Sydney has ranked second in the list of top 10 most expensive retail markets in the world, according to CB Richard Ellis.
CBRE’s latest Global Retail MarketView showed that Sydney had prime retail rents of US$1,218 per square feet per annum.
According to CBRE regional director retail services Josh Loudoun, the opening of Westfield Sydney on Pitt Street Mall combined with strong tenant demand from local and global retailers such as Zara, Gap, Esprit, Tag Heuer and Nespresso, contributed to the rise in retail rental performance.
“International and national retailers are relocating in response to new and refurbished space being introduced in the CBD markets of Sydney, Melbourne and Brisbane,” he said.
“The arrival of these brands as well as a strong economic outlook is likely to encourage other large fashion businesses to further investigate the Australian market."
New York claimed the title for the most expensive rents at US$1,800 per sq ft per annum. Meanwhile Hong Kong ranked third (US$1,113/sq ft/annum); London fourth (US$891/sq ft/annum); and Tokyo fifth (US$804/sq ft/annum).