12/05/2014 – Expansion
Over the past months, Spanish property market is observing a polarization phenomenon. While peripheral areas watch rental prices abating fight, in the city centers investors scuffle to snap up the best located buildings.
The phenomenon burgeons on the high street market where prominent brands compete for premises along the Portal del Angel and the Paseo de Gracia Streets in Barcelona and on the Gran Via and the Serrano Streets in Madrid.
The latter artery seeing flocks of tourists all year long, has recently witnessed considerable movements in building investment. In detail, 13 new brands opened their stores on the Serrano last year and 23 properties changed their tenant, as Ascana advisors said.
Amancio Ortega with its Inditex through real estate Pontegadea started the trend in 2012. The businessman renovated a 2.500 square meter building formerly belonging to Restaura and situated at 23 Serrano Street, prior to opening Spain´s flagship shop of Zara. Previous store of Zara at number 46 of the street has been awarded to another Inditex´s group´s store, Massimo Dutti. The brand will move there from the premises based at number 17, which in turn will become occupied by Oysho (also by Inditex).
Not only mass public brands decided to open a shop on the Serrano. Also, the big name luxury labels like Armani or Stella McCartney have taken better positions along the street. Most recently, Louis Vuitton (French high-end brand) established its new, 2.500 square meter premises at 66 Serrano.
In turn, El Corte Ingles that owns 4 properties along the street (numbers: 47, 49, 52, 70) converted one of them into a Lingerie shop of its.
Original article: Expansión (by Rocío Ruiz)
Translation: AURA REE