November 16, 2012 09:27
Hong Kong's Causeway Bay has overtaken New York's Fifth Avenue as the world's most expensive commercial real estate. Seoul's downtown shopping district of Myeong-dong ranked ninth.
Estate agents Cushman & Wakefield on Thursday released a comparison of rents in 326 major commercial districts in 62 countries and found that it costs on average 22,307 euros to rent a square meter of store space in Causeway Bay.
Fifth Avenue cost an average of 21,204 euros per square meter, up 11.1 percent compared to 2011. Fifth Avenue had been No. 1 for the past 11 years. The rent in Causeway Bay rose 34.9 percent over the same period.
Causeway Bay is Hong Kong's premier shopping district. Retail sales around the world are slowing, but premium brands are increasing operations in high-end shopping areas, causing rent to rise, Cushman and Wakefield said.
Paris' Champs-Élysées ranked third with rents of 9,573 euros, followed by Tokyo's Ginza (8,962 euros) and Sydney's Pitt Street Mall (8,077 euros).
The average commercial rent in Myeong-dong is 5,822 euros (W705,166, US$1=W1,087) per square meter, up 16 percent on-year. Meanwhile, commercial rent in the Gangnam Station area in southern Seoul cost W606,039 per square meter, up 18.8 percent on-year, while Garosugil in Sinsadong, also south of the Han River, saw store rent rise 41 percent over the same period to W253,783.
- Copyright © Chosunilbo & Chosun.com