6th Edition
locationgroup research
EUROPE AMERICAS ASIA & PACIFIC, MIDDLE EAST + AFRICA FULL EDITION www.location-group.com www.retail-study.com
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Retail Market Study Europe 2014
locationgroup
·
150 GLOBAL CITIES
1,500 PAGES
500 SHOPPING MALLS
3,000 STORE OPENINGS
800 HIGH STREETS
100,000 READERS REACHED SO FAR
1,000 RETAILERS
HOLIDAY RESORTS, EXPANSION PLANS, M&A TRANSACTIONS
The Luxury Location Specialists
Store Acquisition
Store Acquisition
Store Acquisition
Store Acquisitions
Store Acquisition
Via Serlas 22 St. Moritz
Maximilianstrasse 16 Munich
Via Serlas 26 St. Moritz
Geneva & Zurich
Bahnhofstrasse Zurich
Summer 2014 I Retail Advisor
Summer 2012 I Retail Advisor
Autumn 2012 I Retail Advisor
Spring 2006 I Retail Advisor
Spring 2014 I Retail Advisor
Store Acquisitions
Store Acquisition
Store Acquisition
Store Acquisitions
Store Acquisition
Geneva, Munich, St. Moritz, Zurich
Bahnhofstrasse 40 Zurich
P.C. Hooftstraat 124 Amsterdam
Crystals Mall, Las Vegas Zinnengasse 4, Zurich
Maximilianstrasse 25 Munich
2011–2013 I Retail Advisor
Spring 2005 I Retail Advisor
Spring 2013 I Retail Advisor
2012–2013 I Retail Advisor
Autumn 2010 I Retail Advisor
Store Acquisition
Store Acquisitions Strategic Advisory
Store Acquisition
Store Acquisition
Store Acquisitions
Marktgasse 19 Bern
Athens, Budapest, Düsseldorf, Kolonaki, Munich, Stockholm, Warsaw
Bahnhofstrasse 28a Zurich
Bahnhofstrasse 44 Zurich
Kampen/Sylt, Kitzbühl, Zermatt
Spring 2011 I Retail Advisor
2007–2009 I Retail Consultant
Autumn 2010 I Retail Advisor
Spring 2014 I Retail Advisor
Summer 2011 I Retail Advisor
Store Acquisition
Store Acquisition
Store Acquisition
Store Acquisition
Store Acquisition
Geneva & St. Moritz
Rennweg 23 Zurich
Kuttelgasse 17 Zurich
Amsterdam, St. Moritz & Zurich
Rue du Rhône 62 Geneva
2008–2011 I Retail Advisor
Autumn 2007 I Retail Advisor
Summer 2009 I Retail Consultant
Winter 2013 I Retail Advisor
Spring 2011 I Retail Advisor
Store Acquisition
Store Letting
Store Acquisition
Store Acquisitions
Munich, Lausanne, Zurich
Lausanne Zurich Store Letting Rhône 80-82 SummerRue 2011du I Retail Advisor Geneva
Rue du Rhône Geneva Store Acquisition Promenade Summer 2008 I Landlord50 Advisor Gstaad
Promenade
Location Consulting Gstaad Store Acquisitions
Store Acquisition
Amsterdam, Antwerp, Brussels, Copenhagen, Ginza, Summer2012 Geneva, I Retail Advisor Lugano, Manhasset, Miami, Vienna, Zermatt
Poststrasse 10 Zürich
Winter 2013 I Retail Advisor
2005–2013 I Retail Advisor
Summer 2008 I Landlord Advisor
Winter 2012 I Retail Advisor
2009–2011 I Retail Consultant
Store Acquisition
Store Acquisition
Store Acquisition
Store Acquisition
Kurfürstendamm 54-55 Berlin
Bahnhofstrasse 38 Zurich
P.C. Hooftstraat 63 Amsterdam
via Serlas 28 St. Moritz
Summer 2012 I Retail Advisor
Summer 2011 I Retail Advisor
Spring 2014 I Retail Advisor
Spring 2014 I Retail Advisor
The Location Group I Amsterdam I Geneva I Gstaad I Hanoi l London I Munich I New York I St. Moritz I Zurich I T +41 44 225 95 00 I www.location.ch
Continental Europe
2 Overview Switzerland · Switzerland to continue attracting the world’s wealthy Switzerland remained one of Europe’s most stable and prosperous economies, an important safe haven for wealthy property investors and although new laws and taxes introduced some uncertainty to the market, new research shows that luxury sales volumes have remained secure. Demand was driven partly by stronger interest from European-based buyers. Swiss GDP growth was estimated to reach 1.2% in 2013 compared to -0.3% for the Eurozone, so the economy outperformed other countries in the continent. Geneva and Zurich ranked among the top 10 in the latest Wealth Report’s Global Cities Survey. Demand looked set to remain strong and supply was tight. Switzerland had been forecasted to see a 27% rise in its High Net Worth Individuals between 2012 and 2022 as strict planning regulations along with Lex Weber are likely to curtail new development. Overall prime prices dipped by around 6%, with vendors being more realistic on price, conscious that the prices have fallen 10% to 15% from their pre-crisis highs. But the best properties in prime locations have retained their value. Areas such as Cologny, Collonge, Bellerive, Geneva’s Old Town and Champel are in the greatest demand. Aside from existing international buyers already resident in Switzerland, purchasers based in France, Spain and the UK are currently the most active in the Geneva market. Lugano has long been favoured by northern European buyers because of its Mediterranean climate and its accessibility to Milan airport and has become particularly popular with British buyers. It is located close to the Italian border in the Canton of Ticino, and
Ranking by size
City
Population
is Switzerland’s third largest financial centre. Buyers from Russia, Italy, Germany, Northern Europe, and from other parts of Switzerland have also been strong in the area. Swiss retail dominated by domestic companies Many of the world’s large international retailers are present in Switzerland. Yet none of them are found in the country’s Top 10 list of the largest retail companies. Only two foreign companies have made it into this league. Whereas Ikea won the hearts of the Swiss with its unbeatable furniture concept, Aldi Suisse did it with its quality products from Switzerland, an attractive mix of groceries and constantly changing non-food products. This makes these two retailers the only two foreign companies found among the Top 10 Retailers in Switzerland. At an international level, the Swiss retail industry is not particularly significant, with some 74 billion Euro of total turnover in 2012. With the exception of Austria, whose market is of a similar size, Switzerland is surrounded by the large retail markets of Germany, France and Italy, all of which are at least five times as big. Yet the Swiss market is exceptional in terms of its population: with a purchasing power of nearly 30,000 Euro per capita, the Swiss are at the absolute top of the world ranking. Chinese visitors arrived in Switzerland in record numbers In 2013, more tourists came to Switzerland from China than from traditional visiting countries such as Italy, the Netherlands or Japan. In total, 600,000 Chinese tourists came to Switzerland, an increase of 25% on the previous year.
Retailers relevant Purchasing Power 2013
Retailers Revenue 2013
in Euro (million)
in Euro (million)
Euro per capita
Centralization Index Euro per capita
Centralization Index
1
Zurich
382,652
4,010.77
10,481
5,645.15
14,753
145.3
2
Geneva
189,503
1,987.94
10,490
2,910.99
15,361
151.2
3
Basel
165,865
1,673.76
10,091
2,464.42
14,858
152.0
4
Lausanne
131,027
1,228.36
9,375
1,585.79
12,103
133.3
5
Bern
128,133
1,231.77
9,613
2,028.09
15,828
170.0
6
Winterthur
105,089
1,037.95
9,877
1,253.73
11,930
124.7
7
Lucerne
80,019
757.47
9,466
1,388.23
17,349
189.3
8
St. Gallen
74,386
691.25
9,293
1,214.28
16,324
181.4
Lugano
56,315
539.93
9,588
705.45
12,527
134.9
Biel/Bienne
52,596
472.05
8,975
749.03
14,241
163.9
9 10
Data Source: MBR Marktforschung
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locationgroup research | Retail Market Study 2014
Continental Europe Matterhorn Mountain
At present the most popular cities for the Chinese are Lucerne, Interlaken, Zurich and Geneva. The watch industry is one of the main beneficiaries of this Chinese boom. Many Chinese tourists prefer buying luxury watches here because they know they will not be buying an imitation. China Free-Trade agreements will greatly disrupt Swiss watch sales globally On 16th July 2013, something of great importance to the global luxury watch industry happened in Beijing. Switzerland and China signed a bilateral free-trade agreement. As a historic move, it is the first agreement of its type between China and a European country, and the deal was motivated on the Swiss side by the interests of the watch industry. While potentially good for the Swiss watch industry, the move will likely have devastating effects on the global watch retail market over the next few years. China is the single largest importer of Swiss goods next to the European Union and the United States of America. Estimates put the trade value of bilateral trade between Switzerland and China at over 26 billion US Dollar. About 32% of that is Swiss watches. Chinese consumers have a great fondness for European
locationgroup research | Retail Market Study 2014
luxury goods, including, to a large degree, watches. China is estimated to be the world’s most important market for Swiss watches.
