The Tamesis
Luxury goods companies don’t typically break down individual European countries in earnings reports, but outgoing HSBC managing director Erwan Rambourg said Spain’s share of luxury revenue was small but growing rapidly. That’s no mean feat at a time when the industry is facing weak performance in Europe.
Vincent Ascher, head of luxury goods at Cushman & Wakefield, a company specializing in commercial real estate services, points out that this situation is not limited to Spain. “There is some momentum now across the Mediterranean, including Portugal and Greece,” he explained. “Despite the significant increase in rents, they are still quite affordable compared to major markets such as London, Milan and Paris. But this dynamic also allows you to see income growth.”
“Madrid is clearly on the rise,” Asher added. “In the post-pandemic era, luxury brands are committed to promoting the local market, a trend that will be particularly beneficial for Madrid, which targets local customers. When we talk about ‘local’, this includes new residents from Latin America and North America.”
“Madrid has become international,” said Robert Travers, head of EMEA retail and leisure at Cushman & Wakefield. “It has accelerated post-COVID as money has poured in from South America, North America and Europe. With great facilities – schools, healthcare, transport hubs – and a good quality of life, it has become extremely attractive.”
Explore Salamanca District
Located in the east-central area of Madrid, Salamanca is home to elegant 19th-century architecture and is often referred to as the city’s “Golden Mile” due to the concentration of luxury boutiques on its two main streets, Calle de Ortega y Gasset and Calle de Serrano. However, just a few steps away, the modern neighborhood quickly transforms into a quieter, more livable atmosphere. Then there’s Calle de Jorge Juan, a fashionable shopping street in Madrid’s Salamanca district that features brands like Isabel Marant and Aspesi and has a sophisticated luxury retail feel like Rodeo Drive. You’ll often hear South American accents while walking around the neighborhood. When Los Angeles wellness mogul Tracy Anderson opened a studio in Madrid, she chose Salamanca.
