Once again, Paris Street (Pařížská ulice) in Prague stands tall as the most expensive shopping thoroughfare in Central and Eastern Europe, according to a survey conducted by real estate consultancy Cushman & Wakefield. The survey, which evaluates nearly fifty countries worldwide based on retail space rents in each country’s most expensive shopping street, positions Paris Street at an impressive 19th place globally.

For the third quarter of this year, the rent on Paris Street is recorded at 2700 euros per square meter annually, equating to approximately 225 euros per square meter per month. Notably, Paris Street has outperformed nearby Na Příkopě Street for the second consecutive year, solidifying its status as the premier luxury shopping destination in the Czech Republic. The country consistently stands out as the sole representative from Central Europe in the top twenty of this prestigious list.

Jan Kotrbáček, Partner and Head of Retail Leasing for Central and Eastern Europe at Cushman & Wakefield, emphasizes Paris Street’s enduring appeal as a prime location for luxury brands entering the region. The metropolis itself is a coveted destination for European luxury brands, and Paris Street serves as a unique venue for showcasing high-end goods.

Looking ahead, Kotrbáček anticipates the continued development of this prime retail location, bolstered by upcoming projects near the Vltava River, in proximity to Miloš Forman Square and the Faculty of Law. The addition of new retail areas at the recently renovated Fairmont Golden Prague Hotel at Paris Street 30 and the newly restored dominant building at Paris Street 25 is set to expand retail space by a significant fifth, offering over 3500 square meters.

Despite the challenges faced by the retail sector during the pandemic, including higher inflation, rising interest rates, and slowing economic growth, the resilience of the luxury market in the Czech Republic is evident. Luxury brands on Paris Street experienced a record year in 2019, and according to Cushman & Wakefield, some have not only weathered the storm of the pandemic but have surpassed pre-pandemic performance in the current year.

Article by Prague Forum