- Tower Hamlets
High-end fashion houses have set their sights on the trendy and cheap East End for future shop locations.
Designers such as Christian Louboutin, Vivienne Westwood and Ralph Lauren are said to be considering the Shoreditch area, while East End rent is expected to soar over the next five years, according to Reuters.
Rumours of an East End Louboutin have been circulating since last December when there was reports that the company was “in talks” over a Redchurch Street location.
Typical shop rent in Shoreditch is around £35,000 a year, miniscule in comparison with the £1 million yearly rent in the West End.
However, with increasing high profile interest, rent prices in Bishop Square, south of the High Street, have risen from just £65-70 per square foot in 2005 to £135 this year.
Rob Fay, who works for brokerage agency Colliers International, told Reuters he suspects rent in Redchurch has the potential to rise at the same rate over the next five years.
Londoners have taken to their Twitter to comment on the news, @Esralita said: “Looks like Shoreditch will soon be taken over by the rich, botoxed and beautiful.”
Another Twitter user, @JontyFulminates, wrote: “Shoreditch set to become ‘mini Bond Street?!’ This city is going bonkers!”
Unlike many mid-market local retailers, luxury brands have quickly recovered from the 2008 downturn, enabling them to finance expansion plans and experiment with up and coming retail locations.