Most Expensive Shopping Streets Switzerland 2013 Shopping Street
Swiss Francs/sqm per year
Euro/sqm per month
Zurich, Bahnhofstrasse
15,050
943
Geneva, Rue du Rhône
10,350
648
Lucerne, Schwanenplatz/ Grendel
6,700
420
Bern, Marktgasse/ Spitalgasse
6,500
407
Basel, Freie Strasse
5,590
350
St. Moritz, Via Serlas
4,850
304
Winterthur, Untertor/ Marktgasse
4,700
294
Lausanne, Rue du Bourg
4,220
264
St. Gallen, Multergasse
4,180
262
Lugano, Via Nassa
3,950
247
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Continental Europe
3 Zurich ·
Bahnhofstrasse, Zurich
ZURICH is one of the most beautiful cities, not only of Switzerland, but of all over the world. The municipality has over 398,000 inhabitants, and the Zurich metropolitan area 1.83 million. This city is known for its high standard and quality of life as well as the highest purchasing power worldwide. The highest registered rent on Bahnhofstrasse is now 15,000 Swiss Francs per square metre annually including the key money, depreciated over ten years. Tyler Brûlé, an authority in marketing and design has discovered long ago the potential of this city and says “Zurich Switzerland is everything except provincial”. Well-known international fashion designers, jewellery and watch designers are at work here. Numerous young and innovative artists surprise the city with unusual and attractive ideas.
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BAHNHOFSTRASSE Swarovski flagship on Bahnhofstrasse refurbished The Swarovski Bahnhofstrasse flagship was refurbished and enlarged. On 28th March 2013, the store reopened its doors. It took six weeks of hard work to transform the former boutique into the jewel of the Bahnhofstrasse.
Location
Bahnhofstrasse
Average Prime Rents/sqm/ year in Euro
Average Prime Rents/sqm/ month in Euro
11,316
943
Rennweg
2,976
248
Storchengasse
2,349
196
locationgroup research | Retail Market Study 2014
Continental Europe Consuming more than 140 square metres, the store impresses not only with its striking products, but also captures magic with its Crystal Forest architecture. Yooji’s Sushi launched first store in Zurich Yooji’s Sushi opened its flagship store in July 2013 at Bahnhofstrasse 102. The store at the former space of Metzgerei Kauffmann covers an area of about 200 square metres on two floors. Further expansion plans are being figured out in Switzerland. Bahnhofstrasse attracts Läckerli-Huus Among retailers entering Bahnhofstrasse, Läckerli-Huus chose the space at number 87 to locate its new store. Läckerli-Huus has another Zurich store in Shop-Ville. Mobilezone formally occupied the small Bahnhofstrasse space. The key money was not disclosed. Diesel moved and doubled rent An exclusive party celebrated the launch of Diesel’s new flagship store in Zurich. With an area of 470 square metres, the store on Bahnhofstrasse 84 was designed following the criteria of the new brand concept. The store, which is characterised by the spectacular staircase that runs through all three floors of the building, houses the brand’s fashionable urban collections. Diesel pays a rent of 2.8 million Swiss Francs p. a. Manor distressed after negotiations with Swiss Life The rent for Manor on Bahnhofstrasse is expected to increase by a multiple. The company is continuously negotiating with the property owner Swiss Life. The Manor department store group and the
life insurance company Swiss Life are underway with negotiations for the rent of the property at the Zurich Bahnhofstrasse 75. On the ground floor, the rent for Manor is five to ten times more expensive, on the upper floors it is expected to double. Since autumn 2012, there have been rumours that Manor had to move out of the Swiss Life Property. The Zurich Manor is the flagship of the Basel leading department store group. Victorinox has signed the contract for a new flagship store The famous Swiss Army Knife maker Victorinox signed the contract for a flagship store in Zurich. The shop is located directly next to the new Zara flagship store at the Bahnhofstrasse, on Rennweg 58. The store in Zurich will have in addition to the Swiss army knives the whole range of its products from household and professional knives as well as watches, travel gear, the clothing line, and in-house perfume. Zara and Bally with new stores Zara became a new tenant at the Bally Capitol, Bahnhofstrasse 66, replacing Bally. The Swiss shoe retailer moved to the former SaintPhil space at number 20 on the same street between Tommy Hilfiger and Prada. Thomas Sabo moves store to Bahnhofstrasse In February 2014, the exclusive charm and watch jeweller opens at Bahnhofstrasse 65, marking the signature presence of its flagship store in Zurich. Replacing current tenant Bernie’s, Thomas Sabo
Omega, Bahnhofstrasse, Zurich locationgroup research | Retail Market Study 2014
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Continental Europe Yooji’s Sushi, Bahnhofstrasse, Zurich
will now fill over three floors of 450 square metres and further increase their brand awareness on the Swiss market. Omega relocated, Swatch moved in The two Swatch Group’s brands have moved into new locations on Bahnhofstrasse. Omega moved a few doors further along to where the first Diesel fashion store used to be at Bahnhofstrasse 48, with a space of 250 square metres. Omega’s former 70-squaremetre store at number 52 is now occupied by Swatch.
Lalique with new flagship store opening In November 2013, Lalique celebrated the grand opening of the first flagship store in Switzerland. The 220 square metre store is located on Bleicherweg in Zurich. Worldwide Lalique has 70 stores like in Paris, London, New York, Hong Kong, Dubai, Moscow and Singapore.
Hublot replaces Les Millionnaires After almost one year of negotiations, Hublot will take over the boutique of the local jeweller, Les Millionnaires, in the same building of the Burberry flagship store at Bahnhofstrasse 44.
Audemars Piguet and Jaeger-LeCoultre took over Douglas’ store Audemars Piguet launched its latest and third store in Switzerland in November 2013. Sharing 130 square metres with Jaeger-LeCoultre at the prestigious Bahnhofstrasse 32, it is the brand’s first Zurich store. Previous tenant, Douglas, is searching for a much larger location, with around 400–600 square metres.
Van Cleef & Arpels with new flagship store Bahnhofstrasse has welcomed Van Cleef & Arpels. The former shop of specialist watch retailer, Zett Meyer, at number 37 became a new branch of Van Cleef & Arpels, however the former tenant continues to run operations for the French brand.
EFG Bank moved out, Graff Diamonds moves in Graff Diamonds is preparing for its first Zurich store on Bahnhofstrasse 16, which was previously occupied by EFG Bank. The new space is located at a prime location, which neighbours with Prada, Stefano Ricci, Tiffany & Co., Dior, and Rolex.
Maje and Leica with new stores After leaving Rennweg 58, Maje will open its new store in number 36 on the same street in 2014. The new store will be in the former Claudie Pierlot store on Rennweg.
This Zurich store is the fourth Graff Diamonds store in Switzerland in addition to the one in Geneva and two in Gstaad.
Leica is to open its new store on Küttelgasse 4 in Zürich. Leica Camera AG is an international company in the optical industry, with its headquarters based in Solms, Germany, and a second location in Portugal.
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Alfred Day closed after decades of business The traditional fashion business Day at Bahnhofstrasse 12 closed at the end of November 2013. The premises were taken over by Trudie Goetz, the owner of Trois Pommes, which already has 32 stores in Zurich, Gstaad, St. Moritz, and Basel. The opening of a new Trois Pommes store will take place on 1st February 2014.
locationgroup research | Retail Market Study 2014
Continental Europe Bally, Bahnhofstrasse, Zurich
RENNWEG Falke launched in Zurich On 16th May 2013, the German stocking company, Falke, opened the doors of its new shop to Zurich’s citizens. In a prominent position on Rennweg, the new store of 200 square metres on two floors exhibits all sorts of foot and leg fashion, but also displays its ergonomically
designed functional sportswear collection. This is the nineteenth exclusive setting of Falke internationally and the first in Zurich. Devon recovers its future with the new Rennweg store For 30 years, DEVON convinced customers with his watch and jewellery designs. In November 2013, the brand opened a new store
Audemars Piguet & Jaeger-LeCoultre, Bahnofstrasse, Zurich locationgroup research | Retail Market Study 2014
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Continental Europe
on Rennweg 18. The location is attractive with international neighbours like Geox, Fogal and Mephisto. STREHLGASSE Patrizia Pepe opened flagship in Zurich The Florentine fashion house Patrizia Pepe celebrated its twentieth anniversary by opening its first flagship store in Zurich in March 2013. The boutique is found at the prestigious address Strehlgasse 9 and covers an area of 140 square metres. New IRO store in Zurich The French label based in Paris opened its first Swiss store with Sami Bollag. On Strehlgasse 5 in Zurich, the coveted parts of the current women’s collection are now available. This was the second European opening of the brand outside France, after the Madrid launch in April 2013. IRO has also expanded its presence to the United States with the flagship store in New York.
