HONG KONG. Airport Authority Hong Kong (AAHK) has invited potential partners to bid for 36 luxury store concessions and two ‘Icon’ shop contracts at Hong Kong International Airport.
The core offer of 36 licences is for spaces in the T1 East Hall airside, with bids due on 27 September. The airport company said the concession “presents a unique business opportunity for luxury brand retailers in this prestigious aviation hub in Asia”. These contracts will run for five years each from Q2 2019.
The airport’s two ‘Icon’ stores, of 458sq m and 479sq m, are also being tendered, with AAHK seeking “top luxury/global mega brands” for these double-height spaces. Bids are also due on 27 September and these contracts will run for seven years, the airport company confirmed to The Moodie Davitt Report. These are currently occupied by Chanel and Rolex.
AAHK noted that it planned to offer at most one unit to each brand under a series of individual licences.
As reported when we first highlighted the forthcoming tenders in May, the timing looks optimum given a sharply improved business performance in the luxury sector at Hong Kong International. The key Christmas and Chinese New Year periods saw “tremendous growth” in luxury. Watches and jewellery, two pivots of the likely luxury offer, have performed particularly well.
The tenders take place amid a major upgrade of core category concessions at HKIA. Yesterday Shilla Travel Retail (HK) unveiled its new beauty and accessories stores, with Heinemann’s Sweet Dreams confectionery stores opening next week and Duty Zero by cdf (liquor & tobacco) officially inaugurated a week later.
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