Art Gallery 3 million to pay for the rent to the end of the paving

The new tenants in the core area have become more diversified. The multi-storey shop in the middle of the A&F fashion abandoned in the previous quarter has been handed over for more than 1 year, with an area of ​​nearly 20,000 square feet. Recently, an art gallery was held for about 3 million yuan per month. At the end of the lease, it was half of the previous rent.

Multi-storey shop in Central

The Pedder Bank in Pedder Street was rented by A&F Fashion in the early years. The brand was merged and moved out early last year. The shop was handed over to Jeddah for 1 year, and was rented by different brands. According to the news, a foreign art gallery has been actively negotiating, and an agreement will soon be reached with the owners. The property will be underground to the 3rd floor, with a total of 4 floors. The first to third floors will each have an area of ​​about 5,000 square feet, together with a total of about 18,000 square meters. Hey, the monthly rent is about 3 million yuan, and the rent is about 167 yuan. If you compare the A&F fashion rents that year, the decline is about half.

Looking for information, as early as the peak retail season in 2011, a number of international brands were renting shop in Hong Kong. The multi-storey multi-storey shop in the core area was the target of the brand. In the same year, A&F Fashion rented about 7 million yuan in monthly rent for the Central Division. The library is on the 4th floor and covers an area of ​​about 30,000 square feet, replacing the Chinese fashion brand “Shanghai Beach" which has been rented for 17 years. When the brand opened in 2012, I invited a group of men to play in Pedder Street to become a good time.

Core shop diversification

However, the overall retail sales in 2014, the number of brands decreased, but in the early years, renting a shop at a high rent, decided to abandon the rent for cost reduction. A&F originally signed a 9-year lease with the owner and completed the contract by 2020. The brand announced at the end of 2016 that it decided to close the business in advance and pay a contract termination fee of US$16 million (approximately HK$125 million). The payment will be paid to the owner in two phases. .

The new tenant has the highest voice in the art gallery. It is understood that the Peipera industry owner has also actively created a gallery for the building in recent years. At present, the upper part of the building is rented by different art galleries. If the tenant agrees with the tenant, The whole property style is more uniform.

With the decline in the rent of shop furniture in the core area in recent years, coupled with the attitude of the international brands, luxury goods, etc., the tenants in the core area are gradually diversified, and they are no longer dominated by famous brands. For example, in Queen’s Road Central, Central, this year, apart from fashion and shoe shop rentals, there are also individual buildings with art-related tenants as the theme.

For example, H Queen, No. 80, Queen’s Road Central, Central (00012) officially opened this year. The building currently rents about 100 yuan upstairs. More than half of the tenants are galleries, art centers, and art auction houses including Christie’s, etc. Together with Pedder Bank’s tenant restructuring, the artistic atmosphere in the core area of ​​Central will also be enhanced.