Most Expensive Shopping Streets Zurich 2013 Location
Highest Rents/sqm/ per year in CHF
Bahnhofstrasse
Euro/sqm/ per month
15,050
943
4,550
285
Storchengasse
3,670
230
Limmatquai
3,430
215
Rennweg
Löwenstrasse
3,380
212
Niederdorfstrasse
3,280
206
Strehlgasse
3,170
199
Bellevue/Stadelhofen
2,370
148
rience for consumers. It features a fresh design concept showcasing a distinctive golden façade.
MORE SHOP OPENINGS New boutique of Eres Eres has celebrated a new opening in Zurich, located on Zinnengasse 4. The newly launched boutique represents the second setting of the brand in Switzerland, together with Geneva. Among their popular swimwear, the store also offers a special collection by Karl Lagerfeld.
Tony & Guy opened in Kappelergasse Toni & Guy promoted themselves as a hair fashion brand, which quickly became known for its innovative, creative and avant-garde demands. In the heart of Zurich, Toni & Guy opened its newest and most modern hairstyling salon on Kappelergasse 14 in October 2013. The brothers Toni and Guy Mascolo in Clapham, South London, opened the first salon in 1963.
MCM inaugurated new theatrical flagship store German luxury brand MCM announced the opening of its latest flagship boutique in Switzerland. Located in Zurich at the heart of the Old Town on Münsterhof 13, the shop is the brand’s first standalone boutique in Switzerland.
Benci Brothers opened flagship The Swiss shoe company, Benci Brothers, have opened a flagship store in Zurich. The 100-square-metre retail space on Rämistrasse 5, near the Bahnhofstrasse, displays the full range of women and men’s shoes.
The 160-square-metre boutique is described as a harmony of artisanship and modernity, designed to purvey a luxurious brand expe-
The Rämistrasse location is the second establishment of the Swiss shoe provider in Zurich besides the space in Jemoli department store.
Patrizia Pepe, Strehlgasse, Zurich
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locationgroup research | Retail Market Study 2014
Continental Europe Nicole Kidman locationgroup research | Retail Market Study 2014
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Continental Europe
Brandy Melville opened its first store In spring 2013, Brandy Melville opened its first Swiss Shop in the city centre. It has a space of 52 square metres on Schifflande 5 near the Limmatquai, a beautiful pedestrian zone and shopper’s paradise with lots of boutiques in a patchwork of alleys. The in-store collection ranges from loose fitting off-shoulder tees and soft angora sweaters to stylish dresses, skirts and tops. Women of every
age can find something at Brandy Melville to fit their style, closet, and budget. Ice-Watch arrived in Zurich with second Swiss store After opening its first flagship store in 2012, just a stone’s throw away from the numerous high-end watch boutiques in Geneva, IceWatch opened its second flagship store in Zurich at the start of
Development of Most Expensive Retail Rents Bahnhofstrasse, Zurich CHF 16,000
14,000
12,000
10,000
8,000
6,000
4,000
2,000
0 2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
2013
Year
MCM, Münsterhof, Zurich
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locationgroup research | Retail Market Study 2014
COS finally comes to Zurich The premium brand of Swedish fashion group H&M, COS, has finally found a home in Zurich. The retail space is built on Marktgasse 14 in Zurich’s Low Village. The opening will be celebrated in September
or October 2014 with the annual rent estimated to be more than 500,000 Swiss Francs. This is the second Swiss COS store, following the first one in Geneva, opened in autumn 2013. Carhartt WIP arrived Carhartt WIP celebrated the grand opening of its first store in Zurich on 1st March 2013. The store is located on Lagerstrasse 1.
Ice Watch, Limmatquai, Zurich
Carhartt WIP, Lagerstrasse, Zurich locationgroup research | Retail Market Study 2014
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Continental Europe
October 2013. The shop is located on Limmatquai 36, in the old town and shows the world of Ice-Watch in a 42-square-metre retail space.
Continental Europe
4 Geneva ·
Skyline, Geneva
GENEVA is the smallest Metropolis in the world. It is a wealthy city and has the highest density of billionaires in the world. Today the city’s population counts over 195,000 inhabitants. Moreover, from all the Swiss cities, Geneva holds the most foreigners: around 45% with almost 180 different nationalities. It also ranked second, right after Zurich in the Quality of Living Survey. RUE DU RHÔNE Giorgio Armani to hook on Rue du Rhône When Giorgio Armani confirmed his choice of Rue du Rhône to offer its new flagship store in Geneva, the shopping street once
Location
Average Prime Rents/sqm/ year in Euro
Average Prime Rents/sqm/ month in Euro
Rue du Rhône
6,786
566
Rue du Marché
5,858
488
22
again positions itself as one the leading destinations for the world’s finest jewellery, watches and fashion. Soon to be housed at the venue number 19 at the corner with Pont de la Machine, the Giorgio Armani flagship store will join the other prestigious neighbours like Bulgari, Panerai, Jimmy Choo and Christian Louboutin. Armani took over the lease contract of the Jean-Paul Gaultier franchisee. Glashütte Original and Jaquet Droz share a boutique The Rue du Rhône is the most exclusive shopping district in Geneva. The elegant street, nearby the shores of Lake Geneva, hosts sophisticated cafes and exclusive boutiques run by international luxury brands. Since 27th November 2013, the Swatch Group brands’ Glashütte Original and Jaquet Droz are represented here, at number 40, by a single shared boutique. In close proximity to Breguet and Blancpain, the new store is located amid world-famous Haute Horlogerie
locationgroup research | Retail Market Study 2014
Continental Europe brands. Visitors to the 60 square metre former Tourbillon Boutique are now invited to explore the exclusive collections of the two prestige brands. Harry Winston debuted in Geneva Harry Winston has chosen the premiere Rue du Rhône to set up its first boutique in Switzerland. The famous New York-based jewellery company features its entire range of luxury watches as well as a selection of high-end jewellery. The store opened its doors in the spring of 2013. The Chopard boutique recovered a beauty Chopard had a new look for its historic store in Geneva in early 2013. The space on 27 Rue du Rhône was renovated and expanded in line conceptually with the house of the German family Scheufele and made into a flagship store. The new boutique, designed by famous French architect Thierry W. Despont, beautifully juxtaposes traditional furnishings with its contemporary collections.
Cartier, Rue du Rhône, Geneva
Grand re-opening of Cartier boutique For the past four decades, the Maison Cartier has occupied number 35 on Geneva’s most prestigious avenue, overlooking Lake Geneva’s western shore. As the largest boutique in Europe after Moscow, with 1,000 square metres of floor space, the project was an ambitious one. The result is a truly cosmopolitan destination, which cultivates the Maison’s identity as a jeweller through the refined touches of a unique, welcoming interior.
