Victoria’s Secret (USA) shut its Causeway Bay, Hong Kong store last week, with little notice that it planned to close.
The retailer had be struggling even before the pandeminc. It was set to be acquired by private equity group Sycamore Partners, but that deal fell apart as Victoria’s Secret was forced to shut all of its U.S. stores during the lockdowns.
The pricey retail space in one of Hong Kong’s prime shopping districts was previously occupied by similarly ill-fated retailer Forever 21.
Although Hong Kong retail was never officiallly forced to shut down, borders were closed in March and to date there are no plans to allow tourism any time soon.
Most international brands rely on active tourist shopping to drive sales, which in term enable them to afford Hong Kong’s staggering retail rents.
