Demand for gold jewellery drives sales surge at APM Mall in Hong Kong
Jewellery stores see strong first-half returns as price of precious metal plunges
The sales performance of Sun Hung Kai Properties flagship mall in Kowloon East rose 15 per cent in the first half of this year from a year ago, driven by growing demand for gold jewellery as international prices fell.
"Our tenants at APM mall selling gold products registered exceptionally strong performances as a gold buying spree started two months ago," said Maureen Fung Sau-yim, the general manager of SHKP's leasing department.
Fung, who is in charge of 12 centres, including Tai Po Mega Mall, said sales in some of the jewellery stores in the Tai Po shopping hubs soared to between HK$6,000 and HK$1,000 per sq ft as gold prices plunged.
At the group's APM mall, 80 per cent of the 165 tenants had changed since it was opened in 2005 and the remaining 20 per cent still operating were the best performers. Fung was upbeat about the retail market outlook and believed sales would register growth of about 10 per cent for the whole year. In her portfolio, there were some 50 leases involving about 100,000 sq ft due for renewal this year.
She declined to specify rental increases, but said they should show "double-digit" growth.
To mark the upcoming summer holiday, APM mall is holding an exhibition to celebrate the 50th birthday of the Japanese manga character, Astro Boy, from July 21 to September 1. On display will be four 5-metre tall giant models of Astro Boy.
A promotional budget of HK$7 million was set aside for the event and Fung hoped to attract 13 million visits.
Meanwhile, Kerry Properties' MegaBox in Kowloon Bay will join forces with Hong Kong Disney Consumer Products to present the "Winnie The Pooh and Friends Green Adventure", featuring a 6-metre giant Winnie The Pooh statue to lure visitors.