Duncan’s Toy Chest is a made-up name for the film “Home Alone 2: Lost in New York,” not a genuine store. Duncan Henderson, the film’s executive producer, provided the inspiration for the imaginary toy store.
The inside of the toy store in the film was modelled after FAO Schwarz, a real New York toy store. The facade of Duncan’s Toy Store was based on the exterior of another store, The Rookery in downtown Chicago, Illinois.
Except for the facade of the toy store, the rest of the movie was shot at the Plaza in Central Park, according to IMDB.