London’s New Bond Street Named World’s Most Expensive Retail Destination For First Time

SINGAPORE – London’s New Bond Street, where rents have risen by 22% in the past year to USD $2,231 per square foot per year (psf/yr), has been crowned the world’s most expensive retail destination for the first time, according to Cushman & Wakefield (NYSE: CWK).

New Bond Street has leapfrogged Milan’s Via Montenapoleone (USD $2,179 psf/yr), which last year became the first European street to top the global rankings, and New York’s iconic Upper Fifth Avenue (USD $2,000 psf/yr), in the 35th edition of the firm’s flagship retail report ‘Main Streets Across the World’. 

New Bond Street’s rental growth has been fuelled by strong demand and limited supply, with the prime jewellery section between Clifford Street and Burlington Gardens becoming one of the most fiercely contested locations in global retail. 

Globally, rents grew on average at 4.2% with 58% of markets experiencing rental growth. The Americas led regional rental growth at 7.9%, driven by currency effects in South America. Europe experienced steady 4% year-on-year (y-o-y) growth, with standout performances in Budapest and London. Meanwhile rents in Asia Pacific slowed to 2.1%, with strong growth in India and Japan offset by economic headwinds in Greater China and Southeast Asia. 

Report author and Cushman & Wakefield’s Head of International Research, Dr. Dominic Brown, said “Prime retail corridors are benefiting from a convergence of factors including resilient economic growth, easing cost of living pressures, and a renewed appetite for discretionary spending. While growth trajectories will vary by market, the strength of flagship locations is clear. We’ve seen exceptional double-digit rental growth in select cities, even as others face pressure. 
The continuing importance of physical retail, particularly for deep and meaningful brand engagement in places where consumers want to be, reinforces the enduring appeal of the world’s premier shopping streets and we expect this momentum to strengthen as global conditions improve.”

Asia Pacific highlights

Rental growth in Asia Pacific slowed from 2.8% in 2024 to 2.1% in 2025, though performance varied widely across markets. India’s Tier 1 cities led the region, with Gurgaon’s Galleria Market recording a 25% increase, followed by Connaught Place in New Delhi (14%) and Kemps Corner in Mumbai (10%). Japan’s Ginza and Omotesando in Tokyo saw strong growth of 10% and 13% respectively, while rents in Hong Kong’s Tsim Sha Tsui declined by 6% to USD $1,515 psf/yr. Sydney’s Pitt Street Mall recorded modest growth of 4%, reaching USD $795 psf/yr, marking a return to positive momentum after years of stagnation. 

Cushman & Wakefield’s Asia Pacific Head of Retail Sales & Strategy, Sona Aggarwal, said “Asia Pacific retail is demonstrating resilience despite economic challenges. India, Korea and Japan are leading growth with strong demand and premiumisation. Confidence is picking up in Singapore and Sydney, with rents inching higher. Vietnam and parts of Greater China remain a little soft due to geo-political and economic headwinds. On balance, shifting shopper habits and highly adaptive retailer strategies driving innovation in “phygital” experiences keep our dynamic region poised for long-term growth."

Table 2: Main Streets Across the World – Asia Pacific Ranking by Location 2025

Source: Cushman & Wakefield         

Australia highlights

• Sydney’s Pitt Street Mall has once again secured its position as Australia’s most expensive retail destination and one of the world’s elite shopping strips, ranking 8th globally in Cushman & Wakefield’s Main Streets Across the World report.
• The iconic mall recorded headline rents of USD $795 per square foot per year, up 4% year-on-year, widening its lead over Seoul’s Myeongdong (9th) with the rent gap increasing from 17% to 22%.

“Pitt Street Mall continues to be the jewel in Australia’s retail crown,” said Dr Dominic Brown, Cushman & Wakefield’s Head of International Research. “It's resilience and recent rental growth reflect strong demand for flagship locations where global brands want to be. Tight vacancy means competition is fierce, and we’re seeing spillover into adjacent streets like Castlereagh as retailers seek proximity to prime trade.”

Across Asia Pacific, Sydney ranks 6th, ahead of Melbourne's Collins Street (17th) and Brisbane's Queen Street Mall (25th), both of which remain stable year-on-year. Similarly, there has been spillover growth in adjacent streets such as Melbourne’s Collins Street and Brisbane’s Edward Street. 

“Melbourne continues to attract premium brands, supported by its heritage appeal and strong luxury positioning,” said Daniel Radle, Cushman & Wakefield’s National Head of Retail Leasing & Management. “While rents have remained stable, demand for quality space continues to outpace supply. With limited availability in prime locations, we’re now seeing broader retail categories exploring well-located secondary precincts nearby”