Rents in excess of 100 euros per square metre, poor pedestrian access, and the lack of car parks have caused some of the most luxurious brands to flee the main streets of Bucharest. What are luxury sellers' solutions given that their brands do not always fit in with mall-type shopping centres? Some have chosen to close their shops, while others say they're willing to wait until Bucharest has a genuine fashion district. Still, there are also some retailers that opt for shopping centres, even though their products are way above the average of products normally sold in such places.

"Calea Victoriei is simply not good for business any more, rents are very high and the flow of customers very low. We're witnessing a heavy decline in terms of sales in 2007 and 2008 compared with 2006," says Anca Matei, Nexus stores manager. Moditailia, the footwear and accessory retailer that operates under Nexus brand, had, until earlier this year, six stores in central Bucharest, two of which on Calea Victoriei. The company has decided to scale down its operations, and close one of the two stores.

Despite the level of European rents, Bucharest still lags behind several cities like Budapest and Vienna. Victoria Square, where some major luxury brands have managed to gain a foothold, does not have sufficient pedestrian access points, car parks, meant to offer the maximum access and comfort for visitors, and rents are inflated, say retailers.

There are also many companies that are waiting for these features to come to Romania, especially as the brand they represent does not match a mall-type shopping centre profile.

The rent per square metre in the area where Moditalia had two stores stands at 140 euros, a reason why other retailers chose to close their stores. Yet, other retailers have opted for a new strategy, opening stores in commercial galleries. Cristina Zaha