Vancouver is home to three of the most expensive shopping strips in Canada but the number 1 spot belong’s to Toronto’s Bloor Street. That being said, Canada’s top retail strips continue to lease at bargain rates according to Colliers International’s 2012 Global Retail Report. None of the Vancouver streets made the top 50 in the world list. Robson Street was the second most expensive retail shopping strip in Canada at $150 per square foot.
New York’s Fifth Avenue (US$2,633), Hong Kong’s Canton Road and Queen’s Road, Central (US$1,831), and London’s Old Bond Street. (US$1,602) are the top 3 streets for rent in the world. What’s interesting is that these street all experienced double digit growth in average lease rates over last year. Recession, what recession?
“The lease rates in Canada’s most sought-after retail locations say more about our cities than about the local or global economy,” says James Smerdon, Director, Retail and Strategic Planning with Colliers International. “Canada’s economy weathered the recession much better than other developed countries and our luxury retail sector has never been stronger. The expansion of Holt Renfrew and the expected entrance of high-end U.S. department store chains such as Nordstrom and Bloomingdales are testament to this. With high-buying power potential, some underserved markets and low leasing rates, Canada continues to be a very lucrative destination for retailers, developers and investors in the high-end retail niche.”
Canada’s Priciest Fashion Retail Corridors:
As somewhat expected, Toronto’s Bloor Street retained its status as Canada’s most expensive shopping strip, thanks in large part to new leases and expansions by Louis Vuitton, D&G and Tiffany & Co. Vancouver’s Robson Street (US$150 PSF) ranked second, although it experienced the sharpest decline (25%) in average rental rate over the past year, mainly due to transitions of large tenants. Vancouver’s Alberni Street (US$105 PSF), Montreal’s Rue de la Montagne (US$80 PSF) and Halifax’s Spring Garden Road (US$70 PSF) that saw a dramatic 27.3 per cent hike in lease rates, round out the “top five” Canadian list.
Robson Street itself is going through a major transition as “FOR LEASE” signs are everywhere.
1 Toronto, Bloor St. $310
2 Vancouver, Robson St. $150
3 Vancouver, Alberni St. $105
4 Montreal, Rue de la Montagne $80
5 Halifax, Spring Garden Rd. $70
6 Montreal, Greene Ave. $60
7 Victoria, Government St. $60
8 Calgary, Uptown 17th Ave. $55
9 Vancouver, West Fourth Ave. $48
10 Ottawa, Byward Market $45
Image by Clayton Perry Photoworks