The Business of Fashion
Agenda-setting intelligence, analysis and advice for the global fashion community.
Agenda-setting intelligence, analysis and advice for the global fashion community.
Royalmount, a development under construction in Montreal’s Midtown district, has leased flagship spaces to luxury brands including Louis Vuitton and Gucci, developer Carbonleo said.
Tiffany, RH, Sandro and Maje are also among the brands set to open stores in the mixed-use shopping and entertainment district in the Francophone hub.
Most luxury brands operating in Montreal continue to sell through shop-in-shops in the city’s department stores. While sales in North America have driven growth for the luxury industry since the pandemic, many key pockets of wealth are still seen as underserved by European brands. Montrealers continue to make most luxury purchases elsewhere.
“Brands have been desirous of a flagship presence here but haven’t yet had an opportunity to create one,” Carbonleo’s CEO Andrew Lutfy said. Louis Vuitton and Gucci’s spaces will both be around 9,000 square feet.
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Carbonleo’s Royalmount project has drawn investment from L Catterton, the LVMH-backed private equity firm whose real estate arm also developed the Miami Design District.
Royalmount, which includes restaurants, condos and even a stadium in addition to its retail spaces, has sparked local controversy due to its scale, in particular raising concerns that it would worsen traffic on two already-crowded nearby highways.
After scaling back plans for the development’s retail and residential spaces in favour of more green space, Royalmount is on track to open in spring 2024, the company said.
Sales at Gucci, the group’s main label and profit engine, totalled €9.73 billion in 2021.
First-quarter sales missed estimates at Gucci. The Italian mega-brand’s uneven pandemic rebound has some investors worried after years of dizzying growth.
Above all, the French conglomerate benefits from the sheer scale of its core megabrand Louis Vuitton, setting in motion a virtuous cycle that powers profit generation, writes Luca Solca.
French luxury groups LVMH , Gucci-owner Kering and Hermes are expected to post double-digit third-quarter sales growth as demand for high-end fashion from tourists and shoppers revamping post-pandemic wardrobes remains strong.
Robert Williams is Luxury Editor at the Business of Fashion. He is based in Paris and drives BoF’s coverage of the dynamic luxury fashion sector.
Prices are up, quality is down and social media has made it plain for all to see, writes Eugene Rabkin.
The Swiss watch sector’s slide appears to be more pronounced than the wider luxury slowdown, but industry insiders and analysts urge perspective.
The LVMH-linked firm is betting its $545 million stake in the Italian shoemaker will yield the double-digit returns private equity typically seeks.
The Coach owner’s results will provide another opportunity to stick up for its acquisition of rival Capri. And the Met Gala will do its best to ignore the TikTok ban and labour strife at Conde Nast.