A new report from Savills estate agent has shown that London’s Bond Street is becoming a top location for ultra-luxury brands, with fewer affordable labels choosing to occupy stores there.
Bond Street is the second most expensive shopping street in the world, after New York’s Fifth Avenue, and luxury retailers occupy 73.9% of the retail space – an increase from 62.8% in the last five years.
12 new stores are planned to open on the street by the end of the year including luxury brands such as Alaïa, Delvaux and Officine Panerai. Devalux will occupy the space that previously housed Pinet at a rent of £1.5 million a year.
Meanwhile, Regent Street is becoming the retail street of choice for mid-market premium and more affordable labels, with Arket, Sandro, and Maje opening this year.
Other streets such as South Molten Street are also popular choices for premium brands leaving Bond Street. Those that stay are mainly at the end of the street north of Brook Street, with 63% of stores in that area coming under the “accessible luxury” description. This percentage is expected to increase with the opening of the Hanover Square development next year.
Fashion and footwear brands occupy almost half of the retail space on Bond Street, with watch stores accounting for just over 10% and bag and luggage brands 3%.
European brands dominate, with an increase from 49% to 58% in the last five years. British brands have dropped from 39% to 32% and American brands from 9% to 6%.