(by Li Zitian)
The epidemic has frozen the catering and retail industries, and cases of close down gradually increased, causing the shop market to perform poorly. There are more and more cases with sharp rent-reduction in Lyndhurst Terrace, Central, where many celebrities own shops. According to the market source, the shop on Lyndhurst Terrace, held by artist Nicholas Tse, recently had to cut prices for rent and was finally rented out at HKD73,000 monthly, a decrease of over 60% from the level in peak. Other stores operated by celebrities have to close down, or even turn to online platforms to find a way out.
The market source points out that the No. 26 Lyndhurst Terrace in Hong Kong Central District, which is a shop on the ground floor with loft in a construction area of about 700 sq ft, was rented out for HKD73,000 recently, and the sq ft rent is HKD103. It is reported that the shop had been rented to a shoe merchant at HKD200,000 monthly in 2012. While the rent was reduced to HKD110,000 in the previous lease, and the latest rent has dropped by 34% to HKD73,000. Compared with the peak period, the rental level decreased by 64%. Nicholas Tse purchased the shop in 2012 for HKD117 million. In other words, it will take 133.56 years to make the investment back base on the current rental, and the current rental return is only 0.75%.
Nicholas Tse has decreased the rent for the wine shop by more than 20%.
Nicholas Tse also holds the nearby shop of No. 28 Lyndhurst Terrace. It is about 1,200 sq ft and rented out as a wine shop for HKD85,000 monthly. The rent reduction is HKD20,000 or nearly 25% until August after the Chief Executive announced the prohibition on alcohol. No. 22 Lyndhurst Terrace, which is held by singer Leo Ku, is currently rented to a cosmetic merchant, and there has been no rent reduction yet.
The business of Hins Cheung's cake shop needs to suspend.
Under the epidemic situation, shops opened by superstars, singers or actors are not immune. Patisserie, a cake shop invested by Hins Cheung and located next to the "Junon" at Wu Chung House in Wan Chai, was closed as early as February 10, while the main store "Junon" is still operating normally.
Nicholas Tse, who has rented stores, had opened branches of his cookie brand "Master Low-Key Food Shop" in Hong Kong Central District, Tsim Sha Tsui, and other places. However, affected by the epidemic, all stores are closed, and currently, only Pop Up Store is open under short-term rent. He turns to the online sales market and opens a new online platform, also promotes by himself on the platform.
Many cases among Buddhist temple volunteers and believers in North Point had been diagnosed. Rosina Lin has a hot pot restaurant and a confectionery store, respectively, on Fort Street and Java Road in North Point. The business hours of her shops have to shorten, and they close at night. Rosina Lin expresses that the business of hot pot has stopped for a while, but the operation of the confectionery store continues.
