The tony retail districts in New York City, Chicago and San Francisco offer the best in luxury retail. But after years of getting prestige brands to agree to double-digit increases in rents, landlords on Manhattan’s Fifth Avenue, Chicago’s Michigan Avenue and San Francisco’s Union Square are in their second year of double-digit declines in asking rents.
In San Francisco, where well-heeled shoppers stroll Union Square,
asking rents tumbled by about 25 percent; in Chicago, home to Michigan
Avenue, rents fell by about 20 percent, and in Manhattan, famous for
Fifth Avenue and Madison Avenue, rents came down about 30 percent in the
last two years, according to Garrick Brown, head of retail research for
the Americas with real estate services firm Cushman & Wakefield.. . . more