China tourists boost markets’ rental price

The China Post news staff

The China Post news staff–The cost of store rentals in Shilin Night Market has recorded the an increase of up to 55.5 percent over the past four years among the six major commercial zones frequented by steadily rising numbers of inbound Chinese tourists, according to statistics released yesterday by the Taiwan Realty Co. The statistics showed that the monthly rental cost for stores located on Wenlin Road and Dadong Road has surged 55.5 percent to the range of NT$8,000 to NT$20,000 per ping (one ping is equal to 36 square feet) from the range of NT$6,000 to NT$12,000 per ping recorded in 2008.

Liu Chih-hsiung, marketing manager of Taiwan Realty, said that the number of Chinese tourists visiting Shilin Night Market has more than doubled over the past four years, with the nearby MRT Jiantan Station witnessing traffic of 60,000 to 70,000 passengers per day. This heavy traffic has made peripheral shop rentals surge by at least 10 percent per year.

Over the past four years, the monthly space rentals for shops in the commercial zone surrounding Pacific Sogo Department Stores has experienced the second-highest rise of 48 percent among the six major commercial zones frequented by Chinese tourists, with the current monthly rent rising in the range of NT$12,000 to NT$25,000 per ping from the level of NT$7,000 to NT$18,000 in 2008. Taiwan Realty officials said that since famous international clothing brands Uniqlo and Zara set up footholds in the Sogo commercial zone two years ago, store rentals there have risen significantly.

Meanwhile, the monthly rental of stores in the Xinyi commercial area in Taipei has registered the third-highest rise of 38.1 percent over the past four years, with rent surging to the range of NT$11,000 to NT$27,000, where previously it had been at around NT$9,500 to NT$18,000 per month.

The commercial area surrounding the Feng Chia University in central Taiwan has seen monthly store rental prices rise by 27.7 percent to the range of NT$8,000 to NT$15,000 from the previous range of NT$6,000 to NT$12,000. The monthly rental of shops near Taichung First Senior High School has witnessed a rise of 23 percent over the past four years, reaching NT$5,500-NT$10,500. The rent for store space in the Liuho commercial zone in southern port city of Kaohsiung has surged 33.3 percent to NT$4,000-NT$10,000 from NT$3,000-NT$7,500.