Singapore ranks fifth among global alpha cities for new luxury store openings: Savills
Singapore placed fifth amongst global alpha urban areas for brand-new high-end establishment openings in 2024, according to a research information by Savills. In its Global Luxury Retail 2025 article, the realty consulting company identified that the city-state was amongst a number of Asia Pacific (Apac) cities that reigned over the positions.
Marie Hickey, director of commercial study at Savills, explains that while the luxury retail market’s efficiency secured in 2024, minimized consumer belief 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 opportunities”.
In any case, global brand-new high-end shop openings up increased 12% y-o-y in 2024, mainly backed by China, which made up 40% of all brand-new openings around the world. Omitting China, Apac was still the greatest buildup region in shop total terms, representing 24% of all brand-new openings globally.
Anthony Selwyn, co-head of global retail at Savills, thinks core high-end market place will become significantly tough. “Consequently, higher strain on prime leas in these markets will definitely proceed, albeit expansion will slow, with availability of space becoming more constricted,” he includes.
Shanghai and Beijing came in first and second, respectively, followed by Tokyo. All three cities presented y-o-y growth in with regards to new launches, as did Singapore and Hong Kong, the latter of which rated nine. On the other hand, New york city, Paris and London all saw much less new deluxe store launchings in 2024 compared to the year before, which Savills says reflects supply difficulties, instead of an absence of appetite.
In regards to much smaller location and portal cities, Apac markets likewise dominated rankings, with Bangkok coming in top for brand-new openings.
Despite a greater amount of shop startings in Singapore in 2024, available property for deluxe brands continues to be limited, notes Sulian Tan-Wijaya, executive director for retail and lifestyle at Savills Singapore. Consequently, she believes this might restrict the growth and development of luxury brand names in the city, unless new supply comes on stream in the form of brand-new retail developments aim at premium sellers.
The report saw that internationally, prime retail space rents increased in 2024, backed by the return of global travel. Of the 21 destinations tracked by Savills, over 75% registered saw prime headline rentals ascending y-o-y or holding stable in 2024.
Amongst high-end retail industry places, Hong Kong preserved its top position as the most expensive retail haven on the planet, with prime headline retail rents reaching at EUR17,132 ($25,549) per sqm per year. New York’s Madison appeared in 2nd at EUR15,559 per sqm per year, rising from fifth area last year, while London’s Bond Street arrived in 3rd at EUR15,333 per sqm per year, increasing from fourth location last year. Singapore’s Orchard Road ranked 19th, with prime rents at EUR1,725 per sqm per annum.
