London is one of the most popular tourist destinations in the world with its wealth of attractions drawing record-breaking numbers of visitors to the capital. However, as well as the culture, history and architecture, tourists are also drawn by the plethora of quality retailers who have set up shop in iconic London locations such as Oxford Street – hardly surprising, given that the capital is now home to the largest number of international brands in the world.
Last year, a total of 31 new international retailers chose to open stores in London for the first time, with US labels such as J Crew and Tom Ford adding to the diversity of the city. According to property agent CBRE, this now means that 57 per cent of international retailers now have a foothold in London, overtaking Dubai’s 55.3 per cent total.
London has managed to pull ahead of cities such as Moscow, Shanghai and New York, cementing its status as the foremost destination for lovers of luxury brands. However, Paris is swiftly catching up, having seen 50 new international retailers take out property leases in the past year – more than any other city in the world.
CBRE director for luxury goods and international retailers, Eric Eastman, says; “London now attracts more international visitors than any other capital in the world.
“A flood of brand hungry overseas shoppers, many from China, has swept into Central London: space demand from luxury and international retailers has moved into hyperdrive as a result.”
Unfortunately, this demand for space has seen many newcomers to the city simply unable to find space. As a result, international retailers are increasingly turning from traditional retail hotspots and seeking out commercial properties in lower cost outlying areas, with many choosing to settle in Covent Garden – an area previously known for its bohemian charm rather than as a high quality shopping destination.
Mr Eastman continues; “There are simply too many global brands now for the traditional pitches in London to absorb them, which is why we are starting to see lettings to Dior and Chanel in Covent Garden and Philip Lim and Carven in Brompton Cross.”
The United States continues to boast the highest number of entrants into the London market. They accounted for around 25 per cent of new entrants to the city during the past year, beating second-place Italy with 16 per cent and far ahead of UK chains which accounted for only 12 per cent.
With London’s star on the rise, it is hoped that UK retailers will be able to capitalise upon this prestige by association and enjoy greater success in other international markets.
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