The northern blocks of New York’s Fifth Avenue, home to the jewellery store made famous in the film Breakfast at Tiffany’s along with Apple’s glass cube and Saks Fifth Avenue, top the chart with yearly rent of $3,500 per square foot.
In second place is Causeway Bay in Hong Kong, followed by the Avenue Champs Elysees in Paris, which is the most expensive retail location in Europe, the Middle East and Africa, according to research from Cushman & Wakefield, with shops paying $1,372 per square foot.
The survey shows rents have risen 35 per cent around the world. New Bond Street rents rose 12 per cent, but on Fifth Avenue rents only increased 3.6 per cent year on year.
Covent Garden recorded some of biggest rent rises, up 25 per cent year on year to, $762 a square foot. Brompton Road in Knightsbridge was another climber, up 25.9 per cent to yearly rates of $682.
In the regions, Manchester and Edinburgh experienced year-on-year rental growth rates of four per cent, Sheffield was at five per cent and Leeds at 2.3% per cent.
Looking ahead, Cushman & Wakefield expect rents to keep rising around the world “despite any economic and political uncertainties.”
Even in Asia, despite weakening retail figures, the outlook is “largely positive” with sales predicted to rise 8.5 per cent year on year. Lower rents are still attractive for global luxury brands despite the China slowdown.
Justin Taylor head of EMEA retail said: “Improving employment prospects, rising real wages and healthier consumer confidence in advanced economies are set to offer more positive momentum for the retail sector.
“Indeed, a strong retail sales growth forecast, robust occupier demand and a lack of supply in many locations mean rents will keep rising in the most popular high streets. street markets outwards.”