Harbour City mall boosts market share
Retail sales Hong Kong fell 0.2 per cent in 2014 – but Harbour City mall bucked the trend with an increase in footfall, sales and market share.
In its annual profit announcement, parent The Wharf Holdings said total sales in the centre grew by 3.4 per cent to set another record of HK$35 billion. Market share improved further to 7.1 per cent, “manifesting its productivity and leading position in the marketplace”.
Revenue to Harbour City from retail increased by 16 per cent to HK$5.674 billion.
The Wharf described Hong Kong’s retail market last year as “challenging,” primarily due to mainland China’s anti-extravagance campaign that dented luxury spending and competition from Europe, Korea and Japan as their currencies continued to weaken relative to Hong Kong Dollar and Renminibi. “The ‘Occupy Movement’ towards the end of the year inflicted further damage.”
The company said good management, size and location are the key success factors contributing to the Harbour City mall’s outperformance in a competitive retail landscape.
“With 2 million sqft of contiguous mall space, Harbour City is among the world’s leading shopping destinations. It is the core of the “Greater Harbour City” cluster with 6 million sqft spanning vibrant shopping, entertainment, dining and lifestyle in Tsim Sha Tsui’s most dynamic retail area. Its presence strengthens the prominence of the region,” said The Wharf.
“The coveted Harbour City and its 530 metre contiguous retail frontage along Canton Rd is well positioned as a global retail showcase for celebrated brands and has become the most sought-after location for the best-of-class retailers.”
“The ‘Occupy Movement’ towards the end of the year inflicted further damage.”
Demand from renowned fashion brands for expansion and flagship stores at Harbour City remains intense, the company said. New additions Bvlgari and Valentino and the expansion of Prada took place on on Canton Rd last year. Other expansions inside included Moncler, Celine, Roger Vivier and Jimmy Choo
New openings or commitments further refined the tenant mix, including Chaumet, Van Cleef & Arpels and Italian fashion brand Armani Collezioni. Michelin star chef’s Italian restaurant La Locanda by Giancarlo Perbellini, French fine dining Dalloyau and Wedgewood’s café opened their debut stores in Hong Kong at Harbour City.
Jamie (Oliver)’s Italian is also set to open its Kowloon debut. Following the opening of Uniqlo’s largest flagship store in Kowloon in April, Page One’s 37,000 sqft full concept store and Versace’s three-level full concept store were opened in late September and October respectively.
Meanwhile, Ocean Terminal’s renovation is progressing to plan. Upon completion of the new escalators at KidX and a new atrium as well as creation of three new shops taken up by Mont Blanc, IWC Schaffhausen and Hublot in Golden Mile, new retail and food and beverage attractions on the third floor will be created by mid-2015.
Designed by Foster & Partners, the extension building plan for OT is pending approval. New culinary options with breathtaking panoramic views of the Hong Kong harbour and skyline will be offered at the extension building.
The Wharf says a series of trade-mix enhancements as well as the renovation and extension of OT “will further unleash retail value, add growth impetus and bring surprises and excitement to the discerning shoppers”.