Jones Lang LaSalle: shop market gradually bottomed out flat
The rent was significantly down, Jones Lang LaSalle shops in charge of Chen Yaofeng analysis, expensive leasing ended, the rent continued to slow down during the year, about 5%, rents are gradually bottomed out, but rebound weak.
Jones Lang LaSalle figures show that the second quarter of 2014 for the peak of the retail rent, the overall core area of the pavement index of 726, followed by laying down the rent in the second quarter of 2015, the rent index fell to 673, down about 7.3% The recent two-year decline faster, the latest rental index for the 439, compared with the peak of 2014 adjusted 40%.
Rents continued to slow down 5%
Chen Yaofeng pointed out that the overall rent for more than four years fell more than 4 percent, mainly due to changes in the mainland passenger consumption patterns, reduced consumption of luxury goods, watches and clocks to reduce the size of retailers, and even shop, resulting in shop rents plunge. He said that this year the situation will be eased: “The past two years street shop tenant portfolio, by the watch jewelry into the lower price of goods, this year should be the final adjustment period, due to the lease period is 3 years, 2014 retail began to weaken “Your rent is expected to fall by about 5% this year, which is close to the end:” the rent is expected to be flat next year, but the rent will not be seen for a while. ”
In the four core areas, he believes that the rent reductions concentrated in Causeway Bay, because the area more watches and clocks jewelry stores, such as Enping Road, more than watch jewelry tenants, now to other businesses, and line Lot Russell Street recently more see Yipu, Such as LVMH watch brand Zenith in early 2011 to 1.4 million yuan rented Russell Street 58, underground shop A, foot rent more than 3,000 yuan, once the Hong Kong foot rent shop king, recently moved out of the shop after the shop into a shop, it is learned that the owners Intent monthly rent of about 700,000 to 800,000 yuan, the peak period fell by half.
At present, the number of Yibo in the core area is still a lot. He said that many owners have changed their strategy and divided the shop into two places to reduce the rents to attract tenants. “In fact, it is a cycle. In recent years, Shop, the owners of the zero for the whole, combined into a complex shop, and now another multi-storey shop and large shop split.
From the watch jewelry to a different business, he believes that the relative diversification of businesses: “The market is not relying on a single strong rental business to support the market, more healthy.” Rent, the shops rent peak period, ten million yuan Rent cases abound, he refers to the current scope of business owners to rent less than 100 million.
For example, the Italian underwear brand Intimissimi has rented at least eight shops so far, such as the recently rented roofs of C & T Causeway Bay 4A and 4B, with a total area of about 1,500 Square feet, the monthly rent of about 950,000 yuan, he believes that underwear brand expansion, because the rent fell, and its goods sold more than 100 yuan, relatively popular.
The retail atmosphere is good
In addition, the sporting goods and fitness center has also expanded in the past two years. For example, Adidas rents flagship stores such as Mong Kok and Causeway Bay. “Hong Kong people are expanding their health and favorable businesses.”
Retail district, Chen Yaofeng that the four core areas are not large, the demand is still, the traditional retail area status unchanged. Partition, he long-term air Kai Kai, because the area of land frequently at the ideal price of the transaction, Nanfeng more cast area to the king, and later Sogo department store, retail atmosphere is good. In addition, he said Yuen Long District has a large number of shopping malls, residential projects, the consumer population must have increased.