Black rain washes away customers: restaurateurs report losses

Restaurateurs reported operating losses despite struggling to remain open during the Black rainstorm warning on Tuesday (Aug 5).

Speaking on a radio program on Wednesday, Kelvin Yau Kam-wing, honorary chairman of the Institute of Dining Professionals, noted that certain eateries continued to provide services, driven by pressure from high rents.

However, Yau stated that business was poor for many with little foot traffic, as revenue failed to offset costs.

He added that foot traffic dwindles more significantly when Storm Signal No. 8 is in effect, whereas neighborhood restaurants might still see more local customers during heavy rain due to lower risk.
 
Meanwhile, Yau acknowledged that business conditions have shown signs of improvement recently, with two or three branches of various eateries likely to close within the next year or two.

He also reminded restaurant owners to carefully consider lease renewal negotiations, as some landlords are willing to reduce rent while others remain firm on prices.

Certain landlords have refused to renew leases, intending to renovate the restaurants and offer different types of cuisine, he added.