Singapore ranks fifth among global alpha cities for new luxury store openings: Savills
The report discovered that internationally, prime retail space rents grew in 2024, backed by the return of international vacation. Of the 21 places tracked by Savills, more than 75% signed up saw prime headline rents ascending y-o-y or maintaining constant in 2024.
Anthony Selwyn, co-head of international retail at Savills, believes core deluxe markets will end up being progressively affordable. “As a consequence, upward strain on prime leas in these industry will definitely proceed, albeit growth will slow, with availability of space becoming much more constricted,” he includes.
Singapore ranked 5th amongst worldwide alpha urban areas for new deluxe store openings in 2024, according to a research study report by Savills. In its Global High-end Retail 2025 report, the real estate consulting business identified that the city-state was amongst a number of Asia Pacific (Apac) metros that prevailed the positions.
In any case, worldwide brand-new high-end shop openings climbed 12% y-o-y in 2024, primarily backed by China, that accounted for 40% of all new openings globally. Leaving Out China, Apac was still the greatest buildup area in establishment count terms, representing 24% of all brand-new starts worldwide.
Amongst high-end retail industry locations, Hong Kong maintained its top position as one of the most expensive retail haven on the planet, with prime headline retail rents coming at EUR17,132 ($25,549) per sqm per annum. New york city’s Madison appeared second at EUR15,559 per sqm per annum, rising from fifth place last year, while London’s Bond Street came in third at EUR15,333 per sqm per year, climbing from 4th location last year. Singapore’s Orchard Road placed 19th, with prime hires at EUR1,725 per sqm per annum.
Regardless of a greater number of establishment openings in Singapore in 2024, available property for luxury brands continues to be limited, notes Sulian Tan-Wijaya, executive director for retail and lifestyle at Savills Singapore. Consequently, she thinks this could limit the development and expansion of deluxe brand names in the city, unless new source comes on stream in the form of new retail developments targeting high-end stores.
Marie Hickey, director of commercial research study at Savills, points out that whilst the luxury retail market’s performance secured in 2024, minimized consumer view in the US and China could weigh on growth. She anticipates this to shape real estate investment, with the emphasis over the short term to remain “on the most ideal opportunities”.
In terms of smaller location and entrance cities, Apac markets likewise dominated rankings, with Bangkok coming in top for new openings.
Shanghai and Beijing came in first and 2nd, respectively, followed by Tokyo. All 3 cities showed y-o-y development in with regards to new openings, as did Singapore and Hong Kong, the latter of that placed nine. On the other hand, New york city, Paris and London all saw less new high-end store openings in 2024 compared to the year prior to, that Savills says reflects supply challenges, rather than a lack of appetite.
