Mainland tourists at the Hong Kong Boundary Crossing Facilities of the Hong Kong-Zhuhai-Macau bridge on February 6, 2019. Photo: Dickson Lee
Source:
https://scmp.com/business/companies/article/2186020/japanese-megastore-don-quijote-open-its-first-hong-kong-location Companies
Japanese megastore Don Quijote to open its first Hong Kong location
- The Tokyo-based retail chain will take over the 15,000 sq ft basement space of Mira Place Two on Nathan Road
- Hong Kong debut reflects the Japanese retailer’s third overseas foray, following locations in Hawaii and Singapore
Japanese discount megastore Don Quijote is set to open its first Hong Kong location in the middle of this year, occupying a basement location in Tsim Sha Tsui, in a bid to tap local consumers and booming growth in mainland tourism.
The Tokyo-based chain, known for its diverse product offerings, will move into 15,000 sq ft basement space of Mira Place Two, according to sources.
Miramar Hotel and Investment, the owner of the building, has yet to make an announcement on the lease agreement.
Don Quijote will pay a monthly rental of HK$1 million (US$127,000) for the site at 118 to 130 Nathan Road, according to the source.
The location, the first by the Japanese retailer in Hong Kong, should be open in July.
Miramar Hotel and Investment’s shares rose 1.7 per cent in Hong Kong on Wednesday, ending the session at HK$16.40.
“Don Quijote’s Tsim Sha Tsui location can attract mainland tourists who travel via the high-speed rail and mega bridge,” said Helen Mak, senior director and head of retail services at Knight Frank.
“Instead of shopping for luxury items, these same-day visitors usually spend money on cosmetics, health care items and food, products that are most celebrated at the [Japanese] store.”
Known for its convenience and discounts, many Don Quijote locations in Japan are open 24 hours.
The Hong Kong-Zhuhai-Macau Bridge opened on October 24 while the high speed rail connecting Hong Kong to multiple mainland destinations began operation on September 23.
On February 7, the third day of the Lunar New Year, about 104,200 visitors entered Hong Kong via the high-speed rail link and 159,800 visitors entered by transiting the new 55km bridge link, according to the Immigration Department.
Mak said the launch of the Japanese retailer appears to be well timed.
“Aside from the shopping area, the Hong Kong branch also has a cafe, which aims to create a one-stop dining and shopping space for both locals and tourists,” she said.
The Japanese retailer operates three locations in Singapore, two in Hawaii, and 160 throughout Japan.
It also plans to open its first store in Bangkok later this year.