Soaring rents in prime locations push out local shops and restaurants
Leather-goods shop owner distraught as she joins the swelling ranks of retailers forced out of Causeway Bay by international luxury brands
Jennifer Cheung Wai-yin broke down in tears as she recounted the forced closure of her ground-floor customised leather goods store in Causeway Bay, one of the world's most expensive retail locations. "I had been operating the shop since 2004 and it was very painful to let it go. But I had no choice because of the 80 per cent spike in my rent to a six-digit figure," she said.
When the lease on the 600-square-foot shop at 35 Yiu Wa Street, two blocks from the Times Square commercial-office complex, came up for renewal recently, Cheung was shocked by the size of the increase.
I'll go online to save on crazy rents. I don't see any end to the rent increases in the coming months and years
"I endured a 50 per cent hike three years ago. But it's way too much this time around," she said.
The loss of her most trusted staff would also make it difficult for her set up again later at another location.
Sick and tired of sharp rent rises, Cheung said she was moving her business online, following in the footsteps of some of her retailing friends.
"I'll go online to save on crazy rents. I don't see any end to the rent increases in the coming months and years," she said.