Hong Kong F&B sector records highest leasing activity in Q2

Hong Kong’s food and beverage (F&B) operators, both new and existing players, signed leases for 155,000 sq ft of new floor space in the second quarter of this year, a record high for the sector and more than double the amount registered in the first quarter, according to property consultancy CBRE.

In the first half of the year, they snapped up 230,000 sq ft of new space, CBRE data showed.

However, analysts said the city’s selective and narrow-based retailing recovery was forcing brands and retailers to be more creative and adopt novel tactics to keep attracting consumers, with that trend particularly evident in the F&B sector.

“Our frontline observations suggest that an increasing number of F&B operators are enhancing their offerings by incorporating unique experiential elements into the dining journey,” said Lawrence Wan, executive director and head of retail leasing at CBRE Hong Kong.

“Examples include restaurants featuring live music performances, Korean restaurants employing native Korean-speaking staff to create a more authentic atmosphere, Japanese eateries engaging diners through traditional drinking games with chefs, and venues showcasing carefully curated vintage furniture sourced from Europe.”

The trend reflected a shift in consumer preferences, he said, with food viewed as just part of the total dining experience.

Another property consultancy, JLL, said restaurants that had employed innovative offerings included Le Petit Chef and The Magic Table at Grand Hyatt Hong Kong, where immersive technology was used to turn the dining table into part of the entertainment experience.