Chopard, Rue du Rhône, Geneva
Glashütte Original and Jaquet Droz, Rue du Rhône, Geneva locationgroup research | Retail Market Study 2014
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Continental Europe
Chanel with the largest Swiss flagship store in Geneva In February 2013, Chanel launched a new flagship store in Geneva. The new setting is over 300 square metres and occupies the former Hermes and Chanel stores at 43 Rue du Rhône. This is also the largest flagship store in Switzerland to date. Family Wertheimer bought the building and invest approximately 80 million Swiss Francs. Prada to open shortly on Rue du Rhône In September 2012, Prada acquired 100% of the share capital from Anita Smaga. The reasons behind the acquisitions were due to the lease agreements which allowed the Group to execute its expansion programme. Prada will be opening its new boutique shortly at 49–51 Rue du Rhône and it has been rumoured that Smaga negotiated key money in excess of 19.5 million Swiss Francs to make room for the Italians. New Ermenegildo Zegna store in Geneva, a temple for male elegance On 4th October 2013, an official opening of the new Ermenegildo Zegna store in Geneva was launched inside the 300-square-metre shopping space. The store is devoted to men’s elegance in a luxurious location. When a new store opens in Geneva, it is always an
event. And with this shop’s luxurious location on the Rue du Rhône, it was big news. For many years, Rue du Rhône has been populated by many prestigious timepiece, jewellery and fashion brands. Chanel, Louis Vuitton, Celine and Hermès have all created their presence on the famous street. Insiders expect a key money paid of approximately 8–10 million Swiss Francs. MORE SHOP OPENINGS Gc boutique arrives in the heart of Geneva After setting up 35 own-brand stores across the world, Gc has finally found a suitable location in the heart of Geneva. “Suitable” is perhaps an understatement, since the new store overlooks the lake and is in excellent company, nestled among the biggest names in luxury watch-making and positioned right next door to Omega’s flagship store at 12 Quai du Général Guisan. COS settled in Switzerland COS has chosen Switzerland as the next destination for its expansion strategy. The Scandinavian retailer which belongs to H&M will open its second Swiss store in central Geneva, located on Rue de la Tour Maîtresse early 2014 and covers a total area of 337 square metres. Over two floors, the store offers the complete collection for men and women.
Ermenegildo Zegna, Rue du Rhône, Geneva
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locationgroup research | Retail Market Study 2014
Continental Europe Gc, Quai du Général Guisan, Geneva
Chanel, Rue du Rhône, Geneva locationgroup research | Retail Market Study 2014
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Continental Europe Longchamp, Rue du Marché / Place du Molard, Geneva
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locationgroup research | Retail Market Study 2014
Sheffield boutique reopened A discreet little gem on the beautiful Corraterie Street in Geneva, jewellery boutique Sheffield reopened in February 2013 after several months of rehabilitation. For decades, Sheffield has been the address passed on by word of mouth to any jewellery, gem, or cufflinks lover. Specialising in vintage pieces from luxurious brands such as Van Cleef & Arpels, Bulgari, Boucheron and many more, Sheffield pursues its passion with fervour at the location 12 Rue de la Corraterie.
Totaling 178 worldwide, mainly in European countries and in Asia, these spaces that showcase the brand universally in multi-brand shops, aim to raise the profile and support sales of Frederique Constant watches. The company’s stated goal is to have 250 outlets by the end of 2013, an increase of nearly 40%. The Frederique Constant brand has gradually become one of the flagships of the Swiss watch-making industry. With continuous growth and sales doubling every 3–4 years, the brand has become a major player in the affordable luxury segment and has more than 2,600 outlets in one hundred countries.
Ulysse Nardin opened first mono-brand boutique Swiss luxury watchmaker Ulysse Nardin has opened its first mono-brand boutique in Switzerland and eighteenth boutique worldwide. Located on the Quai des Bergues banks in Geneva, the new Ulysse Nardin boutique reflects the brand genesis, dedicated to marine chronometers. Frederique Constant opened its first shop-in-shop The watch brand Frederique Constant opened the brand’s first shop-in-shop in Switzerland at Espace Temps in Geneva. Espace Temps was one of the first of the brand’s outlets in Geneva more than 10 years ago.
Olivier Cohen, Director of Space Time, Aletta and Peter Stas, Founders, COO and CEO of Frederique Constant at Frederique Constant opening
Sophie Kunz, Chai Schnyder and Patrik Hoffmann at the opening of Ulysse Nardin locationgroup research | Retail Market Study 2014
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Continental Europe
Longchamp debuted in Geneva French leather-goods and clothing house Longchamp announced the opening of its first store in Geneva. The 150-square-metre shop, located on 8 Place du Molard, is the largest Longchamp boutique in Switzerland and the first in Geneva. The two-storey space, located in a historic building, is a bright setting for Longchamp’s collections of bags, shoes, and ready-to-wear. The new architectural concept is already in place in New York, Hong Kong and Lausanne.
Continental Europe
5 Lucerne ·
Skyline, Lucerne
LUCERNE is arguably the prettiest Swiss city. It is the most visited of the Swiss cities with a thriving tourism industry, owing mainly to its status as a gateway to Central Switzerland. The city has become the centre of Swiss history and legend. The population of greater Lucerne is around 205,000 and around 59,000 persons live in central Lucerne. Lucerne “Walk of Watches” project was finally off the table For several years, the renovation project of the Grendel has been dragged out but now it is finally over. The involved watch companies that should take some of the costs would have retired. This was the result of discussions with the city, which took place in late June 2013. There were plans for granite slabs with 50 embedded clocks logos of companies based around the Schwanenplatz. The cost of over 7.6 million Swiss Francs would have been planned to be divided
Location
Average Prime Rents/sqm/ year in Euro
Average Prime Rents/sqm/ month in Euro
Schwanenplatz/ Grendel
5,040
420
Hertensteinstrasse/ Weggisgasse
4,970
414
28
between city (5.5 million) and watch companies (2.1 million). The project was originally launched by private individuals from the old town, but after a first renovation the project was failed at the city ballot box in 2003. Longines and Piaget to replace restaurant Grendel 19 The Grendel 19, which was previously a Mövenpick restaurant, closed in late 2013, making way for Longines and Piaget’s new stores at Grendelstrasse 19. These are the first Longines and Piaget own stores in the city. The Piaget’s boutique is also operated by Bucherer, like the stores of Omega, Jaeger-LeCoultre, Tag Heuer, and Zenith. The parties did not disclose the amount of key money Bucherer paid to the restaurant operater. Hublot occupies former Wolford store Hublot opened a new store in Lucerne. The luxury Swiss watch company chooses Grendelstrasse which was formerly occupied by Wolford to locate its new boutique. Hublot already operated a shop-in-shop on the same street at Gübelin. Officine Panerai debutes at Kapellplatz Officine Panerai proudly celebrated the opening of its new boutique in Lucerne, Switzerland in October 2013. The boutique is located at Kapellplatz 9, the prestigious shopping district, which is home to many international luxury brands, in a setting that reproduces
locationgroup research | Retail Market Study 2014
Continental Europe the atmosphere and style of the city’s traditional architecture. The boutique is also operated by Embassy, who runs the stores of Cartier and Hermès in Lucerne. Embassy took over the Cartier boutique at Kapellplatz Early 2013 saw the Swiss watches and jewellery chain Embassy opening its latest boutique on Lucerne’s beautiful and historic Kapellplatz, located at number 12. Alongside high-value items from Pomellato, Piaget, and Bulgari, it features sections devoted to watches by Lange & Söhne and IWC. Calida opened third boutique As a dynamic city at the foothills of the Alps on one of the prettiest lakes in Switzerland, Lucerne is a perfect fit for Calida, the traditional Swiss fashion brand. The retailer was pleased to announce the opening of its third shop in Lucerne at Kapellgasse 16 in September 2013. Calida took over the Apple partner store of Dataquest who left the street because they did not trade successfully. The location fits that brand’s values that strive to convey a zest for life, naturalness and quality to an international audience. Tommy Hilfiger takes over the Jack Wolfskin store The American fashion brand will open its second Swiss flagship boutique at Weggisgasse between Bonita and Navyboot in 2014. The store has a size of approximately 450 square metres. Jack Wolfskin was not able to compete with the new rent offered by Tommy Hilfiger and leaves the street after ten years of successful operations.
