Hong Kong has emerged as the world’s most expensive shopping destination with prime retail space commanding top dollar, according to CBRE.
The city’s retail rents stood at US$3,864 per sq ft per annum with New York retaining the number two position at US$2,475 per sq ft per annum.
CBRE cites “significant inbound tourist flows and continued increases in domestic wealth fuels occupier demand from international fashion and luxury retailers” as the main factors.
Meanwhile, Singapore ranks number 18 on the list with rents at US$455 per sq ft per annum no change from the previous quarter.
“Singapore’s rents remain competitive and this has given global retailers a good reason to set up in Singapore. Several fashion labels have either expanded their presence in Singapore with a South East Asia flagship status or have established their first standalone stores,” said Letty Lee, director for retail services.
Notable new boutiques that recently opened in Singapore at Wisma Atria included Coach (4,600 sq ft), Tory Burch (2,500 sq ft) and Tommy Bahama (1,900 sq ft).
In Ngee Ann City and Mandarin Gallery, they include Fendi (2,200 sq ft) and J Lindeberg (1,200 sq ft).
Sydney is ranked third at US$1,112 per sq ft per annum, followed by Tokyo and London at US$1,025 per sq ft per annum and US$956 per sq ft per annum respectively.