EXPENSIVE DIGS: Luxury and fashion brands are breaking rental records along Bond Street and New Bond Street in London’s Mayfair. Earlier this week, Belstaff agreed to lease the property that will become its London flagship at 135-137 New Bond Street, setting a record for the highest paid rent for a new, open market letting. According to Savills, the estate agents that worked on the deal, Belstaff has taken a new, 20-year lease on the building and will be paying 3 million pounds, or $4.8 million at current exchange, in annual rent. That equates to 840 pounds, or $1,336, per square foot for the prime floor space in the building, which spans 25,000 square feet over six floors. A spokesperson for Belstaff, which is owned by Labelux, declined to comment.
Meanwhile, real estate sources in London told WWD that Ferragamo is already poised to break that record. The Italian brand is in negotiations to extend its lease at 24 Old Bond Street and undertake a shop re-fit. The source said Ferragamo has hammered out a deal to pay 1,059 pounds, or $1,684, per square foot, making it the first time a tenant has broken through the 1,000 pounds, or $1,590, per square foot barrier. A Ferragamo spokesperson declined to comment.