Retail rift: Hong Kong shops plead for rent relief, landlords see improving market

Although retail sales in Hong Kong rose more than 10 per cent year on year in the first five months of 2026, a wave of shop closures continues, leaving tenants and landlords with vastly different assessments of the retail leasing market.Many tenants say that despite racking their brains for solutions, their businesses remain stagnant. They are losing money because of constant price cutting to attract customers, a situation they attribute to the broader economic climate. Many hope for rent reductions of 20 to 50 per cent to ease their woes.landlords, however, believe the market is recovering and are willing to offer only limited cuts, typically between 10 and 20 per cent. In some locations including certain shopping centres, they are even raising rents.