The French luxury group LVMH, whose portfolio includes the luxury brand Louis Vuitton, has acquired a mansion in Moscow in Stoleshnikov Lane, where its brand’s flagship boutique has been located for 16 years, Kommersant writes.
The amount of the transaction was not disclosed, according to experts, it may amount to 2,8 billion rubles. The area of the mansion is 1,5 thousand square meters. meters.
The Louis Vuitton boutique was opened in Stoleshnikov Lane in 2003. Stoleshnikov Lane is one of the most expensive shopping streets in the world. Although for 2019 year rental rates on this street have significantly decreased. The average rental rate for retail space in Stoleshnikov Lane fell from 250 thousand to 205 thousand rubles. for 1 sq. m., the average cost of sales decreased to $ 25 thousand for 1 square. m
For Moscow, the acquisition of a building by a luxury retailer is a rare case. As a rule, luxury brands prefer to place their boutiques in rented areas. Experts believe that this deal could return interest to Stoleshnikov Lane from luxury tenants and provoke an increase in rental rates on it.