Midland Realty: The vacancy rate of street shops in the four core districts of Hong Kong in the first quarter was 11.1%, a decrease for two consecutive years.

Midland Holding's Residential CEO and Executive Director of Midland Department Store, Matayang, announced the "2026 First Quarter Survey Report on Vacancy and Distribution of Merchants in Major Shopping Districts in Hong Kong". He stated that the vacancy rate of street shops in the four major core areas of Hong Kong (Central, Tsim Sha Tsui, Causeway Bay, and Mong Kok) has been decreasing for two consecutive years, with the latest report at 11.1%, a decrease of 0.8 percentage points from the third quarter of last year, hitting a new low in a year and a half. He pointed out that the rental demand has significantly increased due to the recovery of the tourism industry and the continued prosperity of the financial industry, indicating that the market is gradually moving out of stagnation. The most significant improvement was seen in Central and Tsim Sha Tsui, with the vacancy rate in Central dropping to 12.6% and Tsim Sha Tsui dropping to 11.1%. Additionally, the vacancy rate of office spaces in core areas has also decreased, with Central at 8% and Tsim Sha Tsui at 4.6%, reflecting the revitalization of the financial and tourism industries, which are driving foot traffic and consumption to rise, with positive effects gradually spreading to other areas. He expects that street shop prices will continue to be under pressure but will gradually stabilize, with prime street shop rents in core areas expected to rise by 5-10%, and secondary street shops to rise by about 5%. If the financial and tourism industries remain strong, the vacancy rate in core area street shops is expected to continue to decline in the second half of the year; as for street shops in residential areas, prices are expected to continue to seek the bottom, with no significant breakthrough in the short term.