Fairway Markets is looking to turn up the heat on rival Whole Foods here in the Big Apple.
The feisty third generation New York City grocery chain is in talks to take over a space at 766 Sixth Avenue — not far from Whole Foods and Trader Joe’s, The Post has learned.
“They are looking at the space but nothing is signed yet,” a spokesman said.
The aggressive move would demonstrate Fairway’s intent to compete with Whole Foods, said Faith Hope Consolo, chairman of retail leasing and sales for Douglas Elliman.
In addition, the move would help shape a former “no man’s land” from 23rd Street to 28th Street into a somewhere land, Consolo said.
“Fairway would help this residential neighborhood establish a greater retail corridor. It will link the techie corridor of Park and Madison avenues to the tourists of Fifth Avenue and the residents of Sixth Avenue,” Consolo said. “The area will soon fill in with restaurants and retail. Food comes first, and fashion follows food.”
The space covers 23,000 square feet over two levels: 17,000 square feet on the ground floor and 7,300 square feet in the basement, which will be selling space as well.
In 2007, a Westport private equity firm, Sterling Investment Partners, bought a majority stake in Fairway Markets for around $150 million.
More recently, the company has reported declining same store sales over the past two fiscal years.
In the 12 months ended April 1, 2012, sales at stores opened at least 14 months fell 7 percent from the prior year — after falling 5 percent in fiscal 2011 from the previous year.
The first Fairway was launched by Nathan Glickberg as a fruit and vegetable store in 1940, on the site of Fairway’s current flagship store at Broadway and 74th Street.
“They are going into every residential neighborhood,” Consolo said.
Fairway, with a total of 12 stores, also has a 52,000-square-foot warehouse in Brooklyn’s Red Hook, which was closed because of damage wrought by Superstorm Sandy. It is expected to reopen March 1.