Singapore ranks fifth among global alpha cities for new luxury store openings: Savills
In terms of much smaller location and entrance cities, Apac industry additionally controlled positions, with Bangkok coming in top for brand-new openings.
Singapore ranked 5th among global alpha metros for brand-new luxury shop launchings in 2024, according to a research study information by Savills. In its International Deluxe Retail 2025 article, the realty consulting company discovered that the city-state was among several Asia Pacific (Apac) cities that dominated the positions.
Despite a higher number of establishment openings in Singapore in 2024, available real estate for deluxe brands continues to be limited, notes Sulian Tan-Wijaya, executive director for retail and lifestyle at Savills Singapore. Consequently, she believes this could restrict the growth and growth of luxury brand names in the city, unless new supply comes on flow in the form of new retail developments aim at premium merchants.
Shanghai and Beijing came in first and second, respectively, followed by Tokyo. All 3 cities proved y-o-y development in terms of brand-new openings, as did Singapore and Hong Kong, the latter of which placed nine. Meanwhile, New York, Paris and London all saw fewer brand-new high-end store openings in 2024 compared to the year prior to, which Savills says reflects supply difficulties, as opposed to a lack of appetite.
Regardless, international brand-new high-end outlet openings up increased 12% y-o-y in 2024, mainly backed by China, which accounted for 40% of all new openings around the world. Omitting China, Apac was still the biggest growth region in shop count terms, making up 24% of all new openings globally.
The report discovered that globally, prime retail space rents increased in 2024, backed by the return of international trip. Of the 21 locations monitor by Savills, over 75% signed up saw best headline rents rising y-o-y or keeping constant in 2024.
Marie Hickey, director of commercial research at Savills, points out that although the high-end retail market’s performance stabilised in 2024, decreased consumer sentiment in the United States and China might weigh on growth. She anticipates this to shape real estate investment, with the focus over the short-term to stay “on the most ideal chances”.
Anthony Selwyn, co-head of international retail at Savills, thinks core deluxe markets will certainly become significantly affordable. “Consequently, upward pressure on prime rents in these industry will proceed, albeit expansion will slow, with availability of space becoming much more constrained,” he adds.
Among luxury retail locations, Hong Kong maintained its top position as the most costly retail destination in the world, with prime headline retail rentals clocking in at EUR17,132 ($25,549) per sqm per year. New York’s Madison appeared in second at EUR15,559 per sqm per annum, rising from fifth place last year, while London’s Bond Street appeared in 3rd at EUR15,333 per sqm per annum, increasing from fourth location last year. Singapore’s Orchard Road ranked 19th, with prime hires at EUR1,725 per sqm per annum.
