Luxury home appliance firm Gaggenau has signed a 10-year lease for a new global flagship store in Marylebone, signalling growing confidence in the capital”s retail market.
The firm will double its retail footprint in the West End by relocating from its current site on Wigmore Street to 6-7 Portman Square.
This decision to move and invest in extensive refurbishment at its new location highlights the appeal of prime central London for high-end retail.
The new store will anchor GPE’s ‘Portman and Wigmore’ development, positioning Gaggenau in a prime location for high-end retail and showroom use.
Simon Richmond, head of Gaggenau, emphasised the brand’s confidence in London and the West End: “Our investment in this location reflects our belief in the strength of the West End as a key destination for luxury retail”.
However, the decision comes against a backdrop of tge tourist tax, which has reportedly cost West End retailers hundreds of millions of pounds this year.
The tax, introduced after Brexit, puts UK retailers at a disadvantage compared to European cities where tourists can claim VAT refunds.
Despite this, Sarah Goldman, head of retail at GPE, said Gaggenau’s move underscores the ongoing strength of the West End.
“Their decision highlights the strength of our central location and commitment to enhancing the retail offering in this area”, she said.
This move comes as high-end brands continue to seek premium locations in central London, supporting the West End’s status as a global retail destination.
Earlier this year, GPE said it wanted to ‘accelerate into favourable conditions‘, as it continued to add new signed releases to its portfolio.