World’s top retail locations remain resilient
Published: 21 September, 2010
Most of the world’s top retail locations have remained resilient during the last twelve months, according to a report by Cushman & Wakefield.
The annual Main Streets Across the World report shows that the prime rents of two-thirds of the 59 countries surveyed either rose or remained static over the year to June.
London’s New Bond Street leapt two rankings, to overtake Avenue des Champs-Elysées in Paris – the biggest faller in the top ten with a 9.5 per cent rental decrease - as the most expensive location in Europe. New Bond Street was the biggest riser, with a 19.4 per cent rental increase.
Europe as a whole registered a decline in rents of 4.5 per cent. Ireland’s Grafton Street in Dublin tumbled from eighth to thirteenth, with rents dropping by 25.8 per cent.
This year’s findings revealed that secondary locations have been much more adversely affected by the fall-off in retailer demand and consequent decline in rents.
Anthea To, retail analyst at Cushman & Wakefield, said: “As we move in to 2011, the global economic outlook looks likely to remain uncertain and concerns remain that the recovery will stall. A lack of clarity in future conditions is clearly holding some retailers back and preventing a stronger recovery taking hold.
“A consensus is emerging that growth next year will be more modest than originally forecast. Nonetheless, the more savvy operators have been active through the low point in the market, leasing space and securing good deals from landlords, which will enable them to take full advantage of a more sustained economic recovery once it kicks in.”