Officine Panerai, Kapellplatz, Lucerne
Sokolov jewellery launched in Switzerland’s tourist centre On 3rd July 2013, Sokolov jewellery opened its new store in a unique building in the old town which has been redesigned by the brand. On three floors with a total area of about 300 square metres, gold and silver Sokolov jewellery as well as high-quality fashion jewellery European fashion brands and Swiss watches are offered. Phase Eight debuted on Kramgasse The new Phase Eight store in Lucerne was introduced on Kramgasse 7 in late March 2013. Specialising in beautiful dresses, Phase Eight offers great clothes for women with exclusive designs and unique prints in myriad colours. Cablecom came to Pilatusstrasse UPC Cablecom has continued to expand its own stores in Switzerland. After launching two new establishments in Zurich and Basel, Lucerne now follows with its own shop. Opening in late July 2013, the store is located on Pilatusstrasse 22 and spans across an area of 85 square metres. Embassy, Kapellplatz, Lucerne locationgroup research | Retail Market Study 2014
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6 Lugano ·
Skyline, Lugano
LUGANO is a Mediterranean-style city. It ranks after Zurich and Geneva as the third largest financial centre in Switzerland. The population of the city proper is nearly 62,000 and the population of the urban agglomeration is over 145,000. It is the ninth largest city of Switzerland by population, the largest city in Ticino, and the largest Italian-speaking city outside of Italy. Gucci sets up 400-square-metre store in Lugano Gucci has opened a new store in Lugano, on Via Nassa 2. The boutique is spread on an area of 400 square metres and was designed by the creative director Frida Giannini. The opening took place on 27th February 2013, with an evening cocktail party that included the presentation of collections for men and women. Santoni opened its first boutique in Switzerland Santoni continued its growth within the luxury retail and wholesale sector by opening in Lugano, Switzerland, one of the most prestigious areas in Europe. With its windows overlooking the central Via Nassa 32, the new Santoni boutique is preparing to become a destination for luxury shopping, with an elegant 100-square-metre space that houses proposals from the Italian maison. Baldinini opened a new store in Lugano Among the international trendy fashion labels, which have opened doors in Lugano, there is now also Baldinini. The boutique overlooking the historic square Piazza Riforma in front of Via Nassa, a deluxe shopping destination, is located near the banks of the picturesque lake. Jewellery Valobra came to downtown Lugano After the shops in Turin, New Orleans, and Houston, Valobra opened its own exclusive space in the heart of Lugano, Switzerland, at Via
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Nassa 66. The store, launched on 23rd May 2013, offers customers a chance to see an important and precious selection from Buccellati, which is exclusively distributed by Valobra. Tiziana Fausti set up showroom in Lugano On 18th September 2013, the Italian retailer of high-end fashion, Tiziana Fausti, officially celebrated a multi-brand store dedicated entirely to accessories in Lugano. The showroom is located inside the nineteenth century square Piazzetta Maraini at the corner with Via Nassa. The 300-square-metre boutique, which was designed in collaboration with Costanzi, has been developed on three levels. Zara opened a store in Centro Lugano Sud In autumn 2013, Inditex, one of the world’s largest fashion retailers opened a new 1,300-square-metres full range Zara store in Centro Lugano Sud. This is the first Zara store in Ticino. Over the last three years, many international brands have chosen Centro Lugano Sud for their first opening in Ticino. After Desigual, Original Marines, Intimissimi, and Calzedonia, this was Zara’s moment to attract more consumers to the fashionable shopping area. Herren Globus launched Lugano store The menswear chain Herren Globus opened a new Lugano store on 7th March 2013. The new store, covering an area of 315 square metres, is located on Via Peri 8. The new store has a pleasant shopping platform for contemporary fashion. In the basement, Hugo Boss, Strellson, Tommy Hilfiger, Yves and Gerard products are stored. The ground floor showcases casual fashion with brands such as Alberto, Brax, Bugatti, Diesel, Dockers, G-Star, Levi’s, Marc O’Polo, Napapijri, Strellson, Tommy Hilfiger, and Warren & Parker.
locationgroup research | Retail Market Study 2014
Continental Europe Baldinini, Piazza Riforma, Lugano
Santoni, Via Nassa, Lugano
Tiziana Fausti, Piazzetta Maraini, Lugano locationgroup research | Retail Market Study 2014
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7 Swiss Department Stores · JELMOLI DEPARTMENT STORE Diesel Black Gold joined the Jelmoli department store Hot on the heels of a new Diesel flagship store in the centre of Zurich’s shopping district came a new shop-in-shop from the Black Gold diffusion label. The new concept store, in the popular Jelmoli department store, offers customers a large selection of on-trend rock ‘n’ roll meets contemporary fashion for both men and women. Escada opened at Zurich’s Jelmoli Escada opened a shop-in-shop at Jelmoli Zurich in early July 2013. On more than 50 square metres of retail space, the lines Escada and Escada Sport are presented in the ladies’ fashion department of the Swiss department store. St. Emile with new shop-in- shop in Jelmoli On 5th September, the premium label St. Emile from Germany opened a shop-in-shop at Zurich’s Jelmoli Department Store. On a space of approximately 50 square metres, St. Emile presents the complete portfolio alongside its womenswear collection. The new shop area is positioned in the ladies’ fashion department within the Escada and Armani vicinity.
ASICS’ new opening in Jelmoli On 21st March 2013, ASICS, a pool partner of Swiss Athletics, opened its comprehensive Swiss shop-in-shop at Jelmoli in Zurich. The number 1 retailer in running and indoor sports thus continued its successful cooperation with the largest department store in Switzerland. On an area of 80 square metres, ASICS offers everything that a sports enthusiast desires. MANOR DEPARTMENT STORE Swiss Life renovates Oscar Weber House on Bahnhofstrasse Swiss Life will rebuild the Oscar Weber House on Bahnhofstrasse 75–79 in Zurich. The insurer submitted an application for the conversion of the building in September 2013. The renovation starts after the expiration of the lease with Manor after 30 years. The investment is estimated to be around 100 million Swiss Francs. The current rent of Manor is 6 million Swiss Francs and the expected new rent is about 28 million Swiss Francs. Manor unveiled a new shopping store in Monthey Visitors to Monthey in Switzerland can now shop at the new Manor department store, which has recently re-opened after a two-year revamp. Spanning nearly 10,000 square metres, the store contains an abundance of high fashion labels, international cosmetic brands
Jelmoli, Zurich
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Continental Europe and a new food court, complete with an indoor market of local produce. In this large store, each brand has its own mini-space, tailored to its style. The accessories zone offers a number of bags and travel accessories, and customers can discover fashion week brands such as American designer Michael Kors and French fashion house Dior. Waitrose expanded European presence through deal with Swiss department store chain Waitrose has expanded its European presence by selling its food and drink in Switzerland, through a deal with the upmarket department store chain Manor. Around 120 Waitrose products
Swiss Department Stores
went on sale in the food hall of Manor’s Geneva branch from late September 2013. They were then rolled out to a further 6 branches in other Swiss cities, including Zurich and Basel, at the beginning of October 2013. COOP DEPARTMENT STORES Tesco presented first F&F European franchise stores Tesco has opened its first European franchise stores for its F&F clothing brand. The supermarket partnered with Coop, Switzerland’s second biggest retailer, to open 7 new stores in the Zurich area with plans to open more Swiss stores in the future. The brand has launched in Coop’s hypermarket stores and its city department stores.
Sales per sqm (approx.)
Turnover CHF ‘000 (approx.)
Globus, Zurich
Turnover per sqm in CHF (approx.)
7,500
185
24,666
Globus, Geneva
12,000
155
12 ,916
Jelmoli, Zurich
28,000
290
10,357
8,000
80
10,000
Coop St. Annahof, Zurich Manor, Zurich
10,000
95
9,500
9,000
80
8,888
Loeb, Bern
Manor, Zurich locationgroup research | Retail Market Study 2014
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8 Swiss Shopping Malls · Are shopping centres doing well in Switzerland? The Glatt Shopping Centre near Zurich is Switzerland’s most productive shopping centre in terms of square metre turnover. It offers just over 40,000 square metres, and is also the oldest shopping centre in the country. With a square metre turnover of approximately 12,500 Euro in 2011, the Glatt mall boasts the highest productivity among all Swiss shopping centres. In contrast, judging by the same criteria, the most attractive shopping centre in Austria would be the Europark mall in Salzburg, with a square metre turnover of over 9,000 Euro per year, and around 36,000 square metres of floor space. Whereas the largest 100 Austrian shopping centres achieve productivity figures of between 2,000 to more than 9,000 Euro per square metre, the productivities of Switzerland’s 100 largest shopping centres start from approximately 4,000 Euro and go up to 12,000 Euro per square metre per year. At present, there are around 170 shopping centres in Switzerland, and around 160 in Austria. Both countries are considered over-saturated when it comes to retail floor space. Some 30 projects are in
the pipeline in Switzerland, including expansions of existing centres. This will lower shopping centre productivity even further. In Switzerland in particular, retail turnover already experienced downturns in 2011 and 2012. Due to the appreciation of the Swiss franc, increasing numbers of consumers went shopping in neighbouring Euro-countries. Online competition is another source of pressure on stationery retail. It is thus conceivable that sales areas will be reduced in some centres, or used for other purposes (e.g. as storage space for online sales). Even strong shopping centres need to become more attractive to consumers, because product presentation alone, without offering emotions and quality leisure options, will not be enough to attract internet-savvy consumers back into shopping centres. Luxembourg’s Freo invests Swiss 500 million Swiss Francs Luxembourg-based developer and private equity fund manager Freo, previously focused on Germany, has started its first project in Switzerland with a 500 million Swiss Francs (411 million Euro) investment into the Mall of Switzerland in Ebikon near Lucerne. The Mall of Switzerland, which will include cinemas, apartments,
Glatt Shopping Centre, Wallisellen/Zurich
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Continental Europe Archhöfe Shopping Mall, Winterthur
offices, a hotel, event locations, and a water park, has been searching for an investor for several years. Freo has signed the contract, and investment will flow from Luxembourg as soon as 50% of the 80,000-square-metres project – some 46,000 square metres of which is retail space – has been pre-let. New shopping mall in Winterthur now opens After three years of construction, the shopping mall Archhöfe at Winterthur officially opened doors on 1st August 2013, offering 31 retail shops, 68 apartments and 3 restaurants. The project was developed by Halter AG and sold to the investor pension fund BVK. Following the voters agreement to the redevelopment of the area in 2004, the project was threatened several times; in particular, the search for shop tenants was difficult. However, some of the famous tenants still have long-term commitments to the mall, namely Zara, Superdry, the Thai restaurant Cha Chà, the cosmetics Mall of Switzerland, Ebikon locationgroup research | Retail Market Study 2014
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brand Kiko alongside major distributor Aldi. The Archhöfe is located right on the Winterthur main station and has 191 publicly accessible parking spaces in the basement. The project Erlenmatt Galerie in Basel was cancelled The driving company behind the 300-million Swiss Franc project Erlenmatt Galerie has closed its office in Basel. The opening of the shopping centre thus moves further into the distance.
