London’s Bond Street has officially overtaken all global luxury shopping destinations to become the world’s priciest retail location, driven by fierce competition among top fashion houses and rapidly rising rents.
According to new data from real estate group Cushman & Wakefield, New Bond Street now commands annual rents of $2,231 per square foot, surpassing Milan’s Via Monte Napoleone ($2,179) and New York’s Upper Fifth Avenue ($2,000). This marks the first time London has topped the prestigious global ranking.
Luxury Demand Outstrips Supply
The surge is fuelled by a wave of premium brands — including Prada, Richemont, Givenchy, Chopard, and Van Cleef & Arpels — securing high-value leases on the street.
Demand has grown far faster than the limited number of available units, particularly on the coveted 50-metre stretch between Clifford Street and Burlington Gardens, an area known for its concentration of elite jewellery houses such as Cartier and Graff.
Duncan Gilliard, head of central London retail at Cushman & Wakefield, said this zone has become “one of the most fiercely contested locations in global retail.”
He added that luxury groups buying their own stores has reduced the number of available units even further, pushing retailers toward long-term leases at higher rates.
Luxury Sector Stays Strong Despite Global Slowdown
Although luxury retail saw a slowdown after the post-pandemic boom, major groups including LVMH, Kering, and Richemont have recently reported a rebound in profits.
Richemont — owner of Cartier and Van Cleef & Arpels — exceeded analyst expectations last week as shoppers turned to high-value jewellery and watches as financial safe-haven assets.
Rising Rents Spill Over to Other London Shopping Hubs
Neighbouring shopping corridors such as Oxford Street and Regent Street have also seen rents increase by 10% or more, suggesting that Bond Street’s boom is influencing the wider West End retail economy.
However, rising operating costs and the UK’s removal of tax-free shopping for international tourists have forced some premium retailers to close their Bond Street stores. Last year, the department store Fenwick and luxury stationer Smythson shut down their New Bond Street branches, citing financial pressure.
Global Trends: Winners and Losers
Cushman & Wakefield’s annual survey, which has tracked global retail rents for 35 years, showed mixed results worldwide:
- Tokyo’s Ginza: Rents rose 10% to $1,257 per sq ft
- Hong Kong’s Tsim Sha Tsui: Rents declined 6% to $1,515 per sq ft
- Milan & New York: Both overtaken by London after years near the top
With Bond Street now leading the global retail league table, London reasserts its position as a premier hub for high-end shopping — but the soaring costs are reshaping the retail landscape and pushing out brands unable to keep pace with the luxury surge.
