Retail real estate

Fewer, Bigger Flagships: U.S. Luxury Openings Fall 46%

JLL counts 123,334 sq ft of new U.S. luxury retail space in the first half, down from about 227,000, with the average flagship more than 30 percent larger. Bloomberg reports TJ Maxx has expanded designer inventory — Gucci, Givenchy, Alaïa — across about 100 "Runway" doors, and Kering will cut inventory by €1bn by year-end to starve that channel. Read-through: maisons are concentrating capital in fewer, larger stores and defending price integrity; landlords should expect harder terms on size and exclusivity rather than more units.

Sources: WWD / Sourcing Journal (JLL) · Bloomberg via FashionNetwork, 11 Sep · WWD / Sourcing Journal (JLL) · Bloomberg via FashionNetwork, 11 Sep