Langham Place Improves Tenant Combinations

Guanjun Industrial Trust (2778), which owns the Langham Place Mall in Mong Kok, and its chief executive, Wang Jiaqi, said that Langham Place will continue to improve the tenant mix. Due to the lack of people in the mall and the consumption hotspots in the district, it is introducing features. When the merchants do not offer rental concessions, they will be rented at market prices. Among the merchant categories, the cosmetics industry is divided into the highest rents.

Champion REIT has two landmark-level properties, namely Garden Road No. 3 and Langham Place, Mong Kok. Wang Jiaqi said that the positioning of Langham Place has always been based on the trend of young people. When improving the tenant mix, it will consider whether the new tenant matches the style of the existing merchant, so it will not introduce high-end luxury goods such as jewelry watches.

Wang Jiaqi also pointed out that he would make full use of the available space in the mall and hold different Pop-up Stores in the Langham Place Atrium to increase the variety of merchants, attracting people and increasing the amount of business, usually three. In the past, merchants have been transferred once. In the past, there were different cartoon character limited stores, and elements such as virtual reality (VR) and augmented reality (AR) were introduced to increase the shopping experience of consumers.

When the cosmetics merchants are divided into the highest level, when introducing the characteristic merchants, Wang Jiaqi said that there are many brands waiting for the Langham Place to stay in the store. Therefore, when selecting the brand, they must have a strong and unique color, and usually do not choose the brands that are seen in the general shopping malls. Under the circumstance, the characteristic merchants will not have rent concessions, they will be rented at the market price, and the merchants category will be divided into the highest rents by the cosmetics industry. However, Wang Jiaqi continued that in the past, a few foreign brands had settled in Langham Place because of the “acclimatism” and the business volume did not meet the expectations and finally left.

As for the retail market in the second half of the year, Wang Jiaqi believes that it depends on the sales of the Christmas season from November to December. She believes that the impact of the Sino-US trade war has not spread to the consumer market in Hong Kong. Langham Place’s business in July is still recorded. Increase. In terms of customer sources, Wang Jiaqi said that about 70% are local customers and 30% are mainland tourists.

When asked about the office market, Wang Jiaqi said that the current office market in Hong Kong is booming and the vacancy rate is extremely low. Coupled with strong demand, I believe that there will still be an upward trend in office rents in the future.