investment of 95 million Swiss Francs, of which 80 million Swiss Francs are taken from the Migros Valais. The retail tenants also include a large Migros supermarket of more than 3,500 square metres. The work on the second part of the building will continue. By the end of summer 2014, Forum des Alpes will be entirely completed. With the addition of more than 30 shops, it will offer the largest selection of brands in the Valais canton.
The specialised construction company has been planning a new shopping centre in Basel since 2008 at the corner Schwarzwaldallee and Erlenstrasse. The centre will have 21,000 square meters of retail space, a 200-room hotel and 490 parking spaces in the underground garage. The whole project is expected to cost 300 million Swiss Francs. Partners include Multi Development Switzerland and the Bernese Bricks Immobilien AG.
Built in terms of sustainable development, Forum des Alpes is a promising chapter for the people, the economy and the environment of Valais canton. Thus, the burden of road traffic should decrease in this area thanks to the new shopping centre. As it combines many shops under one roof, additional shopping trips can be avoided.
Migros Valais inaugurated new shopping centre On 20 th August 2013, the Migros Valais opened the first phase of the shopping centre “Forum des Alpes” in Conthey. The new shopping complex includes 25 shops, covering an area of 8,500 square metres. The construction of Forum des Alpes represented a total
Tourbillon Migros-Centre in Sion opened doors in April 2013 The Tourbillon Centre opened its doors on 15th April 2013. The new centre, which cost nearly 40 million Swiss Francs, hosts 13 shops and a Migros supermarket. On the plot area of 10,600 square metres,
Erlenmatt Galerie, Basel
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which was previously occupied by a wine company, the old hall was demolished to accommodate the new building, offering retail space of 7,000 square metres. Located at the exit of Sion East, the Tourbillon Center mall is ideally positioned, enticing customers throughout the region of Valais. Migros MMM in San Antonio, canton of Ticino, expanding spaces Migros has sketched out a plan to extend an area of the shopping centre Migros MMM in San Antonio, in the canton of Ticino. The expansion will add 34,000 square metres of retail space, creating spaces for up to 60 shops. The renovation phase will be completed by 2015.
Forum des Alpes, Conthey
Designer Outlet, Landquart locationgroup research | Retail Market Study 2014
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Swiss Shopping Centres Turnover Shopping Malls larger than 20,000 square metres Mall
City
Selling Space 2012
Total Turnover 2012
Turnover/sqm 2012
Glattzentrum
Wallisellen/Zurich
43,387
620,000,000
14,290
Seedamm-Center
Pfäffikon
20,103
252,000,000
12,535
Centre Commercial de Crissier
Crissier
23,042
233,000,000
10,112
Chavannes Centre
Chavannes-de-Bogis
20,810
204,000,000
9,803
Zugerland
Steinhausen
22,107
216,000,000
9,771 9,127
La Praille Centre Commercial
Carouge
20,051
183,000,000
Centre Balexert
Geneva
50,646
457,000,000
9,023
Emmen Center
Emmenbrücke
30,300
255,000,000
8,416
Sihlcity
Zurich
42,466
357,000,000
8,407
Letzipark
Zurich
29,068
225,000,000
7,740
Einkaufszentrum Volki-Land
Volketswil
24,849
188,000,000
7,566
Westside
Bern
25,865
190,000,000
7,346
Shoppyland
Schönbühl
48,818
323,000,000
6,616
Pilatusmarkt
Kriens
21,500
138,000,000
6,419
Avry Centre
Avry-sur-Matran
34,059
218,000,000
6,401
Shoppi Tivoli
Spreitenbach
67,627
419,000,000
6,196
Shopping Arena
St. Gallen
36,500
224,000,000
6,137
St. Jakob-Park Shopping Center
Basel
20,500
121,000,000
5,902
Marin Centre
Marin-Epagnier
36,000
212,000,000
5,889
Morbio Inferiore
Serfontana
22,117
128,000,000
5,787
Einkaufszentrum Hinwil
Hinwil
22,836
132,000,000
5,780
Rheinpark
St. Margrethen
20,768
117,000,000
5,634
Gäupark
Egerkingen
40,470
212,000,000
5,238
Centro San Antonio
San Antonio
20,593
104,000,000
5,050
Stücki Shopping
Basel
32,000
140,000,000
4,375
Wohncenter Emmen
Emmenbrücke
32,988
125,000,000
3,789
Shopping Malls Switzerland bigger than 20,000 square metres
(Source: Shopping-Centre Markt Schweiz 2013)
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Mall
City
Selling Space 2012
Total Turnover 2012
Shoppi Tivoli
Spreitenbach
67,627
419,000,000
Turnover/sqm 2012 6,196
Centre Balexert
Geneva
50,646
457,000,000
9,023
Shoppyland
Schönbühl
48,818
323,000,000
6,616
Glattzentrum
Wallisellen
43,387
620,000,000
14,290
Sihlcity
Zurich
42,466
357,000,000
8,407
Gäupark
Egerkingen
40,470
212,000,000
5,238
Shopping Arena
St. Gallen
36,500
224,000,000
6,137
Marin Centre
Marin-Epagnier
36,000
212,000,000
5,889
Avry Centre
Avry-sur-Matran
34,059
218,000,000
6,401
Wohncenter Emmen
Emmenbrücke
32,988
125,000,000
3,789
Stücki Shopping
Basel
32,000
140,000,000
4,375
Emmen Center
Emmenbrücke
30,300
255,000,000
8,416
Letzipark
Zurich
29,068
225,000,000
7,740
Westside
Bern
25,865
190,000,000
7,346
Einkaufszentrum Volki-Land
Volketswil
24,849
188,000,000
7,566
Centre Commercial de Crissier
Crissier
23,042
233,000,000
10,112
Einkaufszentrum Hinwil
Hinwil
22,836
132,000,000
5,780
Morbio Inferiore
Serfontana
22,117
128,000,000
5,787
Zugerland
Steinhausen
22,107
216,000,000
9,771
Pilatusmarkt
Kriens
21,500
138,000,000
6,419
Chavannes Centre
Chavannes-de-Bogis
20,810
204,000,000
9,803
Rheinpark
St. Margrethen
20,768
117,000,000
5,634
Centro San Antonio
San Antonio
20,593
104,000,000
5,050
St. Jakob-Park Shopping Center
Basel
20,500
121,000,000
5,902
Seedamm-Center
Pfäffikon
20,103
252,000,000
12,535
La Praille Centre Commercial
Carouge
20,051
183,000,000
9,127
Shopping Malls Switzerland by size
locationgroup research | Retail Market Study 2014
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Largest Shopping Malls Switzerland by size
Continental Europe Victoria’s Secret, Zurich airport, Zurich
Nine new premium shops arrived in Designer Outlet Landquart The Designer Outlet Landquart has further expanded its tenant portfolio and offered nine brand shops to the visitors just before Christmas 2013. In October 2013, the four international brands Napapijri, Garcia, Hallhuber, and Möve opened their own shops in the Landquart. The remaining five brands of Tom Tailor Kids, Bonita, Barutti, Naccari, and WMF won’t follow until the end of the year. ZURICH AIRPORT Victorinox opened store at Zurich airport The Swiss brand Victorinox opened a store at Zurich airport in March 2013. On a surface of 70 square metres, the entire product portfolio is available, including not only the Swiss Army Knives collection, but also watches, luggage, clothing and fragrances. The store design was by Blocher Blocher Partners.
