Hong Kong's traditional 'upstairs' outlets are shifting to street-level spaces amid falling rents and weak demand. Hing Kee Java Edible Bird’s Nest (HK JEBN) will open another ground-floor outlet in Tsim Sha Tsui next week as part of this trend.
Hong Kong Hing Kee Java Edible Bird’s Nest (HK JEBN), known locally as “Lau Soeng” – Cantonese for “upstairs” – built its business over the past two decades by avoiding expensive street-front rents and operating from higher floors. It is now reversing course. “After the pandemic, the retail market has been weak,” said Wallace Chong, marketing director and partner at HK JEBN. “There are fewer tourists and local consumers are more cautious, so we have to make some changes.” Next week, the retailer of bird’s nest, cordyceps and other Chinese health foods will open another ground-floor outlet at East Ocean Centre on Granville Road in Tsim Sha Tsui. The store spans about 3,000 sq ft and will rent for roughly HK$200,000 (US$25,500) a month, according to market sources. Bank of East Asia paid about HK$388,700 for the same space in 2013 before handing it back to the landlord, now OCBC Wing Hang Bank, highlighting how sharply rents have reset from their peak. For much of the past two decades, “upstairs shops” defined Hong Kong’s retail landscape, sacrificing street visibility for lower costs and prices sustained by loyal customers rather than foot traffic. Retailers and restaurants are now expanding at ground level and testing pop-up formats amid lower rents and weaker demand.