrying on a cherished tradition no matter what the price.

Most will keep choosing to pay $250 for a 10 foot Frasier fur at the local stand when the same tree can be picked up at a nearby Home Depot for a fraction of the price because, at least for some locals, the act of haggling with a disheveled salesman and dragging a 100-pound tree 12 city blocks in inclement weather isn¹t just a tradition, but a moral duty.

³There is something wrong with taking your kids inside a department store to pick out the family Christmas tree,² said long time SoHo regular Andrew Dalton. ³I am willing to pay these ridiculous prices once a year to abstain from that sin.²

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