Outdoor specialist Mammut now at the airport Customers can now find all their specialised outdoor equipment in the new Mammut shop on Level 1 of the Airside Centre, Zurich airport. The new store spans over 50 square metres and is the seventh Mammut store in Switzerland. Victoria’s Secret offered Beauty & Accessories store in Zurich airport Leading lingerie and beauty retailer Victoria’s Secret has opened its first Beauty & Accessories store in Switzerland, at Zurich airport’s landside airport centre, in partnership with Agora Trading. The 102-square-metre shop, which opened on 1st November, showcases an array of fashion-forward beauty products and accessories designed for the modern jet-setter.
Mondelez opened first shop-in-shop in Nuance Zurich walk-through store Mondelez World Travel Retail (WTR) has installed the first confectionery shop-in-shop within The Nuance Group’s walkthrough Duty Free Store at Zurich airport Level 2.
Pandora continued expansion drive with boutique at Zurich airport Pandora has officially opened a 22-square-metre concept store at Zurich airport in partnership with travel retailer The Nuance Group. The latest location is part of Pandora’s plans to open approximately 195 concept stores in 2013.
Opened on 6th June 2013, the Toblerone-branded corner offers a wide range of Toblerone products in what Mondelez described as an easy-to-navigate shop.
Zurich Airport sees 24.8 million passengers annually, making it an ideal store location for Pandora, which Nuance says plays a key role in its jewellery portfolio.
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Nuance and Bulgari celebrated the opening of the new store at the heart of the Zurich airport level one in early December. The Heathrow Terminal 4 store was opened in August. In 2014 Nuance will further extend its partnership with Bulgari with the opening of a new boutique in Heathrow Terminal 2. Furla maintains travel retail push with new corner in Zurich Airport Furla has expanded its partnership with The Nuance Group through the opening of a 12-square-metre corner in the travel retailer’s Atelier store at Zurich Airport. The new Furla corner, characterised by the brand’s signature interior concept, will be followed by new locations in St Petersburg Pulkovo Airport, Moscow Sheremetyevo International Airport, and Sochi International Airport.
SSP partnered with media group NZZ in Zurich Airport café concept Food and beverage concessionaire SSP has teamed up with Swiss newspaper NZZ (New Zurich Times) to open an outlet at Zurich Airport called NZZ Café. Located airside, it allows customers to catch up with the latest news before their flight, while also offering them a range of premium snacks and sandwiches inspired by local ingredients. OTHERS Starbucks gets on the train for the first time in Switzerland Switzerland has become the first country to get a Starbucks cafe on a train. After taking over retail space in train stations across Europe, the coffee giant has opened its first store on a Swiss Federal Railways (SBB) car, the national railway line for Switzerland. Set to take its inaugural trip on 21st November 2013, the “Starbucks train” – which is instantly identifiable by the green and white siren logo emblazoned on the car’s exterior – will serve commuters their signature tall and grande lattes on a route running from Geneva Airport to St. Gallen.
Starbucks on train
Store opening Pandora, Zurich airport locationgroup research | Retail Market Study 2014
NZZ Café, Zurich airport, Zurich
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Nuance launched Bulgari store at Zurich airport Nuance has unveiled a new Bulgari store at Zurich Airport, following on from the opening of another one at Heathrow Terminal 4 earlier in 2013. Both stores include flooring featuring an onyx star design inspired by the flagship Bulgari store, which opened in Rome in 1905.
Continental Europe
9 Swiss Retail Real Estate Investments ·
Kempinski Grand Hotel des Bains, St. Moritz
Austrian Immofinanz divested St. Moritz Kempinski Immofinanz signed a purchase contract for 100% of the shares in the Swiss Les Bains de St. Moritz Holding AG, the owner of the Kempinski Grand Hotel des Bains, and has been hereby continuing its exit from the non-core hotel segment. The transaction figure was in excess of the property’s carrying amount and closed in March 2013. The buyer is an international investor, and the parties agreed not to reveal any further details.
Grace Hotels acquired historic La Margna Hotel, St. Moritz Grace Hotels, the privately owned luxury hotel group, has acquired the historic La Margna hotel in the heart of St. Moritz, Switzerland. During 2014, the company will undertake an extensive programme of renovation and transformation to create Grace St. Moritz – a luxury hotel, and Grace St. Moritz Residences – serviced residences, which will be built and maintained to the high standards of luxury that have won Grace Hotels global critical acclaim.
This property is located in the fashionable Swiss ski resort St. Moritz and comprises a five-star hotel that is operated by Kempinski and the exclusive Kempinski Hotel Residences as well as various annexes. The net usable space totals approximately 34,000 square metres. The Kempinski Grand Hotel des Bains has 184 rooms and suites.
The hotel has been privately owned by the Schweizer-Pitsch family for the past 50 years. The family is now retiring from the hotel business, passing guardianship of La Margna to Grace Hotels, itself part of a family-owned business. The hotel will remain open as La Margna until the end of the 2013/14 skiing season.
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Continental Europe La Margna Hotel, St. Moritz
Züblin disposed of properties in Switzerland The Züblin Group has sold three properties in Switzerland to Swiss Life, two on Talstrasse in Zurich, as well as a property in Zollikofen which has been completely renovated over the past two years. Züblin sold these properties at a price above the IFRS market value as of 31st March 2013. With this transaction, the Company has taken advantage of continued buoyant property prices in Switzerland to strengthen its equity ratio and increase its financial leeway for future commitments. Swiss Life bought the former ZKB headquarter to Bahnhofstrasse The insurance company, Swiss Life, bought the “Eidgenoss” building at Bahnhofstrasse 13/17, where the former Zurich Kantonalbank Bahnhofstrasse 13–17, Zurich locationgroup research | Retail Market Study 2014
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Continental Europe Hyposwiss, Zurich
Zentrum Wallisellen, Wallisellen
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Henderson sold Swiss retail parks Henderson Global Investors has sold two retail parks in Switzerland of behalf of its European Retail Property Fund – Herald. Champs Fleuris Retail Park in Matran and Les Grosses Terres Retail Park in Etoy were sold for a combined total of circa 57 million Euro. The centres were sold in separate transactions to Middle Eastern private investors.
Hertizentrum, Zug
headquarters were once located. A speaker for Swiss Life, Mr. Florian Zingg, confirmed this report via the Swiss television SRF. Mr. Zingg hasn’t disclosed any information regarding the price of the sale. Swiss Life made it clear that for the tenants, everything will remain unchanged. This building is one of several buildings ZKB is selling at the moment. Aabar’s Falcon acquired part of Swiss banking unit Falcon Private Bank, the Zurich-based lender owned by Abu Dhabi’s Aabar Investments, has bought part of rival Hyposwiss Private Bank, a unit owned by regional Swiss bank St Galler Kantonalbank. The rest of Hyposwiss will be integrated into SGKB in Zurich. The purchase price was not disclosed. Banks in Switzerland whose client base comprises high-net-worth individuals have been hit hard in recent years by a global clampdown on tax evasion with many smaller players that depend on offshore business struggling to survive.
The Champs Fleuris Retail Park is a 12,000-square-metre site located in Fribourg. Main tenants include Ottos, Denner, Gemo, Happy Baby, La Grand Recre, and La Halle aux Chaussures. Les Grosses Terres Retail Park in Etoy comprises 7,000 square metres and houses retailers such as Interiors, Gemo, Keria, and Natuzzi. ACRON acquired Westcenter St. Gallen building complex in Switzerland ACRON, the indirect real estate investment specialist, has acquired the Westcenter St. Gallen retail property. The sales price amounts to approximately 61 million Swiss Francs (approximately 49.4 million Euro). The Westcenter property is located in a retail zone at the edge of St. Gallen, the eighth largest city in Switzerland and the economic hub of the eastern part of the country. The building complex has a net usable space measuring 13,510 square metres, which is used by specialist retailers, while 431 parking spaces are situated on two other floors. Six retailers – Media Markt, Dosenbach-Ochsner, Toys“R”Us, Fressnapf, Takko Fashion, and Aldi Suisse – lease 88% of the net rented space, while the remaining 12% is split up among 14 tenants.
