香港兰桂坊银主铺低价成交与北角商铺交易取消，显示零售物业仍承压

A foreclosure sale in Hong Kong’s Lan Kwai Fong area and a cancelled shop transaction in North Point reflect the impact of weak consumer spending on Hong Kong’s retail property market, which will remain under pressure through the end of the year, according to analysts. The Lan Kwai Fong property, home of well-known bar Insomnia until it closed in 2024, recently changed hands for 60 per cent less than its value in a 2015 sale. Meanwhile, the deal for the large street shop on King’s Road in North Point abruptly fell through after two months. The retail property market would continue to struggle through the end of the year because banks were unwilling to lend, while the future outlook depended on whether they were prepared to loosen the credit taps, said Edwin Lee, founder and CEO of Bridgeway Prime Shop Fund Management. “There are still many foreclosed properties on the market, but the biggest issue is that banks are taking a very cautious stance on commercial real estate mortgages,” he said. “For large-scale transactions exceeding HK$50 million [US$6.4 million] – or even over HK$100 million – buyers are often required to pay all cash. Since very few buyers have the financial capacity to do so, owners are forced to offload properties at steep discounts.” The former home of Insomnia, Shop A on the lower ground floor of Ho Lee Commercial Building at 38, 42, and 44 D’Aguilar Street, recently sold for HK$58.68 million, reflecting a price of about HK$18,178 per square foot, according to market sources. Market records showed that the original owner bought the shop for HK$168 million via a corporate acquisition in 2015, at the peak of the retail property market. In early 2024, the owner listed the shop for sale with an asking price as high as HK$250 million. Over the subsequent years, the property suffered a paper loss of more than HK$109 million, representing a decline of over 60 per cent. Insomnia’s shutdown came amid a slump for nightlife establishments as Hongkongers increasingly opted to travel to Shenzhen for leisure and consumption. The property ultimately fell into the hands of receivers and was put up for multiple auctions. However, Lan Kwai Fong remained a valuable location – a unique cultural and entertainment landmark that had been emulated by cities across mainland China, said Stanley Poon, managing director at Centaline Commercial. “Even with the retail property market currently in a slump, the location’s strong appeal ensures that a monthly rent of just over HK$200,000 remains competitive,” he said. “Based on the latest transaction price, the projected yield exceeds 4 per cent, suggesting the buyer has secured a bargain at a ‘rock-bottom’ price.” Meanwhile, Shop B on the ground floor of the Chu Kee Building at 433-437 King’s Road in North Point registered a transaction at HK$48.8 million in June, according to Land Registry records. However, the sale of the property, which has about 2,000 sq ft of gross floor area, was cancelled on Wednesday. Land Registry records showed that the property is owned by Tin Yick Hong Realty, a long-established local commercial property investor, which bought it for HK$75 million in September 2013. Lee said that the large ground-floor shop involved in the cancelled transaction was currently leased to Korean eatery Seoul Noodle Shop at a monthly rent of HK$150,000.