According to Bloomberg news, a year ago, Tongluowan Hongkong Russell street can get the world’s most expensive rent. Now, they will have to face the new reality.
Involved in a sharp decline in sales,replica Gucci sunglasses and had to “thin” Burberry, Gucci (special reading) the parent company Kering and jewelry retailer Zhou Dafu, is to put pressure on landlords, urging the latter to lower the existing shop rent. French luxury group LVMH’s mid-range watch brand replica TAG Heuer glasses last week, has been closed down in Russell street, the main attribute of the rent is too expensive and the traffic fell.
In China’s economic growth slowed down, as well as the government to strengthen anti-corruption efforts of the dual pressure, the luxury brand retail sales plummeted, resulting in Tongluowan Hongkong last November was replaced by the Fifth Avenue in New York, which became the world’s most expensive rental retail district. At the same time, replica Burberry sunglasses the decline in retail rents in Tongluowan this year also hit the biggest decline since 2009.
Colliers International Research Department Senior Director Helen Mak pointed out that lead is also a reason for luxury replica Gucci sunglasses accessories brand’s Hong Kong sales fell sharply, the decline of the yen and the euro, prompted many Chinese tourists left Hong Kong to Japan and France.
Prior to closing the relevant store, Kering had warned that if the cost of capital falls down, the brand or the part of the store will be closed in Hongkong. In a conference call with analysts in July, replica Burberry sunglasses Kering chief financial officer Duplaix Jean-Marc pointed out, many landlords do not necessarily know that replica Gucci sunglasses the market has changed.”
Two Russell street is the landlord, replica TAG Heuer glasses Emperor
International and Jin Zhaoyang. Jin Zhaoyang spokeswoman declined to provide specific rent data.
In addition to Russell street, Kowloon, the rent is also a sharp decline. Jones Lang LaSalle pointed out, Tsim Sha Tsui, the average rent decline during the first half of 15%.
According to reports, in the past 9 months, jewelry and watch chain Zhou Shengsheng has closed two stores, but Zhou Shengsheng’s several shops rent has been cut.
Burberry is also facing the same dilemma,replica TAG Heuer glasses the company’s chief financial officer Carol fairweather pointed out that in Hong Kong a total of 17 stores, the turnover in the first quarter of this year has seen double-digit decline. Fairweather said replica Burberry sunglasses in Hong Kong while still making money, but is currently re examining branch network and requirements of rent, the landlord.