Phew Bond Street is no longer the most expensive place to rent retail space in Europe, with Milan’s high street taking the crown.
Home to countless luxury brands, including Chanel, Dior and Louis Vuitton, the street is renowned for hosting the highest-end retail clientele.
But according to property expert Cushman & Wakefield, New Bond Street has overtaken Milan’s Via Monte Napoleone.
They say UK landlords have cut back the rent to attract new traders after covid has badly affected trade,
Rents have fallen 11% since the pandemic and 7% this year. Current rents in New Bond Street are £1,150 per square foot per annum.
Rents at Vis Monte Napoleone in Milan have risen 7% this year to £1,152 ($1,380) per square foot, just outpacing New Bond Street.
Peter Mays, head of central London retail at Cushman & Wakefield, commented: “While these headline figures suggest that New Bond Street has not recovered to pre-Covid levels, the picture is more complex at heart. We are seeing a number of moves from the high street or from the luxury brands that sit nearby, many of whom want to move into the mid-section to be next to Gucci, who will be moving there next year.”
Rents on the luxury high street in London remain higher than on the Champs-Élysées in Paris, which have fallen 4% this year to £877 ($1,050) per square foot.
Fifth Avenue in New York is the most expensive street in the world, with an average rent of £1,665 ($2,000) per square foot.
Robert Travers, Cushman & Wakefield’s head of retail in Europe, Asia and the Middle East, added: “The sector has been through one of the biggest stress tests imaginable in the last few years, but best-in-class retail properties have remained durable”.