According to international real estate advisor Savills, there has been a 300% increase in fashion retailers taking space on Dover Street and Albemarle Street in London W1 since 2007. The firm notes that the number of fashion stores on the respective streets during this time period has risen from 4 to 16, with the number on Dover Street rising from 3 to 10 and on Albemarle Street from 1 to 6.
According to international real estate advisor Savills, there has been a 300% increase in fashion retailers taking space on Dover Street and Albemarle Street in London W1 since 2007. The firm notes that the number of fashion stores on the respective streets during this time period has risen from 4 to 16, with the number on Dover Street rising from 3 to 10 and on Albemarle Street from 1 to 6.
Marie Hickey, director of research at Savills, comments: “This increase in fashion retailers on Dover Street and Albemarle Street has predominantly been driven by availability constraints on Bond Street with brands looking to new pitches within the West End’s ‘luxury quarter’ to satisfy requirements. This strong demand is made all the more remarkable by the fact that it picked up pace throughout the recession although it has intensified over the last 18 months.
“By the end of 2015 we expect fashion and gallery occupiers to account for 44% of units on both streets up from the current 36% with the greatest proportional changes expected to be on Dover Street.”
The firm reports that rents on both Dover Street and Albemarle Street have risen 307% since Q4 2008, with Zone A rents increasing from £135 per sq ft (1,453 per sq m) to circa £550 - £600 per sq ft (£5,920 – £6,458 per sq m). This is four times greater than the 73% growth reported on Bond Street over the same period. Savills highlights that recent deals include Victoria Beckham opening at 36 Dover Street and Alexander Wang signing up for 43-44 Albemarle Street.
Peter Thomas, director of Central London retail at Savills, says: “In the past Dover and Albemarle’s international status has lagged behind the more established Central London luxury pitches, however, international retailers now account for 30% of Dover Street stores and 17% of Albemarle Street’s. The recent opening of Victoria Beckham will further raise the profile of the streets as prime London luxury locations and we expect this will be a catalyst for an increase in interest from international occupiers.”