Hugo Boss secures 24% rent cut in new Grafton Street lease
German fashion retailer agrees €630k annual rent under new 10-year agreement
The Hugo Boss store at 67/68 Grafton Street comprises 535sq m (5,775 sq ft) of retail space over three floors as well as upper floor levels
The agreement of the deal should provide a major fillip to the city’s premier shopping destination coming as it does at a time of unprecedented challenge for traditional “bricks and mortar” retail.
Following the expiration of their old lease in 2020, Hugo Boss have now committed to a new annual rent of €630,000.
The figure represents a 24 per cent reduction on their previous rent of €825,000, which they committed to when they acquired the lease for the store in 2015 from the UK retailer Next.
Commenting on the German-headquartered fashion group’s decision to sign a new 10-year lease on the premises, the agent representing the landlord, Eoin Feeney of BNP Paribas Real Estate, said: “These are challenging and unprecedented times for the retail sector. It is encouraging and a vote of confidence in our economy and in Grafton Street particularly that Hugo Boss have committed to retaining their presence at Ireland’s premium retail destination.”
Hugo Boss were represented in the negotiations for their Grafton Street store by the London-based retail property specialists, CWM.
Hugo Boss has two other Irish stores located at Dundrum Town Centre and Kildare Village. Outside of Ireland, the company has more than 430 standalone stores worldwide and revenues in 2019 of €2.9 billion.