European Retail Rents: Sofia's Vitosha Boulevard Takes 51st Spot

Vitosha Boulevard in Sofia has secured the 51st position among 57 European retail streets for high rents, as per the latest rankings from Cushman & Wakefield, Forton, Bulgaria's representative of the global real estate agency. The boulevard's ranking has slightly slipped from its 47th position in 2022 but maintained stability in 2023.

This year signifies a gradual recovery in commercial real estate rent levels post the pandemic-induced drop, with Sofia's primary retail street experiencing a modest 4% year-on-year increase. The current average monthly rent stands at EUR 54 per sq m, slightly lower than the pre-pandemic rate of EUR 56 per sq m in 2019. Despite changes in tenant profiles, Vitosha Boulevard has retained its market position.

Yavor Kostov, Managing Partner at Cushman & Wakefield Forton, noted that the uptick in rent aligns with economic shifts during the year, edging closer to the peak values seen in Sofia's retail space rents in 2019.

Georgi Muhovski, Managing Partner at Cushman & Wakefield Forton, highlighted Vitosha Boulevard's continuous evolution as a prime Sofia location, especially drawing new tenants, predominantly in food and beverage segments. He specified a preference among fashion brands and retailers for malls and retail parks due to various factors, including high inflation rates, marginal increases in interest rates, and global economic growth slowdown impacting the retail sector.

Global rankings point to New York's Fifth Avenue as the world's most expensive retail street, recording a monthly rate of EUR 1,700 per sq m in 2023, reflecting a 14% surge from pre-pandemic figures. In Europe, Milan's Via Monte Napoleone secures the top spot as the most expensive street.

We need your support so Novinite.com can keep delivering news and information about Bulgaria! Thank you!