Madison Avenue shopping traffic has decreased

Bloomberg has reported that Madison Avenues shopping traffic has dropped significantly. While many of Manhattan’s other elite shopping districts have seen a post-lockdown rebound in foot traffic, Madison Avenue from 57th to 72nd streets is at 71 percent from 2019 levels on Aug. 8 according to Orbital Insight.

On the other hand, Upper Fifth Avenue and SoHo saw an increase in shoppers, with foot traffic exceeding pre-pandemic levels in some stores. These three areas are known to attract luxury consumers looking for premium brands such as Gucci, Herms, Chanel and Prada. The neighborhood is also known for attracting a high amount of tourist traffic.

Madison Avenue was already suffering before the pandemic as consumers turned to online shopping, which was only accelerated by the pandemic. Prior to the pandemic, the area also lost its famous Barneys New York flagship store after the company filed for bankruptcy and liquidated its stores. Madison Avenue now has the highest amount of vacant retail space in Manhattan.

One of the reasons Madison Avenue has a hard time keeping tenants is that rents there are so high, compared to SoHo, which already offers discounted retail space. If landlords don’t make rental concessions and deals in the area soon, Madison could look barren for a while.