Global Retail Alliance
info@gra.world
  • Login
  • Register
  • Newsletter
  • Virtual Library
  • Choose your country
    • Australia
    • Brazil
    • China
    • Poland
    • Latin America
    • Middle East
GRAGRA
  • Home
  • Membership
    • Silver
    • Gold
    • Platinum
  • Event
  • News
  • Retail Tour
    • Our Tours
    • Europe Retail Tour
    • Retail Tour – New York
    • Retail Tour – Düsseldorf
  • Contact
  • Home
  • Membership
    • Silver
    • Gold
    • Platinum
  • Event
  • News
  • Retail Tour
    • Our Tours
    • Europe Retail Tour
    • Retail Tour – New York
    • Retail Tour – Düsseldorf
  • Contact

Retail News

  • Home
  • Retail News
  • Forever 21 closes in Hong Kong

Forever 21 closes in Hong Kong

  • Categories Retail News, Top News
  • Date September 27, 2019
  • Comments 0 comment

Struggling Californian fast-fashion retailer Forever 21 has shut its last shop in Hong Kong, officially pulling out of Hong Kong as months of civil unrest take a toll on high-street retailers.

Protests which have frequently turned violent in some of the city’s major shopping areas are likely to have been the final straw, forcing the clothes chain to close down its prime three-storey site in the bustling Mong Kok district. The company had reportedly filed for bankruptcy in August.

“Forever 21 has been under pressure in recent years facing fierce competition from online, while the current dire situation in the city’s retail sector has speeded up its closure,” said Helen Mak, senior director and head of retail services at Knight Frank.

The American fashion retailer first came to Hong Kong in 2011 with a 50,000-square foot flagship store in Causeway Bay, and then expanded to Mong Kok five years later.

Amid a cool down in the popularity of fast-fashion, Forever 21 closed the store in Causeway Bay and was replaced by New York-based lingerie giant Victoria’s Secret two years ago.

According to filings made with the Land Registry, the current term of the lease for the Mong Kok premises, will end in May 2023. The current rent is HK$2.6 million per month.

But Forever 21 has opted to surrender the 19,200 sq ft space early.

The landlord has put the space on the market with no specific asking price, “subject to offer”, sources familiar with the matter said. They expected difficulties in leasing out the space in the short term, and predicted a rent cut.

The city’s massive protest rallies, now in their fourth month, have often targeted Hong Kong’s shopping districts such as Central, Causeway Bay, Tsim Sha Tsui, and Mong Kok, while online campaigns have urged people to spend less money on Fridays and Sundays, and to avoid retailers and companies that do not appear to share the protesters’ political views.

Tourism numbers slumped by 40 per cent in August, leaving the industry with its second biggest year-on-year decline since the Sars epidemic in May 2003, Paul Chan Mo-po, the city’s Financial Secretary, said in a blog post this month.

The latest official figures for shop sales showed a slowdown of 11.4 per cent in July from a year ago, and the situation is expected to have worsened since then.

Source: retailinasia.com

Tag:Closing, Forever 21, Hong Kong

  • Share:
gsiino

Previous post

Arby’s owner Inspire Brands buys Jimmy John’s
September 27, 2019

Next post

Kroger unveils Cincinnati Food Hall
September 27, 2019

You may also like

Senza-titolo-1
Walmart Has a New Idea to Take on Amazon
10 August, 2022
Senza-titolo-1
The Supermart by ZALORA x adidas opens at Bugis Junction
6 August, 2022
Senza-titolo-1
Brands are getting creative with being real
2 August, 2022

Leave A Reply Cancel reply

Your email address will not be published. Required fields are marked *

Search News:

News category:

News Archive:

Last News:

Walmart Has a New Idea to Take on Amazon
10Aug2022
The Supermart by ZALORA x adidas opens at Bugis Junction
06Aug2022
Brands are getting creative with being real
02Aug2022
Mango Teen opens new store in Barcelona
27Jul2022
Crypto project Solana is opening a store in NYC. Take a look inside
27Jul2022

Twitter:

GRA_World Follow

An association made up and dedicated to the retail industry world's leading companies. Become a member today!

Gra_World
Retweet on Twitter GRA_World Retweeted
meshaalbomairh Meshaal Bin Omairh @meshaalbomairh ·
19 May

Very happy to announce that I am now a member of the GRA, one of the world’s most important associations for #retail industry leaders.
يسعدني جدًا أن أعلن أنني أصبحت عضوًا في GRA ، وهي واحدة من أهم الجمعيات في العالم لقادة صناعة البيع بالتجزئة: https://twitter.com/Gra_World/status/1526975525411033089

gra_world GRA_World @gra_world ·
20 May

🚀Los invitamos al próximo #webinar #GRA donde un panel de líderes de #Latinoamerica van a compartir tendencias, experiencia y el futuro de #Marketplaces✍🏻: https://bit.ly/3yNggfI

Load More...

© 2022 Global Retail Alliance | info@gra.world | Privacy Policy