Cheng family negotiates with Louis Vuitton for Hong Kong store

A real estate company in Hong Kong, controlled by the wealthy Cheng family, is negotiating with luxury brand Louis Vuitton to open a large store. The proposed store would be about 40,000 square feet at the K11 Musea mall, making it one of Louis Vuitton's biggest locations in Asia. Sources say the new store might include a museum, a café, and a lounge for VIP customers. However, details regarding rent and the final agreement are still uncertain. The discussions are progressing, but the deal could still change or fall through. New World Development Co., the real estate company, saw its shares rise by up to 2.2% on Tuesday. If the deal goes through, it could bring confidence to Hong Kong's retail industry and help improve the struggling property market. The store is expected to attract more customers, potentially raising retail rents for New World. K11 Musea is a popular shopping destination near Victoria Harbor. It has a unique design that blends shopping with arts and culture. The mall already attracts wealthy clients, partly due to the connections of the Cheng family. Luxury brands like Louis Vuitton are trying to attract more affluent customers due to a slowing Chinese economy affecting middle-class spending. As tourism slowly recovers, Hong Kong still has a high number of millionaires, ranking as one of the wealthiest cities globally. K11 Musea is focusing on luxury shopping, with other high-end brands like Prada, Loewe, and Saint Laurent also enhancing their presence there. Meanwhile, the Cheng family is dealing with internal succession issues as they look for leadership to take over their business.