2025-10-08 28Hse Editor
A mini-shop in the notoriously quiet The Capital, a "dead mall" in Tsim Sha Tsui East, recently recorded a short-term profit for a 70-square-foot shop, sold for HK$100,000, representing a 25% increase in value in just nine months.
According to the Land Registry, the shop, located on the 3rd floor of The Capital (Unit T002), was sold for HK$100,000, with a price per square foot of just HK$1,429. The seller, an investor who purchased the property in January 2025 for HK$80,000 in cash (no mortgage), held the unit for 9 months before selling it for a HK$20,000 profit.
However, the property’s value has seen a dramatic decline over the years. The previous owner purchased the unit in January 2013 for HK$2.79 million, holding it for 12 years before selling at a staggering 97.1% loss, marking the lowest transaction price in the mall's history.
Real estate experts pointed out several challenges with the shop's location: it suffers from poor foot traffic, as it is on the third floor, where even the first and second floors see little activity. Access is inconvenient since the shop is far from the elevator, making it less attractive for customers or use as storage. Additionally, the shop has limited visibility because it is tucked away with only one entrance, making it harder to attract attention.
The Capital has a history of loss-making transactions. For example, in April 2022, a single-unit shop on the 2nd floor (74 square feet) near the escalator was sold for just HK$100,000. The original owner had bought it in 2013 for HK$3.959 million, suffering a loss of HK$3.859 million (97%).
Another double-unit shop on the 2nd floor (120 square feet) was sold in 2020 for HK$245,000. The original owner bought it in 2013 for HK$3.78 million, representing a 93.5% loss.
Located on Chatham Road South in Tsim Sha Tsui, Capitol Centre was initially expected to benefit from high foot traffic due to its prime location. The mall features approximately 705 shops, with shop sizes ranging from 56 to 268 square feet. Despite efforts by the mall’s management to boost traffic and attract tenants, the mall often appears deserted.
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