Business in Ireland

• About this group
• Forums

• Home
• Groups
• Business in Ireland
• Forums
• Irish News
• Dublin world's 9th most expensive retail city

• 
  Helena Deane    Group moderator

  The company name is only visible to registered members.

  Dublin world's 9th most expensive retail city

  (BizWorld)
  
  Dublin has ranked ninth in a league table of the world's most expensive places to have a retail business, the latest survey from CB Richard Ellis (CBRE) shows.
  
  Dublin is more expensive than Los Angeles and Milan but cheaper than New York, Hong Kong, Moscow and London which make up the top four. The average price of retail space per square meter in Dublin is USD4,688 a year compared to Los Angles at USD4,586, New York at USD16,817 and London at USD6,378.
  
  Retailers are focusing on some of the major global fashion capitals, pushing rents in the world's most expensive retail locations even higher, according to CB Richard Ellis' (CBRE) latest Global Retail Rents Survey.
  
  Some smaller and secondary retail cities continue to see strong levels of growth, however global fashion capitals such as Hong Kong, London and Los Angeles now sit alongside these markets in the company's top 25 fastest growing retail rents index, whilst simultaneously claiming some of the most expensive retail rents in the world.
  
  Despite deteriorating economic conditions, the retail sector has to date continued to perform relatively well. Half of the markets surveyed saw retail rental growth in the past year (ending Q3 2008), with 65pc of those seeing increases over the last six months. New York's 5th Avenue remains the world's most expensive retail destination, with rental values reaching E16,817/sqm/annum, more than 75pc higher than Hong Kong, the second most expensive location. Also making the top five most expensive retail destinations globally are Moscow, London and Tokyo.
  
  Demand is coming from retailers that are performing well in the current market - such as luxury brands - but also from retailers who are reining in wider expansion plans in response to weakening consumer spending and focusing on longer-term strategic locations as opposed to new destinations.
  
  Although rents have risen in many key cities, the slowdown in consumer demand has inevitably struck some retail markets around the world resulting in falling rents. In cities such as Tokyo and Madrid, where rents fell by 5pc in the past six months, retailers are now beginning to take advantage of their covenant strength and landlords are becoming more open to rental negotiations. Despite growing downward pressure, retail rents in these cities remain some of the highest in the world (Tokyo 5, Madrid 21).
  
  Marie Hunt, Director of Research at CBRE in Ireland, said: "It is easy to assume that falling consumer confidence and financial market turmoil across the globe are striking all retail stores, but the CBRE survey together with sale figures from retailers is showing that we have a barbell market. Our analysis indicates that the upper end is holding up well and the same is true for lower-end, non-discretionary retailers."
  
  • 19 Nov 2008, 4:49 pm
  Helena Deane wrote: > (BizWorld) > > Dublin has ranked ninth in a league table of the world's most > expensive places to have a retail business, the latest survey from CB > Richard Ellis (CBRE) shows. > > Dublin is more expensive than Los Angeles and Milan but cheaper than > New York, Hong Kong, Moscow and London which make up the top four. > The average price of retail space per square meter in Dublin is > USD4,688 a year compared to Los Angles at USD4,586, New York at > USD16,817 and London at USD6,378. > > Retailers are focusing on some of the major global fashion capitals, > pushing rents in the world's most expensive retail locations even > higher, according to CB Richard Ellis' (CBRE) latest Global Retail > Rents Survey. > > Some smaller and secondary retail cities continue to see strong > levels of growth, however global fashion capitals such as Hong Kong, > London and Los Angeles now sit alongside these markets in the > company's top 25 fastest growing retail rents index, whilst > simultaneously claiming some of the most expensive retail rents in > the world. > > Despite deteriorating economic conditions, the retail sector has to > date continued to perform relatively well. Half of the markets > surveyed saw retail rental growth in the past year (ending Q3 2008), > with 65pc of those seeing increases over the last six months. New > York's 5th Avenue remains the world's most expensive retail > destination, with rental values reaching E16,817/sqm/annum, more than > 75pc higher than Hong Kong, the second most expensive location. Also > making the top five most expensive retail destinations globally are > Moscow, London and Tokyo. > > Demand is coming from retailers that are performing well in the > current market - such as luxury brands - but also from retailers who > are reining in wider expansion plans in response to weakening > consumer spending and focusing on longer-term strategic locations as > opposed to new destinations. > > Although rents have risen in many key cities, the slowdown in > consumer demand has inevitably struck some retail markets around the > world resulting in falling rents. In cities such as Tokyo and Madrid, > where rents fell by 5pc in the past six months, retailers are now > beginning to take advantage of their covenant strength and landlords > are becoming more open to rental negotiations. Despite growing > downward pressure, retail rents in these cities remain some of the > highest in the world (Tokyo 5, Madrid 21). > > Marie Hunt, Director of Research at CBRE in Ireland, said: "It is > easy to assume that falling consumer confidence and financial market > turmoil across the globe are striking all retail stores, but the CBRE > survey together with sale figures from retailers is showing that we > have a barbell market. Our analysis indicates that the upper end is > holding up well and the same is true for lower-end, non-discretionary > retailers."