Jotun shop is not subject to high-speed rail rentals
The Hong Kong section of the Guangzhou-Shenzhen-Hong Kong Express Rail Link (hereinafter referred to as the “High Speed Rail") was opened to traffic in September this year. The market rent in the Jordan area near the high-speed rail Hong Kong West Kowloon Station can be driven. However, the market has successively recorded the rental of large-scale shops in the main streets of the district. The whole line is down. Among them, a double-storey shop on Nathan Road, rented only for a monthly rent of 180,000 yuan, half of the rent.
After the high-speed rail was opened to traffic, the number of people in Jordan increased significantly. However, the rent in the district was not stimulated. Instead, it was further down. The latest rental performance was even worse than when the retail market in 2014 turned bad. It is located at No. 315 Nathan Road and a multi-storey basement. The underground building area is about 2,600 square feet. The basement construction area is also about 2,600 square feet. The total area is 5,200 square meters. The latest drugstores are rented, but the monthly rent is low. Ten thousand yuan, the rent is only 34.6 yuan.
Nathan Road double-decker rent 180,000 per trip only 34.6
According to the information, the first-hand tenant in the shop is the Japanese-style snack shop Songsong Library. In 2015, the monthly rent was 317,000 yuan, and the contract was signed for 6 years. From this year, the rent was raised to 364,455 yuan. However, Matsuzakura suddenly retired early in the morning, making the shop a good place.
The market pointed out that the site was rented at a monthly rent of 450,000 yuan, which was more than 23% higher than the rent of the Songyu Library. However, after renting for a period of time and still not renting out, it was substantially reduced by 270,000 yuan or 60% before the end of the year. The latest rents fell by 184.55 million yuan compared to the old rent of Matsuzaka, and the rent was 50.6%.
In addition, there is a duplex shop on the ground floor of the 37C to 37D, Jordan Road in the same district. The underground building area is 1466 square meters. The first floor building area is 2067 square meters, totaling about 3533 square meters. It was rented for 330,000 yuan a month. It was reduced to 315,000 yuan in renewal due to the fall of the retail market three years ago. However, it had already given up and renewed the contract and evacuated.
According to market news, the shop was just rented out at a monthly rent of 160,000 yuan. The new tenant was a restaurant and the rent was about 45.3 yuan. The new lease fell by 155,000 yuan from 3 years ago, a drop of 49.2%; if compared with the highest level, it fell by 51.5%.
There are also large-scale shops in the Jordan area which have not been rented for a period of time. For example, the underground and basement of the Kangqiao Building, No. 313 Nathan Road, with a gross floor area of about 2,300 and 2,200 square feet, totaling 4,500 square feet. Table row (00398) is rented at a monthly rate of 500,000 yuan, and the lease period is until June 14 this year. The original shop was 6 years old until 2024, but the watch firm decided not to perform the contract and has withdrawn. It is understood that the shop is rented at the original price, but it has not been rented out for half a year.
According to industry insiders, there have been many shops in Jordan in the past. Even if the high-speed rail is opened, it is not easy to fully absorb it in the short term. A senior estate agent said that at the end of the year, the industry has been renting off-season for shops. The industry that deploys Christmas and Lunar New Year retail seasons has mostly decided to rent a shop before the end of the third quarter. Rents are generally difficult to get the ideal price.