London’s New Bond Street, where rents have risen by 22% in the past year to $2,231 per square foot per year (psf/yr), has been named as the world’s most expensive retail destination for the first time, according to data from commercial real estate services firm Cushman & Wakefield. 

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

“New Bond Street’s rental growth has been fuelled by strong demand, limited supply, and continued investment in the public realm, all of which have reinforced its status as a global retail destination,” said Duncan Gilliard, Head of Central London Retail at Cushman & Wakefield. 

“The prime jewellery section between Clifford Street and Burlington Gardens in particular has become one of the most fiercely contested locations in global retail. This has seen many occupiers opting for long-term leases on strong rental terms to protect their position in this highly coveted location,” added Gilliard.  

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 growth. London led the resurgence in rents in Europe, with New Bond Street (+22%), Oxford Street, and Regent Street all recording double-digit increases.

Budapest’s Fashion Street was the region’s standout performer, with a 33% rise, overtaking Váci utca as the city’s premier retail destination. Milan and Paris maintained their global status with stable rents on Via Montenapoleone ($2,179 psf/yr) and Champs-Elysées ($1,364 psf/yr). 

Meanwhile, rents in Asia Pacific cooled to 2.1%, with strong growth in India and Japan offset by economic headwinds in Greater China and Southeast Asia. 

 “The enduring appeal of the world’s premier main streets lies in their unique blend of heritage, visibility and cultural cachet. These iconic corridors are more than just retail destinations; they are global stages for brand storytelling, architectural expression and consumer engagement. Securing space on these streets can be extremely challenging, demanding innovative approaches to unlock new opportunities.” 

Robert Travers, Head of EMEA Retail at Cushman & Wakefield.

Prime retail destinations continue to outperform broader market trends, demonstrating resilience amid economic uncertainty and shifting consumer behaviour, noted report author Dr. Dominic Brown, Cushman & Wakefield’s Head of International Research.

 “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,” added Brown.