Line laying material bottomed out next year, up 8%
As the retail market picks up, the market is optimistic about the retail market outlook, especially in recent years, the core area (including Tsim Sha Tsui, Causeway Bay, Central and Mong Kok) line shop, rents have bottomed out.
The industry is expected this year, the core area of the first floor street rents fell 5% next year is expected to regain the rally, estimated in 2018 about 3% to 8% increase.
Colliers International recently published quarterly retail market quarterly report pointed out that the Causeway Bay area, for example, the third quarter of this year, the street shop rents continued to narrow, quarterly decline of only 0.4%, it is estimated that the annual decline of about 5% ; Mong Kok District down about 0.5% quarterly, expected this year, the annual decline of about 5%; Tsim Sha Tsui this year, first-line street rents fell 6%, Central District was the highest in the four districts, down about 7% this year.
After the layoffs, Colliers International believes that many multinational brands take advantage of the rent to call back to the core area of Hong Kong street shops, or expand the territory in the relevant areas, including health and lifestyle (Health and Lifestyle) related brands, as well as restaurants Most active.
Mainland brands into Hong Kong
It is also expected that the rents of Hong Kong’s overall street shops will still be about 5% this year. As the employment and income of Hong Kong people are satisfactory, it is believed that consumer sentiment is still strong. The recent arrivals are stable. Business prospects, it is estimated that first-line street rents next year there will be 3% to 5% increase.
In addition to multinational brands in Hong Kong to find shops, the Deutsche Bank executive director, Hong Kong shops director Lin Yingwei said that Hong Kong retailers in terms of overseas expansion of the ideal pilot, you can enhance its brand image in the Mainland, so many mainland retailers See Hong Kong’s rents down, see opportunities to enter the Hong Kong retail market, most of them belong to the core areas such as Causeway Bay and Tsim Sha Tsui.
In addition, Lu Zhanhao, director of Midland Street Branch, said that the price of “Yipu” improved slightly in the first three quarters of the first quarter of this year, and the number of visitors arriving in Hong Kong was estimated to be the fourth Seasonal street shops rented rampant, about 8% increase next year.