While other luxury brands are scaling back in Hong Kong’s subsiding retail market, international fashion brand Versace Asia plans to open a flagship store in Central in October.
Shanghai Commercial Bank says the Milan-based fashion house has signed a three-year lease, with an option to renew, for 12,600 sqft (1170 sqm) on the ground and first-floor levels of a redeveloped building owned by the bank in Queen’s Rd.
“We needed to pick clients in this market,” says the bank’s CEO David Kwok, noting that it interviewed Versace “for quite some time”.
“Many other players wanted to sign Versace. You can’t miss our tower when driving through Central. It’s a good address for them,” says Kwok.
“It goes to prove Hong Kong is a true financial centre. We had thought the market would be very bad, so we were quite modest when setting our pricing.”
Jeannette Chan, JLL regional retail director, said Versace was taking advantage of declining retail rents and the availability of space in Central.
“Versace sees it is an optimal time to boost its brand presence in Hong Kong.”
Versace has two retail stores in Hong Kong, in Admiralty and Tsim Sha Tsui. Its new Asia flagship will sell men’s and women’s apparel, jewellery and accessories.