Singapore ranks fifth among global alpha cities for new luxury store openings: Savills
Shanghai and Beijing came in first and 2nd, respectively, followed by Tokyo. All 3 cities presented y-o-y growth in with regards to brand-new launches, as did Singapore and Hong Kong, the latter of which placed 9th. On the other hand, New York, Paris and London all saw much less new high-end store openings in 2024 compared to the year before, which Savills says reflects supply challenges, instead of a lack of appetite.
Amongst luxury retail industry locations, Hong Kong maintained its top position as the most costly retail haven worldwide, with prime headline retail rentals clocking in at EUR17,132 ($25,549) per sqm per annum. New york city’s Madison appeared in 2nd at EUR15,559 per sqm per year, increasing from 5th location last year, while London’s Bond Street arrived in third at EUR15,333 per sqm per year, increasing from 4th location last year. Singapore’s Orchard Road rated 19th, with prime hires at EUR1,725 per sqm per annum.
The report saw that globally, prime retail location rents grew in 2024, upheld by the return of global holiday. Of the 21 locations tracked by Savills, around 75% registered saw prime headline rentals ascending y-o-y or holding constant in 2024.
Anthony Selwyn, co-head of international retail at Savills, thinks core luxury markets will come to be progressively affordable. “As a consequence, upward pressure on prime leas in these markets will definitely continue, albeit development will slow, with availability of space coming to be extra constricted,” he includes.
In spite of a higher number of shop openings in Singapore in 2024, available real estate for deluxe brands remains limited, notes Sulian Tan-Wijaya, executive director for retail and lifestyle at Savills Singapore. Consequently, she thinks this might limit the growth and expansion of high-end brand names in the city, unless new supply comes on stream in the form of brand-new retail developments aim at premium stores.
Regardless, global new high-end shop openings up increased 12% y-o-y in 2024, primarily backed by China, which made up 40% of all new openings worldwide. Excluding China, Apac was still the biggest buildup area in shop count terms, representing 24% of all brand-new openings globally.
In terms of scaled-down destination and entrance cities, Apac markets additionally dominated positions, with Bangkok appearing in top for brand-new openings.
Singapore ranked 5th amongst international alpha metros for new deluxe shop openings in 2024, according to a research information by Savills. In its Worldwide Deluxe Retail 2025 article, the property consulting company identified that the city-state was among a number of Asia Pacific (Apac) urban areas that dominated the positions.
Marie Hickey, head of commercial study at Savills, explains that although the luxury retail market’s performance secured in 2024, weakened consumer view in the United States and China can weigh on growth. She anticipates this to shape real estate investment, with the focus over the short term to stay “on the best chances”.
