Hong Kong retail shop rents plunge on slow luxury sales

Global Business

Hong Kong retail shop rents plunge on slow luxury sales2

Hong Kong’s IPO (Initial Public Offering) market might be booming this year, but another market is experiencing something quite the opposite.

Retail, or luxury sales in particular, are sluggish, pushing down the retail shop rental market dramatically.

CCTV’s Li Jiejun reports from Hong Kong.

Hong Kong retail shop rents plunge on slow luxury sales

Hong Kong retail shop rents plunge on slow luxury sales

Hong Kong's IPO market might be booming this year. But another market is experiencing something quite the opposite.Retail, or luxury sales in particular, are sluggish, pushing down rentals dramatically.CCTV's Li Jiejun reports from Hong Kong.

More details:

  • In 2012, shop rents on Russell Street reached 21,000 US dollars per square meter per year, surpassing New York’s Fifth Avenue to become the world’s priciest.
  • Government data shows that total retail sales in Hong Kong for the first eight months of the year decreased by 2.2 percent compared with the same period in 2014. And sales of luxury jewelry, watches, and valuable gifts dropped nearly 20 percent.