View of the Champs-Elysées: At the Paris boulevard, rents go back considerably. Source: AP
DÜSSELDORF. The fight was short and expensive. As the jeweler Asprey beginning of his shop in New Bond Street conceded 169 broke, shortly after an unprecedented bidding war. No less than five luxury chains outbid each other to be able to get hold of the site. At the end of Piaget received the award – for an alleged annual rent of 7345 € per square meter. The deal of the Richemont Subsidiary makes London the most expensive shopping street to Europe.
The run on the luxury miles but could be for many chain stores to danger. Already, the exuberant rent out in numerous cities to the fact that the boulevard for retailers worldwide develop into a billion grave. A recent study by the real estate broker Cushman & Wakefield shows that rents rose and the ten most popular shopping streets – despite recession – in the past twelve months to June increased to 19.4 percent. For less than 7 000 € annual rent per square meter of retail space in prime locations in Paris, Milan and London are unlikely to have.
Here there rents exceed Even now many luxury automakers the full load sales. Thus it was the luxury cutters Hugo Boss recently hinted that his stores are selling goods on average a value of 6000 € per square meter.
Rents exceed sales
At New York’s glittering Fifth Avenue, the most expensive with an annual rent of 16 257 euro per square meter shopping pavement of the world, has now broken out among some traders panic. Because while reducing revenues to recession, luxury providers access to actions that previously seemed unthinkable. With discounts of up to 75 percent of Saks Fifth Avenue has applied to the entire industry against itself. Celebrities addresses also had to give up: The jeweler Fortunoff, the long in the neighborhood of Prada, Tiffany and Louis Vuitton resided, went under in the bankruptcy. Even the oldest U.S. men’s outfitters Brooks Brothers has disappeared from Fifth Avenue.
Even in Germany, where prime locations in comparison with other countries to have comparatively favorable nor are there likely to retailers on the glossy miles fall harder and harder to reach the black. Munich’s city center, for instance, the head office in Germany is, per square meter of retail space by 6540 €. Who’s there as a dealer to pay in the Marienplatz or Maximilianstrasse 3700 € rent per square meter, which remains at the end use of goods, personnel and operating costs hardly anything left.
To achieve such high rents on the Champs Elysées, calculates real estate consultant Pierre Raynal, the transactions must implement 13000-14000 € per year per square meter. implement alone, small-scale luxury shops like Louis Vuitton and Bottega Veneta 20 000 euro per square meter, according to experts, is on the bill.
"Flagship stores are used to demonstrate the brand, cost money and a pig actually belong to the marketing budget," says the Cologne trade expert Ulrich Eggert. But hardly a luxury chain can afford According to experts, currently to be missing in the main streets of the world’s major cities. "These flagship stores are important for the communication of brand values and reputation," says Armando Branchini, president specializing in the luxury sector Milan Inter Corporate Consulting, the effort.
Not even square meter prices of more than 600 € per month quench the glamor industry, therefore. "The demand is enormous and completely unaffected by the crisis," says the London Cushman consultant Peter Mace. But the independent franchisees, who populated it was 15 years, the Bond Street are largely gone. They were there to rely on profits.
Arc de Triomphe on the Champs-Elysees. Source: AP
Champs-Elysées: Invasion of the book chains
Every year, President Nicolas Sarkozy leaves waving in the traditional military parade on the 14th July on the Champs-Elysees. The Tour de France will end decades at the Paris boulevard. Feudal is its facade still standing. But the crumbling plaster. Because the sites are not sufficiently profitable, the rent is too expensive and the competitors left and right now the likes cheap. Franz Schmid-Preissler of the same advice refers to an "inflation of luxury" miles.
The decline reflected far down in numbers. decreased by 9.5 percent in the twelve months to June this year resulted in rents, determined the real estate broker Cushman & Wakefield. Particularly bitter for the French: The world was their main boulevard, the only one among the top ten international luxury shopping streets, their homes lost in earnings power. Schmid-Preissler Advisor warns, wherever – as at the Champs Elysees – H & M or McDonald’s Rampage had to seek the luxury any more.
The noble, deducting therefore increasingly back into smaller, finer lines and flee before the invasion by low-cost chains such as Gap, Zara or Disney. Even the youthful cult shop Abercrombie and Fitch will soon be at the "Champs", as the Boulevard in the heart of Paris’ many times, represented. The U.S. clothing company is best known for its flagship stores in London and New York, where are the customers queue: first, to buy the clothes with the Moose logo on the other, to the shops in the disco ambiance – thumping bass and dim a light with – to marvel at. Abercrombie is also soon to launch luxury Düsseldorf Königsallee.
