Saturday, 22 November 2014

A Much Needed Break

Shopping mecca Causeway Bay may see a few store front changes in the year
During the first few weeks of the Occupy movement, a few landlords were kind enough to lower rents for tenants whose businesses were affected in Causeway Bay.

And now it seems this is going to be a trend as it wasn't just Occupy that resulted in the slowdown in business, but also fewer mainlanders coming to Hong Kong and fewer buying large quantities of goods.

Blame it on Chinese President Xi Jinping's ongoing crackdown on corruption and no one wants to be seen spending way beyond their means...

In prime shopping districts, it is expected that rents next year will decrease into double-digit percentages after years of raising rents as high as 60 percent in 2012.

Sales of luxury goods dropped 14.7 percent year-on-year in the first nine months of 2014.

We may also see the face of Causeway Bay changing, with some luxury brands and cosmetic stores like SaSa closing and/or relocating stores from prime shopping locations.

Will this mean the return of mom-and-pop shops? Probably not, but this may signal lower prices for consumers in non-luxury brand stores that will benefit the rest of us, and perhaps dining there will be more value for money...

Hopefully this trend will expand beyond Causeway Bay... God knows we a serious re-balancing of the city's economy.

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