It is difficult to increase the rental of nearby shops

Will the large library drive tourism, will it also boost the rental of commercial shops in the area?

Pan Zhiming, managing director of Central Plains (Commercial and Commercial Stores), said that there were already many galleries, antiques, and porcelain shops in the area along Hollywood Road in Central District. Foreigners gathered and there were many trendy restaurants. With a strong and small cultural atmosphere, he pointed out that this kind of cultural and arts art store has a limited ability to pay rent, and it is very different from the flow of people and the consumption patterns attracted by Queen’s Avenue Central and Des Voeux Road Central and traditional middle street shops, watch jewellery shops and brand shops. Although the pavilion attracts attention, it is due to the launch of the shop and the opportunity for renting in the district is low.

However, Central District experienced “fade” in its free trade. Shop rental dropped by 50% in 2018 compared to 2011. The authorities have recently vigorously promoted tourism in the Central and Western District. The opening of the pavilion is expected to attract crowds of people. Shops will be rented after the expiration of the normal lease, and the rent will be raised. 5% to 10% are also normal levels.

Huang Hancheng, chief executive of Midea Industrial and Commercial Stores, estimated that there will be no significant change in rent. He is not optimistic about the daily flow of 5,000 people in the pavilion. “The first month of opening may attract many people, but like pmq is also a pedestrian now.” The rent in the district has always been stable. Even if it rises, it will not be high.

The pavilion itself also has a lot of shops. The site lists 21 leased shops and restaurants, most of which take the style route, including tea houses, Chinese and Western restaurants, as well as western-style clothing stores, flower shops, and fashion shops.