Credit Suisse bought major development of Zentrum Wallisellen Credit Suisse Real Estate Fund, has spent 126.5 million Swiss Francs to acquire the majority of the Zentrum Wallisellen in Wallisellen, in the immediate vicinity of Zurich. The residential and commercial building with approximately 20,000 square metres of lettable area is located directly at the station. NSI sold Swiss retail property Hertizentrum NSI has sold its Swiss retail property “Hertizentrum” in Zug at a book value of 32 million Swiss Francs. Hertizentrum generated an annual gross rental income of approximately two million Euro. The property was locally financed at fixed interest rates and the proceeds of the sale was used to redeem loans. The sale and purchase agreement were completed in April 2013. NSI completed exit from Swiss market NSI N.V. (NSI) has sold its last Swiss property “Perolles 2000” in Fribourg for 9.7 million Swiss Francs (7.86 million Euro). With this sale, NSI has completed its exit from the Swiss market. Westcenter, St. Gallen locationgroup research | Retail Market Study 2014
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Perolles 2000 (2,267-square-metre mixed office/retail property) generated an annual gross rental income of approximately 0.5 million Euro. The property was locally financed and the proceeds of the sale will be fully used to redeem loans.
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10 Swiss M&A Deals · Swatch acquired Harry Winston In January 2013, Swatch announced that it had acquired 100% of the shares of US Company HW Holdings, owner of Harry Winston. Swatch obtained the brand and all ties related to jewellery and watches, including the 535 employees worldwide and the production company in Geneva, Switzerland. The acquisition sum amounted to 750 million Dollar plus the assumption of up to 250 million Dollar of pro forma net debt. The transaction did not include the mining activities of Harry Winston Diamond Corporation. Kering bought controlling stake in Richard Mille Kering Group has bought a 51% majority stake of Swiss super luxury watch brand Richard Mille. The transaction was expected on the valuation of between 3.4 billion to 400 million Swiss Francs (about 3.7 billion – 430 million US Dollar), equivalent to its 2013 sales of 135 million Swiss Francs expected 2.5 times to 3 times.
proprietary and selected Swiss luxury watch brands in China and throughout Asia. The Group also owns the Swiss brand Eterna, which has a license to manufacture and globally distribute Porsche Design watches. Gucci acquired dial company Fabbrica Quadranti Gucci Timepieces and Jewellery acquired Swiss dial maker Fabbrica Quadranti, in order to take back some operations and meet growing demand. The joint venture between the companies enables Gucci to invest in new staff and equipment at Fabbrica Quaranti in the hope of increasing production output and restoring some operations that are currently subcontracted, while also increasing quality. Fabbrica Quadranti is a family-run company and has supplied Gucci with dials for the past 15 years.
From an industry view, the acquisition of the high-end Richard Mille watch industry makes the Kering Group layout more complete. Luxury expert, Dean Zhou Ting, said Kering Group’s current strategy is to deal with non-performing assets, and through acquisitions, to improve the group’s profitability and investment value. China Haidian Holdings acquired watchmaker Corum Montres Corum announced the acquisition of its shareholding by China Haidian Holdings Limited from the Severin Wunderman Group. As a result of this agreement, China Haidian becomes the sole owner of the watch company, based in La Chaux-de-Fonds, Switzerland. China Haidian Holdings Limited has been a publicly listed company in the Hong Kong Stock Exchange since 1991, which is controlled by Mr. Hon and his family. The group’s primary activity is the manufacture of proprietary watch brands and the distribution of both
Harry Winston Boutique, New York
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Mah Bow Tan, Member of Parliament Singapore; Antonio Calce, CEO Montres Corum; Sam Goi, Bidder and Winner; Hon Kwok Lung, President, China Haidian Holdings
Corum, La Chaux-de-Fonds locationgroup research | Retail Market Study 2014
Continental Europe Globus acquired Schild Globus department store, member of Migros Group, announced the deal to take over the market leader in the mid and high-end fashion market in Switzerland: Schild AG from Lucerne. The administration of Migros Cooperatives Federation (FMC) approved the acquisition on 25th October 2013. The total turnover of Globus Group with Schild AG amounts to 1 billion Swiss Francs (812.8 million Euro). Schild AG would be continued as a separate Swiss fashion house under the umbrella of Globus. Swiss food retailer Aryzta acquired German bakery Switzerland-based bakery giant Aryzta has been looking at boosting its business in Europe. The company has agreed terms to buy the German firm Klemme in a deal worth 280 million Euro. The Switzerland-based company would get a foothold in the German and the European market with this deal. The company has declared the acquisition would make it a major player in Germany, and the deal “remains consistent” with its policy to target acquisitions that add “new geographies, customers, channels and product capability”. ECM sold Kadi to Paragon German Equity Partners III (GEP III), the private equity fund managed by ECM Equity Capital Management (ECM), is selling its
majority shareholding in KADI AG, a leading Swiss producer of frozen food, to the Munich based private equity company Paragon Partners. GEP III acquired a majority interest in KADI in July 2008 in the context of an ownership succession. The management team will maintain a significant equity interest in the company and is reinvesting as part of this transaction. Together with Paragon Partners KADI intends to continue its successful growth strategy. The parties have agreed not to disclose the purchase price or other details of the transaction. Apart took over Swiss watch brand Albert Riele Polish jewellery Apart has acquired Swiss watch brand Albert Riele. The firm, which first began making Swiss watches in 1881 and suspended the production several years ago. The Polish company re-launched the line in the autumn 2013. The value of the transaction was not disclosed. The Albert Riele brand is expected to become Apart’s flagship watch line in the price of 296–1,036 Swiss Francs. Pierre Cardin watches and jewellery rights acquired by the Swiss Marlox Group One of the first fashion designers with a worldwide reputation, Pierre Cardin started to build up his business in the 1960’s and continues to be a well-recognised label in many product categories today. The Marlox Group, owned by the JEWA Holding Ltd based in
Stefan Portmann (President) and Thomas Herbert (CEO), Schild AG locationgroup research | Retail Market Study 2014
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Zurich, Switzerland has been a licensee of this brand within the watch and jewellery industry. The Swiss privately owned group of companies, specialises in the design, manufacturing, marketing, distribution and after sales service of watches and jewellery through its affiliate companies Marlox AG (Biberist, Switzerland), Marlox GmbH (Frankfurt, Germany), Marlox Austria (Vienna, Austria), Marlox USA (New York), Marlox China (Shenzhen, PRC), and MYWA Swiss Watch and Jewellery (Hong Kong). The Marlox Group is a renowned specialist manufacturer of quality watch and jewellery, thanks to its own and associated factories in Switzerland and China. Through its own companies and via an array of well-established distributors, the Marlox Group is active in more than 80 countries and over 10,000 points of sales. Sunrise bought Ortel Mobile Switzerland Swiss operator Sunrise has acquired MVNO Ortel Mobile Switzerland to strengthen its position in the market for low-cost, prepaid international services. Ortel Mobile Switzerland was owned privately by Swiss investors Treternity and licenses the Ortel Mobile brand from KPN. The non-material acquisition of Ortel Mobile was completed on 18th July 2013. Financial terms have not been disclosed. Sunrise continues to operate Ortel Mobile as a separate company with its existing employees. Ortel Mobile services will be offered under the existing Ortel Mobile brand. Earlier this month Sunrise acquired a similar MVNO, Lebara Switzerland. Sunrise acquired Lebara in Switzerland Sunrise Communications has acquired Lebara in Switzerland. Combined with its existing Yallo brand, the deal strengthens Sunrise’s position in the market for prepaid, low-cost international calls and data services. Lebara started its operations in Switzerland in March 2007, and the takeover was completed on 1st July 2013. The financial terms of the deal have not been disclosed. Sunrise has drawn 95 million Swiss Francs under its revolving credit facility to fund the acquisitions and maintain a strong cash position on the balance sheet. Galenica Group secured 49% stake in pharmacy Bahnhof Apotheke Zurich Through the acquisition of a 49% stake in Bahnhof Apotheke Zurich, Galenica Group has managed to expand its network with a highly successful and strategically well-positioned pharmacy. Ingrid Barrage, formerly the sole shareholder, remains the majority shareholder with a 51% stake. With over 350,000 commuters and travellers passing through every day, Zurich’s main station is the most frequented place in Switzerland. In recognising this strategic partnership, the sole proprietor joins the leading player in the Swiss pharmacy market to take a first step in future succession planning. As the majority shareholder, the current owner retains sole responsibility for managing the pharmacy. Main Station, Zurich
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