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Street in Milan recognizes as most expensive in world in terms of rent.
One of Milan’s central streets, home to boutiques of haute couture houses—Montenapoleone—has become the most expensive shopping destination in the world in terms of rent. For the first time, it has surpassed major “competitors” from New York and London—Fifth Avenue and New Bond Street—in this ranking, Azernews reports.
This is according to the annual report from the American real estate company Cushman & Wakefield, which monitors trends in 138 global shopping centers.
According to the report, the maximum rent that landlords can charge luxury retailers on Montenapoleone Street rose by 11% over the year to 20,000 euros per square meter. For the first time in 34 years, a European street has topped the rankings, experts say. Last year, new Chanel and Gucci stores opened on Montenapoleone, responding to increasing competition among luxury brands for the most coveted locations.
Luxury group Kering, which owns brands like Gucci and Alexander McQueen, paid 1.3 billion euros for a building on Milan’s famed street, making it the largest real estate deal in Europe in two years. According to Cushman & Wakefield spokesperson Thomas Casolo, luxury brands have “invested heavily to secure the best locations in an extremely rare opportunity.” He believes the rapid increase in rent on Montenapoleone is due to the street being much shorter than Fifth Avenue or New Bond Street, yet it remains a prime destination for international brands to invest in.
The Champs-Élysées in Paris and Canton Road in Hong Kong also rank among the five most expensive streets, with Vienna’s Kohlmarkt shopping street rounding out the top ten.
( Azer news)