Singapore ranks fifth among global alpha cities for new luxury store openings: Savills
Marie Hickey, director of commercial study at Savills, mentions that although the high-end retail market’s performance secured in 2024, minimized consumer view in the US and China might weigh on growth. She expects this to form real estate investment, with the emphasis over the short term to remain “on the best opportunities”.
Shanghai and Beijing won and second, respectively, followed by Tokyo. All three cities showed y-o-y growth in regards to brand-new launches, as did Singapore and Hong Kong, the latter of that rated ninth. On the other hand, New York, Paris and London all saw less new high-end store launchings in 2024 compared to the year before, which Savills says reflects availability difficulties, rather than an absence of appetite.
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In regards to much smaller destination and gateway cities, Apac industry likewise dominated rankings, with Bangkok coming in top for brand-new openings.
Anthony Selwyn, co-head of worldwide retail at Savills, thinks core high-end market place will become increasingly tough. “Therefore, upward pressure on prime rents in these industry will carry on, albeit development will slow, with availability of space ending up being much more constrained,” he adds.
Amongst high-end retail locations, Hong Kong retained its top position as one of the most pricey retail place in the world, with prime heading retail rentals clocking in at EUR17,132 ($25,549) per sqm per annum. New york city’s Madison appeared in second at EUR15,559 per sqm per annum, climbing from 5th place last year, while London’s Bond Street came in 3rd at EUR15,333 per sqm per annum, climbing from 4th place in 2024. Singapore’s Orchard Road placed 19th, with prime hires at EUR1,725 per sqm per annum.
Despite a higher number of store openings in Singapore in 2024, available property for high-end brands remains limited, notes Sulian Tan-Wijaya, executive director for retail and lifestyle at Savills Singapore. Consequently, she thinks this could restrict the growth and growth of luxury brand names in the city, unless new supply comes on stream in the form of new retail developments targeting premium sellers.
Singapore ranked 5th amongst international alpha cities for new high-end establishment startings in 2024, according to a study report by Savills. In its International High-end Retail 2025 report, the property consulting firm identified that the city-state was among several Asia Pacific (Apac) cities that prevailed the positions.
The report found that worldwide, prime retail space rents grew in 2024, backed by the return of global trip. Of the 21 places tracked by Savills, around 75% registered saw best headline rents increasing y-o-y or keeping steady in 2024.
Regardless, worldwide new luxury outlet openings up rose 12% y-o-y in 2024, mainly assisted by China, that made up 40% of all brand-new openings around the world. Leaving Out China, Apac was still the greatest buildup region in store total terms, representing 24% of all brand-new starts worldwide.
