Times Square rents to rise after bumper sales
Wharf (Holdings), a major landlord in Hong Kong, may raise rents at its Times Square shopping centre in Causeway Bay by 10 per cent to 12 per cent after tenants reported the best Lunar New Year sales.
Leng Yen Thean, general manager of Times Square, said tenants earned sales of more than HK$1,000 per square foot between the eve and the third day of the Lunar New Year.
'It is the best Lunar New Year since the shopping centre opened 13 years ago,' Ms Leng said after a lion dance performance at the complex to mark the beginning of the Year of the Pig.
However, the sales figure was still lower than the record HK$1,200 per square foot achieved during the Christmas holiday period last year, Ms Leng said.
As tenants were able to generate 10 per cent to 12 per cent year on year growth in sales during Lunar New Year, she said rents would increase at the same pace.
At present, tenants at Times Square pay HK$40 to HK$450 per square foot.
Other large-scale shopping centres also reported higher sales during the holiday period.
Maureen Fung Sau-yim, general manager at Sun Hung Kai Real Estate Agency, the leasing arm of Sun Hung Kai Properties said its APM mall in Kwun Tong generated HK$110 million during the period, up 22 per cent from a year ago.
Sales at Sino Land's Tuen Mun Town Centre are expected to rise 15 per cent to more than HK$400 million for this month, according to the shopping centre's general manager Ronnie Chan Yam-ling.
Meanwhile, retail rents at New World Centre in Tsim Sha Tsui, New World Development's key shopping centre, increased 10 to 40 per cent last year.
The shopping area recorded double-digit growth in visitors last year, according to Raymond To, the acting general manager of Hong Kong Island Development, a subsidiary of New World Development.
Visitors to the shopping centre rose about 50 per cent during the Lunar New Year holiday, compared with the same period last year, he said.