Though luxury brands took a bit of a beating the past couple years they have now reemerged from the fiscal crisis with a vengeance. According to a study of Europe’s most prominent luxury shopping areas by Jones Lang LaSalle, consumer confidence has been restored and Europe’s most high end streets and shops are reaping the benefits.
“Despite booming online offerings, retailing on Europe’s most prestigious high streets remains a very important success factor for the luxury segment,” said James Dolphin head of EMEA Retail Agency at Jones Lang LaSalle. “After two years of subdued spending, luxury retailers are responding to the return in consumer confidence with healthy expansion plans. Increased demand for prime space in the best locations is forcing rents up.”
New Bond Street in London remains the most expensive luxury shopping street in Europe. Rent per square meter on New Bond Street reaches €7,900 and London itself has the second highest luxury label density with 125 luxury outlets from the top 100 brands. Paris’ Avenue Montaigne has the second highest rent per square meter at €7,500 and the city sits atop the list offering the highest density of luxury labels with 150 luxury stores. Russia holds third highest rent with €7,015 per square meter on Moscow’s Stoleshnikov Lane and the fourth highest density of shops with 66. Recent sales hikes have significantly increased allowing luxury groups to boast double digit sales growth.
Europe’s largest metropolises remain meccas for visitors and locals with high fashion taste and deep pockets.