New Study: Niche Stores Credited With Resurgence in Boston Shopping District
According to a recent urban retail study released by commercial real estate owner and management firm CB Richard Ellis, Boston’s Newbury Street shopping district has seen an almost 10 percent hike in average asking rents amid new activity by national and international brands--just one of the many examples of positive momentum the report cited. CBRE’s study stated that while junior and big-box retailers have led the resurgence nationally, many smaller, niche retailers were credited with Newbury Street’s increase in tenant demand.
Though occupancy along Newbury Street had reached a low of 80 percent at the end of 2009, some 20 new tenants are slated to move into the area this year, including new arrivals such as retailer Converse, restaurant Joe’s American Bar & Grill, and British retailer Ted Baker & Ben Sherman.
The average asking price for space on Newberry Street and in the surrounding area is $120 per square foot--9.1 percent higher than last year’s benchmark of $110 per square foot. Along with Newbury Street’s heightened rent, the study said that prices have risen on New York’s Fifth Avenue, Chicago’s Michigan Avenue, and Los Angeles’ Rodeo Drive.