Hong Kong beats New York as the world’s most expensive shopping destination
A new research led by global property advisor CBRE Group, Inc has quoted Hong Kong to be the world’s most expensive shopping destination owing to significant tourist inflows and continued increases in domestic wealth fuelling occupier demand from international fashion and luxury retailers. Hong Kong’s retail rents grabbed the top spot at US$3,864 per square ft per annum, while New York retained the second position at US$2,475 per square ft per annum. Although, the CBRE rankings of prime global retails rents saw little change in the first quarter of 2012, Hong Kong and New York experienced significant increases in retail rents quarter-over-quarter. The rest of the ranking also remained unchanged from last year’s ranking with Sydney retaining the third position, Tokyo the fourth and London maintaining the fifth position.
The total retail rents went up by a meager 0.8% globally, standing witness to the eurozone debt crisis and a weak global economic growth. The markets all over the world saw the occupier demand for prime space in major cities intensifying, and prime space being in short supply, making way for a big gap in the demand-supply ratio.