Hong Kong Retains Top Ranking as Asia Pacific’s Most Expensive Retail Destination
- Written by Media Outreach
Refocusing on International Events and Experiential Retail are Crucial to Revitalize Hong Kong’s Retail Landscape
HONG KONG SAR - Media OutReach – 21 November 2023 - Cushman & Wakefield (NYSE: CWK) today released the 33rd edition of its Main Streets Across the World report which examines prime retail rental rates in key cities globally. This report launches together with Cushman & Wakefield's Unleashing Retail Innovation: Discovering the New Edges for Hong Kong report, which examines the market opportunities that lie ahead for the Hong Kong retail market, especially around the experiential retail segment including cultural and sports elements. The report also identifies successful case studies and recommendations for market stakeholders to consider.Main Streets Across the World report key takeaways:- Hong Kong's Tsim Sha Tsui maintains a high global ranking as the world's third-most expensive retail street, following New York's Fifth Avenue and Milan's Via Montenapoleone, which moved up one place to take the second spot
- Hong Kong's Tsim Sha Tsui also retains its position at the head of the Asia Pacific city rankings, joined by the city's Causeway Bay district in second place and Central district in eighth
- New Bond Street in London retained fourth position globally, with the Avenues des Champs-Élysées in Paris in fifth position
- Globally, rents rose on average 4.8% year-over-year
- The Asia Pacific region recorded the strongest growth at 5.3%, followed by the Americas at 5.2% and Europe at 4.2%
- Despite this comparatively strong growth, in most instances the increase in rents did not match peak inflation levels
- Globally, rental levels remain below pre-pandemic[1] levels in 55% of markets (70% of markets in Europe, 51% in APAC and 31% in the Americas)
Global Ranking 2023 | Global Ranking 2022 | Market | City | Location | Rent (USD/sq.ft/yr) | Rent (EUR/sqm/yr) | Pre-pandemic to present (LCY) | YOY (LCY) |
1 | 1 | U.S. | New York City | Upper 5th Avenue (49th to 60th Sts) | $2,000 | €20,384 | 14% | 0% |
2 | 3 | Italy | Milan | Via Montenapoleone | $1,766 | €18,000 | 31% | 20% |
3 | 2 | Greater China | Hong Kong | Tsim Sha Tsui (main street shops) | $1,493 | €15,219 | -39% | 4% |
4 | 4 | United Kingdom | London | New Bond Street | $1,462 | €14,905 | -11% | 0% |
5 | 5 | France | Paris | Avenues des Champs-Élysées | $1,120 | €11,414 | -18% | 0% |
6 | 6 | Japan | Tokyo | Ginza | $912 | €9,299 | 0% | 0% |
7 | 7 | Switzerland | Zurich | Bahnhofstrasse | $907 | €9,243 | -2% | 1% |
8 | 8 | Australia | Sydney | Pitt Street Mall | $747 | €7,612 | -24% | 0% |
9 | 9 | South Korea | Seoul | Myeongdong... |
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