Raises profits this form of brand allegiance, however, deviates little. For a flagship store but worth it – but usually only from a marketing point of view. According to commercial real estate consultant Cushman & Wakefield Pierre Raynal, due to the high rents on the Champs-Elysées, only 60 to 70 percent of the businesses are viable.
To really make sales, it attracts so few companies on the Paris boulevard. "Most of the flagship stores are not profitable," says trade expert Ulrich Eggert. Although he believes that "are relative terms, rents in the luxury of miles". The landlord boom was over. But even then the price of one square meter pavement splendor are still steep.
For some, too steep. The Champs-Elysées regularly called their victims. So had some close the restaurant, which opened in 1995 with great effort, "Planet Hollywood" two years ago. Meanwhile, here resides Levi’s.
Diamond business on Bond Street Source: AP
Bond Street: exorbitant rents
When Louis Vuitton opened its store in the prestigious New Bond Street officially opened in London, there was only one question that occupied the guests of honor: What has probably cost, the conversion of two historic buildings into a cathedral of hedonism? 30 to 40 million pounds then, we have been and therefore one of the more conservative estimates. "60 if not 70 million pounds," said a banker.
The only certainty is this: Louis Vuitton has pulled all the stops to spared the neighbors and competitors Burberry, Hermès and Ralph Lauren to shine, and no cost. Expenditure incurred on the conversion of the exorbitantly high rents are in the London luxury mile. According to the real estate broker Cushman & Wakefield is the New Bond Street, Europe’s most expensive shopping street and in the meantime, the Champs-Elysées replaced.
Added to this is: nowhere else in Europe is the density of luxury labels as high as here. 30 of 50 luxury brands in the New Bond Street and the extension of Old Bond Street, a deal and Bally Bottega Veneta, De Beers and Chopard, Prada and Miu Miu. The auction house Sotheby’s is in Bond Street, as well as Smythson, a traditional brand of expensive leather goods and stationery, where Samantha Cameron – the wife of British Prime Minister – worked as creative director.
Given the number of Rolls-Royce, the park here, seems like the British of the Bond Street of London’s streets. Given the number of Russian customers and vendors has this corner, West London, more like "Moscow on the Thames."
It is this very wealthy individuals and proximity to numerous luxury hotels, which makes the Bond Street seems to be so attractive to luxury goods manufacturer. In addition, the weak pound, the shopping for foreign visitors made more attractive. "The prospect that the 2012 Olympic Games will take place in London, leads to the traders say that I necessarily must first have a store-location in London are," says Peter Mace of Cushman & Wakefield. The Bond Street they prefer.
Shop on the Via Monte Napoleone.
Via Monte Napoleone: Small is beautiful
Small, but nice. Milan’s Via Montenapoleone can not keep up their 500 meters in length but with New York’s Fifth Avenue or the Champs-Elysees. The narrow, busy road with narrow sidewalks is not exactly a feast for the eyes – but that offer their windows concentrated luxury. Cheap chains like Zara and H & M have on the Italian luxury mile yet received no payment.
On the Via Monte Napoleone dominate the top names in Italian elegance: Ermenegildo Zegna, Prada, Valentino and Versace, to name a few. "While the Avenue des Champs-Elysees was the beginning of the mass-market brands, is Via Monte Napoleone always been a luxury road and will remain so," says the president of the luxury Inter Corporate Consulting, Armando Branchini.
This also explains why the prices per square meter, even in the crisis, according to the real estate agent Cushman & Wakefield with around 6 800 € remained stable. "The prices vary, of course, is depending on how many windows of the store where exactly the shop is and who is the neighbor," said a Milan real estate expert. "Gucci increases as a neighbor as the price." Low-cut chains, however the price for the property in the neighborhood.
Who in Italy’s fashion world will mitspie Len, has a store on the Via Monte Napoleone, or in one of the neighboring streets of the so-called "quadrilateral" (square) have, for example in the pedestrian zone declared Via della Spiga. A business here is proud of, and advertising – for the many tourists who visit the famous streets and buy the brand later in the home. Foreigners in Milan’s luxury district for about one third of the customers.
But the Via Monte Napoleone has its small dark spot: In the end, the road to Via Manzoni, opposite the precious Schneider Zegna is a mini-Outlet located. Luxury-fetishists can remain unconcerned: even in the outlet, there are mainly the top brands.
Employees: Matthias Eberle (New York) Catherine Slodczyk (London), Catherine Coulter (Milan), Christine Weissenborn (Dusseldorf)