New York’s Fifth Avenue still holds the top spot in the ranking of the world’s most expensive shopping streets, according to a Cushman & Wakefield study. While Via Monte Napoleone in Milan, Italy, has moved up from third to second place due to a sharp 20% rise in retail rents in just one year, increasing prices to €18,000 per square metre. The rental value of Hong Kong’s Tsim Sha Tsui Street, however, has increased by only 4% since 2022 (-39% compared with before Covid).
Apart from these changes in the ranking, the top 10 remain unchanged this year. Fourth place is still held by New Bond Street in London, while the the Champs-Elysées in Paris is fifth, with rents equivalent to 2022 at 11,414 euros per square metre.
Istiklal Avenue in Istanbul, Turkey, has moved up from 31st to 20th place in 2023. Conversely, the Biblioteksgatan thoroughfare in Stockholm, Sweden dropped slightly due to the local currency, with the Swedish krona falling to a record low against the dollar.
“Vacancies remain limited in prime retail locations, which leads to competitive pressure that is passed on to rents when rare locations become available. Whilst concerns over reduced consumer spending have affected the economy, retailers have secured and consolidated the presence of their flagship shops in their target markets,” comments Rob Travers, retail director EMEA at Cushman & Wakefield.
Focusing on Europe alone, the study shows that France occupies half of the top 10 most expensive shopping streets, thanks to the Parisian luxury arteries “which have been very active in recent months, boosted by the prospect of the Olympic Games,” notes the study.