Desigual has signed for a store on Oxford Street in a record-breaking deal that will sees the Spanish fashion retailer paying about £710 Zone A, sources have told Retail Week.

On average retailers pay between £540 and £560 for a prime pitch on Oxford Street.

Landlord Prupim declined to comment on the amount paid by Desigual but its director of retail asset management Tim Hayns said the deal “reflected the value both property investors and retailers see in Oxford Street”.

Retail Week revealed (July 9) that Desigual was close to signing for the two-storey 6,360 sq ft store, having beaten off stiff competition from Mango, Aldo and O2.

Desigual’s rent at 360 Oxford Street will equate to £1.5m a year for the prime spot, previously occupied by Disney, which is relocating to the former Mexx store on the street.

CB Richard Ellis advised Prupim. Thomas Davidson and Cushman & Wakefield advised Disney.