WORLD PROPERTY CHANNEL ®

666 Fifth Ave. Office Tower

Junior and big-box retailers are gravitating to the high-rent districts of many prominent commercial avenues and doing well, according to a new CB Richard Ellis study.

The most sought-after urban-retail corridors in the Americas--once known exclusively for their luxury tenants and high rents--witnessed resurgent demand this past year through the interest of junior and big box retailers, according to CB Richard Ellis' recently released Summer 2010 Urban Retail Markets Report.

Anthony Buono

These prominent retail locations remain unmatched in terms of visibility and retail sales volume, solidifying their appeal to brands of all levels, according to the report, which was prepared by CBRE's Retail Services,

"Although recovery is not yet complete, our findings show an increase in demand and activity in the top retail locations in the Americas," says Anthony Buono, Executive Managing Director of CBRE's Retail Services, in a prepared statement.

Highlights from the report include:

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  Kalakaua Avenue, Honolulu

  Retail space on New York's Fifth Avenue continues to be in strong demand for retailers around the world, and one of the most notable transactions in the first quarter of 2010 was Uniqlo's 90,000-sq.-ft. lease on three levels at 666 Fifth Avenue for $18.5 million.

• Despite weakened local market conditions, Rodeo Drive, Beverly Hills, CA, remains a prominent destination for luxury brands with many retailers continuing to seek space in this renowned location.

• 2010 leasing activity picked up substantially with the first large box deals done in Union Square, San Francisco over the last 24 months.

• In Honolulu, Hawaii, Kalakaua Avenue's store sales have increased for many luxury retailers in 2010. Louis Vuitton, Chanel, DIOR, Tiffany, Prada, Bvlgari, and YSL all call Kalakaua Avenue home.

• Low vacancy, high demand, proximity to Class A neighborhoods and attractive rents when compared with other famous retail destinations in the world has triggered the interest of many retailers to open their flagship stores on Oscar Freire Street, São Paulo.

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